As alternative financing methods gain momentum in Indonesia’s capital market, understanding the legal and regulatory frameworks behind them becomes increasingly important. This first part of a two-part article by Dentons HPRP explores margin transactions and short selling—two types of leveraged transactions that offer investors opportunities to enhance returns but also come with significant risks. The article outlines how these mechanisms work and examines the latest updates under OJK Regulation No. 6 of 2024 and relevant IDX rules.

With extensive experience advising clients on capital market transactions, Dentons HPRP Capital Market team, Erwin Kurnia Winenda (Partner), Beatrix Deviana Mukin (Associate), and Jovanka Lingkanaya (Associate), breaks down key regulatory changes and practical considerations for both investors and securities companies.

Read the full article here.

Whether you are new to leveraged transactions or seeking to stay current with evolving rules, this article provides clear insights into how these financing tools are structured and supervised under Indonesian law.

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