MSCI Removes 19 Indonesian Stocks, Foreign Funds Worth Rp 22 Trillion Potentially Fleeing BEI

JAKARTA, KOMPAS.com - The decision by Morgan Stanley Capital International (MSCI) to remove 19 Indonesian stocks from its global index could trigger an outflow of foreign funds or capital outflow from the Indonesia Stock Exchange (BEI). The pressure is expected to come primarily from global passive fund managers who use the MSCI index as a benchmark for investments. MSCI officially announced the results of its periodic review or index review for the May 2026 period on Wednesday (13/5/2026). This rebalancing’s outcome surprised market participants as it was seen to deviate significantly from expectations. Although removed from the MSCI Global Standard Indexes, AMRT shares have been moved to the MSCI Small Cap Indexes. In addition, MSCI has also deleted 13 Indonesian stocks from the MSCI Small Cap Indexes, namely PT Aneka Tambang Tbk (ANTM), PT Astra Agro Lestari Tbk (AALI), PT Bank Aladin Syariah Tbk (BANK), PT Bumi Serpong Damai Tbk (BSDE), PT Dharma Satya Nusantara Tbk (DSNG), and PT Industri Jamu dan Farmasi Sido Muncul Tbk (SIDO). Then, PT Midi Utama Indonesia Tbk (MIDI), PT Mitra Keluarga Karyasehat Tbk (MIKA), PT Pabrik Kertas Tjiwi Kimia Tbk (TKIM), PT Pacific Strategic Financial Tbk (APIC), PT Sawit Sumbermas Sarana Tbk (SSMS), PT Triputra Agro Persada Tbk (TPAG), and PT MNC Digital Entertainment Tbk (MSIN). MSCI stated that all these changes will take effect after the close of trading on 29 May 2026 and become effective from 1 June 2026. The MSCI rebalancing results are also seen as negative sentiment for the IHSG because the deleted stocks could lose their appeal to foreign investors. “In my view, an outflow will certainly occur. Usually, if fund managers reference the MSCI standard, they will be forced to sell those stocks to adjust to the latest index composition,” said Nafan when contacted by Kompas.com on Wednesday morning.