Financial Derivatives with Underlying Assets in the Form of Securities

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PERATURAN OTORITAS JASA KEUANGAN
REPUBLIK INDONESIA
NOMOR 1 TAHUN 2025
TENTANG
DERIVATIF KEUANGAN DENGAN ASET YANG MENDASARI BERUPA EFEK

WITH THE GRACE OF GOD THE ALMIGHTY

THE COMMISSIONERS OF THE FINANCIAL SERVICES AUTHORITY,

Considering:
a. that in order to implement the authority and duties of regulation and supervision over financial services activities in the capital market sector, financial derivatives, and carbon exchange, the Financial Services Authority has the authority to regulate and supervise commodities that are included in financial instruments serving as the subject of forward contracts, Sharia derivatives contracts, and/or other derivative contracts related to underlying assets in the form of securities; b. that the transfer of regulatory and supervisory duties over commodities that are included in financial instruments serving as the subject of forward contracts, Sharia derivatives contracts, and/or other derivative contracts from the Commodity Futures Trading Regulatory Agency to the financial sector authority must be completed fully within a maximum period of 24 (twenty-four) months;
c. that in order to implement the authority as referred to in letters a and b, a legal basis is needed for the Financial Services Authority to regulate and supervise products, market participants, and market infrastructure organizers of financial derivative markets that have obtained approval for licenses from the relevant authority or from the Financial Services Authority;
d. that based on the considerations as referred to in letters a, b, and c, it is necessary to establish a Financial Services Authority Regulation concerning Financial Derivatives with Underlying Assets in the Form of Securities;

Recalling:

1. Law Number 8 of 1995 concerning the Capital Market (State Gazette of the Republic of Indonesia Year 1995 Number 64, Supplement to the State Gazette of the Republic of Indonesia Number 3608) as amended by Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);
2. Law Number 21 of 2011 concerning the Financial Services Authority (State Gazette of the Republic of Indonesia Year 2011 Number 111, Supplement to the State Gazette of the Republic of Indonesia Number 5253) as amended by Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);
3. Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Sector (State Gazette of the Republic of Indonesia Year 2023 Number 4, Supplement to the State Gazette of the Republic of Indonesia Number 6845);

DECIDING:
To establish:
FINANCIAL SERVICES AUTHORITY REGULATION CONCERNING FINANCIAL DERIVATIVES WITH UNDERLYING ASSETS IN THE FORM OF SECURITIES.

CHAPTER I
GENERAL PROVISIONS

Article 1
In this Financial Services Authority Regulation, the following terms are defined as:

1. Securities are securities or investment contracts, whether in conventional and digital form or other forms in accordance with technological developments, that grant the owner the right to directly or indirectly obtain economic benefits from the issuer or from a specific party based on an agreement and any derivatives over Securities, which can be transferred and/or traded on the capital market.
2. Derivatives are instruments whose value is derived from their underlying asset.
3. Financial Derivatives are instruments whose value is derived from their underlying financial asset.
4. Stock Exchange is a market organizer in the capital market for exchange transactions.
5. Clearing and Guarantee Institution is a party that provides clearing and/or guarantee services for the settlement of Securities transactions conducted through market organizers in the capital market and other services that can be applied to support inter-market activities.
6. Depository and Clearing Institution is a party that:
   a. provides central custodian services for custodian banks, securities companies, and other parties; and b. provides other services that can be applied to support inter-market activities.
7. Alternative Market Organizer, hereinafter abbreviated as PPA, is a party that organizes, provides, or uses an electronic system to continuously match Securities transactions for debt securities and/or sukuk among service users outside the Stock Exchange.
8. Alternative Trading System, hereinafter abbreviated as SPA, is an SPA as regulated in the Law concerning Commodity Futures Trading.
9. Underlying is the financial asset used as the basis for Financial Derivative contracts.
10. Clearing Member is a member of the organizer of clearing, guarantee, and settlement facilities for Financial Derivative transactions or another party that meets the requirements to obtain clearing and guarantee settlement services for Financial Derivative transactions based on regulations of the organizer of clearing, guarantee, and settlement facilities for Financial Derivative transactions.
11. Collateral is funds, Securities, and/or other financial instruments owned by the Clearing Member as a guarantee that can be used by the organizer of clearing, guarantee, and settlement facilities for Financial Derivative transactions to settle Financial Derivative transactions and/or to settle the Clearing Member's obligations to the organizer of clearing, guarantee, and settlement facilities for Financial Derivative transactions.
12. Open Position is a Financial Derivative contract position, whether buy or sell, that has not been settled.
13. Contract Liquidation is the closing of the Clearing Member's open position by the organizer of clearing, guarantee, and settlement facilities for Financial Derivative transactions.
14. Offset Transaction is a transaction conducted by the Clearing Member to settle Financial Derivative contracts with opposite positions, whether buy or sell, for the same Financial Derivative contract.
15. Securities Company is a party that conducts activities as a securities underwriter and/or securities broker or investment manager.
16. Securities Broker is a party that conducts business activities buying and selling Securities for its own behalf or for other parties.
17. Financial Derivative Securities Broker is a Securities Broker that conducts business activities buying and selling Financial Derivatives for its own behalf and/or for other parties.
18. Party is an individual, legal entity, company, joint venture, association, or organized group.

Article 2
(1) The Financial Services Authority has the authority to implement regulatory and supervisory duties over financial services activities in the capital market sector, financial derivatives, and carbon exchange. (2) The implementation of duties as referred to in paragraph (1) includes regulation and supervision for commodities that are included in financial instruments serving as the subject of forward contracts, Sharia derivatives contracts, and/or other derivative contracts related to Financial Derivatives with underlying assets in the form of Securities.

Article 3
The scope of regulation and supervision of Financial Derivatives includes:
a. Financial Derivative products; and b. Financial Derivative participants; and
c. the organization of Financial Derivative market infrastructure,
with underlying assets in the form of Securities.

CHAPTER II
FINANCIAL DERIVATIVE PRODUCTS

First Section
Types of Financial Derivative Products

Article 4
(1) Financial Derivative products as referred to in Article 3 letter a include:
a. forward contracts, Sharia derivatives contracts, and/or other derivative contracts with Underlying in the form of:

1. stock indices on the Stock Exchange;
2. Securities or a group of Securities traded on the Stock Exchange or PPA;
3. government bonds or a group of government bonds;
4. foreign stock indices; and/or
5. single foreign stocks.
   b. options contracts over Securities; and
   c. other Financial Derivative contracts established by the Financial Services Authority.
   (2) The Financial Services Authority has the authority to establish Financial Derivative products with Underlying in the form of Securities other than the Financial Derivative products as referred to in paragraph (1).

Second Section
Procedure for Approval of Financial Derivative Products

Paragraph 1
Approval of Financial Derivative Products

Article 5
Every Financial Derivative product as referred to in Article 4 paragraph (1) that is traded must obtain approval from the Financial Services Authority.

Paragraph 2
Requirements for Financial Derivative Products

Article 6
(1) Every Financial Derivative product traded as referred to in Article 5 must be equipped with:
a. a study on the Financial Derivative product and the Underlying of the Financial Derivative contract; b. the availability of trading, supervision, clearing, and storage infrastructure, and/or guarantee settlement for the Financial Derivative product;
c. support from members of the organizer of Financial Derivative transaction or trading facilities;
d. support from a Securities price valuation institution, in the event that the Underlying of a Financial Derivative product is debt securities and/or sukuk; e. the availability of regulations at the Financial Derivative market infrastructure organizer; and f. approval of the Underlying from the index provider or the exchange where the stocks are traded as the owner of the Underlying. (2) In the event that the Underlying of a Financial Derivative product is debt securities and/or sukuk, the organizer of Financial Derivative transaction or trading facilities must use the fair market price of Securities and/or the Securities index issued by the Securities price valuation institution. (3) In the event that the Underlying of a Financial Derivative product is a stock index or single foreign stock, the fulfillment of requirements as referred to in paragraph (1) letter f must be supplemented with:
a. an agreement with the index provider or the exchange where the stocks are traded; or b. requirements referring to the regulations of the index provider or the exchange where the stocks are traded.

Paragraph 3
Procedure for Application for Approval of Financial Derivative Products by the Organizer of Financial Derivative Transaction or Trading Facilities

Article 7
(1) The application for approval of Financial Derivative products as referred to in Article 5 must be submitted to the Financial Services Authority jointly by:
a. the Stock Exchange or PPA with the Clearing and Guarantee Institution; or b. the organizer of Financial Derivative transaction or trading facilities and the organizer of clearing and/or guarantee facilities for other Financial Derivative contracts in accordance with the provisions of legislation concerning commodity futures trading. (2) The application for approval as referred to in paragraph (1) must be submitted jointly with the Depository and Clearing Institution, in the event that the settlement of Financial Derivative contract transactions is conducted through the delivery of the Underlying.

Article 8
The application for approval of Financial Derivative products as referred to in Article 7 must be accompanied by documents at least:

1. a study, at least containing:
   a. the background and purpose of the Financial Derivative contract; b. the basis for selecting the Underlying;
   c. specifications of the Financial Derivative contract at least containing:

1. the type and period of the Financial Derivative contract;
2. the required collateral;
3. the determination of the calculation of the Financial Derivative contract value and the multiplier; and
4. the determination of the calculation of the settlement price;
   d. the trading, clearing, guarantee, settlement, supervision, and risk management systems for the Financial Derivative contract; and e. the application of similar products in other countries;

2. evidence stating the readiness of trading, supervision, clearing, guarantee, and settlement infrastructure for the Financial Derivative contract;
3. evidence of support from members of the organizer of Financial Derivative transaction or trading facilities;
4. evidence of support from a Securities price valuation institution, in the event that the Underlying of a Financial Derivative contract is debt securities or sukuk;
5. regulations regarding the Financial Derivative contract; and
6. evidence of an agreement with the index provider or the exchange where the stocks are traded or approval of the Underlying from the index provider or the exchange where the stocks are traded as the owner of the Underlying.

Article 9
(1) In processing the application for approval of Financial Derivative products as referred to in Article 7, the Financial Services Authority conducts a review of the completeness of the application documents. (2) The Financial Services Authority provides approval or rejection of the application for approval of Financial Derivative contracts as referred to in Article 7 within a maximum of 30 (thirty) working days since the application is received in complete form by the Financial Services Authority. (3) Within the period as referred to in paragraph (2), the Financial Services Authority may request:
a. changes to the material; b. additional information; and/or
c. additional documents,
related to the Financial Derivative contract as referred to in Article 8.
(4) If changes and/or additional information as referred to in paragraph (3) have been submitted to the Financial Services Authority, the review period for the application for approval of Financial Derivative products as referred to in paragraph (2) is calculated from the date the Financial Services Authority receives the changes or additional information.

Paragraph 4
Procedure for Application for Principle Approval of Financial Derivative Products to the Financial Services Authority

Article 10
(1) Financial Derivative products that have obtained approval from the commodity futures trading authority based on the provisions of legislation in the commodity futures trading sector must apply for principle approval to the Financial Services Authority. (2) The application for principle approval as referred to in paragraph (1) is submitted to the Financial Services Authority by:

1. the organizer of Financial Derivative transaction or trading facilities; or
2. traders and/or futures brokers who have obtained a business license from the authority that regulates and supervises commodity futures trading,
   using the Application Form for Principle Approval of Financial Derivative Participants and Products contained in the Appendix to Format 1 which is an integral part of this Financial Services Authority Regulation. (3) The application for principle approval as referred to in paragraph (2) must be accompanied by documents at least:
   a. the results of the study on the Financial Derivative contract; b. specifications of the Financial Derivative contract; and
   c. a photocopy of the approval from the commodity futures trading authority.

Third Section
Administrative Sanctions

Article 11
(1) Any Party that violates the provisions as referred to in Article 5 is subject to administrative sanctions.
(2) Sanctions as referred to in paragraph (1) are also imposed on Parties that cause the occurrence of violations as referred to in paragraph (1).
(3) Sanctions as referred to in paragraph (1) and paragraph (2) are imposed by the Financial Services Authority.
(4) Sanctions as referred to in paragraph (1) include:
a. written warning; b. fines, namely the obligation to pay a certain amount of money;
c. restriction of business activities;
d. suspension of business activities; e. revocation of business license; and/or f. cancellation of approval.
(5) Administrative sanctions as referred to in paragraph (4) letters b, c, d, e, and f may be imposed with or without prior imposition of administrative sanctions in the form of a written warning as referred to in paragraph (4) letter a. (6) Administrative sanctions in the form of fines as referred to in paragraph (4) letter b may be imposed separately or jointly with the imposition of administrative sanctions as referred to in paragraph (4) letter c. (7) The procedure for imposing sanctions as referred to in paragraph (3) is implemented in accordance with the provisions of legislation in the capital market sector.

CHAPTER III
FINANCIAL DERIVATIVE PARTICIPANTS

First Section
Types of Financial Derivative Participants

Article 12
Financial Derivative participants as referred to in Article 3 letter b include:
a. Financial Derivative Securities Brokers, which are:

1. Securities Companies that conduct business activities as Securities Brokers that have met the provisions of legislation in the capital market sector, including representatives of securities brokers that have obtained approval from the Financial Services Authority; and/or
2. futures traders and/or futures brokers, including representatives of futures brokers, that have obtained:
   a. a business license from the commodity futures trading authority; and b. principle approval as a Financial Derivative Securities Broker from the Financial Services Authority; b. investment advisors, which are:
3. investment advisors that have obtained approval from the Financial Services Authority; and/or
4. futures advisors that have obtained approval from the commodity futures trading authority and have obtained principle approval as an investment advisor from the Financial Services Authority;
   c. other Parties that have obtained a business license or approval from the Financial Services Authority; and
   d. Investors.

Second Section
Procedure for Application for Principle Approval as a Financial Derivative Securities Broker

Article 13
(1) Futures traders and/or futures brokers, including representatives of futures brokers, that have obtained a business license from the commodity futures trading authority as referred to in Article 12 letter a number 2 can only conduct activities as Financial Derivative Securities Brokers if they meet the following provisions:
a. submit an application for principle approval as an investment advisor first to the Financial Services Authority using the Application Form for Principle Approval of Financial Derivative Participants and Products contained in the Appendix to Format 1 which is an integral part of this Financial Services Authority Regulation; and b. submit supporting documents consisting of:

1. a photocopy of the business license decision from the authority that regulates and supervises commodity futures trading;
2. documents showing the identity of the company, at least containing:
   a) name; b) headquarters address; and c) operational office address; and d) company logo (if available);
3. a photocopy of the company's deed of establishment that has been notarized by the competent authority, along with the latest amendment to the articles of association containing information regarding the composition of the board of directors, board of commissioners, shareholders, and capital structure that has obtained approval from the minister in charge of legal affairs or has issued a letter of acceptance of notification of articles of association amendment from the authority in charge of legal affairs;
4. the composition of shareholders along with information on the ownership percentage of each shareholder;
5. capital structure including:
   a) authorized capital; b) issued capital; and c) paid-up capital;
6. a curriculum vitae list of board of directors and board of commissioners members at least containing information:
   a) personal identity; b) job title; c) work history accompanied by information on the year of employment, reason for leaving or resignation (if any); and d) a brief description of job duties and responsibilities;
7. a photocopy of personal identity in the form of an identity card or passport of board of directors and board of commissioners members;
8. a photocopy of the company's tax identification number;
9. a photocopy of personal identity in the form of an identity card or passport of the individual license holder;
10. a photocopy of the individual representative license decision from the authority that regulates and supervises commodity futures trading; and
11. a signed curriculum vitae list of the individual license holder.
    (2) Parties conducting activities as Financial Derivative Securities Brokers as referred to in paragraph (1) can only conduct activities for Financial Derivative products in accordance with the license granted by the authority that regulates and supervises commodity futures trading.

Third Section
Procedure for Application for Principle Approval as an Investment Advisor

Article 14
(1) Futures advisors that have obtained a business license from the commodity futures trading authority as referred to in Article 12 letter b number 2 can only conduct activities as investment advisors if they meet the following provisions:
a. submit an application for principle approval as an investment advisor first to the Financial Services Authority using the Application Form for Principle Approval of Financial Derivative Participants and Products contained in the Appendix to Format 1 which is an integral part of this Financial Services Authority Regulation; b. submit supporting documents consisting of:

1. a photocopy of the business license decision from the authority that regulates and supervises commodity futures trading;
2. documents showing the identity of the company, at least containing:
   a) name; b) headquarters address; and c) operational office address; and d) company logo (if available);
3. a photocopy of the company's deed of establishment that has been notarized by the competent authority, along with the latest amendment to the articles of association containing information regarding the composition of the board of directors, board of commissioners, shareholders, and capital structure that has obtained approval from the minister in charge of legal affairs or has issued a letter of acceptance of notification of articles of association amendment from the authority in charge of legal affairs;
4. the composition of shareholders along with information on the ownership percentage of each shareholder;
5. capital structure including:
   a) authorized capital; b) issued capital; and c) paid-up capital;
6. a curriculum vitae list of board of directors and board of commissioners members at least containing information:
   a) personal identity; b) job title; c) work history accompanied by information on the year of employment, reason for leaving or resignation (if any); and d) a brief description of job duties and responsibilities;
7. a photocopy of personal identity in the form of an identity card or passport of board of directors and board of commissioners members; and
8. a photocopy of the company's tax identification number.

(2) Parties conducting activities as investment advisors as referred to in paragraph (1) may only conduct activities for Financial Derivative products in accordance with the permit granted by the commodity futures trading regulatory and supervisory authority.

Fourth Part
Obligations and Prohibitions for Derivative Financial Securities Broker-Dealers

Article 15
(1) In providing Financial Derivative services, Derivative Financial Securities Broker-Dealers are required to:
a. possess and implement marketing and trading functions, risk management, information technology infrastructure, and operations; b. have an organizational structure that shows the line of accountability from each function to the person in charge or board members overseeing the activities of the Derivative Financial Securities Broker-Dealer, along with a description of their duties;
c. apply the know-your-customer principle to prospective customers in accordance with prevailing laws and regulations in the capital market sector;
d. conduct education and socialization regarding every Financial Derivative contract product; e. obtain a written statement from customers stating that the customer has understood every risk associated with the Financial Derivative contract; f. open derivative accounts and create a single unique capital market investor identity number for each customer, in the event the customer does not yet have a single unique capital market investor identity number; g. transmit every customer order through the trading system provided by the Derivative Financial Market Infrastructure Organizer; h. provide a special account for trading Financial Derivative contracts;
i. have standard operating procedures and a code of ethics;
j. notify their customers if there is a Financial Derivative contract entrusted to a Derivative Financial Securities Broker-Dealer that is permitted to trade Financial Derivative contracts that has experienced losses of at least 50% (fifty percent) of the amount of the customer's entrusted assets; k. conduct Netting Transactions if there is a Financial Derivative contract entrusted to a Derivative Financial Securities Broker-Dealer that is permitted to trade Financial Derivative contracts that has experienced losses of at least 75% (seventy-five percent) of the amount of the customer's entrusted assets.

(2) In providing services related to Financial Derivatives, Derivative Financial Securities Broker-Dealers are prohibited from:
a. providing financing for the settlement of Financial Derivative contract transactions for customers; b. providing incorrect explanations and exaggerated statements regarding Financial Derivative products; and
c. providing guarantees for profits or losses from Financial Derivative transactions.

(3) In addition to meeting the provisions as referred to in paragraph (1) and paragraph (2), futures traders and/or futures brokers who have obtained business permits from the commodity futures trading regulatory authority and have obtained principle approval as Derivative Financial Securities Broker-Dealers from the Financial Services Authority, are required to comply with laws and regulations in the field of commodity futures trading to the extent that they do not conflict with Financial Services Authority Regulations.

Article 16
(1) Every Derivative Financial Securities Broker-Dealer that violates the provisions as referred to in Article 15 is subject to administrative sanctions.
(2) Sanctions as referred to in paragraph (1) are also imposed on Parties who cause the occurrence of violations as referred to in paragraph (1).
(3) Sanctions as referred to in paragraph (1) and paragraph (2) are imposed by the Financial Services Authority.
(4) Sanctions as referred to in paragraph (1) consist of:
a. written warnings; b. fines, namely the obligation to pay a certain amount of money;
c. restriction of business activities;
d. suspension of business activities; e. revocation of business permits; and/or f. cancellation of approval.

(5) Administrative sanctions as referred to in paragraph (4) letters b, c, d, e, or f, may be imposed with or without being preceded by the imposition of administrative sanctions in the form of written warnings as referred to in paragraph (4) letter a. (6) Administrative sanctions in the form of fines as referred to in paragraph (4) letter b may be imposed separately or together with the imposition of administrative sanctions as referred to in paragraph (4) letter c. (7) The procedure for imposing sanctions as referred to in paragraph (3) is carried out in accordance with the provisions of laws and regulations in the capital market field.

CHAPTER IV
ORGANIZATION OF DERIVATIVE FINANCIAL MARKET INFRASTRUCTURE

First Part
Types of Derivative Financial Market Infrastructure Organizers

Article 17
Derivative Financial Market Infrastructure Organizers as referred to in Article 3 letter c include:
a. Organizers of Derivative Financial transaction or trading facilities; b. Organizers of Derivative Financial transaction clearing, guaranteeing, and settlement facilities;
c. Organizers of Derivative Financial storage and administration facilities; and
d. Providers of Derivative Financial transaction reporting facilities.

Second Part
Organizers of Derivative Financial Transaction or Trading Facilities

Article 18
Parties conducting transaction or trading activities for Financial Derivative products as referred to in Article 17 letter a must be:
a. Stock Exchanges or PPA (Perusahaan Pelaksana Aktivitas Pasar) that have obtained business permits from the Financial Services Authority; b. Other transaction or trading facility organizers that have been approved by the Financial Services Authority; or
c. Other Derivative Financial transaction facility organizers that have obtained business permits from the commodity futures trading regulatory authority and have obtained principle approval as organizers of Derivative Financial transaction or trading facilities at the Financial Services Authority.

Article 19
Other Derivative Financial transaction facility organizers that have obtained business permits from the commodity futures trading regulatory authority as referred to in Article 18 letter c may only conduct trading activities for Financial Derivative products if they have met the following requirements:
a. submit an application for principle approval as an organizer of transaction or trading facilities first to the Financial Services Authority using the Application for Principle Approval for Derivative Financial Market Infrastructure Organizers form contained in the Appendix to Format 2, which is an integral part of this Financial Services Authority Regulation; and b. submit supporting documents consisting of:

1. a copy of the business permit decision from the authority regulating and supervising commodity futures trading;
2. documents showing the identity of the corporation, at least containing:
   a) name; b) headquarters address; and c) operational office address; and d) company logo (if any);
3. a copy of the corporation's deed of establishment approved by the competent authority, along with the latest amendments to the articles of association containing information regarding the composition of the board of directors, board of commissioners, shareholders, and capital structure that has obtained approval from the minister in charge of legal affairs or has issued a receipt of notification of articles of association changes from the authority in charge of legal affairs;
4. the composition of shareholders along with information on the ownership percentage of each shareholder;
5. capital structure including:
   a) authorized capital; b) issued capital; and c) paid-up capital;
6. a curriculum vitae list of board of directors and board of commissioners members, at least containing information:
   a) personal identity; b) job title; c) work history accompanied by information on years of service, reasons for leaving or resigning (if any); and d) a brief description of job duties and responsibilities;
7. copies of personal identity documents in the form of ID cards or passports of board of directors and board of commissioners members; and
8. a copy of the corporation's tax identification number.

Third Part
Organizers of Derivative Financial Transaction Clearing, Guaranteeing, and Settlement Facilities

Article 20
Parties organizing clearing, guaranteeing, and settlement infrastructure for Derivative Financial transactions as referred to in Article 17 letter b must be:
a. Clearing and Guaranteeing Institutions that have obtained business permits from the Financial Services Authority; or b. Organizers of clearing, guaranteeing, and settlement infrastructure for Derivative Financial transactions that have obtained business permits from the commodity futures trading regulatory authority.

Article 21
Organizers of Derivative Financial transaction clearing, guaranteeing, and settlement facilities that have obtained business permits from the commodity futures trading regulatory authority as referred to in Article 20 letter b may only conduct clearing, guaranteeing, and settlement transaction activities for Financial Derivatives if they have met the following requirements:
a. submit an application for principle approval as an organizer of clearing, guaranteeing, and settlement infrastructure for Derivative Financial transactions first to the Financial Services Authority using the Application for Principle Approval for Derivative Financial Market Infrastructure Organizers form contained in the Appendix to Format 2, which is an integral part of this Financial Services Authority Regulation; and b. submit supporting documents consisting of:

1. a copy of the business permit decision from the authority regulating and supervising commodity futures trading;
2. documents showing the identity of the corporation, at least containing:
   a) name; b) headquarters address; and c) operational office address; and d) company logo (if any);
3. a copy of the corporation's deed of establishment approved by the competent authority, along with the latest amendments to the articles of association containing information regarding the composition of the board of directors, board of commissioners, shareholders, and capital structure that has obtained approval from the minister in charge of legal affairs or has issued a receipt of notification of articles of association changes from the authority in charge of legal affairs;
4. the composition of shareholders along with information on the ownership percentage of each shareholder;
5. capital structure including:
   a) authorized capital; b) issued capital; and c) paid-up capital;
6. a curriculum vitae list of board of directors and board of commissioners members, at least containing information:
   a) personal identity; b) job title; c) work history accompanied by information on years of service, reasons for leaving or resigning (if any); and d) a brief description of job duties and responsibilities;
7. copies of personal identity documents in the form of ID cards or passports of board of directors and board of commissioners members; and
8. a copy of the corporation's tax identification number.

Article 22
(1) The implementation of clearing, guaranteeing, and settlement of Derivative Financial transactions at Stock Exchanges is carried out in accordance with Financial Services Authority Regulations regarding the guaranteeing of stock exchange transaction settlements. (2) The implementation of clearing, guaranteeing, and settlement of Derivative Financial transactions organized by PPAs is carried out in accordance with Financial Services Authority Regulations regarding the guaranteeing of Securities transaction settlements. (3) The implementation of clearing, guaranteeing, and settlement of Derivative Financial transactions conducted by organizers of clearing, guaranteeing, and settlement facilities for Derivative Financial transactions as referred to in Article 20 letter b is carried out in accordance with Financial Services Authority Regulations regarding the guaranteeing of Securities transaction settlements to the extent that they do not conflict with Financial Services Authority Regulations.

Article 23
In the event that the settlement of Derivative Financial transactions is carried out with the delivery of Underlying assets:
a. transaction settlement must be carried out by a Depository and Settlement Institution that has obtained a permit from the Financial Services Authority; b. the procedure for transaction settlement is subject to the regulations of the Clearing and Guaranteeing Institution, regulations of the clearing infrastructure organizer, and regulations of the Depository and Settlement Institution applicable to the settlement of transactions for Financial Derivative Underlying assets; and
c. the total amount of financial assets in the Financial Derivative contracts traded must not exceed the amount of the Underlying assets.

Article 24
(1) In the event that the settlement of Derivative Financial transactions is carried out with the delivery of Underlying assets, Derivative Financial Market Infrastructure Organizers as referred to in Article 17 letters a, b, and c are required to establish specific parameters. (2) Derivative Financial Market Infrastructure Organizers are required to conduct a feasibility review of every Underlying asset according to the parameters established as referred to in paragraph (1) at least once every 12 (twelve) months. (3) The feasibility review of every Underlying asset as referred to in paragraph (2) must be reported to the Financial Services Authority no later than 1 (one) month thereafter.

Third Part
Organizers of Derivative Financial Storage and Administration Facilities

Article 25
Parties organizing Derivative Financial storage and administration facilities as referred to in Article 17 letter c must be:
a. Depository and Settlement Institutions that have obtained business permits from the Financial Services Authority; or b. Fund storage organizers that have obtained business permits from the commodity futures trading regulatory authority.

Article 26
Fund storage organizers that have obtained business permits from the commodity futures trading regulatory authority as referred to in Article 25 letter b may only conduct fund storage activities related to Financial Derivatives if they have met the following requirements:
a. submit an application for principle approval as a fund storage organizer first to the Financial Services Authority using the Application for Principle Approval for Derivative Financial Market Infrastructure Organizers form contained in the Appendix to Format 2, which is an integral part of this Financial Services Authority Regulation; and b. submit supporting documents consisting of:

1. a copy of the business permit decision from the authority regulating and supervising commodity futures trading;
2. documents showing the identity of the corporation, at least containing:
   a) name; b) headquarters address; and c) operational office address; and d) company logo (if any);
3. a copy of the corporation's deed of establishment approved by the competent authority, along with the latest amendments to the articles of association containing information regarding the composition of the board of directors, board of commissioners, shareholders, and capital structure that has obtained approval from the minister in charge of legal affairs or has issued a receipt of notification of articles of association changes from the authority in charge of legal affairs;
4. the composition of shareholders along with information on the ownership percentage of each shareholder;
5. capital structure including:
   a) authorized capital; b) issued capital; and c) paid-up capital;
6. a curriculum vitae list of board of directors and board of commissioners members, at least containing information:
   a) personal identity; b) job title; c) work history accompanied by information on years of service, reasons for leaving or resigning (if any); and d) a brief description of job duties and responsibilities;
7. copies of personal identity documents in the form of ID cards or passports of board of directors and board of commissioners members; and
8. a copy of the corporation's tax identification number.

Fourth Part
Providers of Derivative Financial Transaction Reporting Facilities

Article 27
Providers of Derivative Financial transaction reporting facilities as referred to in Article 17 letter d must be Parties that provide systems and/or facilities and receive transaction reports designated by the Financial Services Authority to provide systems and/or facilities and receive transaction reports.

Article 28
(1) Submission of applications for principle approval as referred to in Article 10, Article 13, Article 14, Article 19, Article 21, and Article 26 to the Financial Services Authority must be done electronically through the Financial Services Authority's licensing system. (2) In the event that the electronic system for applications for principle approval as referred to in paragraph (1) is not yet available, applications for principle approval are submitted directly to the Financial Services Authority or via electronic mail to the Financial Services Authority.

Fifth Part
Regulation by Derivative Financial Market Infrastructure Organizers

Article 29
Organizers of Derivative Financial transaction or trading facilities as referred to in Article 17 letter a are required to regulate at least regarding:
a. requirements for Derivative Financial Securities Broker-Dealers that can trade Financial Derivative contracts; b. mechanisms for trading Financial Derivative contracts;
c. general provisions on clearing, guaranteeing, and settlement of Financial Derivative contracts;
d. supervision of trading of Financial Derivative contracts is conducted by following information regarding Underlying assets; e. actions taken regarding trading of Financial Derivative contracts if trading of Underlying assets is halted; f. actions taken against Open Positions if an event occurs that causes the Derivative Financial Market Infrastructure Organizer to be unable to perform its functions properly; g. sanctions imposed on Derivative Financial Securities Broker-Dealers that can trade Financial Derivative contracts; and h. requirements as Liquidity Providers for Derivative Financial Securities Broker-Dealers that can trade Financial Derivative contracts.

Article 30
Organizers of Derivative Financial transaction clearing, guaranteeing, and settlement facilities as referred to in Article 17 letter b are required to regulate at least regarding:
a. mechanisms for clearing, guaranteeing, and settlement of Financial Derivative contract transactions; b. Collateral and guarantee funds required;
c. provisions that every Collateral submitted by Clearing Members must be controlled by the Party organizing clearing, guaranteeing, and settlement infrastructure for Derivative Financial transactions;
d. risk calculation mechanisms and the use of Clearing Member Collateral to conduct Financial Derivative contract transactions; e. the obligation of the Party organizing clearing, guaranteeing, and settlement infrastructure for Derivative Financial transactions to notify Clearing Members and Parties conducting trading activities for Financial Derivative products if there are Financial Derivative contracts in Clearing Members whose losses have reached:

1. 50% (fifty percent) of the total amount of Collateral of Clearing Members controlled by the organizer of clearing, guaranteeing, and settlement facilities for Derivative Financial transactions; or
2. a certain percentage based on guarantee risk analysis;
   f. the obligation of the Party organizing clearing, guaranteeing, and settlement infrastructure for Derivative Financial transactions to liquidate Clearing Member contracts if Clearing Members experience losses that have reached:
3. 75% (seventy-five percent) of the total amount of Collateral of Clearing Members controlled by the organizer of clearing, guaranteeing, and settlement facilities for Derivative Financial transactions; or
4. a certain percentage based on guarantee risk analysis; and
   g. the obligation of Clearing Members that can trade Financial Derivative contracts who are unable or deemed unable to perform their functions within a certain period to conduct Netting Transactions or transfer all Open Positions to other Clearing Members that can trade Financial Derivative contracts on the same trading day.

Article 31
For other Derivative Financial transaction facility organizers as referred to in Article 18 letter c and organizers of clearing, guaranteeing, and settlement infrastructure for Derivative Financial transactions as referred to in Article 20 letter b that have obtained business permits from the authority regulating and supervising commodity futures trading and have obtained principle approval from the Financial Services Authority, the obligation to regulate trading mechanisms and clearing, guaranteeing, and settlement mechanisms as referred to in Article 29 and Article 30 is carried out in accordance with laws and regulations in the field of commodity futures trading to the extent that they do not conflict with Financial Services Authority Regulations.

Sixth Part
Administrative Sanctions

Article 32
(1) Every Derivative Financial Market Infrastructure Organizer that violates the provisions as referred to in Article 18, Article 20, Article 23, Article 24, Article 25, Article 27, Article 29, and Article 30, is subject to administrative sanctions. (2) Sanctions as referred to in paragraph (1) are also imposed on Parties who cause the occurrence of violations as referred to in paragraph (1). (3) Sanctions as referred to in paragraph (1) and paragraph (2) are imposed by the Financial Services Authority. (4) Sanctions as referred to in paragraph (1) consist of:
a. written warnings; b. fines, namely the obligation to pay a certain amount of money;
c. restriction of business activities;
d. suspension of business activities; e. revocation of business permits; and/or f. cancellation of approval.

(5) Administrative sanctions as referred to in paragraph (4) letters b, c, d, e, or f, may be imposed with or without being preceded by the imposition of administrative sanctions in the form of written warnings as referred to in paragraph (4) letter a. (6) Administrative sanctions in the form of fines as referred to in paragraph (4) letter b may be imposed separately or together with the imposition of administrative sanctions as referred to in paragraph (4) letter c. (7) The procedure for imposing sanctions as referred to in paragraph (3) is carried out in accordance with the provisions of laws and regulations in the capital market field.

CHAPTER V
ANNOUNCEMENTS

Article 33
(1) Organizers of Derivative Financial transaction or trading facilities as referred to in Article 17 letter a are required to issue written information on the types of Financial Derivative contracts and announce them at least in Indonesian-language electronic media and the website of the organizer of trading activities for Financial Derivative products no later than 10 (ten) working days before the trading of Financial Derivative Securities contracts begins. (2) The written information as referred to in paragraph (1) must contain at least:
a. specifications of the Financial Derivative contracts traded; b. a general description of the Underlying assets;
c. risks and benefits of Financial Derivative contracts;
d. transaction mechanisms for investors; and e. Derivative Financial Securities Broker-Dealers that can trade Financial Derivative contracts.

(3) Organizers of Derivative Financial transaction or trading facilities as referred to in paragraph (1) that will conduct trading of Financial Derivative contracts are required to issue Derivative Financial transaction data, which is market data, containing at least:
a. contract name; b. volume, transaction value, and tenor; and
c. Parties conducting the transactions.

Article 34
(1) Every organizer of trading or transaction facilities for Financial Derivatives who violates the provisions as referred to in Article 33 shall be subject to administrative sanctions. (2) Sanctions as referred to in paragraph (1) shall also be imposed on Parties who cause the violation as referred to in paragraph (1). (3) Sanctions as referred to in paragraph (1) and paragraph (2) shall be imposed by the Financial Services Authority. (4) Sanctions as referred to in paragraph (1) consist of:
a. written warning; b. fine, namely the obligation to pay a certain amount of money;
c. restriction of business activities;
d. suspension of business activities; e. revocation of business license; and/or f. cancellation of approval.
(5) Administrative sanctions as referred to in paragraph (4) letters b, c, d, e, or f, may be imposed with or without being preceded by the imposition of administrative sanctions in the form of a written warning as referred to in paragraph (4) letter a. (6) Administrative sanctions in the form of a fine as referred to in paragraph (4) letter b may be imposed separately or together with the imposition of administrative sanctions as referred to in paragraph (4) letter c. (7) The procedure for imposing sanctions as referred to in paragraph (3) shall be carried out in accordance with the provisions of legislation in the field of capital markets.

CHAPTER VI
SUPERVISION
First Section
Supervision of Actors and Infrastructure Organizers
Article 35
The Financial Services Authority has the authority to conduct supervision over actors and infrastructure organizers of Financial Derivatives in accordance with the provisions of legislation in the field of capital markets.

Second Section
Law Enforcement
Article 36
Provisions related to criminal acts as regulated in Law Number 8 of 1995 concerning Capital Markets as amended by Law Number 4 of 2023 concerning Development and Strengthening of the Financial Sector apply to criminal acts related to Financial Derivatives with underlying assets in the form of Securities. https://jdih.ojk.go.id/

CHAPTER VII
REPORTING
Article 37
(1) Parties who have obtained approval, consent, and/or registration for Financial Derivatives products as regulated in this Financial Services Authority Regulation are required to submit periodic reports and incidental reports to the Financial Services Authority. (2) The obligation to submit reports as referred to in paragraph (1) is subject to the following provisions:
a. for Parties who have obtained approval, consent, and/or registration for Financial Derivatives products from the Commodity Futures Trading Regulatory Authority that has obtained a principle approval from the Financial Services Authority, it shall be carried out in accordance with the provisions of legislation concerning commodity futures trading; or b. for Parties who have obtained approval, consent, and/or registration for Financial Derivatives products from the Financial Services Authority, it shall be carried out in accordance with the provisions of Financial Services Authority Regulations regulating such Parties.

Article 38
(1) Submission of reports to the Financial Services Authority as referred to in Article 37 paragraph (2) must be carried out electronically through the Financial Services Authority's reporting system. (2) In the event that the electronic system for reporting as referred to in paragraph (1) is not yet available, reports must be submitted directly to the Financial Services Authority or via email to the Financial Services Authority. (3) In the event that the electronic system as referred to in paragraph (1) is available but certain conditions occur that cause the electronic system to function improperly, reports must be submitted directly or via email to the Financial Services Authority's correspondence division.

Article 39
(1) Every Party who violates the provisions as referred to in Article 37 paragraph (1) and Article 38 paragraph (1) and paragraph (2) shall be subject to administrative sanctions. (2) Sanctions as referred to in paragraph (1) shall also be imposed on Parties who cause the violation as referred to in paragraph (1). (3) Sanctions as referred to in paragraph (1) and paragraph (2) shall be imposed by the Financial Services Authority. (4) Sanctions as referred to in paragraph (1) consist of:
a. written warning; https://jdih.ojk.go.id/

b. fine, namely the obligation to pay a certain amount of money;
c. restriction of business activities;
d. suspension of business activities; e. revocation of business license; and/or f. cancellation of approval.
(5) Administrative sanctions as referred to in paragraph (4) letters b, c, d, e, or f, may be imposed with or without being preceded by the imposition of administrative sanctions in the form of a written warning as referred to in paragraph (4) letter a. (6) Administrative sanctions in the form of a fine as referred to in paragraph (4) letter b may be imposed separately or together with the imposition of administrative sanctions as referred to in paragraph (4) letter c. (7) The procedure for imposing sanctions as referred to in paragraph (3) shall be carried out in accordance with the provisions of legislation in the field of capital markets.

CHAPTER VIII
CONSUMER PROTECTION
Article 40
Consumer protection principles as regulated in Financial Services Authority Regulations concerning consumer and community protection in the financial services sector apply to every Party involved in trading Financial Derivatives.

CHAPTER IX
TRANSITIONAL PROVISIONS
Article 41
Applications for principle approval for:
a. Financial Derivatives products that have obtained approval from the Commodity Futures Trading Regulatory Authority as referred to in Article 10; b. Financial Derivatives actors that have obtained business licenses from the Commodity Futures Trading Regulatory Authority as referred to in Article 13 paragraph (1) and Article 14 paragraph (1); and
c. organizers of Financial Derivatives Market infrastructure that have obtained business licenses from the Commodity Futures Trading Regulatory Authority as referred to in Article 19, Article 21, and Article 26,
must be submitted to the Financial Services Authority at the latest 4 (four) months after this Financial Services Authority Regulation takes effect.

Article 42
After obtaining principle approval from the Financial Services Authority:
a. decisions on business licenses, approvals, product registrations, actors, and/or infrastructure organizers related to Financial Derivatives that have been issued by the authority in the field of commodity futures supervision based on legislation prior to the transfer of regulatory and supervisory duties to the Financial Services Authority, remain valid; and b. Financial Derivatives actors as referred to in Article 12 and organizers of Financial Derivatives Market infrastructure as referred to in Article 17 are declared as Parties conducting financial services activities in the capital markets, derivative finance, and carbon exchange sectors and are supervised by the Financial Services Authority. https://jdih.ojk.go.id/

Article 43
(1) In the event that Parties as referred to in Article 13 paragraph (1), Article 14 paragraph (1), Article 19, Article 21, and Article 26 do not submit an application for principle approval within the latest 4 (four) months, the business activities of such Parties are declared as unlicensed activities and subject to sanctions in accordance with legislation by the Financial Services Authority. (2) For Parties meeting the conditions as referred to in paragraph (1), the Financial Services Authority has the authority to order such Parties to settle all their obligations related to Financial Derivatives contracts.

Article 44
(1) The duration of Financial Derivatives products as referred to in Article 3 letter a that have been issued prior to the effectiveness of this Financial Services Authority Regulation cannot be extended and are deemed to mature 6 (six) months after this Financial Services Authority Regulation takes effect. (2) Since this Financial Services Authority Regulation takes effect, Financial Derivatives actors as referred to in Article 3 letter b are prohibited from making new contracts related to Financial Derivatives before obtaining approval from the Financial Services Authority.

Article 45
(1) Parties as referred to in Article 13 paragraph (1), Article 14 paragraph (1), Article 19, Article 21, and Article 26 who have obtained principle approval from the Financial Services Authority are required to submit license applications to the Financial Services Authority at the latest 2 (two) years after this Financial Services Authority Regulation takes effect. (2) Requirements and procedures for submitting license applications to the Financial Services Authority as referred to in paragraph (1) shall be carried out in accordance with Financial Services Authority Regulations. (3) To submit license applications, Financial Derivatives actors and organizers of Financial Derivatives Market infrastructure https://jdih.ojk.go.id/

must have adjusted their fulfillment of requirements in accordance with the provisions of this Financial Services Authority Regulation and related provisions in other Financial Services Authority Regulations. (4) In the event that Parties as referred to in Article 13 paragraph (1), Article 14 paragraph (1), Article 19, Article 21, and Article 26 do not submit licenses to the Financial Services Authority as referred to in paragraph (1), the business activities of such Parties are declared as unlicensed activities and subject to sanctions in accordance with legislation by the Financial Services Authority.

Article 46
Licensing processes for actors and/or organizers of Financial Derivatives infrastructure and applications for approval of Financial Derivatives products submitted after the effectiveness of this Financial Services Authority Regulation are directed to the Financial Services Authority and are carried out in accordance with this Financial Services Authority Regulation.

Article 47
Examinations of alleged violations of legislation related to Financial Derivatives with Securities as underlying assets occurring after the transfer from the authority in the field of commodity futures trading to the Financial Services Authority are conducted by the Financial Services Authority.

Article 48
Fulfillment of the obligation to create a single unique identification number for Indonesian capital market investors for each customer as referred to in Article 15 paragraph (1) letter f shall be carried out at the latest 6 (six) months after this Financial Services Authority Regulation takes effect and may be extended by the Financial Services Authority if necessary.

CHAPTER X
OTHER PROVISIONS
Article 49
In addition to administrative sanctions regulated in this Financial Services Authority Regulation, the Financial Services Authority may take specific actions against any Party who violates the provisions of this Financial Services Authority Regulation.

Article 50
The Financial Services Authority may announce the imposition of administrative sanctions regulated in this Financial Services Authority Regulation and specific actions as referred to in Article 49 to the public. https://jdih.ojk.go.id/

CHAPTER XI
CLOSING PROVISIONS
Article 51
At the time this Financial Services Authority Regulation takes effect, Financial Services Authority Regulation Number 32/POJK.04/2020 concerning Equity Derivative Contracts (State Gazette of the Republic of Indonesia Year 2020 Number 129, Supplement to the State Gazette of the Republic of Indonesia Number 6513) is repealed and declared invalid.

Article 52
This Financial Services Authority Regulation takes effect on January 10, 2025. https://jdih.ojk.go.id/

This copy is consistent with the original
Director of Legal Development
Legal Department signed
Aat Windradi

To ensure that everyone knows it, ordering the enactment of this Financial Services Authority Regulation by placing it in the State Gazette of the Republic of Indonesia. Established in Jakarta on January 9, 2025 CHAIRMAN OF THE COMMISSIONERS BOARD FINANCIAL SERVICES AUTHORITY REPUBLIC OF INDONESIA, signed MAHENDRA SIREGAR

Enacted in Jakarta on January 10, 2025
MINISTER OF LAW OF THE REPUBLIC OF INDONESIA, signed SUPRATMAN ANDI AGTAS STATE GAZETTE OF THE REPUBLIC OF INDONESIA YEAR 2025 NUMBER 2/OJK https://jdih.ojk.go.id/

EXPLANATION
FINANCIAL SERVICES AUTHORITY REGULATION
REPUBLIC OF INDONESIA
NUMBER 1 OF 2025
CONCERNING
FINANCIAL DERIVATIVES WITH UNDERLYING ASSETS IN THE FORM OF SECURITIES

I. GENERAL
Law Number 4 of 2023 concerning Development and Strengthening of the Financial Sector mandates that derivative instruments previously categorized as Commodities, which are financial instruments serving as subjects of forward contracts, Sharia derivative contracts, and/or other derivative contracts (Financial Derivatives) under Law Number 32 of 1997 concerning Commodity Futures Trading, transfer the regulatory and supervisory duties from the Commodity Futures Trading Regulatory Agency to the Financial Services Authority and Bank Indonesia based on their respective authorities.

That based on Article 312 paragraph (1) letter b of Law Number 4 of 2023 concerning Development and Strengthening of the Financial Sector, at the time this Law takes effect, the transfer of regulatory and supervisory duties over commodities that are financial instruments serving as subjects of forward contracts, Sharia derivative contracts, and/or other derivative contracts from the Commodity Futures Trading Regulatory Agency to the financial sector authorities must be fully completed at the latest 24 (twenty-four) months.

The transfer of regulatory and supervisory duties from the Commodity Futures Trading Regulatory Agency to the Financial Services Authority in Law Number 4 of 2023 concerning Development and Strengthening of the Financial Sector aims to encourage the application of the principle of same activity, same risk, same regulation. Clarification and strengthening of the authority of financial sector authorities serve as efforts to maintain financial system stability and public trust.

With the strengthening of financial sector authority duties through the transfer from the Commodity Futures Trading Regulatory Agency to the Financial Services Authority, particularly regarding Financial Derivatives in the capital markets sector, it is expected to provide positive implications for the development of the financial sector industry.

The transfer of regulatory and supervisory duties for Financial Derivatives is accompanied by efforts to strengthen development, strengthening, consumer protection principles, and coordination between the Commodity Futures Trading Regulatory Agency and the Financial Services Authority.

In order to provide legal certainty for the continuity and development of products, actors, and financial derivatives market infrastructure organizers that have obtained licenses or approvals from the authority in the field of commodity futures trading, which are then regulated and supervised by the Financial Services Authority in the capital markets, Derivative Finance, and carbon exchange ecosystem, utilizing infrastructure in the field of commodity futures trading and infrastructure in the field of capital markets, Derivative Finance, and carbon exchange.

II. ARTICLE BY ARTICLE
Article 1
Clear enough.

Article 2
Paragraph (1)
Clear enough.

Paragraph (2)
What is meant by "Financial Derivatives" is derivative finance as referred to in Law Number 4 of 2023 concerning Development and Strengthening of the Financial Sector.

Article 3
Clear enough.

Article 4
Paragraph (1)
Letter a
Examples of Financial Derivatives in the form of forward contracts with Underlying being stock indices on the Stock Exchange, namely LQ45 forward contracts and IDX30 forward contracts. Examples of Financial Derivatives in the form of forward contracts with Underlying being government bonds, namely government bond forward contracts. Examples of Financial Derivatives in the form of forward contracts with Underlying being foreign stock indices, namely forward contracts with Underlying indices. Examples of Financial Derivatives in the form of forward contracts with Underlying being single stocks, namely stock forward contracts.

Letter b
Options contracts on Securities include, among others, stock options contracts listed on the Stock Exchange in Indonesia.

Letter c
Clear enough.

Paragraph (2)
Examples of Financial Derivatives products with Underlying being Securities other than Financial Derivatives products, namely carbon derivative products.

Article 5
Clear enough.

Article 6
Clear enough.

Article 7
Clear enough.

Article 8
Number 1
Letter a
Clear enough.

Letter b
Clear enough.

Letter c
"Multiplier" known by the term multiplier.

Letter d
Clear enough.

Letter e
Clear enough.

Number 2
Clear enough.

Number 3
Proof of support from members of Financial Derivatives trading or transaction facility organizers, including among others price assessment readiness of Securities.

Number 4
Clear enough.

Number 5
Clear enough.

Number 6
Clear enough.

Article 9
Clear enough.

Article 10
Clear enough.

Article 11
Clear enough.

Article 12
Clear enough.

Article 13
Clear enough.

Article 14
Clear enough.

Article 15
Clear enough.

Article 16
Clear enough.

Article 17
Clear enough.

Article 18
Letter a
Clear enough.

Letter b
Clear enough.

Letter c
Other Financial Derivatives trading facility organizers include, among others, futures exchanges and futures clearing and guarantee institutions.

Article 19
Clear enough.

Article 20
Clear enough.

Article 21
Clear enough.

Article 22
Clear enough.

Article 23
Clear enough.

Article 24
Paragraph (1)
The determination of certain parameters for Financial Derivatives contracts is carried out with the delivery of Underlying, including by considering the liquidity and free float of the Underlying.

Paragraph (2)
Clear enough.

Paragraph (3)
Clear enough.

Article 25
Clear enough.

Article 26
Clear enough.

Article 27
Clear enough.

Article 28
Clear enough.

Article 29
Clear enough.

Article 30
Clear enough.

Article 31
"Regulation of trading mechanisms" known by the term trading rules.

Article 32
Clear enough.

Article 33
Clear enough.

Article 34
Clear enough.

Article 35
Clear enough.

Article 36
Clear enough.

Article 37
Clear enough.

Article 38
Paragraph (1)
Clear enough.

Paragraph (2)
Clear enough.

Paragraph (3)
Certain conditions include, among others, system failure.

Article 39
Clear enough.

Article 40
Clear enough.

Article 41
Clear enough.

Article 42
Clear enough.

Article 43
Clear enough.

Article 44
Paragraph (1)
What is meant by "duration" is the time period from the issuance of the Financial Derivatives product until maturity.
Example simulation 1:
Financial Derivatives product "X" has received approval from Bappebti on December 16, 2024, with a duration of 1 (one) month, thus maturing on January 16, 2025, and can be extended. The Financial Derivatives actor submits an application for principle approval to the Financial Services Authority for the aforementioned product on January 15, 2025, so that the product can continue to be traded and extended again for at most 6 (six) months after this Financial Services Authority Regulation takes effect. If the above simulation considers that this Financial Services Authority Regulation takes effect on January 10, 2025, the Financial Derivatives product will mature on July 10, 2025, and cannot be extended.

Paragraph (2)
Clear enough.

Article 45
Clear enough.

Article 46
Clear enough.

Article 47
What is meant by "examination" is an examination of administrative violations and indications of criminal acts.

Article 48
Clear enough.

Article 49
Specific actions include, among others, the suspension of granting principle approvals.

Article 50
Announcements of the imposition of administrative sanctions and specific actions by the Financial Services Authority are carried out, among others, through the Financial Services Authority website or the Financial Services Authority annual report.

Article 51
Clear enough.

Article 52
Clear enough.

SUPPLEMENT TO THE STATE GAZETTE OF THE REPUBLIC OF INDONESIA NUMBER 135/OJK

APPENDIX
FINANCIAL SERVICES AUTHORITY REGULATION
REPUBLIC OF INDONESIA
NUMBER 1 OF 2025
CONCERNING
FINANCIAL DERIVATIVES WITH UNDERLYING ASSETS IN THE FORM OF SECURITIES

Format 1
PRINCIPLE APPROVAL APPLICATION FORM
FOR FINANCIAL DERIVATIVES ACTORS AND PRODUCTS

Number :
Attachment :
Subject :
To
Honorable Head of the Capital Markets, Derivative Finance, and Carbon Exchange Supervisory Executive Up. Head of the Capital Markets Licensing Department in Jakarta

Referring to Financial Services Authority Regulation Number … year …, we hereby submit an application for principle approval for Financial Derivatives actors and products:

I. Party

1. Party Name : ……………………………………………………

2. Party Type : PPE Derivatives
   Forward Trader
   Forward Broker
   Investment Advisor/
   Forward Advisor*)
   Other*): ……………………………….

3. Address : ……………………………………………………

4. Phone No : ……………………………………………………

5. E-mail : ……………………………………………………

6. Website Address : ……………………………………………………

7. Name and Contact
   Contact Person
   : ……………………………………………………

8. Business License Number and Date
   from Bappebti
   : ……………………………………………………

9. Company Tax Identification Number
   : ……………………………………………………

10. Number and Date of
    Futures Exchange Membership)
    : ……………………………………………………

11. Number and Date of
    Futures Clearing Institution Membership)
    : ……………………………………………………

12. Number and Date of
    Approval as a Participant of the
    Alternative Trading System)
    : ……………………………………………………

13. Name of Alternative Trading System Organizer)
    : ……………………………………………………

14. Authorized Capital : ……………………………………………………

15. Paid-up Capital : ……………………………………………………

16. Board of Directors and
    Board of Commissioners Members
    : ……………………………………………………
    Board of Directors
    No Name Citizenship Address Position

Board of Commissioners
No Name Citizenship Address Position
1.
2.
17. Latest Shareholder Structure
: ……………………………………………………

II. Individual Representatives
No Name Number and Date of Individual License from Bappebti 1.
2.
3.
List of branch office addresses for forward brokers or forward traders *) : ……………………………………………………

III. Products
List of Financial Derivatives products traded or registered : …………………………………………………… No Product Name Date of determination or product approval Duration/Maturity Date 1.
2.
3.
No Shareholder Name
Number of Shares
Nominal Amount (Rp)
%

To complete the aforementioned application, we hereby submit the following documents:

1. Photocopy of business license decisions from the authority regulating and supervising commodity futures trading;
2. Documents showing company identity, at least including the name and address of the company's headquarters and operational offices, as well as the company logo (if any);
3. Photocopy of the company's establishment deed that has been approved by the competent authority, along with the latest articles of amendment containing information regarding the composition of the board of directors, board of commissioners, shareholders, and capitalization that has obtained approval from the minister in charge of legal affairs or has been issued a notice of acceptance of amendment to the articles of association from the authority in charge of legal affairs;
4. List of shareholders along with information on the ownership percentage of each shareholder;
5. Capital structure including the amount of authorized capital, placed capital, and paid-up capital;
6. Curriculum vitae of board of commissioners and board of directors members, at least containing information:
   a) Identity; b) Job title; c) Work history along with the year of work, reasons for leaving or resignation (if any); and d. Brief description of job duties and responsibilities;
7. Photocopy of identity documents (ID Card/Passport) of board of directors and board of commissioners members;
8. Photocopy of the company's tax identification number;
9. Photocopy of identity documents (ID Card/Passport) of individual license holders;
10. Photocopy of individual license decisions from the authority regulating and supervising commodity futures trading;
11. Signed curriculum vitae of individual license holders;
12. Results of studies on Financial Derivatives contracts;
13. Financial Derivatives contract specifications; and
14. Photocopy of approval from the commodity futures trading authority.

Notes:
*) cross out what is not necessary
) fill in if relevant
*) specify

Respectfully,
Director *)
Stamp
……………………………………….
(Clear Name and Signature)

Format 2
APPLICATION FORM FOR PRINCIPLE APPROVAL
FINANCIAL DERIVATIVES MARKET INFRASTRUCTURE OPERATOR Number: ….., ………………….. 20 Attachment:
Subject:
To
The Executive Head of Capital Market, Financial Derivatives, and Carbon Exchange Supervision Attention: Head of Capital Market Licensing Department in Jakarta Referring to Financial Services Authority Regulation Number … year …, we hereby submit an application for principle approval for the operation of Financial Derivatives Market Infrastructure:

I. Party Information

1. Party Name: ……………………………………………………
2. Party Type: Futures Exchange
   Clearing and Guarantee Institution
   Fund Custodian Institution
   Other*): ……………………………….
3. Address: ……………………………………………………
4. Telephone Number: ……………………………………………………
5. E-mail: ……………………………………………………
6. Website Address: ……………………………………………………
7. Name and Contact Person:
   Contact Person: ……………………………………………………
8. Business License Number and Date from Bappebti:
   : ……………………………………………………
9. Company Taxpayer Identification Number (NPWP):
   : ……………………………………………………
10. Authorized Capital: ……………………………………………………
11. Paid-up Capital: ……………………………………………………
12. Board of Directors and Board of Commissioners Members:
    : ……………………………………………………

Board of Directors
No. Name Nationality Address Position
1.
2.

Board of Commissioners
No. Name Nationality Address Position
1.
2.

13. Latest Shareholder Structure:
    : ……………………………………………………

List of Branch Office Addresses *)
: ……………………………………………………

II. Products
List of Financial Derivative Products traded or already registered:
: ……………………………………………………

No. Product Name Date of Product Determination or Approval Duration/Maturity Date 1.
2.
3.

To complete the aforementioned application, we hereby submit the following documents:

1. Photocopy of the business license decision from the authority regulating and supervising commodity futures trading;
2. Documents showing the identity of the Company, at least including the name and address of the headquarters and operational office, as well as the company logo (if any);
3. Photocopy of the Company's founding deed approved by the competent authority, along with the latest amendment to the articles of association containing information regarding the composition of the board of directors, board of commissioners, shareholders, and capitalization, which has received approval from the minister in charge of legal affairs or has been issued a notice of acceptance of the articles of association amendment from the competent authority;
4. List of shareholders along with information on the ownership percentage of each shareholder;
5. Capital structure including the amount of authorized capital, placed capital, and paid-up capital;
6. List of resumes of members of the board of directors and board of commissioners, which at least contains information:
   a) Personal identity; b) Job title; c) Work history including working years, reasons for leaving or resignation (if any); and d) Brief description of job duties and responsibilities;
7. Photocopy of personal identity (ID card/Passport) of members of the board of directors and board of commissioners;
8. Photocopy of the Company's Taxpayer Identification Number (NPWP);
9. Results of the study on Financial Derivative Contracts;
10. Specifications of Financial Derivative Contracts; and
11. Photocopy of approval from the commodity futures trading authority.

No. Shareholder Name Number of Shares
Nominal Amount (Rp)
%

This copy is consistent with the original
Director of Legal Development
Legal Department signed
Aat Windradi

Notes:
*) cross out what is not necessary
) fill in if relevant
*) specify

Respectfully,
Director *)
Stamp
……………………………………….
(Clear Name and Signature)

CHAIRMAN OF THE COMMISSIONERS
FINANCIAL SERVICES AUTHORITY
REPUBLIC OF INDONESIA
MAHENDRA SIREGAR signed