Main role of IDX is to conduct regular, fair and efficient securities trading. This is done by providing regulations, facilities and infrastructure, ensuring information disclosure, conducting oversight, creating new instruments and products, and seeking liquidity. Unusual Market Activity (UMA) and Suspension become notification that provides information on transaction patterns and abnormal stock price increase. Number of other factors also become primary challenges for IDX, especially the literacy and financial inclusion of Indonesian people to capital market. Furthermore, Financial Services Authority (OJK) which oversees IDX is also mandated to have a role in increasing investor protection in the capital market for a healthy financial industry.

In essence, the best protection that can be anticipated by investors is to add competence through strong analysis within investment and trading. Haryajid Ramelan from Indonesian Securities Analyst Association explained about the importance of having knowledge in securities analysis. To become an intelligent investor, analysis can include the analysis of economic conditions, analysis of industry performance, and analysis of company performance that is targeted for investment. All analyzes are carried out using a fundamental approach which has to be objective and will lead to recommendations. “Running trade can sometimes be subjective and wrong, so a fundamental approach is necessary. Behind all the analysis, the most important thing to show is clear and good business prospects.” said this 27 years professional in capital market. He also emphasized on the philosophy of stock investment for a long period of time.

Learning from the richest stock retail investor in Indonesia, Lo Kheng Hong, or commonly referred as Warren Buffet Indonesia, believes that being a stock investor can make him rich, even though he only sleeps, he never worries as long as he has a public company that has good management and generate big profits. He was born on February 20, 1959 in the modest family that was arguably not quite economically sufficient. He used to live in a 4×10 meter house, without a ceiling and only had a roof and walls made of boards. He used to work for 11 years as a clerical employee at a bank that had never expanded. Then getting to know stocks in 1989, Lo Kheng Hong started investing all of his salary to buy stock in Indonesia capital market. Saved money and always set aside money to buy shares. After 29 years, the value of its shares continued to increase and now reach more than trillion. According to him, stocks are assets that provide the best return among other liquid assets such as gold, government bonds and bank deposits.

“The greatest treasure trove of wealth in the world is in the capital market. Not under the sea, because the value is real and transparent. It is unfortunate if there are people who do not know the capital market.” He believes that the signs of a great person in investing stocks is to buy shares based on fundamentals and company performance, not merely based on charts, graphs, and issues. Technical analysis emphasizes the volume, charts and price movements in selecting stocks. According to Warren Buffet, that does not mean anything, Buffett instead emphasizes on the value of a business.

A study by PriceWaterhouseCoopers conducted in 2016 showed that the performance of stocks listed on the IDX had the highest growth rate among the world’s major exchanges over the past 10 years. “Never buy a cat in a sack. Growing rich within growing company.” said Lo Kheng Hong. Consider the company’s management factors, whether or not implementing good corporate governance (GCG). Value investing is knowing great company performance by reading and understanding financial statements of public companies ranging from cash flow, balance sheets, income statements, and others.

Both Warren Buffet and Lo Kheng Hong’s investment thesis is so simple. But not everyone wants to get rich slow, because the preferences of Indonesian investors lack of financial literacy and tend to be speculative, ignore the importance of research on the performance of a company since they want to gain everything in quick and it makes them easily influenced by short issue and fluctuation. In a volatile stock market condition, “Don’t panic selling in the middle of IHSG down condition. Invest in bad times. Sell in good times. And you will get rich.” Lo Kheng Hong recommends. Doing things consistently for years is the key to calm retirement. This talkshow themed on being an intelligent investor, how to conquer yourself and market was conducted by MBA ITB aims purely for financial literacy about investment, invited everyone want to invest not based on speculation, because “the more you learn, the more you earn.”