What Are IEP And IEV And What Is Their Function In The Exchange Trading System?

JAKARTA - As an effort to support trading in the capital market, it is running regularly, fairly, and efficiently, PT Bursa Efek Indonesia (IDX) continues to develop features and mechanisms in the Exchange trading system. As one of the efforts made by the IDX is to launch the Indicative Equilibrium Price (IEP) and Indicative Equilibrium Volume (IEV) features in the Exchange trading system on December 6, 2021.

Director of Trade and Regulation of IDX Members, Irvan Susandy, explained that the IEP is information on potential prices that are formed while the IEV is information on potential accumulation of transaction volume that will be displayed at the price formed (IEP) by the IDX trading system.

"The implementation of IEP and IEV data aims to provide transparency to Investors and other market players by displaying an indicative price that will be formed at the end of the blind order book session (pre-opening session, Pre-closing and Periodic Call Auction Effects are Equity on the Special Monitoring Board), making it easier for investors to execute orders and minimize potential marking the close," said Irvan in a written statement, Thursday, March 14.

Irvan explained that the values of the IEP and IEV were influenced by the small number of orders for sale/buy transactions that had the potential to be encountered. If the order of the sale/buy transaction does not yet have the potential to be encountered, then the values of the IEP and IEV also have the potential to not appear during trading hours.

Then, Irvan said that investors can directly take advantage of the IEP and IEV features on online trading applications belonging to Exchange Members or selected securities from Investors. IEP and IEV values will appear on online trading applications during Pre-opening, Pre-closing and Periodic Call Special Monitoring Board Auction sessions.

"IEP and IEV information is generally displayed on the stock order page which aims to assist investors in making orders from these shares," he said.

Apart from online trading applications belonging to Exchange Members or securities, continued Irvan, investors can also view IEP and IEV information directly through the IDX Mobile application. On the IDX Mobile application, IEP and IEV values appear on the detailed page of the shares selected by investors and market players.

"We hope that with a good understanding from market players regarding the IEP and IEV features, it can help the process of executing stock transaction orders and increasing the transaction activities of market players on the IDX," he concluded.