Capital market socializing continues, especially beyond the capital city. Brokers, as investor managers must step up in providing information and education.

The socializing of scripless trading displayed in several cities revealed how little investors understand and comprehend about the capital market. Up till now, investors are still under the assumption that by trading they are guaranteed a profit. It never crossed their minds that there are grave risks involved, not mentioning those caused by troubled issuers.

As a matter of fact, according to Josef Prasetyo of the KSEI Depository and Shares Information Division, one of the consequences that a shareholder must face is to be ready to bear the burden of loss.

From meetings between SROs and the capital market association with investors on scripless trading held in Medan, Semarang, Solo, Surabaya and Bandung, the lack of investors’ knowledge, especially regarding their role in scripless trading, is obvious.

From such meetings, questions that often arise regarding scripless trading are on the matter of registration obligation and the fees charged. Hence, questions developed toward the solving of capital market cases, which they regard as not having been settled in a transparent and prompt manner.

Registration Fee

On matters of registration, Bapepam has made it clear that before conversion can be carried out, the investor is obligated to register. Bapepam has decided on a maximum registration fee of Rp 1,250 per SKS (Satuan Kolektif Saham – Shares Collective Unit) for shares other than that of banking; and as for banking shares, Rp 0.5 per share borne by the investor.

An interesting thing turned up in the investor gathering event. There was an investor who complained that KSEI is burdening investors with lots of expenses, among others, account administration fee and depository fee. This was proven by the investor’s receipt of a List of Collective Depository (scripless) Costs complete with the KSEI logo.

The list states a number of fees, all charged to the investor, while the List of Fees issued by KSEI is usually directed to and charged upon issuers and participants (brokers and custodian banks). This is because KSEI indeed has no direct relation to investors. “If a KSEI participant in the end charges such fees upon its investors, this is purely the business consideration of that lone participant, and not KSEI’s”, explained Josef.


Even so, said Josef, this is to be regretted, as it was an unethical gesture. A participant ought to guide its investors toward correct comprehension. If otherwise, investors will become allergic to the scripless program.

Actually, not all such expenses should be charged to investors. Participants must make the distinction between costs that are and are not worthy of being charged to investors.

Another complaint is about the banking share registration fee. As we know, there are two kinds of banking shares in circulation; one of 5,000 shares per SKS, and another of only 500 shares per SKS. Brokers often take advantage of this difference for profit.

Many investors are asked to pay the registration fee of 5,000 shares per SKS ten fold, namely 10 X Rp 2.500, while they should be charged a singe fee of Rp 2.500 for the 1 SKS.

As a capital market institution, brokers should take up a more active role in socializing investment matters to clients, because part of the function of a securities company is to act as an investor manager. If investors are in state to invest their money through a broker, the broker must advise the investors on their role and of the risks that they must bear. “So, securities companies should get involved in the education program for practitioners of the Indonesian capital market”, he said.

Investor gatherings of the scripless trading socializing safari will continue to other cities such as Denpasar, Ujung Pandang, Balikpapan, and Manado. But improvements must be made for the steps ahead. Bapepam, SROs and other market practitioners must play an active role in socializing scripless trading to investors; especially brokers, who have direct contact with investors.

It would be best to conduct further socializing in locations far from the capital city. Many investors there are behind in information due to lack of information facilities. Investors themselves should also actively seek information and knowledge on the capital market so as not to easily be taken for a ride.