IDX and Securities Firms Collaborate on Equity Liquidity Provider Scheme to Boost Trading Liquidity

The implementation of the Equity Liquidity Provider (LP) scheme is a strategic move by the Indonesia Stock Exchange (IDX) to strengthen the quality and liquidity of equity trading and increase investment appeal through more liquid, efficient, and transparent trading. The programme is expected to support more efficient trading by providing more consistent buy and sell quotes in the market, making it easier for investors to transact and supporting a more optimal price formation process. The IDX assesses that the response and interest from Exchange Members (AB) in the Equity LP programme shows positive development. To date, two securities firms have been providing Equity LP quotes: PT Phintraco Sekuritas since 20 April 2026 and PT Mandiri Sekuritas on 4 May 2026. Acting President Director of IDX Jeffrey Hendrik said the increase in AB participation demonstrates the industry’s growing interest in the Equity LP programme and represents a shared commitment to supporting improved quality and liquidity of trading on the Exchange. “Going forward, IDX hopes the number of Exchange Members joining this programme will continue to grow alongside increased understanding and utilisation of the Equity LP scheme in the market,” he said on Monday, 8 June 2026. The inaugural quote execution by Phintraco Sekuritas was carried out on five stocks: PT Gudang Garam Tbk (GGRM), PT Pabrik Kertas Tjiwi Kimia Tbk (TKIM), PT Trans Power Marine Tbk (TPMA), PT Asuransi Tugu Pratama Indonesia Tbk (TUGU), and PT Wintermar Offshore Marine Tbk (WINS). IDX noted that in the one-week period before and after implementation, these stocks showed an increase in the average daily transaction value, with percentage increases ranging from 25.98 percent to 119.44 percent. These results demonstrate the potential of Equity LPs in boosting trading activity and liquidity in the market. “We see that Equity LP activities have a positive impact on improving trading quality and equity liquidity in the market, which indirectly strengthens investor confidence in the Indonesian capital market,” said Jeffrey. President Director of Phintraco Sekuritas Ferawati said the company’s participation in the Equity LP programme is part of its commitment to play a more strategic role in developing the quality and deepening of Indonesia’s capital market. She sees that since the start of implementation, the development of Equity LPs has shown a positive direction in strengthening the trading structure on the Exchange. According to her, the success of this programme requires close collaboration between the Exchange, Exchange Members, listed companies, associations, and investors so that the benefits of Equity LPs can be felt more widely by all market participants. “In its implementation, we see that the effectiveness of Equity LPs requires strong collaboration between the Exchange, Exchange Members, listed companies, and related associations, particularly in building a more comprehensive understanding of the strategic function of Equity LPs in supporting trading liquidity quality,” she said. Ferawati explained that Phintraco Sekuritas has prepared system infrastructure, dealing team readiness, and a risk management framework to ensure quoting activities can run optimally and sustainably. “Equity LP activities are not only focused on providing quotes but are also part of the effort to build a more liquid, efficient, and credible market,” she said. She explained that the main challenge in Equity LP activities is maintaining quote consistency amidst dynamic market conditions and constantly changing volatility. Therefore, LP activities require trading discipline, technological support, and strong risk management so that the liquidity created remains healthy and sustainable. However, Phintraco Sekuritas sees the prospect for Equity LPs in Indonesia as quite good, in line with the IDX and regulators’ focus on encouraging market deepening and improving the trading quality of Indonesia’s capital market. According to Ferawati, collaboration between the Exchange, Exchange Members, listed companies, associations, and investors will be an important factor in accelerating the effectiveness of the Equity LP programme going forward. Through this initiative, IDX believes that with increasingly better liquidity, improved trading efficiency, and a continuously developing market quality, the Indonesian capital market is expected to become more attractive to investors and capable of supporting the growth of a sustainable investment ecosystem.