Investment funds industry, at the end of 1999, was marked by closing of four investment funds i.e. Cendrawasih, Modal Plus, Multi Plus, and Nikko US$ Nusantara funds. Investment managers requested closing due to inefficiency. Nonetheless, at the end of first quarter, investment funds industry exhibited a progress marked by the launching of four investment funds: Rencana Cerdas, Investa Emas, Bangun Indonesia, and Bahana Dana Sejahtera.

The development of net asset value demonstrated an upward trend for investment funds industry since the beginning of 1999. Total funds or net asset value held by investment funds in 1999 was Rp 4.97 trillion, an increase of 66.22% from the year before was Rp2.99 trillion.

Of the total funds collected, 55.16% was in fixed income funds, 18.63% in equity funds, 14.65% in discretionary funds, and 11,56% in money market funds. Of the total portfolio managed by investment funds, the assets of money market funds had the highest increase, from Rp 37.7 billion in 1998 to Rp 575.2 billion in 1999.

Number of unit holders increased following a sharp decline during the crisis. At the end of 1999, number of unit holders was 24.127 or an increase of 55.84% from 15.482 unit holders at the end of 1998. Of the total number of unit holders, 98.15% or 23.681 unit holders were local investors.

In the course of expanding investment funds industry, Bapepam through market efficiency enhancement project conducted a research on investment funds taxation with the objective of reviewing tax incentives in investment funds industry.

© 1999 Bapepam, All Rights Reserved. Notice.