30 Apr 2020
PT Batavia Prosperindo Asset Manajemen (BPAM) launched two exchange-traded funds (ETF), which are Batavia IDX30 ETF (XBID) and Batavia SRI-KEHATI ETF (XBSK), on Wednesday (27/3). BPAM also engaged with PT Mandiri Sekuritas as a participating dealer for both ETF.
The BPAM Chief Director, Lilis Setiadi said, the launching of this ETF is a BPAM commitment for the investors who need products with competitive return potential, diverse risk, and transparent and easy transaction process. “XBID and XBSK have the same purpose to perform as a reference index,” She said.
IDX30 was chosen by BPAM as the reference index for XBID because its market capitalization gets to 59.1% from the market capitalization total in Indonesia Stock Exchange (BEI). The IDX30 performances in the last 5 years are 4.31% higher than IHSG.
Besides that, BPAM also wants to actualize the sustainable investment process that considers social and environmental responsibilities. Therefore, the investment Manager uses SRI-KEHATI as a reference index for XBSK.
From the performance side, SRI-KEHATI index performed well because it gave a 59.3% return in 2014-2018 periods. “We hope along with the improvement of the stock market, both of the indexes will have better performances in the future,” said Lilis.
As a piece of information, XBID has an initial net asset value of RP554 per investment unit. Meanwhile, XBSK has an initial net asset value of RP395 per investment unit.
Either XBID or XBSK has a minimum purchase of 1 creation unit or 100.000 investment units in the primary market. For the secondary market, ETF can be purchased with 1 lot minimum. With the launching of XBID and XBSK, there are 26 ETF that circulate in BEI.
The Executive Director of Yayasan KEHATI, Riki Frindos on the same event said that BPAM’s contribution to SRI-KEHATI index usage will be used to fund the local food conservation program in the eastern part of Indonesia, which is East Nusa (NTT), especially in Flores Island.