In the capital market, there are various kinds of capital market supporting institutions. So, the capital market does not only function as a transaction to buy and sell shares for the public (traders and investors), but the capital market also consists of capital market supporting institutions in it. Capital market supporting institutions are contained in the structure. You can read here: Indonesian Capital Market Structure and Explanation.
In the capital market, there are Capital Market Supporting Institutions and Capital Market Supporting Professionals. What are they? Let's see.
1. Capital market supporting institutions
a. Securities Administration Bureau (BAE)
BAE is in charge of carrying out the registration of securities ownership and distribution of rights related to securities. In other words, the Registrar is the party that maintains the registration of securities ownership according to the contract made between the issuer and the Registrar.
b. Custodian
Custodian is a party that provides custody services for securities and other assets related to securities and other services, including receiving dividends, interest and other rights, completing securities transactions, representing account holders who are their customers.
Custodian is a party in charge of storing securities and other assets related to securities transactions of its customers, as well as receiving interest and dividends which are the rights of its customers.
c. trustee
The trustee is a party who represents the interests of debt securities holders, both inside and outside the court. The business activities of the trustee can be carried out by commercial banks or other parties determined by government regulations.
d. Securities Rating
Securities rating agency is an institution that functions to bridge the information gap between issuers and investors by providing standardized information on the level of credit risk of a company. There are 2 rating securities in Indonesia, namely PT PEFINDO and PT Kasnic Credit Rating Indonesia.
e. Investment Advisor
An investment advisor is a party that provides advice to other parties regarding the sale and purchase of securities (shares), so that investments are made according to the characteristics of the customer.
2. Capital Market Supporting Profession
a. Public Accountant
Public accountants aim to examine the financial statements of issuers, Stock Exchanges, Clearing Guarantee Institutions, Depository and Settlement Institutions, and other parties conducting activities in the capital market sector.
b. Notary Public
The function of the Notary is to make minutes of the GMS, to make deed of amendment to the articles of association, to prepare agreements for the issuance of securities.
c. Evaluator
The appraiser is in charge of determining the fair value of the company's assets in an emission process.
d. Law consultant
Legal consultants are tasked with conducting a thorough examination from a legal perspective and providing legal opinions on issuers and public companies.
