OJK Considers Regulation on the Marketing of Offshore Securities Products

The Financial Services Authority (Otoritas Jasa Keuangan – “OJK”) is considering allowing Financial Services Business Actors (Pelaku Usaha Jasa Keuangan/PUJK) in the capital market sector to conduct marketing, promotion, or advertising of securities products issued abroad (offshore products) in the domestic market. The Chief Executive of Capital Market, Financial Derivatives, and Carbon Exchange Supervision at OJK, Inarno Djajadi, explained that in principle, any offering of securities in Indonesia must comply with the applicable laws and regulations.

“In relation to domestic market access for offshore products or services, OJK is currently conducting a further review on the matter,” said Inarno to Hukumonline.

The forthcoming policy will take into account market orderliness and investor protection in Indonesia. In addition, to gain access to offshore markets, investors may also invest through Foreign Securities-Based Mutual Funds and/or investment management services for individual clients managed by Investment Managers.