Bursa Efek Indonesia and Alpaca explore cross-border market access

The Indonesia Stock Exchange (BEI) and US-based technology broker-dealer AlpacaDB, Inc. have signed a Memorandum of Understanding (MoU) to explore cross-border capital market access. This initiative aims to provide Indonesian market participants with access to international markets and, conversely, allow international brokers and investors to access Indonesia’s growing capital market.

BEI President Director Jeffrey Hendrik stated that the move responds to the needs of exchange members to expand investment options for Indonesian investors. Previously, foreign market access was managed through futures market frameworks. Following the transfer of regulatory authority for financial derivative products to the Financial Services Authority (OJK), BEI is exploring the potential to provide foreign mandate services (PALN) through exchange members within the capital market.

The collaboration will involve exchanging knowledge and experience regarding foreign market access mechanisms, including how transactions can be conducted through overseas broker-dealers. BEI will study applicable models and regulations in coordination with the OJK and other relevant stakeholders to ensure a secure and structured scheme.