Parallel stock market needs to offer incentives<\/p>\n
JAKARTA (JP): The parallel or over-the-counter (OTC) capital
\nmarket needs to offer incentives to attract more investors, an
\nexecutive says.<\/p>\n
The president of PT Jasereh Utama, J. A. Sereh, said
\nyesterday that companies listed on the parallel market, for
\nexample, could offer cash dividends of no less than 40 percent of
\nafter-tax profits to attract investors.<\/p>\n
Speaking at a seminar on \"alternative financing here, Sereh
\nsaid that large scale investors usually prefer to make deals on
\nthe Jakarta Stock Exchange (JSX) and Surabaya Stock Exchange
\n(SSE) but small and medium scale investors would go to the OTC.<\/p>\n
If the companies listed on the OTC promised to pay dividends
\nof no less than 40 percent, pension funds would likely also be
\ninterested in investments at the OTC.<\/p>\n
Tito Soelistio, the president of PT Bursa Parallel Indonesia,
\nthe company managing the OTC, acknowledged that most investors
\nare not interested in making investment on the parallel market
\ndue to lack of regulations, including those on delisting and
\nsanctions against violators.<\/p>\n
\"Furthermore, companies listed on the OTC are not as qualified
\nas those listed on the JSX and SSE,\" he said.<\/p>\n
Five companies have listed their shares and 10 other listed
\nbonds on the parallel market.(icn)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/parallel-stock-market-needs-to-offer-incentives-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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