Flooring Guide by Cinvex — The Indonesia Stock Exchange (IDX) believes that the recent announcement of the MSCI index rebalancing results provides much-needed clarity for the Indonesian stock market, helping to stabilize sentiment amidst the high levels of global uncertainty seen in recent times.
Jeffrey Hendrik, Acting President Director of the Indonesia Stock Exchange, noted that the domestic market had previously been overshadowed by various external pressures, ranging from geopolitical tensions in the Middle East and commodity price fluctuations to currency exchange rate volatility. With the market anxiously awaiting the MSCI index review, this announcement effectively removes a significant layer of uncertainty that has been looming over Indonesia’s capital market.
We understand that this is a short-term consequence of the capital market transparency reforms we have implemented, Hendrik stated on Wednesday, May 13, 2026. What MSCI has communicated today removes an element of uncertainty, which is undoubtedly a positive development for the market. He expressed optimism that the rebalancing results will serve as a foundation for the future growth of the Indonesian capital market, working alongside issuers and all market participants.
Addressing concerns regarding the methodology behind the MSCI rebalancing, such as free-float calculations, Hendrik emphasized that index providers operate with their own proprietary methods, which are independent of the IDX. He explained that the exchange manages its own indices, including the IDX30, LQ45, and IDX80, using specific internal methodologies, whereas MSCI prioritizes a quantitative approach. For the IDX, the primary focus remains on ensuring that the capital market operates in an orderly, fair, and efficient manner, rather than engineering market conditions to meet the criteria of any single index.
The MSCI May 2026 Index Review results were released on Tuesday, May 12, 2026 (local time), with all adjustments set to take effect at the close of trading on May 29, 2026, and becoming effective on June 1, 2026. In this latest review, MSCI did not add any new Indonesian stocks to the MSCI Global Standard Index.
Conversely, MSCI removed six Indonesian stocks from the Global Standard Index: PT Amman Mineral Internasional Tbk. (AMMN), PT Barito Renewables Energy Tbk. (BREN), PT Chandra Asri Pacific Tbk. (TPIA), PT Dian Swastatika Sentosa Tbk. (DSSA), PT Petrindo Jaya Kreasi Tbk. (CUAN), and PT Sumber Alfaria Trijaya Tbk. (AMRT).
While AMRT was removed from the Global Standard list, it was re-added to the MSCI Small Cap Index. Meanwhile, 13 other Indonesian stocks were removed from the MSCI Small Cap Index, including PT Aneka Tambang Tbk. (ANTM), PT Astra Agro Lestari Tbk. (AALI), PT Bank Aladin Syariah Tbk. (BANK), PT Bumi Serpong Damai Tbk. (BSDE), PT Dharma Satya Nusantara Tbk. (DSNG), PT Industri Jamu dan Farmasi Sido Muncul Tbk. (SIDO), PT Midi Utama Indonesia Tbk. (MIDI), PT Mitra Keluarga Karyasehat Tbk. (MIKA), PT MNC Studios International Tbk. (MSIN), PT Pabrik Kertas Tjiwi Kimia Tbk. (TKIM), PT Pacific Strategic Financial Tbk. (APIC), PT Sawit Sumbermas Sarana Tbk. (SSMS), and PT Triputra Agro Persada Tbk. (TAPG).
The MSCI Indonesia Index is designed to measure the performance of large and mid-cap stocks in the Indonesian market, covering approximately 85% of the total market capitalization of the Indonesia Stock Exchange.
Summary
The Indonesia Stock Exchange (IDX) considers the recent MSCI index rebalancing results beneficial, providing clarity and stabilizing sentiment amidst global uncertainty. Acting President Director Jeffrey Hendrik noted this removes a significant layer of uncertainty that had overshadowed the domestic market. He clarified that MSCI employs its own independent methodology, while the IDX’s primary focus remains on maintaining an orderly, fair, and efficient capital market.
The MSCI May 2026 Index Review results, effective June 1, showed no new Indonesian stocks added to the Global Standard Index. However, six Indonesian stocks, including AMMN and BREN, were removed from this index. Furthermore, thirteen other Indonesian stocks were removed from the MSCI Small Cap Index, though AMRT was re-added to the Small Cap Index.