{
    "success": true,
    "data": {
        "id": 1987969,
        "msgid": "why-the-idx-is-reviving-short-selling-1789725134",
        "date": "2026-09-18 16:30:11",
        "title": "Why the IDX Is Reviving Short Selling",
        "author": "",
        "source": "TEMPO_EN",
        "tags": "",
        "topic": "Finance",
        "summary": "The Indonesia Stock Exchange (IDX) is set to reintroduce short selling transactions starting in October 2026, following directives from the Financial Services Authority (OJK). The implementation will initially focus on five liquid stocks from the LQ45 index to facilitate hedging and risk management while preventing market manipulation.",
        "content": "<p>TEMPO.CO, Jakarta - Indonesia Stock Exchange (IDX) is implementing\nshort selling transactions in stages once again.<\/p>\n<p>The Financial Services Authority (OJK) previously advised postponing\nthe short selling transaction, originally scheduled for September 17,\n2025, and resumed it on March 13, 2026. OJK then directed the exchange\nto reintroduce short selling. The transaction will take effect in\nOctober 2026.<\/p>\n<p>In short selling, an investor borrows stocks they do not yet own. The\ninvestor sells the securities when the price is high and buys them back\nwhen the price drops. The investor hopes to profit from the difference\nbetween the buying and selling prices.<\/p>\n<p>IDX Director of Development, Inding Pardi, said the reintroduction of\nshort selling is partly due to the limited number of short-selling\ntransaction notes from Morgan Stanley Capital International (MSCI).<\/p>\n<p>\u201cThe other reason is, of course, our market is relatively stable.\nAlthough from the IHSG (stock index) side, it is still far below the\nall-time high, if we look at our market, it is quite stable,\u201d he told\nreporters at the IDX Building on Friday, September 18, 2026.<\/p>\n<p>According to Iding, short selling is an essential instrument for\nhedging and risk management strategies. However, short selling could be\nspeculative for some investors. Iding emphasized that avoiding trade\nmanipulation in short selling transactions is the most important\nthing.<\/p>\n<p>IDX will implement short selling for certain stocks considered\nliquid. Iding said that, initially, five stocks from the LQ45 index can\nbe traded for short selling, one of which is from the banking\nsector.<\/p>\n<p>\u201cWhy does it have to be liquid? Because short selling is a trading\nstrategy to prevent stocks from being easily manipulated in transactions\nand their prices fluctuating,\u201d explained Iding.<\/p>\n<p>After being implemented in stages, IDX will consider enabling short\nselling on a broader scale.<\/p>\n<p>Read: Danantara Launches Rp2.8tn Waste-to-Energy Project in Bogor<\/p>\n<p>Click here to get the latest news updates from Tempo on Google\nNews<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/why-the-idx-is-reviving-short-selling-1789725134",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}