IDX Implements IDSS with Measured and Comprehensive Risk Management
The Indonesia Stock Exchange (IDX) began implementing Short Selling and Intraday Short Selling (IDSS) transactions as of 1 October 2026. In the initial phase, two Brokerage Members that have obtained Short Selling licences from the IDX and provide IDSS facilities for investors are PT Ajaib Sekuritas Asia and PT Semesta Indovest Sekuritas.
IDSS is a short selling mechanism that requires transaction positions to be settled on the same Trading Day through a buy-back before the end of trading hours. This characteristic is a vital component of the IDSS implementation, while also providing an alternative transaction strategy for investors.
Irvan Susandy, Director of Trading and Brokerage Member Regulation at the IDX, stated that the implementation of IDSS is being carried out gradually, taking into account the readiness of mechanisms, infrastructure, Brokerage Members, and risk management aspects.
“The implementation of IDSS is a follow-up step in the IDX’s efforts to provide more diverse transaction mechanisms while supporting more dynamic market development. This initial phase is being implemented in a measured manner, considering the readiness of mechanisms, infrastructure, and risk management aspects,” Irvan said in an official statement on Monday (5/10/2025).
For information, IDSS transactions can only be conducted on stocks included in the Short Selling List of Securities determined by the IDX. In the initial stage, based on the list published by the IDX as of 28 September 2026, there are five stocks available for IDSS transactions: ASII, BBCA, BRPT, BUMI, and INDF.
These stocks possess high free float and liquidity levels. This limited implementation of short selling is part of the learning process for market participants and the deepening of the Indonesian capital market. The IDX also ensures that short selling activities can be conducted in a measured way through transaction limit regulations per Brokerage Member. The short selling transaction quota per Brokerage Member is determined based on the average daily transaction contribution of the Brokerage Member during the previous month in the Regular Market.
Under this scheme, Brokerage Members with a larger daily transaction value contribution may have a higher short selling transaction quota. For Brokerage Members with an average daily transaction value of less than Rp750 billion, short selling transactions are limited to a maximum of 0.02% of the total listed shares per day.
For Brokerage Members with an average daily transaction value between Rp750 billion and Rp1.5 trillion, the transaction limit is set at a maximum of 0.03% of the total listed shares per day. Meanwhile, Brokerage Members with an average daily transaction value of more than Rp1.5 trillion may conduct short selling transactions of up to 0.05% of the total listed shares per day.
These quota regulations serve as an instrument to ensure that short selling activities develop gradually and remain within the corridors of market risk management. The IDX is also implementing a transition period for the implementation of Short Selling. Until 31 December 2026, this facility can be accessed by domestic individual investors.
After this period, access to Short Selling will be opened gradually to a wider range of investors, considering market developments and conditions. From the investor’s perspective, IDSS also has collateral requirements that must be met from the start of the transaction.
Investors performing IDSS are required to deposit an Initial Margin of at least Rp50 million or 50% of the short selling transaction value, whichever is higher. While the Short Selling position is active, the adequacy of collateral is also monitored through the Short Selling Ratio. When stock prices rise, collateral is eroded because the cost required to buy back the shares increases. This condition can lower the collateral ratio and, if it reaches the specified limit, can trigger a margin call.
If the obligation to meet collateral requirements is not fulfilled according to the regulations, a forced buy-back mechanism is available as part of risk control. Specifically for IDSS, the forced buy mechanism is automatically executed at the end of every Trading Day, meaning investors cannot maintain an IDSS position until the following Trading Day.
With this mechanism in place, the implementation of IDSS not only considers the readiness of systems and Brokerage Members but also ensures risk control while the short selling position is active. Through the gradual implementation of IDSS, supported by the readiness of Brokerage Members and risk management mechanisms, the IDX will continue to evaluate the execution of IDSS by considering market developments and conditions.
This evaluation is expected to support the development of the short selling ecosystem as well as strengthen the development of products and transaction mechanisms in the Indonesian capital market.