Indonesia Bourse to Remove Tightly Held Firms From Some Indexes

The Indonesia Stock Exchange plans to remove firms identified for having high shareholding concentration from some of its key indexes as part of ongoing market reforms.

Tightly held companies will be barred from the IDX30, IDX80 and LQ45 gauges to ensure “an index that better represents market dynamics,” according to a bourse statement late Tuesday. The adjustment will take place during the April index review and will be effective on the first trading day of May, it added.