Indonesia to exclude high-concentration stocks from JCI index

The Indonesia Stock Exchange (IDX) will exclude stocks with high shareholding concentration (HSC) from its benchmark Jakarta Composite Index (JCI) in an effort to improve transparency and market integrity. This decision follows discussions with global index provider MSCI Inc. regarding a potential reclassification of Indonesia's market status from emerging to standalone. The IDX stated that the price movements of these 80 HSC stocks, which account for 18% of the JCI's weighting, will no longer affect the index. Investors will still be able to trade these shares. The exchange also plans to publish information on shareholders holding at least 1% of a company's shares, indicating whether they are affiliated or non-affiliated. MSCI is expected to announce its final decision on the market classification by the end of June 2027.