Amendment to OJK Circular No. 25/SEOJK.04/2021 on Accounting Treatment Guidelines for Securities Companies

To:

1. Board of Directors and Board of Commissioners of Securities Companies;
2. Board of Directors of Indonesia Stock Exchange (PT Bursa Efek Indonesia);
3. Board of Directors of Indonesia Central Securities Depository (PT Kustodian Sentral Efek Indonesia);
4. Board of Directors of Indonesia Stock Clearing and Guarantee Corporation (PT Kliring Penjaminan Efek Indonesia);
5. Indonesia Securities Company Association (Asosiasi Perusahaan Efek Indonesia);
6. Indonesia Investment Manager Association (Asosiasi Manajer Investasi Indonesia);
7. Financial Services Sector Accountants Forum (Forum Akuntan Sektor Jasa Keuangan); and
8. Indonesia Public Accountants Institute (Institut Akuntan Publik Indonesia).

at their respective addresses.

COPY

CIRCULAR LETTER OF THE FINANCIAL SERVICES AUTHORITY REPUBLIC OF INDONESIA

NUMBER 3/SEOJK.04/2025

CONCERNING
AMENDMENT TO THE CIRCULAR LETTER OF THE FINANCIAL SERVICES AUTHORITY NUMBER 25/SEOJK.04/2021 CONCERNING GUIDELINES FOR ACCOUNTING TREATMENT OF SECURITIES COMPANIES

In relation to the provisions of Article 5 paragraph (3) of Financial Services Authority Regulation Number 20/POJK.04/2021 concerning the Preparation of Financial Reports of Securities Companies (State Gazette of the Republic of Indonesia Year 2021 Number 223, Supplement to the State Gazette of the Republic of Indonesia Number 6725), and in line with the convergence program of Financial Accounting Standards (PSAK) to International Financial Reporting Standard (IFRS), the Financial Services Authority has regulated the accounting treatment for shareholdings in stock exchanges in Financial Services Authority Circular Letter Number 25/SEOJK.04/2021 concerning Guidelines for Accounting Treatment of Securities Companies.

Considering the increase in the nominal value of shareholdings in stock exchanges in 2023, it is necessary to make changes in the Financial Services Authority Circular Letter Number 25/SEOJK.04/2021 concerning Guidelines for Accounting Treatment of Securities Companies as follows:

I. The provisions in letters A, B, C, and the illustrative example of the consolidated statement of financial position in the Appendix of the Financial Services Authority Circular Letter Number 25/SEOJK.04/2021 concerning Guidelines for Accounting Treatment of Securities Companies are amended, so that they become as stated in the Appendix which is an inseparable part of this Financial Services Authority Circular Letter, which shall take effect for fiscal years beginning on or after January 1, 2025.

https://jdih.ojk.go.id/

This copy is consistent with the original

Director of Legal Development
Legal Department

signed
Aat Windradi

II. Securities Companies may apply the provisions in this Financial Services Authority Circular Letter earlier.

III. This Financial Services Authority Circular Letter shall take effect on the date of determination.

Determined in Jakarta on April 24, 2025

EXECUTIVE HEAD OF CAPITAL MARKET, DERIVATIVE FINANCIAL SERVICES, AND CARBON EXCHANGE REGULATOR FINANCIAL SERVICES AUTHORITY REPUBLIC OF INDONESIA, INARNO DJAJADI

signed https://jdih.ojk.go.id/

APPENDIX
CIRCULAR LETTER OF THE FINANCIAL SERVICES AUTHORITY REPUBLIC OF INDONESIA NUMBER 3/SEOJK.04/2025 CONCERNING AMENDMENT TO THE CIRCULAR LETTER OF THE FINANCIAL SERVICES AUTHORITY NUMBER 25/SEOJK.04/2021 CONCERNING GUIDELINES FOR ACCOUNTING TREATMENT OF SECURITIES COMPANIES

GUIDELINES FOR ACCOUNTING TREATMENT OF SECURITIES COMPANIES

A. GENERAL PROVISIONS

1. In this Financial Services Authority Circular Letter, the following terms are defined as:
   a. Securities Company is a party that conducts activities as an underwriter of securities and/or a securities broker or investment manager. b. Securities are securities or investment contracts, whether in conventional and digital forms or other forms in accordance with technological developments, which give 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 of Securities, which can be transferred and/or traded in the capital market.
   c. Accounting Standards, hereinafter referred to as SAK, are statements and interpretations issued by the Financial Accounting Standards Board of the Indonesian Accountants Association and the Sharia Accounting Standards Board of the Indonesian Accountants Association as well as regulations in the field of capital market for entities conducting activities in the capital market.
   d. Fair Value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date based on current market conditions (i.e., exit price) regardless of whether the price is directly observable or estimated using other valuation techniques. e. Date Financial Statements are Authorized for Issue is the date the Securities Company states responsibility for the financial statements. f. Materiality is the magnitude of accounting information, which depends on its size and nature, and if the omission, misstatement, or obscuring of such information is estimated to sufficiently influence the decisions made by general purpose financial statement users. g. Party is an individual, legal entity, company, joint venture, association, or organized group. h. Control is a condition where an investor is exposed to or has rights to variable returns from its involvement with the investee Party and has the ability to influence those returns through its power over the investee Party.
   i. Joint Control is a contractual agreement to share Control over an arrangement, which exists only when decisions about relevant activities require unanimous consent from all Parties sharing Control.
   j. Consolidated Financial Statements are the financial statements of a business group in which the assets, liabilities, equity, income, expenses, and cash flows of the parent entity and subsidiary entities are presented as a single economic entity. k. Separate Financial Statements are financial statements presented by an entity, where the entity may choose to record its investments in subsidiary entities, associate entities, and joint ventures at cost, Fair Value, or amortized cost according to the classification of its financial assets or using the equity method.
   l. Related Party is a person or entity related to the entity preparing its financial statements.
   m. Investment Entity is an entity that:
   1) obtains funds from one or more investors for the purpose of providing those investors with investment management services;
   2) commits to investors that its business purpose is to invest funds solely to obtain returns from capital appreciation, investment income, or both; and
   3) measures and evaluates the performance of all its investments based on Fair Value.
   n. Significant Influence is the power to participate in the decision-making of the financial and operating policy of the investee Party, but not controlling or jointly controlling that policy. o. Asset is a present economic resource controlled by the entity as a result of past events. p. Liability is a present obligation of the entity to transfer an economic resource as a result of past events. q. Multi-Asset Investment Fund in the Form of Collective Investment Contract, hereinafter referred to as Multi-Asset Investment Fund, is a vehicle used to gather funds from specific Investors to be subsequently invested by the investment manager into a portfolio of securities and/or investment portfolios other than Securities. r. Infrastructure Investment Fund in the Form of Collective Investment Contract, hereinafter referred to as DINFRA, is a vehicle in the form of a collective investment contract used to gather funds from investor public to be subsequently mostly invested in Infrastructure Assets by the investment manager. s. Revenue is income arising from the normal activities of the entity. t. Income is the increase in economic benefits during an accounting period in the form of inflows or increases in Assets or decreases in Liabilities that result in increases in equity, which do not arise from contributions from investors. u. Key Management Personnel are persons who have the authority and responsibility to plan, direct, and control the activities of the entity, directly or indirectly, including directors and commissioners (both executive and non-executive) of the entity.

2. Financial statements in this Financial Services Authority Circular Letter consist of:
   a. Statement of financial position at the end of the period; b. Statement of profit or loss and other comprehensive income during the period;
   c. Statement of changes in equity during the period;
   d. Statement of cash flows during the period; e. Notes to the financial statements; f. Comparative information regarding the immediately preceding period; and g. Statement of financial position at the beginning of the immediately preceding period when the Securities Company applies an accounting policy retrospectively or makes a retrospective restatement of financial statement items, or when the Securities Company reclassifies items in the financial statements.

Securities Companies may use titles for reports other than those used in these provisions, provided that the title accurately represents the function and purpose of the Securities Company's financial statements in accordance with SAK regulations.

3. In the presentation of the statement of financial position, statement of profit or loss and other comprehensive income, statement of changes in equity, and statement of cash flows, it must be accompanied by a statement that the notes to the financial statements are an inseparable part of the financial statements.

4. Responsibility for Financial Statements
   All members of the Board of Directors and Board of Commissioners of the Securities Company are jointly and severally responsible for the statement of accountability for financial statements as regulated in related regulations regarding the obligation to submit periodic reports by Securities Companies.

5. Reporting Language
   a. Financial statements must be presented in the Indonesian language. b. In the event that financial statements are also presented other than in the Indonesian language, the financial statements in question must contain the same information.
   c. In the event of differences in interpretation due to language translation, the financial statements in the Indonesian language shall be used as the reference.

6. Presentation Currency
   a. The presentation currency is the currency used in the presentation of financial statements. Financial statements must be presented in the Rupiah currency. b. The presentation currency may be different from the functional currency.
   c. In the event that the presentation currency is different from the functional currency, the Securities Company shall translate its results and financial position into the Rupiah currency using procedures as regulated in the applicable SAK.

7. Reporting Period
   a. The reporting period of the Securities Company covers a one-year period. b. In the event that the reporting period as referred to in letter a changes and financial statements are presented for a period longer or shorter than the one-year period, then in addition to the coverage period of the financial statements, the Securities Company must disclose:
   1) the reason that the reporting period is longer or shorter than one year; and
   2) the fact that the amounts presented in the financial statements cannot be compared in their entirety.
   c. The reporting date of subsidiary entities for consolidation purposes must be the same as the reporting date of the parent entity.
   d. In the event that the reporting date of the subsidiary entity as referred to in letter c is different from the reporting date of the parent entity, the subsidiary entity prepares (for consolidation purposes) additional financial information on the same date as the parent entity's financial statements to allow the parent entity to consolidate the subsidiary entity's financial information, unless impracticable. e. If impracticable, the financial statements of the subsidiary entity may be used for consolidation purposes with the following requirements:
   1) the difference in reporting dates is not more than 3 (three) months;
   2) the Securities Company makes adjustments for the impact of significant transactions or events occurring between the reporting date of the subsidiary entity's financial statements and the reporting date of the parent entity's financial statements; and
   3) the length of the reporting period and the difference between the end of the reporting periods are the same from period to period.

8. Offset
   Securities Companies must not offset Assets and Liabilities or Income and expenses, unless required or permitted by SAK.

9. Consistency of Presentation
   a. Securities Companies must present and classify items in the financial statements consistently across periods, except:
   1) after a significant change in the nature of the Securities Company's operations or a review of the financial statements, it is clearly evident that another presentation or classification would be more appropriate to be used by considering the criteria for determining and applying accounting policies in SAK; or
   2) a change in presentation permitted by SAK.
   b. In the event that the Securities Company changes the presentation or classification of items in the financial statements, the Securities Company must restate comparative amounts, unless such reclassification is impracticable to perform.

10. Materiality and Aggregation
    a. Materiality for aggregation purposes in this Financial Services Authority Circular Letter is as follows:
    1) 5% (five percent) of the total amount of Assets for Asset items;
    2) 5% (five percent) of the total amount of Liabilities for Liability items;
    3) 5% (five percent) of the total amount of equity for equity items; or
    4) 10% (ten percent) of revenue for items in the statement of profit or loss and other comprehensive income.
    b. Items with material values, even if they are not main components of the financial statements, must be presented separately, detailed, and explained in the notes to the financial statements.
    c. Items with non-material values but which are main components of the financial statements or are specific to the Securities Company must be presented separately, detailed, and explained in the notes to the financial statements.
    d. In the event that a main component has no balance, that main component is not presented in the financial statements. e. Items with non-material values and which are not main components may be combined into a separate item and the nature of its main elements must be explained in the notes to the financial statements. f. In the event that the combination of several items as referred to in letter e results in the total value becoming material, the element with the largest value must be presented separately.

11. Comparative Information
    a. Quantitative information in annual financial statements is disclosed comparatively with the previous period for all amounts reported in the financial statements of the current period. b. Interim financial statements are presented comparatively with the same period in the previous year, except for the statement of financial position and information related to the financial position at the end of the interim period which is compared with the statement of financial position and information related to the financial position at the end of the previous fiscal year. Securities Companies apply the same accounting policies in interim financial statements as applied in annual financial statements.
    c. Comparative information as referred to above that is narrative and descriptive from the financial statements of the previous period is restated.
    d. Securities Companies may present additional comparative information in addition to the minimum comparative financial statements required by SAK, provided that such information is prepared in accordance with SAK. This comparative information may contain one or more financial statements as referred to in item 2 above, but does not have to consist of complete financial statements, and the Securities Company must present notes to the financial statements related to such additional reports. e. Securities Companies disclosing comparative information must present at least 2 (two) statements of financial position, 2 (two) reports for each type of other report, and notes to the financial statements. f. In the event that the Securities Company applies an accounting policy retrospectively or makes a retrospective restatement of items in the financial statements or reclassifies items in the financial statements, the Securities Company must present at least 3 (three) statements of financial position, 2 (two) reports for each type of other report, and notes to the financial statements. The Securities Company presents the statement of financial position at:
    1) the end of the current period,
    2) the end of the immediately preceding period, and
    3) the beginning of the immediately preceding period.
    g. In the event that the Securities Company reclassifies items in the financial statements but does not present the comparative beginning period statement of financial position, the reason must be explained.

12. Consolidated Financial Statements
    a. Securities Companies that have Control over other entities must consolidate the financial statements of those other entities in the Consolidated Financial Statements. b. A Securities Company is deemed to have Control over another entity when the Securities Company has the following:
    1) power over the investee Party;
    2) exposure or rights to variable returns from its involvement with the investee Party; and
    3) the ability to use its power over the investee Party to affect the amount of investor returns.
    c. In preparing Consolidated Financial Statements, the financial statements of the parent entity and subsidiary entities are combined on a line-by-line basis by adding similar items of Assets, Liabilities, equity, Income, and expenses.
    d. Consolidated Financial Statements are prepared using the same accounting policies for transactions and other events in similar circumstances.

13. Separate Financial Statements
    a. Securities Companies must prepare Separate Financial Statements which are additional information in the Consolidated Financial Statements and presented as an appendix. b. The additional information as referred to in letter a consists of the statement of financial position, statement of profit or loss and other comprehensive income, statement of changes in equity, statement of cash flows, and disclosures in the notes to the financial statements regarding the following:
    1) The financial statements are Separate Financial Statements which are additional information over the Consolidated Financial Statements.
    2) Cash and Cash Equivalents
    Details of the amount of Cash and Cash Equivalents based on bank names. Bank names are separated between Third Parties and Related Parties.
    3) Time Deposits
    Details of the amount of Time Deposits based on bank names. Bank names are separated between Third Parties and Related Parties.
    4) Securities Portfolio
    Details of the name and book value of securities separated by currency and interest rate of the securities.
    5) Trade Receivables
    Details of the name of Related Parties and the amount of Related Party receivables.
    6) Receivables from Securities Broker Transactions
    Details of the name of Related Parties and the amount of Related Party receivables, as well as an aging list of receivables for each Party/counterparty. The name of Parties/counterparties is separated between Third Parties and Related Parties.
    7) Receivables from Securities Underwriting Transactions
    Details of the name of Related Parties and the amount of Related Party receivables.
    8) Receivables from Repo Transactions
    Details of the name of Parties/counterparties and the value of repo transactions. The name of Parties/counterparties is separated between Third Parties and Related Parties.
    9) Revenue
    Details of the amount of Revenue based on the type of business activity.
    10) Expenses
    Details of the type and amount of expenses based on the type of business activity.
    11) Other Income and Expenses
    Details of the amount of Other Income and expenses.
    12) Finance Costs
    Details of the value of costs for each type of finance cost.
    13) Related Parties
    Details of Related Parties and the amount of transactions with the respective Parties.
    14) Details of the type and amount of items other than main components presented separately in the statement of financial position and statement of profit or loss and other comprehensive income.

14. Investments in Joint Ventures
    Securities Companies with Joint Control over the investee Party record their investment in the investee Party as an investment in joint ventures using the equity method or may choose to measure at Fair Value through profit or loss, as required by the relevant SAK.

15. Changes in Accounting Estimates, Changes in Accounting Policies, and Errors
    a. Changes in accounting policies
    Securities Companies may change an accounting policy only if the change:
    1) is required by a SAK;
    2) is mandated by legislation; or
    3) results in financial statements that provide reliable and more relevant information about the impact of transactions, events, or other conditions on the financial position, financial performance, or cash flows of the Securities Company.
    b. Changes in accounting estimates
    1) Changes in accounting estimates occur due to changes in circumstances, new information, new developments, or additional experience, and therefore are not related to previous periods and do not constitute a correction of an error.
    2) The Securities Company recognizes the impact of changes in accounting estimates prospectively in profit or loss at:
    a) the period of change, if the impact of the change is only on that period; or b) the period of change and future periods, if the change impacts both.
    c. Errors
    1) The Securities Company must correct material prior period errors retrospectively in the first complete financial statements issued after the discovery of the error.
    2) The obligation to correct as referred to in item 1) is done by:
    a) restating comparative amounts for previous periods presented where the error occurred; or b) restating the opening balances of Assets, Liabilities, and equity for the earliest prior period presented, if the error occurred before the earliest prior period presented.
    3) Prior period errors are corrected by retrospective restatement unless it is impracticable to determine the specific period impact or the cumulative impact of the error.

16. Related Parties
    a. The following are included as Related Parties:
    1) Persons or close family members have a relationship with the Securities Company if the person:
    a) has Control or Joint Control over the Securities Company;

b) has Significant Influence over the Securities Company; or

c) Key Management Personnel of the Securities Company or the parent entity of the Securities Company and employees of the Securities Company.

2) An entity is related to the Securities Company if it meets any of the following:

a) the entity and the Securities Company are members of the same group of enterprises (meaning the parent entity, subsidiary entity, and subsequent subsidiary entities are related to each other); b) one entity is an associate or joint venture of the Securities Company; c) the entity and the Securities Company are joint ventures of the same third party; d) one entity is a joint venture of a third entity and the Securities Company is an associate of the third entity, or vice versa; e) the entity is a post-employment benefit plan for employee benefits of the Securities Company or an entity related to the Securities Company; f) the entity is controlled or jointly controlled by the person identified in item 1); g) the person identified in item 1) letter a) has Significant Influence over the entity or Key Management Personnel of the entity (or the parent entity of the entity); and/or h) the entity, or a member of the group to which the entity belongs as part of that group, provides key management personnel services to the Securities Company or to the parent entity of the Securities Company.

b. A related entity with the government is an entity that is controlled, jointly controlled, or significantly influenced by the government. The government in this case is the Minister of Finance or a regional government that is a shareholder of the entity.

c. Parties that are not Related Parties are as follows:

1) two entities only because they have the same director or Key Management Personnel or because Key Management Personnel of one entity have Significant Influence over another entity;
2) two joint ventures only because they jointly control a joint venture;
3) funders, trade unions, public service entities, as well as ministries and government agencies that do not control, jointly control, or have Significant Influence over the Securities Company, only because of the requirement (simply by virtue) in the course of normal business with the entity (although the Party may limit the entity's freedom or participate in the decision-making process); or
4) customers, suppliers, franchise holders, distributors, or general agents with whom the entity conducts significant volume business transactions, solely

because of the economic dependence caused by the circumstances.

17. Restatement
    In the event that the Securities Company performs a restatement of previously issued financial statements, the description "restated" and the reference number referring to the notes to the financial statements explaining the restatement must be presented in the column for the period in which the financial statements are restated, respectively in the statement of financial position, statement of profit or loss and other comprehensive income, statement of changes in equity, and statement of cash flows.

18. Impairment of Non-financial Assets
    a. Securities Companies are required to assess at the end of each reporting period for the existence of indications or objective evidence of impairment of a Non-financial Asset. b. In the event there are indications or objective evidence of impairment of a Non-financial Asset as referred to in letter a), the Securities Company is required to estimate the recoverable amount of the Asset.
    c. If the recoverable amount of the Asset is less than its carrying amount, then the carrying amount of the Asset is reduced to the recoverable amount. The difference between the recoverable amount and the carrying amount is an impairment loss.
    d. Securities Companies that use the cost model for Fixed Assets, investment property, and Intangible Assets recognize impairment losses on Assets in profit or loss. e. Securities Companies that use the revaluation model for Fixed Assets and Intangible Assets recognize impairment losses on revalued Assets in other comprehensive income by reducing the revaluation surplus for such Assets, provided that the impairment loss does not exceed the revaluation surplus for the same Asset. Any excess impairment loss over the revaluation surplus is recognized in profit or loss.

19. Revaluation of Assets
    a. In the event that the Securities Company uses the revaluation model for Fixed Assets or Intangible Assets, or the Fair Value model for investment property, then the Securities Company is required to use a valuer in determining its Fair Value. b. The valuer used is a valuer registered with the Financial Services Authority, unless otherwise stated by relevant legislation in the Capital Market sector related to Securities Companies.

20. Financial Instruments
    a. Financial Assets
    1) Investment in Sukuk
    Investment in ijarah sukuk and mudharabah sukuk must be classified as measured at amortized cost, measured at Fair Value through profit or loss, and measured at Fair Value through other comprehensive income. Reclassification of investment in ijarah sukuk and mudharabah sukuk in accordance with regulations as regulated in the relevant SAK.

a) Measured at amortized cost
(1) Investment is classified as measured at amortized cost if the investment is held in a business model whose primary objective is to obtain contractual cash flows and there are contractual terms in determining specific dates for payment of principal and/or its proceeds. (2) The acquisition cost of sukuk includes transaction costs. (3) The difference between the acquisition cost and the nominal value is amortized on a straight-line basis over the term of the sukuk and recognized in profit or loss. (4) Impairment loss is recognized if the recoverable amount is less than the carrying amount and is presented as an impairment loss in profit or loss.

b) Measured at Fair Value through profit or loss (1) Fair Value, determined with reference to the following order:
(a) quoted price (unadjusted) in an active market; or (b) inputs other than quoted prices included in letter (a) that are observable.
(2) The acquisition cost of sukuk does not include transaction costs.
(3) The difference between the Fair Value and the carrying amount is recognized in profit or loss.
(4) Changes in Fair Value are recognized in profit or loss.

c) Measured at Fair Value through other comprehensive income (1) Investment is classified as measured at Fair Value through other comprehensive income if the investment is held in a business model whose primary objective is to obtain contractual cash flows and sell the sukuk and there are contractual terms in determining specific dates for payment of principal and/or its proceeds. (2) Fair Value, determined with reference to the following order:
(a) quoted price (unadjusted) in an active market; or (b) inputs other than quoted prices included in letter (a) that are observable.
(3) The acquisition cost of sukuk includes transaction costs.
(4) The difference between the acquisition cost and the nominal value is amortized on a straight-line basis over the term of the sukuk and recognized in profit or loss. (5) Gains or losses from changes in Fair Value are recognized in other comprehensive income after considering the balance of the difference between acquisition cost and nominal value that has not yet been amortized and the balance of accumulated gains or losses on Fair Value that have been recognized in other comprehensive income previously, except for impairment losses and gains or losses on exchange differences, until the sukuk investment is derecognized or reclassified. When the sukuk investment is derecognized, the accumulated gains or losses previously recognized in other comprehensive income are reclassified to profit or loss as a reclassification adjustment.

(6) Impairment loss is recognized if the recoverable amount is less than the carrying amount and is presented as an impairment loss in profit or loss after considering the balance in other comprehensive income.

2) Financial assets other than investment in sukuk
a) Securities Companies recognize Financial Assets in the statement of financial position when they become one of the Parties to the contractual terms of the instrument. b) At initial recognition, Financial Assets are measured using Fair Value. c) In the event that Financial Assets are not classified as measured at Fair Value through profit or loss, the Fair Value as referred to in letter b) plus transaction costs directly attributable to the acquisition or issuance of the Financial Asset. d) In the event that the Fair Value of the Financial Asset at initial recognition differs from the transaction price, then the Securities Company applies the provisions as required by the relevant SAK.

e) Classification of Financial Assets
In determining the classification of the Securities Company's financial instruments, it is required to conduct testing based on SAK. Financial assets other than investment in sukuk must be classified into one of the following categories:

(1) Financial assets measured at amortized cost, if both of the following conditions are met:
(a) The Financial Asset is managed in a business model whose objective is to hold Financial Assets in order to obtain contractual cash flows; and (b) the contractual terms of the Financial Asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding; (2) Financial assets measured at Fair Value through other comprehensive income, if both of the following conditions are met:
(a) The Financial Asset is managed in a business model whose objective will be achieved by both obtaining contractual cash flows and selling the Financial Asset; and (b) the contractual terms of the Financial Asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding; or (3) Financial assets measured at Fair Value through profit or loss, namely:
(a) Financial assets are measured at Fair Value through profit or loss, except measured at amortized cost or Fair Value through other comprehensive income; (b) at initial recognition, the entity can make an irrevocable election over investment in certain equity instruments that are generally measured at Fair Value through profit or loss so that changes in their Fair Value are presented in other comprehensive income; and (c) regardless of the provisions in item (1), item (2), item (3) letter (a) and letter (b) above, at initial recognition, the entity can make an irrevocable designation to measure Financial Assets at Fair Value through profit or loss, if such designation eliminates or significantly reduces measurement or recognition inconsistency ("accounting mismatch") that may arise from measuring Assets or Liabilities or recognizing gains and losses on Assets or Liabilities on different bases.

f) Reclassification of Financial Assets
(1) If the entity changes its business model for managing Financial Assets, then the entity reclassifies all Financial Assets affected.
(2) If the entity reclassifies Financial Assets, then the entity applies reclassification prospectively from the date of reclassification. The entity does not restate gains, losses (including impairment gains or losses), or interest previously recognized. (3) If the entity reclassifies Financial Assets out of the amortized cost measurement category into the Fair Value through profit or loss measurement category, then its Fair Value is measured on the date of reclassification. Gains or losses arising from the difference between the previous amortized cost and the Fair Value of the Financial Asset are recognized in profit or loss. (4) If the entity reclassifies Financial Assets out of the Fair Value through profit or loss measurement category into the amortized cost measurement category, then the Fair Value on the date of reclassification becomes the new gross carrying amount. (5) If the entity reclassifies Financial Assets out of the amortized cost measurement category into the Fair Value through other comprehensive income measurement category, then its Fair Value is measured on the date of reclassification. Gains or losses arising from the difference between the previous amortized cost and the Fair Value of the Financial Asset are recognized in other comprehensive income. The effective interest rate and the measurement of expected credit losses are not adjusted as a result of the reclassification. (6) If the entity reclassifies Financial Assets out of the Fair Value through other comprehensive income measurement category into the amortized cost measurement category, then the Financial Asset is reclassified at its Fair Value on the date of reclassification. Cumulative gains or losses previously recognized in other comprehensive income are removed from equity and adjusted against the Fair Value of the Financial Asset on the date of reclassification. The impact on the date of reclassification, the Financial Asset is measured as if the Financial Asset had always been measured at amortized cost. This adjustment affects other comprehensive income but does not affect profit or loss, and therefore is not a reclassification adjustment. The effective interest rate and the measurement of expected credit losses are not adjusted as a result of the reclassification. (7) If the entity reclassifies Financial Assets out of the Fair Value through profit or loss measurement category into the Fair Value through other comprehensive income measurement category, the Financial Asset remains measured at its Fair Value. (8) If the entity reclassifies Financial Assets out of the Fair Value through other comprehensive income measurement category into the Fair Value through profit or loss measurement category, then the Financial Asset remains measured at its Fair Value. Cumulative gains or losses previously recognized in other comprehensive income are reclassified from equity to profit or loss as a reclassification adjustment on the date of reclassification.

3) Securities Companies are required to record every transaction of purchase and sale of Financial Assets on a regular basis for each category of Financial Asset on the transaction date (transaction date) starting from the date it becomes binding.
4) Securities Companies are required to pay attention to applicable legislation regulating provisions related to the timing of a transaction agreement. Such timing of the agreement must be tested for compatibility with the transaction date (transaction date) provisions as referred to in SAK.

5) Derecognition of Financial Assets
a) Securities Companies derecognize Financial Assets only when:
(1) the contractual rights to cash flows arising from the Financial Asset expire; or (2) the Securities Company transfers the Financial Asset and the transfer meets the derecognition criteria in accordance with the relevant SAK. b) In transactions whose characteristics contain the concept of sale and repurchase transactions, securities lending agreements, guarantees, and ownership of shares that serve as the underlying in stock option contracts, then the Securities Company is required to conduct testing on the derecognition of Financial Assets in accordance with the relevant SAK to determine the treatment of the Financial Assets being transacted.

c) Securities Companies directly reduce the gross carrying amount of the Financial Asset when the entity does not have a reasonable expectation of recovering the Financial Asset in whole or in part.

b. Financial Liabilities
1) Sukuk
Sukuk issued generally use ijarah and mudharabah contracts.

a) Ijarah Sukuk
Ijarah Sukuk is presented as a Liability net of unamortized premium or discount and transaction costs.

b) Mudharabah Sukuk
(1) Mudharabah Sukuk is presented as temporary partnership funds at nominal value. Transaction costs are recognized separately and presented as deferred expenses. (2) In the event that the Securities Company does not present temporary partnership funds separately from Liabilities and equity, then mudharabah sukuk is presented in Liabilities separately from other Liabilities in the last order. (3) Profit shares that become the right of mudharabah sukuk investors are recognized as a reduction of Revenue, not as an expense.

2) Financial Liabilities other than Sukuk
a) Securities Companies recognize Financial Liabilities in the statement of financial position when they become one of the Parties to the contractual terms of the instrument. b) At initial recognition, Financial Liabilities are measured using Fair Value. c) In the event that Financial Liabilities are not classified as measured at Fair Value through profit or loss, the Fair Value as referred to in letter b) minus transaction costs directly attributable to the acquisition or issuance of the Financial Liability. d) In the event that the Fair Value of the Financial Liability at initial recognition differs from the transaction price, then the Securities Company applies the provisions as required by the relevant SAK.

e) Classification of Financial Liabilities, namely:
(1) Financial liabilities measured at amortized cost; and (2) Financial liabilities other than measured at amortized cost, namely:
(a) Financial liabilities measured at Fair Value through profit or loss, including derivatives; (b) Financial liabilities arising when the transfer of Financial Assets does not meet the derecognition criteria or when the continuing involvement approach is applied, namely:
i. for Financial liabilities arising when the transfer of Financial Assets does not meet the derecognition criteria, the Liability is measured at the consideration received; and

ii. for Financial liabilities arising when the continuing involvement approach is applied, the Liability is measured in a way that will make the net carrying amount of the transferred Asset and the related Liability be:
i) amortized cost of rights and obligations still retained by the entity, if the transferred Asset is measured at amortized cost; or ii) equivalent to the Fair Value of rights and obligations still retained by the entity if measured separately, if the transferred Asset is measured at Fair Value; (c) financial guarantee contracts and commitments to provide loans at below-market interest rates, after initial recognition measured at the higher amount of:
i. the amount of loss allowance; and
ii. the initial measurement amount minus the cumulative amount of income recognized in accordance with SAK;
(d) contingent consideration recognized by the acquirer in a business combination is measured at Fair Value and the difference is recognized in profit or loss; and (e) at initial recognition, the entity can make an irrevocable designation to measure Financial Liabilities at Fair Value through profit or loss, if permitted by SAK or if the designation would result in more relevant information, because:
i. it eliminates or significantly reduces measurement or recognition inconsistency ("accounting mismatch") that may arise from measuring Assets or Liabilities or recognizing gains and losses on Assets or Liabilities on different bases; or
ii. a group of Financial Liabilities or Financial Assets and financial liabilities are managed and their performance is evaluated based on Fair Value, in accordance with documented risk management or investment strategy, information on the Fair Value basis for such group is provided internally to Key Management Personnel of the entity.

(f) Reclassification of Financial Liabilities
Entities are not permitted to reclassify Financial Liabilities.

(g) Derecognition of Financial Liabilities
Financial Liabilities are derecognized when the obligation specified in the contract is discharged or cancelled or expires.

c. Offset
1) Securities Companies offset Financial Assets and Financial Liabilities and present their net amount in the statement of financial position only if the Securities Company:
a) has a currently enforceable legal right to offset the recognized amounts; and b) has the intention to settle on a net basis or to realize the Asset and settle the Liability simultaneously.
2) Securities Companies disclose information to enable users of their financial statements to evaluate the impact or potential impact of offsetting rights related to the Financial Assets and Financial Liabilities of the Securities Company recognized.

d. Impairment
1) Securities Companies recognize loss allowances for expected credit losses on Financial Assets other than investment in sukuk measured at amortized cost and Financial Assets other than equity financial instruments measured at Fair Value through other comprehensive income as follows:
a) if at the reporting date, the credit risk over the financial instrument has not increased significantly since initial recognition, the Securities Company measures the loss allowance for such financial instrument at an amount equal to 12 (twelve) months of expected credit losses; b) if at the reporting date, the credit risk over the financial instrument has increased significantly since initial recognition, the Securities Company measures the loss allowance for such financial instrument at an amount equal to lifetime expected credit losses; and c) specifically for Financial Assets purchased or originated from impaired Financial Assets, at the reporting date the Securities Company only recognizes the cumulative change in lifetime expected credit losses since initial recognition of the Financial Asset as a loss allowance.

2) For Financial Assets, credit loss is the present value of the difference between:
a) contractual cash flows due to the entity according to the contract; and b) cash flows expected to be received by the entity.

3) For undrawn loan commitments, credit loss is the present value of the difference between:
a) contractual cash flows due to the entity if the owner of the loan commitment draws the loan; and b) cash flows expected to be received by the entity if the loan is drawn.

4) Securities Companies recognize the amount of expected credit losses (or recovery of credit losses) in profit or loss, as impairment gains or losses.

e. Dividends
Securities companies recognize dividends in profit or loss when:
1) the entity's right to receive payment of the dividend has been established;
2) it is probable that the economic benefits associated with the dividend will flow to the entity; and
3) the amount of the dividend can be measured reliably.

21. Fair Value
    The Fair Value Hierarchy for Assets and Liabilities other than investments in sukuk and issued sukuk is as follows:
    a. Level 1 input is a quoted price (unadjusted) in an active market for identical Assets or Liabilities that the entity can access at the measurement date; b. Level 2 input is an input other than quoted prices included in Level 1 that is observable for the Asset or Liability, either directly or indirectly; and
    c. Level 3 input is an unobservable input for the Asset or Liability.

B. FINANCIAL STATEMENT PRESENTATION

1. Identification of Financial Statements
   Each component of the financial statements and notes to the financial statements must be clearly identified, and additionally, the Securities Company presents information identifying the Securities Company's financial statements and repeats it if necessary so that it can be understood. This information is as regulated in the applicable relevant Financial Accounting Standards (SAK).

2. Statement of Financial Position
   a. Definition
   1) The statement of financial position is a report describing the financial position, showing the Assets, Liabilities, and equity of the Securities Company at a specific date.
   2) The statement of financial position must be presented using the unclassified method, so that Assets and Liabilities are not grouped into current and non-current elements. Asset accounts are presented based on liquidity order, while Liability accounts are reported based on maturity order.

b. Main Components
1) Assets
a) cash and cash equivalents; b) restricted cash and cash equivalents; c) time deposits; d) Securities portfolio; e) transferred Securities portfolio; f) trade receivables (1) Third Parties; and (2) Related Parties; g) intermediary broker-dealer transaction receivables (1) Third Parties; and (2) Related Parties; h) underwriting transaction receivables (1) Third Parties; and (2) Related Parties; i) investment management transaction receivables (1) Third Parties; and (2) Related Parties;

j) repo transaction receivables; k) other receivables; l) prepaid expenses; m) prepaid taxes; n) investments in associates; o) shareholdings; p) Intangible Assets; q) Right-of-Use Assets; r) Fixed Assets; s) Deferred Tax Assets; and t) Other Assets.

2) Liabilities
a) trade payables
(1) Third Parties; and
(2) Related Parties; b) intermediary broker-dealer transaction payables (1) Third Parties; and (2) Related Parties; c) underwriting transaction payables (1) Third Parties; and (2) Related Parties; d) investment management transaction payables (1) Third Parties; and (2) Related Parties; e) repo transaction payables; f) tax payables; g) accrued expenses; h) short-term payables i) Deferred Tax Liabilities; j) long-term payables; k) long-term debt instruments; l) lease payables; m) Employee Benefit Liabilities; n) subordinated debt; o) convertible bonds; and p) other payables.

3) Equity
a) Equity attributable to owners of the parent entity, which among others consists of:
(1) share capital;
(2) additional paid-in capital;
(3) differences from transactions with non-controlling interests; (4) treasury shares; (5) retained earnings; and (6) other equity components (other comprehensive income). b) Non-controlling interests.

c. Securities companies may adjust the main components listed above according to the characteristics of the Securities Company, provided that such presentation is relevant to understanding the financial position of the Securities Company, and disclosing the reasons and considerations.

d. Explanation of Main Components
1) Assets
Classification and measurement of Assets meeting the criteria for Financial Assets refer to the provisions as referred to in Part A General Provisions number 20 letter a.

a) Cash and Cash Equivalents
(1) Cash is the balance of cash on hand and demand deposits owned by the Securities Company that are ready and freely available to finance the activities of the Securities Company. (2) Cash equivalents are investments that are highly liquid, short-term, and can quickly be converted into known amounts of cash without facing significant risk of changes in value. (3) Cash and cash equivalents that have designated uses or cannot be used freely are not classified as cash and cash equivalents. (4) Items in cash and cash equivalents include among others:
(a) Cash
This item is used to record cash amounts that are always available in cash to finance the daily activities of the Securities Company.
(b) Bank demand deposit balances
This item is used to record demand deposit balances at Banks and settlement account (subaccount) balances at Payment Banks in the name of the Securities Company. (c) Time deposits with a term of less than 3 months This item is used to record time deposits that will mature within 3 (three) months or less and are not pledged. (d) Money market instruments obtained and can be liquidated within a period of no more than 3 (three) months.

b) Restricted Cash and Cash Equivalents
(1) This item is used to record cash and cash equivalents that cannot be used freely.
(2) This item includes among others:
(a) funds whose use has been determined, such as funds from public offerings; (b) cash and cash equivalents restricted in use based on applicable regulations, such as cash and cash equivalent balances belonging to subsidiary entities operating in a country that imposes foreign exchange controls or other legal restrictions so that such cash and cash equivalent balances cannot be used by the Securities Company as the parent entity or other subsidiaries; and/or (c) time deposits with a term of less than 3 (three) months that are pledged.

c) Time Deposits
(1) This item is used to record funds placed in the form of:
(a) Time deposits that will mature in more than 3 (three) months.
(b) Time deposits with a term of more than 3 (three) months that are pledged.

(2) This item is presented separately between Third Party transactions and transactions with Related Parties.

d) Securities Portfolio
(1) This item is used to record Securities inventory owned by the Securities Company.
(2) Items in the Securities portfolio include among others:
(a) Indonesia Treasury Bills (SBI) and Government Securities (SBN); (b) Equity-type Securities listed on the securities exchange; (c) Debt-type Securities and sukuk listed on the securities exchange; (d) mutual fund participation units (UP); (e) Real Estate Investment Fund participation units (DIRE); (f) Asset-Backed Securities (EBA); (g) Multi-Asset Investment Fund participation units (DIMAS); (h) Infrastructure Investment Fund participation units (DINFRA); (i) option contracts; (j) forward contracts; (k) other Securities registered with the Financial Services Authority (OJK); and (l) Securities listed on foreign securities exchanges. (3) In this item also includes segregated Securities portfolios, which are portfolios transferred to other Parties and do not meet the derecognition criteria according to SAK, where the other Party does not have the right to re-transfer the transferred Securities. Segregated Securities portfolios can include among others Securities lent out, Securities repurchased in repo transactions, and/or Securities pledged.

e) Transferred Securities Portfolio
(1) Transferred Securities portfolios are Securities transferred to other Parties and do not meet the derecognition criteria according to SAK where the other Party has the right to re-transfer the transferred Securities. (2) This item includes among others:
(a) Securities lent out
Securities lent to borrowers in securities lending transactions.
(b) Securities repurchased
Securities serving as underlying assets in repo transactions.
(c) Securities pledged
Securities serving as collateral for a loan/transaction.
(3) The transferred Securities are not recognized as derecognized because the Securities Company substantially still bears risks and benefits from ownership of the transferred Securities portfolio, therefore the Securities Company continues to recognize the transferred Securities portfolio in its entirety and for:
(a) Securities lent out, the Securities Company recognizes incoming cash flows on the amount received as a Financial Asset.
(b) Securities repurchased and Securities pledged, the Securities Company recognizes incoming cash flows on the amount received as a Financial Liability.

f) Trade Receivables
(1) This item represents receivables from Revenue arising in connection with normal business activities of the Securities Company, whether originating from Third Parties or Related Parties. (2) Items in Trade Receivables include among others:
(a) Commission Receivables
This item is used to record commission invoices to:
i. Clearing and Guarantee Institution (LKP), for services provided to LKP;
ii. account holder clients, for invoice revenue from commissions from regular transactions and other transactions; and
iii. other Securities Companies, for Securities transactions, for example commissions from securities lending transactions, transactions as selling agents, and transactions as syndicate members.
(b) Underwriting Transaction Receivables
This item is used to record invoices to other Parties for underwriting transactions of Securities through public offerings and underwriting transactions of Securities not through public offerings, for example, for public offerings, receivables for issuance services. (c) Management Fee Receivables This item is used to record invoices for investment management services for individual and collective clients, for example Mutual Fund UPs, EBA, DIRE UPs, DIMAS UPs, DINFRA UPs, or Individual Client Portfolio Management (PPNSI). (d) Subscription Fee and Redemption Fee Receivables This item is used to record invoices for sales and repurchase services of Mutual Fund UPs, EBA, DIRE UPs, DIMAS UPs, DINFRA UPs.

g) Intermediary Broker-Dealer Transaction Receivables (1) This item is used to record invoices other than commission receivables for services arising from intermediary broker-dealer transactions. (2) Items in these receivables relate to 2 transactions, namely securities intermediation (broker) and securities trading (dealer).

(3) Items in these receivables include among others:
(a) Clearing and Guarantee Institution (LKP) Receivables
i. This item is used to record invoices to LKP regarding Securities transactions and deposits submitted by the Securities Company in the context of Securities transactions.
ii. Items in LKP Receivables include among others:
i) LKP Guarantee Funds
This item is used to record funds submitted by the Securities Company, which is a Clearing Member (AK), to LKP as guarantee in the context of settling Securities transactions guaranteed by LKP. ii) Exchange Transaction Receivables This item is used to record invoices to LKP for sell transactions conducted by the Securities Company. The amount presented corresponds to the netting value presented in the Clearing Result List (DHK). (b) Client Receivables
i. This item is used to record invoices to Account Holder Clients (NPR) and Institutional Clients (NK) related to Securities transactions.
ii. This item is presented separately between receivables to Third Parties and receivables to Related Parties.
iii. Items in Client Receivables include among others:
i) Account Holder Clients
This item is used to record invoices to NPR, including other Securities Companies opening accounts at the Securities Company, originating from:
(i) Regular transactions showing receivables to clients for Securities transactions not yet settled by NPR, consisting of transactions that have matured but are not yet settled and transactions that have not yet matured. (ii) Margin transactions showing the amount of funds required to be paid by the client to the Securities Company for margin transaction financing by the Securities Company for the client. (iii) Other transactions showing balances other than regular transactions and margin transactions, including among others Tender Offer Transactions and Alternate Cash Settlement (ACS). ii) Institutional Clients This item is used to record invoices from the Securities Company to institutional clients. (c) Other Securities Company Receivables
i. This item represents invoices from the Securities Company to other Securities Companies in the context of intermediary broker-dealer activities.
ii. This item is presented separately between receivables to Third Parties and receivables to Related Parties.
iii. Items in other Securities Company receivables include among others:
i) Guarantee Funds for Securities Loans
This item is used to record the value of guarantees placed at other Securities Companies for Securities loans. ii) Guarantee Funds at Clearing Members (AK) This item is used to record funds pledged by non-Clearing Member Securities Companies to Clearing Member Securities Companies. iii) Securities Sell Transactions This item is used to record invoices from the Securities Company to other Securities Companies for Securities sell transactions not guaranteed by LKP and not yet settled.

h) Underwriting Transaction Receivables
(1) This item is used to record invoices other than commission receivables for services arising from underwriting transactions of Securities, both through public offerings and not through public offerings. (2) This item is presented separately between receivables to Third Parties and receivables to Related Parties.

i) Investment Management Transaction Receivables (1) This item is used to record invoices other than revenue from services arising from investment management transactions as long as they meet the provisions of legislation in the capital market sector. (2) This item is presented separately between receivables to Third Parties and receivables to Related Parties.

j) Repo Transaction Receivables
This item represents receivables related to the promise to re-transfer repo Securities.

k) Other Receivables
(1) This item is used to record receivables that cannot be grouped into items in letters f), g), h), i), and j).
(2) This item includes among others:
(a) invoices for dividends and interest to other Parties; (b) penalty invoices to other Parties; and/or (c) invoices related to Securities transactions for own interest (portfolio) by underwriters and investment managers.

l) Prepaid Expenses
(1) This item is used to record costs that have been paid but their expensing will only be done in future periods.
(2) This item includes among others:
(a) prepaid insurance premiums;
(b) prepaid interest;
(c) prepaid rent;
(d) deferred underwriting expenses; or
(e) other deferred expenses.

m) Prepaid Taxes
(1) This item includes among others:
(a) tax overpayments, for example Value Added Tax (VAT), which will be invoiced again or compensated against subsequent tax Liabilities; and (b) Current Tax Assets, which is the excess difference between the amount of tax already paid for the current and previous periods compared to the amount of tax payable for those periods. (2) Current Tax Assets for the current and previous periods are measured at the amount expected to be refunded from the tax authority, calculated using the tax rates and tax regulations that have been enacted or substantially enacted at the end of the reporting period. (3) The Securities Company offsets Current Tax Assets and Current Tax Liabilities and presents their net value in the statement of financial position only if the Securities Company:
(a) has a legally enforceable right to offset the recognized amounts; and (b) intends to settle on a net basis or to realize the Asset and settle the Liability simultaneously. Offsetting is not performed if the tax is for different legal entities in a Consolidated Financial Report.

n) Investments in Associates
(1) This item represents the Securities Company's investment in associate entities, including non-corporate entities such as partnerships, which are significantly influenced by the Securities Company. (2) Securities Companies having Significant Influence over the investee party record their investment in the investee party as an investment in an associate entity using the equity method or may choose to measure at Fair Value through profit or loss, as required by the relevant SAK. (3) Significant Influence is considered to exist when the Securities Company holds directly or indirectly 20% (twenty percent) or more of the voting rights of the investee party, unless it can be clearly proven that the Securities Company does not have Significant Influence. (4) Significant Influence also exists when the Securities Company holds directly or indirectly less than 20% (twenty percent) of the voting rights of the investee party, but it can be clearly proven that the Securities Company has Significant Influence.

o) Shareholdings
This item represents participations related to membership held by the Securities Company representing ownership interests and granting the Securities Company the right to conduct business related to activities in the capital market, among others, participations in securities exchanges and/or participations in depository and clearing institutions.

p) Intangible Assets
(1) Intangible Assets can be recognized only if:
(a) it is probable that future economic benefits from the Asset will be obtained; and (b) the acquisition cost of the Asset can be measured reliably.
(2) Intangible Assets are initially recognized at acquisition cost or the amount attributed to the Asset upon initial recognition, if applicable.
(3) After initial recognition, the recording of Intangible Assets can be divided into 2 (two) models, namely:
(a) Cost Model
In this model, Intangible Assets are recorded at acquisition cost minus accumulated amortization and accumulated impairment losses.
(b) Revaluation Model
In this model, Intangible Assets are recorded at the revalued amount, which is the Fair Value at the revaluation date minus accumulated amortization and accumulated impairment losses occurring after the revaluation date.

(4) Intangible Assets with limited useful lives are amortized systematically over their useful life.
(5) Intangible Assets with indefinite useful lives do not need to be amortized, but annually a comparison between carrying amount and recoverable amount must be performed.

q) Right-of-Use Assets
(1) This item represents Assets (Underlying Assets) obtained through lease transactions as Right-of-Use Assets.
(2) Securities companies present Right-of-Use Assets separately from other Assets, except:
(a) the Securities Company has similar Underlying Assets to the Right-of-Use Asset; and (b) the Right-of-Use Asset meets the definition of investment property. (3) This item is initially measured at acquisition cost. (4) After initial recognition, the Securities Company as lessee must use the cost model, except:
(a) the Securities Company uses the Fair Value model for investment property other than Right-of-Use Assets; or (b) if the Right-of-Use Asset relates to a class of Fixed Assets where the Securities Company applies the revaluation model. (5) In the cost model, the Securities Company measures the Right-of-Use Asset at acquisition cost minus accumulated depreciation and accumulated impairment losses, and adjusts for remeasurement of lease liabilities. (6) If the lease transfers ownership of the Underlying Asset to the Securities Company at the end of the lease term or if the acquisition cost of the Right-of-Use Asset reflects that the Securities Company will exercise a purchase option, then the Securities Company depreciates the Right-of-Use Asset from the date of initial recognition until the end of the useful life of the Underlying Asset. If not, then the Securities Company depreciates the Right-of-Use Asset from the date of initial recognition until the earlier date between the end of the useful life of the Underlying Asset or the end of the lease term.

r) Fixed Assets
(1) Securities companies must present the value of Assets included in the Fixed Assets group as Directly Owned Fixed Assets (purchase and self-construction) and Leased. (2) Fixed Assets are presented after deducting accumulated depreciation. (3) Directly Owned Fixed Assets This item represents Fixed Assets owned by the Securities Company consisting of:
(a) Ready-to-use Fixed Assets
i. Ready-to-use Fixed Assets must initially be measured at acquisition cost.
ii. After initial recognition, the Securities Company must choose the cost model or revaluation model as its accounting policy and apply that policy to all Fixed Assets in the same group.
i) Cost Model
In this model, Fixed Assets are recorded at acquisition cost minus accumulated depreciation and accumulated impairment losses. ii) Revaluation Model In this model, Fixed Assets are recorded at the revalued amount, which is the Fair Value at the revaluation date minus accumulated depreciation and accumulated impairment losses occurring after the revaluation date. (b) Construction Fixed Assets This item represents Assets built by themselves and not intended as Investment Property upon readiness for use. This Asset is stated at the costs incurred. (4) Leased Fixed Assets This item is explained in letter q).

s) Deferred Tax Assets
(1) This item represents the amount of income tax that can be recovered in future periods as a result of:
(a) deductible temporary differences;
(b) accumulated tax losses not yet compensated; and (c) accumulated unused tax credits, in case tax regulations allow.
(2) Deferred Tax Assets are measured using the tax rate expected to apply when the Asset is recovered, based on tax rates and tax regulations that have been enacted or substantially enacted at the end of the reporting period. (3) The Securities Company offsets Deferred Tax Assets and Deferred Tax Liabilities and presents their net value in the statement of financial position only if:
(a) the Securities Company has a legally enforceable right to offset Current Tax Assets against Current Tax Liabilities; and (b) Deferred Tax Assets and Deferred Tax Liabilities relate to income tax levied by the same tax authority over the same taxable entity that has the intention to recover the Asset and Current Tax Liabilities on a net basis, or to realize the Asset and settle the Liability simultaneously, in each future period where significant amounts of the Asset or Liability

deferred tax assets are expected to be settled or recovered.
(4) Securities Companies must reassess the carrying amount of Deferred Tax Assets at the end of the reporting period.
(5) Securities Companies reduce the carrying amount of Deferred Tax Assets if it is no longer probable that sufficient taxable profit will be available to offset some or all of such Deferred Tax Assets. Each reduction is reversed to the extent that sufficient taxable profit becomes available. t) Other Assets (1) This item is used to record Assets that cannot be classified into any of the above Asset groups. (2) This item includes among others:
(a) Fixed assets that are no longer in use; and/or (b) Assets from business segments that management has decided to discontinue or sell.
2) Liabilities
The classification and measurement of liabilities meeting the criteria for Financial Liabilities refer to the provisions as referred to in Part A General Provisions item 20 letter b. a) Trade Payables (1) This item represents the obligation to pay for goods or services that have been received or invoiced, or formally agreed upon with suppliers, service providers, or investment management products. (2) Items in Trade Payables include among others:
(a) Commission Payables
This item is used to record obligations to:
i. Clearing and Guarantee Institutions regarding services provided by the C&GI;
ii. Other Securities Companies in the context of Broker transactions and transactions related to syndicate members; and
iii. Mutual Fund Distribution Agents, EBA, DIRE Distribution Agents, DIMAS Distribution Agents, and DINFRA Distribution Agents in the context of investment management transactions.
(b) Underwriting Transaction Payables
This item is used to record obligations to other parties regarding underwriting transactions of Securities through public offerings and underwriting transactions of Securities not through public offerings, for example, public offering underwriting service fees. (c) Transaction Cost Payables This item is used to record payables related to transaction costs borne by the Securities Company, among others transaction cost payables to the stock exchange, Clearing and Guarantee Institutions, and Custody and Settlement Institutions. (d) Investment Product Management Cost Payables This item is used to record payables for investment product management costs borne by the Investment Manager, among others, establishment cost payables, management cost payables, and liquidation cost payables for investment products. b) Securities Broker Transaction Payables (1) This item is used to record obligations other than trade payables arising from securities broker transactions. (2) Items in this payable are related to 2 transactions, namely securities brokerage (broker) and securities dealing (dealer). (3) Items in this payable include among others:
(a) Payables to Clearing and Guarantee Institutions (C&GI)
i. This item is used to record obligations to the C&GI that are not yet due in connection with exchange transactions guaranteed by the C&GI and securities lending and borrowing through the C&GI.
ii. Items in Payables to C&GI include among others Exchange Transaction Payables. This item is used to record obligations to the C&GI for purchase transactions conducted by the Securities Company. The amount presented corresponds to the netting value presented in the Clearing Result Statement (DHK).
(b) Customer Payables
i. This item is used to record obligations to NPRs and NKs related to Securities transactions.
ii. This item is presented separately between payables to third parties and payables to related parties for each type of customer, namely NPRs and NKs.
iii. Items in customer payables include among others:
i) Account Owner Customers
This item is used to record:
(i) Liabilities to the C&GI that are not yet due in connection with transactions conducted by NPRs, including other Securities Companies opening accounts at the Securities Company. (ii) Liabilities arising from other transactions, for example, tender offer transactions. ii) Institutional Customers This item is used to record obligations to the C&GI that are not yet due in connection with the Securities Company to NKs. (c) Payables to Other Securities Companies
i. This item is used to record obligations of the Securities Company to other Securities Companies in the context of securities broker-dealer activities.
ii. This item is presented separately between payables to third parties and payables to related parties.
iii. Items in payables to other Securities Companies include among others:
i) Securities Lending Margin
This item is used to record obligations for margins received from other Securities Companies related to Securities Lending and Borrowing transactions. ii) Margins from Non-AK Securities Companies This item is used to record obligations to non-AK Securities Companies for funds handed over as collateral to AK Securities Companies. iii) Securities Purchase Transactions This item is used to record obligations of the Securities Company to other Securities Companies for unsettled Securities purchase transactions. (d) Short Position Securities Payables This item displays the Fair Value of Securities in the Securities Company's short positions. This item arises because the Securities Company sells more Securities than it holds. c) Underwriting Transaction Payables (1) This item is used to record obligations other than trade payables arising from underwriting transactions of Securities, whether through public offerings or not. (2) This item is presented separately between payables to third parties and payables to related parties. d) Investment Management Transaction Payables (1) This item represents the obligation to pay for goods or services that have been received or supplied and invoiced or formally agreed upon with suppliers or service providers, which will be re-invoiced by the Investment Manager to the investment product, provided it meets regulations in the capital market sector. (2) This item is presented separately between payables to third parties and payables to related parties. e) Repo Transaction Payables This item represents Liabilities for the promise to transfer back Repo Securities. The Liabilities referred to are obligations related to the underlying transaction. f) Tax Payables (1) This item represents:
(a) Liabilities for the Securities Company's taxes and other taxes that have not been paid; and (b) Current tax liabilities, which are the amounts of current and prior period income taxes that have not been paid. (2) Current tax liabilities for the current and prior periods are measured at the amount expected to be paid to the tax authority, calculated using the tax rates and tax regulations that have been enacted or substantially enacted at the end of the reporting period. (3) Securities Companies offset Current Tax Assets and Current Tax Liabilities and present their net value in the statement of financial position only if the entity:
(a) has a legally enforceable right to set off the recognized amounts; and (b) intends to settle on a net basis or to realize the Asset and settle the Liability simultaneously. Offsetting is not performed if the taxes are for different legal entities in a Consolidated Financial Report. g) Accrued Expenses This item represents Liabilities for goods or services that have been received or supplied, but have not been paid, invoiced, or formally agreed upon with the supplier. h) Short-Term Payables (1) This item is used to record payables that cannot be grouped into items in letters a) through g) and will mature within a period of 1 (one) year or less. (2) Items in short-term payables include among others:
(a) Short-Term Debt Instruments;
i. This item is used to record debt instruments issued by the Securities Company with a maturity of 1 (one) year or less.
ii. This item is presented with details including among others:
i) Medium Term Notes (MTN); and ii) Commercial Paper (CP).
(b) Current portion of long-term liabilities;
i. This item represents the portion of long-term liabilities maturing within 12 (twelve) months or less from the date of the statement of financial position.
ii. This item is presented with details including among others:
i) long-term bank and financial institution loans; ii) finance lease payables; iii) bond payables; iv) Sukuk; and v) Medium Term Notes (MTN).
(c) Other short-term payables;
This item is used to record short-term payables not included in letters (a) and (b), among others, payables related to margin transactions with third parties and Liabilities arising from the sale of Repo Securities by the buyer (in repo transactions) to other parties. i) Deferred Tax Liabilities (1) This item represents the amount of income tax payable in future periods as a result of temporary taxable differences. (2) Deferred tax liabilities are measured using the tax rate expected to apply when the Liability is settled, based on tax rates and tax regulations that have been enacted or substantially enacted at the end of the reporting period. (3) Securities Companies offset Deferred Tax Assets and Deferred Tax Liabilities and present their net value in the statement of financial position only if:
(a) the Securities Company has a legally enforceable right to set off Current Tax Assets against Current Tax Liabilities; and (b) Deferred Tax Assets and Deferred Tax Liabilities relate to income taxes levied by the same tax authority on the same taxable entity that has the intention to recover the Asset and settle the Current Tax Liability on a net basis, or to realize the Asset and settle the Liability simultaneously, in each future period in which significant amounts of Deferred Tax Assets or Liabilities are expected to be settled or recovered. j) Long-Term Payables (1) This item is used to record obligations to specific parties that must be settled in a period longer than one accounting period. (2) This item includes among others bank and financial institution payables maturing in a period longer than 12 (twelve) months. k) Long-Term Debt Instruments (1) This item is used to record debt instruments that will mature in a period longer than 12 (twelve) months. (2) Items in Long-Term Debt Instruments are presented with details including among others:
(a) Bond Payables
i. Represents the obligation of the Securities Company to bondholders in connection with the issuance of the Securities Company's bonds.
ii. Bond issuance costs, except for convertible bonds, are transaction costs that can be directly attributed to the issuance and must be deducted from the issuance proceeds in determining the net issuance proceeds of such bonds.
iii. The difference between net issuance proceeds and nominal value is a discount or premium that must be amortized using the effective interest rate method over the term of the bond.
(b) Sukuk; and
(c) Medium Term Notes (MTN). l) Lease Payables (1) This item represents the Securities Company's Liabilities to the lessor in connection with leases for the use of underlying Assets by the Securities Company. (2) At initial recognition, lease payables are measured at the present value of unpaid lease payments on that date. (3) After initial measurement, the Securities Company measures lease payables by:
(a) increasing the carrying amount to reflect interest on the lease liability; (b) reducing the carrying amount to reflect lease payments made; and (c) remeasuring the carrying amount to reflect reassessment or modification of the lease, or to reflect fixed lease payments in substance revised. m) Employee Benefit Liabilities This item records all forms of employee benefits payable for services rendered by employees or for termination of employment contracts. n) Subordinated Payables This item is used to record payables obtained based on a subordination agreement, where the position of the subordinated lender's rights is lower than that of other lenders. o) Convertible Bonds (1) This item represents bond liabilities that can be converted into shares of the Securities Company in the future. (2) At initial recognition, convertible bonds must be separated into Liability and equity components. The equity component of a convertible bond is the residual amount of the Fair Value of the entire convertible bond minus the value of the Liability component determined separately. (3) The Fair Value of the Liability component at initial recognition is the present value of future contractual cash flows, discounted at the market interest rate used for instruments with equivalent credit quality, with substantially similar cash flows, and the same term, but without the conversion option. (4) This item is presented at Fair Value after considering convertible bond issuance costs. (5) Convertible bond issuance costs are transaction costs that can be directly attributed to the acquisition or issuance and must be allocated proportionally to the Liability and equity components. (6) The difference between the net Liability component and the nominal value of the convertible bond is a discount or premium that must be amortized using the effective interest rate method over the term of the convertible bond. p) Other Payables This item is used to record among others:
(1) tender offer payables;
(2) uncommitted capital deposits; and
(3) other obligations that cannot be classified into any of the above Liability accounts.
3) Equity
a) Definition
This item represents the owner's rights in the Securities Company, which is the difference between Assets and Liabilities. b) Equity items in the statement of financial position must separate:
(1) Equity attributable to owners of the parent entity, which consists of among others:
(a) Share Capital
This item is used to record share capital for each type of share presented at nominal value.
i. Authorized Capital
This item presents the number of shares, nominal value of shares, or value of shares without nominal value, for each type of share, in accordance with the Articles of Association of the Securities Company.
ii. Paid-up Capital
This item presents the number of shares, for each type of share, that have been placed and fully paid up.
(b) Additional Paid-in Capital
This item presents additional paid-in capital presented net by summing the following items:
i. Share Premium
i) If the Securities Company is an issuer or a public company, the Securities Company must present share premium. ii) This item represents the excess of shareholder deposits above nominal value, after deducting equity security issuance costs. iii) Equity security issuance costs are costs related to the issuance of the Securities Company's equity securities, as regulated by OJK. iv) Costs not included in equity security issuance costs include costs related to recording shares on the stock exchange for shares already in circulation, costs related to stock dividends and stock splits, and other costs that cannot be directly attributed to the issuance of equity securities.
ii. Difference in Capital from Treasury Stock Transactions
This item represents the difference between the reacquisition price and the resale price of treasury shares.
iii. Exchange Rate Differences on Paid-in Capital
This item represents foreign currency exchange rate differences arising in connection with capital transactions.
iv. Difference in Transactions with Controlling Entities
This item represents the difference between the amount of consideration transferred or received and the carrying amount of each transaction involving combination or disposal of businesses between entities under common control.
v. Donated Capital
This item represents capital originating from donations obtained by the Securities Company from the government and/or from shareholders and/or other parties.
vi. Other Additional Paid-in Capital
This item is used to record among others:
i) Excess capital deposits above Authorized Capital or Placed Capital. ii) Value of detachable warrants that have not been and will not be exercised. iii) Share-based payment transactions:
(i) This item arises from share-based payment transactions settled with equity instruments; (ii) Securities Companies settling share-based payments with equity instruments must measure the goods or services received and the increase in equity directly by referring to the Fair Value of the goods or services received, or indirectly by referring to the equity instruments given if the Fair Value of the goods or services received cannot be reliably estimated; (iii) Securities Companies settling share-based payments with cash (or other assets) options or with the issuance of equity instruments must recognize such transactions or components of transactions as share-based payment transactions settled with equity instruments if no Liability arises; and iv) Equity component of compound financial instruments, for example, convertible bonds. (c) Difference in Transactions with Non-controlling Parties
i. This item represents differences arising from transactions with non-controlling parties that result in changes in ownership, whether causing an increase or decrease in ownership percentage in the subsidiary without resulting in loss of Control.
ii. Differences arising from transactions with non-controlling parties are the difference between the adjustment amount for non-controlling interests and the Fair Value of consideration given or received.
(d) Treasury Shares
This item represents shares reacquired and held by the Securities Company. Treasury shares are presented at acquisition cost and as a deduction from equity. (e) Retained Earnings
i. This item represents the accumulation of periodic results after considering distributions to owners (dividend distribution) and corrections of prior period profits and losses.
ii. In the event that a Securities Company that is an issuer or a public company has ever conducted a quasi-reorganization:
i) The amount of negative retained earnings eliminated must be presented for 3 (three) consecutive years since the year the quasi-reorganization was conducted. ii) The date of the quasi-reorganization must be stated in the retained earnings item for a period of ten years into the future from the year the quasi-reorganization began. iii) The provision of tantiems and bonuses is not a reduction of retained earnings. (f) Other Equity Components (Other Comprehensive Income) This item consists of among others:
i. revaluation surplus balances;
ii. gains and losses from investments in equity instruments designated at Fair Value through other comprehensive income in accordance with SAK;
iii. translation differences of financial statements in foreign currency;
iv. gains and losses in financial assets measured at Fair Value through other comprehensive income in accordance with SAK; and
v. the effective portion of gains and losses on hedging financial instruments in the context of cash flow hedging.
(2) Non-controlling Interests
This item represents the portion of the subsidiary's equity that cannot be directly or indirectly attributed to the parent entity, presented as a separate part of equity from the parent entity's owners' equity.
3. Statement of Profit or Loss and Other Comprehensive Income
a. Definition
The statement of profit or loss and other comprehensive income (comprehensive income statement) is a report that presents all income and expense items recognized in a period. The statement of profit or loss and other comprehensive income consists of two components, namely:
1) profit or loss; and
2) other comprehensive income.
b. Securities Companies must present all income and expenses recognized in one period in a single statement of profit or loss and other comprehensive income.
c. Main components of the statement of profit or loss and other comprehensive income are presented using the expense function method. Securities Companies must disclose additional information about the nature of expenses.
d. Main Components
1) revenue;
2) expenses;
3) gross profit;
4) other income;
5) other expenses;
6) finance costs;
7) profit (loss) before tax;
8) tax expense (income);
9) profit (loss) for the current period;
10) other comprehensive income;
a) that will not be reclassified subsequently to profit or loss; and b) that will be reclassified subsequently to profit or loss;
11) income tax related to other comprehensive income;
12) other comprehensive income for the current period after tax;
13) total comprehensive income for the current period;
14) profit (loss) for the period attributed to:
a) owners of the parent entity; and b) non-controlling interests;
15) total comprehensive income for the period attributed to:
a) owners of the parent entity; and b) non-controlling interests; and
16) basic and diluted earnings per share.
e. Securities Companies may adjust the above main components to the characteristics of the Securities Company, only if such presentation is relevant to understanding the financial performance of the Securities Company, and disclosing the reasons and considerations. f. Explanation of Main Components
1) Revenue
a) Securities Company revenue is revenue sourced from business activities conducted by the Securities Company. Securities Company revenue consists of among others:
(1) Revenue from contracts with customers as an agent in the form of commission revenue; (2) Revenue from contracts with customers as a principal in the form of service revenue; and/or (3) Revenue from investment results in the form of returns received from investment activities and/or gains (losses) from trading Securities transactions conducted for own account, including unrealized gains (losses) on Securities measured at Fair Value through profit or loss. b) When or during the fulfillment of the performance obligation, the Securities Company recognizes Revenue for the amount of transaction price allocated to the performance obligation (excluding estimates of variable consideration that are constrained).

c) Securities Companies must determine whether they are principals or agents for each specific good or service promised to customers in accordance with the provisions of SAK.

2) Expenses
This item represents expenses originating from the business activities of the Securities Company, including expenses for final income tax. Expenses must be detailed by type.

3) Other Income
This item represents income that does not originate from the business activities conducted by the Securities Company.

4) Other Expenses
This item represents expenses that do not originate from the business activities conducted by the Securities Company and are not financial costs, such as expenses for final income tax arising from activities outside the business activities of the Securities Company.

5) Financial Costs
This item represents financial costs, which are generally interest costs and other costs borne by the Securities Company, other than expenses in item 4) above.

6) Profit (Loss) Before Tax
This item represents the sum of total income and total expenses.

7) Tax Expense (Income)
This item is generally the aggregate amount of current tax and deferred tax considered in determining profit (loss) for a period.

8) Profit (Loss) for the Current Period
This item represents the sum of profit (loss) before tax and tax expense (income).

9) Other Comprehensive Income
a) Other comprehensive income contains income and expense items, including reclassification adjustments, that are not recognized in profit or loss as required or permitted by SAK. b) Components of other comprehensive income include:
(1) those that will not be reclassified subsequently to profit or loss, including:
(a) balance of revaluation surplus;
(b) remeasurement of defined benefit plans;
(c) share of other comprehensive income of associates and/or joint ventures; and (d) gains and losses from investments in equity instruments designated at Fair Value through Other Comprehensive Income in accordance with SAK. (2) those that will be reclassified subsequently to profit or loss, including:
(a) exchange differences on translating financial statements in foreign currencies; (b) gains and losses on Financial Assets measured at Fair Value through Other Comprehensive Income in accordance with SAK; and (c) the effective portion of gains and losses on hedging financial instruments in the context of cash flow hedges. c) Securities Companies present components of other comprehensive income at amounts before related tax effects, except for the share of other comprehensive income of associates and/or joint ventures, which is presented after related tax effects. d) Reclassification adjustments are amounts reclassified to profit or loss for the current period that were previously recognized in other comprehensive income in the current or prior periods.

10) Income Tax Related to Other Comprehensive Income
This item represents the cumulative income tax related to components of other comprehensive income, except for the share of other comprehensive income of associates and/or joint ventures.

11) Other Comprehensive Income for the Current Period After Tax
This item represents the sum of other comprehensive income and related income tax.

12) Total Comprehensive Income for the Current Period
This item represents the sum of profit (loss) for the current period and other comprehensive income for the current period after tax.

13) Profit (Loss) Attributable to Owners of the Parent Entity and Non-controlling Interests
Securities Companies must present profit or loss for the current period that is attributable to owners of the parent entity and non-controlling interests in the statement of profit or loss and other comprehensive income.

14) Total Comprehensive Income for the Current Period Attributable to Parent Entity and Non-controlling Interests
Securities Companies must present total comprehensive income for the current period that is attributable to owners of the parent entity and non-controlling interests.

15) Basic and Diluted Earnings (Loss) per Share
a) In the event that a Securities Company is an issuer or a public company, the Securities Company must present basic and diluted earnings per share in the statement of profit or loss and other comprehensive income. b) Basic and diluted earnings per share must be presented for all periods presented as follows:
(1) Basic Earnings (Loss) per Share
This item represents the amount of basic earnings (loss) per share from continuing operations attributable to owners of the parent entity during the reporting period. (2) Diluted Earnings (Loss) per Share This item represents the amount of diluted earnings (loss) per share from continuing operations attributable to owners of the parent entity during the reporting period, taking into account all potentially dilutive ordinary share effects outstanding throughout the reporting period. c) In the event that basic and diluted earnings per share are the same, both may be presented in a single line in the statement of profit or loss and other comprehensive income. d) In the event that there are discontinued operations, Securities Companies are required to present basic and diluted earnings (loss) per share, which is the cumulative amount of basic and diluted earnings (loss) per share from continuing operations and discontinued operations.

4. Statement of Changes in Equity
   a. Definition
   The statement of changes in equity is a report showing the changes in the equity of the Securities Company, illustrating the increase or decrease in Net Assets or net worth during the reporting period. b. Main Components This report must present:
   1) Total comprehensive income during the current period, showing separately the total amounts attributable to owners of the parent entity and to non-controlling interests;
   2) The impact of retrospective application or retrospective restatement permitted by SAK for each component of equity;
   3) A reconciliation between the carrying amount at the beginning and end of the period for each component of equity, separately disclosing each change arising from:
   a) Profit (loss), separating between retained earnings balances that have designated uses and those that do not; b) Each item of other comprehensive income. Analysis of other comprehensive income by item may be presented in the notes to the financial statements if not presented in this section; and c) Transactions with owners in their capacity as owners, showing separately contributions from owners and distributions to owners, and changes in ownership interests in subsidiaries that do not result in loss of control.
   c. Securities Companies present in the statement of changes in equity or notes to the financial statements, the amount of dividends recognized as distributions to owners during the period and the related dividend per share; and
   d. Securities Companies may adjust the main components above with the characteristics of the Securities Company, only if such presentation is relevant to understanding the changes in Net Assets or net worth of the Securities Company, and disclosing the reasons and considerations.

5. Statement of Cash Flows
   a. Definition
   The statement of cash flows shows cash receipts and cash payments in the activities of the Securities Company during the reporting period and is classified according to operating, investing, and financing activities. b. Main Components
   1) Cash Flows from Operating Activities
   a) Cash flows from operating activities are cash flows primarily derived from the main revenue-generating activities of the Securities Company; therefore, these cash flows generally arise from transactions and other events that affect the determination of profit or loss. b) Securities Companies are required to present cash flows from operating activities using the direct method. c) Cash flows related to income tax must be disclosed separately and classified as cash flows from operating activities, unless they can be specifically identified as investing and financing activities.
   2) Cash Flows from Investing Activities
   Cash flows from investing activities reflect cash receipts and payments related to the acquisition and/or disposal of resources aimed at generating revenue and future cash flows.
   3) Cash Flows from Financing Activities
   Cash flows from financing activities are cash flows arising from cash receipts and payments that result in changes in the amount and composition of equity contributions and loans of the Securities Company.
   c. Cash Flow Reporting on a Net Cash Flow Basis
   1) Securities Companies are required to present separately the main groups of gross cash receipts and gross cash payments arising from operating, investing, and financing activities, except for cash flows that can be reported on a net cash flow basis, namely as follows:
   a) cash receipts and payments for customer interests if such cash flows more reflect customer activities than the activities of the Securities Company. Examples: Cash receipts and payments to customers related to securities transactions; and b) cash receipts and payments for items with fast turnover, large amounts, and short timeframes. Examples:
   (1) Purchase and sale of investments; and
   (2) Other short-term loans, for example, loans with a maturity term of three months or less.
   2) In addition to what is stated in item 1) letters a) and b), cash flows from financial institution activities may be reported on a net cash flow basis, including as follows:
   a) cash receipts and payments related to the receipt and repayment of fixed-term deposits with fixed maturities; b) deposits and withdrawals of deposits at and from other financial institutions; and c) granting and repayment of advances and loans provided to customers. d. Cash Flows in Foreign Currency The effect of exchange rate changes on cash and cash equivalents in foreign currency is reported in the statement of cash flows to reconcile the beginning and ending balances of cash and cash equivalents. The amount of unrealized gains and losses from exchange rate differences related to changes in foreign currency exchange rates is presented separately from the cash flows of operating, investing, and financing activities and includes differences if there are exchange rate differences, had the cash flows been reported at the exchange rate at the end of the period. e. Cash Flows from Interest and Dividends Received and Paid Cash flows from interest and dividends received and paid are each disclosed separately and classified consistently across periods as operating, investing, and financing activities. In the event that there is a difference between the cash balance in the statement of financial position and the cash balance in the statement of cash flows, the Securities Company is required to present a reconciliation of such amounts in the statement of cash flows with the same item in the statement of financial position.

C. NOTES TO THE FINANCIAL STATEMENTS

1. General
   a. Notes to the financial statements contain additional information on items presented in the statement of financial position, statement of profit or loss and other comprehensive income, statement of changes in equity, and statement of cash flows. b. Securities Companies are required to present notes to the financial statements that provide narrative descriptions or disaggregation of items presented in the financial statements and information regarding items that do not meet the recognition criteria in the financial statements.
   c. Securities Companies are required to present notes to the financial statements in the following order:
   1) overview of the Securities Company;
   2) basis of preparation of financial statements and summary of significant accounting policies applied;
   3) additional information for items presented in the statement of financial position, statement of profit or loss and other comprehensive income, statement of changes in equity, and statement of cash flows, in accordance with the order of presentation of the reports and the presentation of each item; and
   4) other disclosures including:
   a) information required by SAK that is not presented in any part of the financial statements; and b) information not presented in any part of the financial statements, but which is relevant to understanding the financial statements. d. Securities Companies are required to present notes to the financial statements systematically and cross-reference each item in the statement of financial position, statement of profit or loss and other comprehensive income, statement of changes in equity, and statement of cash flows for information related in the notes to the financial statements. e. Disclosures required for each item must be fully disclosed, unless such disclosure is not relevant or not applicable to the Securities Company. Securities Companies must adjust disclosures to suit industry characteristics if such disclosures are required by SAK or relevant to understanding the financial statements of the Securities Company. f. Securities Companies must state in value or percentage terms to explain the existence of a portion of an amount, and must not use the word "part". g. In the event that the Assets of the Securities Company are insured, the type and value of insured Assets, the insurance coverage value, and the risks covered must be disclosed, as well as management's opinion on the adequacy of insurance coverage; if not insured, the reasons must be disclosed.

2. Elements of Notes to the Financial Statements
   a. General Overview
   In this section, the following must be disclosed:
   1) Establishment of the Securities Company, consisting of:
   a) brief history of the Securities Company; b) number and date of the establishment deed and any amendments, approval from the competent authority, and number and date of the state gazette; c) domicile of the Securities Company and main location of business activities; d) business activities in accordance with the Articles of Association of the Securities Company and activities conducted by the Securities Company during the reporting period; e) business licenses and/or activity approvals from the Financial Services Authority (OJK) and activities carried out by the Securities Company related to such licenses and/or approvals; f) management's assessment in determining the grouping of business activities or others; g) date of commencement of commercial operations of the Securities Company. In the event that the Securities Company significantly expands or downsizes its business during the reporting period presented, the start of commercial operations from the expansion or downsizing must be stated; and h) name of the parent entity and name of the ultimate parent entity in the business group. If it cannot be disclosed, the reasons must be stated.
   2) Public Offer of Securities
   For Securities Companies that are issuers, the following must be disclosed:
   a) number and date of the effectiveness letter of the public offer from the Financial Services Authority (OJK), including offers of Securities issued outside Indonesia; b) type and number of Securities offered; c) date and name of the exchange where the Securities are listed; and d) corporate actions of the Securities Company that may affect the number of Securities issued from the initial public offer until the last reporting period.
   3) Structure of the Securities Company, Subsidiary Entities, and Special Purpose Entities (SPE)
   For Securities Companies that are parent entities, the following must be disclosed:
   a) name of controlled subsidiary entities and/or SPEs, whether directly or indirectly; b) domicile; c) type of business; d) year of commercial operation; e) percentage of ownership and proportion of voting rights, if there is a difference between the percentage of ownership and the proportion of voting rights; f) total Assets; and g) other important information, namely:
   (1) the nature of the relationship between the parent entity and the subsidiary entity if the parent entity does not own, directly or indirectly through the subsidiary entity, more than 50% (fifty percent) of the valid voting rights; (2) the reason why ownership, whether direct or indirect, of more than 50% (fifty percent) of voting rights or potential voting rights over the Investee is not followed by Control; (3) the end date of the reporting period of the subsidiary entity's financial statements if the date/period of such financial statements is used to prepare Consolidated Financial Statements and differs from the date/period of the parent entity's financial statements, and the reason for using different dates/periods; (4) the nature and extent of any significant restrictions on the ability of entities to access or use Assets and settle Liabilities of the business group; (5) the impact of changes in the parent entity's ownership interest in the subsidiary entity that do not result in loss of Control; and (6) in the event of loss of Control over a subsidiary entity, the parent entity discloses:
   (a) gains or losses, if there are gains and losses recognized from the loss of Control, and the portion of gains or losses that can be attributed to measure the remaining investment in the former subsidiary entity at Fair Value on the date of loss of Control; (b) the percentage of ownership released; (c) the amount of price received; (d) the portion of the price that is cash; (e) the amount of cash in the subsidiary entity where Control is released; and (f) the amount of Assets and Liabilities other than cash in the subsidiary entity where Control is released, summarized by their main categories.
   4) Employees, Board of Directors, and Board of Commissioners, consisting of:
   a) name and position for each member of the board of directors and board of commissioners; b) scope of Key Management Personnel; and c) number of employees at the end of the period or average number of employees during the relevant period.
   5) Issuance of Financial Statements, consisting of:
   a) Date the Financial Statements are Authorized for Issue; and b) Party responsible for authorizing the financial statements. b. Summary of Accounting Policies In this section, the following must be disclosed:

1) Statement of Compliance with SAK
This statement is a declaration that the financial statements have been prepared and presented in accordance with SAK.
2) Basis of Measurement and Preparation of Financial Statements
a) The basis of measurement of financial statements is based on historical cost, current cost, realizable value, or current value. b) The basis of preparation of financial statements is the accrual basis, except for the statement of cash flows. c) Functional currency and presentation currency used, including:
(1) functional currency of the Securities Company; (2) facts and reasons for changes, if there are changes in the functional currency of the Securities Company or significant foreign business activities, provided they do not conflict with applicable regulations; and (3) presentation currency used and reasons for using a presentation currency other than the rupiah. d) Reasons for changes in the reporting period (if any).
3) Use of Significant Judgments, Estimates, and Assumptions by Management
a) Securities Companies are required to disclose in the summary of accounting policies or other parts of the notes to the financial statements regarding judgments that management has made in the process of applying accounting policies and have the most significant impact on the amounts recognized in the financial statements. b) Securities Companies are required to disclose information about assumptions made regarding the future and sources of other estimation uncertainty at the end of the reporting period, which have significant risk resulting in material adjustment to the carrying amount of Assets and Liabilities in the following reporting period. c) Regarding Assets and Liabilities as referred to in letter b), notes to the financial statements include details on the nature and carrying amount at the end of the reporting period. d) Securities Companies must explain the basis of inputs, assumptions, estimation techniques used, and application of forward-looking approaches to apply impairment requirements in accordance with SAK.
4) Specific Accounting Policies
Specific accounting policies are accounting policies applied and relevant to understanding the financial statements. Specific accounting policies include, but are not limited to, the following:
a) Consolidation Principles
Securities Companies must explain among others:
(1) the scope of Consolidated Financial Statements, which includes parent entity and subsidiary entity items; (2) the basis and when a subsidiary entity is consolidated into the parent entity's financial statements; (3) accounting policies regarding changes in ownership without loss of Control over subsidiary entities; (4) accounting policies regarding loss of Control over subsidiary entities; (5) accounting policies regarding the recording and presentation of non-controlling interests; and (6) a statement that balances of material inter-entity items and transactions of consolidated entities have been eliminated. b) Cash and Cash Equivalents Securities Companies must explain among others policies in determining components of cash and cash equivalents. c) Financial Instruments Securities Companies must explain among others:
(1) financial instruments other than investments in sukuk and issued sukuk, namely:
(a) initial recognition of financial instruments for each category, including treatment of transaction costs; (b) measurement after initial recognition of financial instruments for each category; (c) offsetting provisions for financial instruments; (d) calculation methods, criteria for significant increase in credit risk, grouping for collective impairment, and definition of default used to determine impairment of Financial Assets; (e) derecognition provisions for financial instruments; and (f) specifically for derivative financial instruments and hedge accounting, in addition to explanations as referred to in letters (a), (b), (c), (d), and (e), explanations must be added regarding:
i. criteria fulfillment for hedge accounting;
ii. classification of hedges for hedge accounting purposes for derivative financial instruments; and
iii. hedge accounting treatment for hedge accounting purposes.
(2) investments in sukuk, namely:
(a) classification and reclassification of investments in sukuk; (b) initial recognition of investments in sukuk; (c) measurement after initial recognition of investments in sukuk; (d) explanation of presentation of investment income on sukuk; and (e) presentation of amortization of transaction costs. (3) issued sukuk, namely:
(a) initial recognition of sukuk;
(b) measurement after initial recognition of sukuk; (c) transaction costs of issuing sukuk; (d) presentation position of sukuk; and

(e) Sharia agreements used. d) Revenue and Expense Recognition Securities Companies are required to explain, among other things:
(1) the conditions and methods for recognizing Revenue and the measurement basis used based on the type of Revenue available; (2) expense recognition; and (3) revenue and sales recognition policies and related expenses in the event of agency transactions. e) Income Tax Securities Companies are required to explain, among other things:
(1) the basis for determining tax rates to measure current and deferred taxes; (2) provisions regarding offsetting; (3) recognition and measurement of Deferred Tax Assets; and (4) the method used in assessing Deferred Tax Assets/Liabilities. f) Related Party Transactions Securities Companies are required to explain, among other things, the policies applied to transactions between the Securities Company and Related Parties. g) Fair Value Securities Companies are required to explain, among other things, the methods and inputs used in determining the Fair Value of Assets and Liabilities. h) Fixed Assets Securities Companies are required to explain, among other things:
(1) initial recognition of Fixed Assets;
(2) measurement after initial recognition of Fixed Assets; (3) grouping of Fixed Assets; (4) depreciation methods used for Fixed Assets, which must reflect the pattern of future economic benefits expected by the Securities Company; (5) capitalization of costs related to Fixed Assets; (6) estimated useful life and depreciation rates; (7) derecognition; (8) residual value; and (9) a statement that management has reviewed estimates of economic life, depreciation methods, and residual value at the end of each reporting period. i) Investments in Associate Entities Securities Companies are required to explain, among other things, the method used to record investments in associate entities. j) Interest in Joint Ventures Securities Companies are required to explain, among other things, the method used to record interest in joint ventures. k) Intangible Assets Securities Companies are required to explain, among other things:
(1) initial recognition of Intangible Assets;
(2) measurement after initial recognition of Intangible Assets;

(3) indefinite or limited useful life, and if the useful life is limited, the amortization rate used and its useful life are disclosed; (4) source of Intangible Assets; (5) amortization method used; (6) derecognition of Intangible Assets; and (7) research and development, if research and development exists. l) Leases Securities Companies are required to explain, among other things:
(1) policy for determining whether an agreement contains a lease; and (2) accounting policy when the Securities Company acts as a lessee and/or lessor. m) Borrowing Costs Securities Companies are required to explain, among other things, the conditions requiring borrowing costs to be capitalized as part of the cost of Qualifying Assets. n) Impairment of Non-financial Assets Securities Companies are required to explain, among other things:
(1) events and conditions indicating the possibility of impairment; and (2) accounting policy for recognizing impairment of Non-financial Assets and its reversal. o) Employee Benefits Securities Companies are required to explain, among other things:
(1) types of employee benefits provided to employees; (2) general description of post-employment benefit programs organized by the Securities Company; (3) accounting policy for recognizing actuarial gains and losses; and (4) recognition of gains and losses for curtailments and settlements. p) Transactions and Balances in Foreign Currency Securities Companies are required to explain, among other things:
(1) provisions for translating transactions and balances in foreign currency; (2) accounting treatment for exchange rate differences arising from the translation of Monetary Assets and Liabilities; and (3) references and exchange rates used to translate transactions and balances in foreign currency. q) Earnings (Loss) per Share Securities Companies that are issuers or public companies are required to explain, among other things, the basis for calculating basic earnings (loss) per share and diluted earnings (loss) per share.
c. Disclosures on Financial Statement Items
1) Assets
a) Cash and Cash Equivalents
Securities Companies are required to disclose, among other things:
(1) Elements of cash and cash equivalents with Related Parties and Third Parties;

(2) Details of bank deposits based on bank name and currency type; (3) Range of contractual interest rates for cash equivalents during the reporting period; (4) Reasons and basis for forming impairment loss allowances; (5) Details of Financial Asset mutations showing:
(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances; (6) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (7) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (8) Explanation of the impact of modifications on contractual cash flows on expected credit losses; and (9) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists. b) Restricted Cash and Cash Equivalents Securities Companies are required to disclose, among other things:
(1) Elements of restricted cash and cash equivalents with Related Parties and Third Parties; (2) Details of the type and amount of restricted cash and cash equivalents based on bank name and currency type; (3) Important description of restricted cash and cash equivalents; (4) Reasons for reclassification changes that were previously not included in restricted cash and cash equivalents; (5) Management's opinion on significant cash and cash equivalent balances that cannot be used by the group; (6) Reasons and basis for forming impairment loss allowances; (7) Details of Financial Asset mutations showing:
(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances;

(8) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (9) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (10) Explanation of the impact of modifications on contractual cash flows on expected credit losses; and (11) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists. c) Time Deposits Securities Companies are required to disclose, among other things:
(1) Details of the type and amount of time deposits based on bank name and currency type. Bank names are separated between Third Parties and Related Parties; (2) Range of deposit interest rates during the reporting period; (3) Carrying amount of time deposits longer than 3 (three) months pledged as collateral, if there are deposits pledged as collateral; (4) Other matters that may affect the liquidity quality of deposits; (5) Reasons and basis for forming impairment loss allowances; (6) Details of Financial Asset mutations showing:
(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances; (7) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (8) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (9) Explanation of the impact of modifications on contractual cash flows on expected credit losses; and (10) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists. d) Securities Portfolios Securities Companies are required to disclose, among other things:
(1) General description of each type of Securities portfolio;

(2) Specifically for Securities portfolios that are KIK investment products, a general description including the type and name of the underlying asset (Underlying Asset) issuer; (3) Details of the type and amount of Securities portfolios based on Financial Asset classification, separated between Third Parties and Related Parties; (4) Details of the type and carrying amount of Securities portfolios separated by currency and interest rates of securities; (5) Profits/losses caused by changes in the Fair Value of owned portfolios, and their recording according to their classification; (6) Total interest income calculated using the effective interest rate method for Securities portfolios other than those measured at Fair Value through profit or loss; (7) If the Securities Company reclassifies Securities portfolios in accordance with SAK, the Securities Company discloses the amounts reclassified from and to each category and the reason for reclassification; (8) For each group of Securities portfolios, the Securities Company discloses the Fair Value of that portfolio group in a manner that allows comparison with its carrying amount and the hierarchy level used in determining the Fair Value of Securities portfolios; (9) For separated Securities portfolios, the carrying amount of Financial Assets pledged as collateral is disclosed if there are Financial Assets pledged as collateral, along with the terms and conditions related to such collateral; (10) For Securities portfolios used as hedging instruments:
(a) description of each type of hedge;
(b) description of financial instruments designated as hedging instruments and their Fair Value at the end of the reporting period; (c) type of risk hedged; and (d) for cash flow hedges:
i. period when cash flows are estimated to occur and when cash flows are expected to affect profit or loss;
ii. description of forecast transactions for which previous hedging accounting was used but are no longer expected to occur; and
iii. amount recognized in other comprehensive income during the period;
(11) Reasons and basis for forming impairment loss allowances; (12) Details of Financial Asset mutations showing:
(a) gross amount of Financial Assets before deducting impairment loss allowances;

(b) amount of impairment loss allowances;
(c) amount of Financial Asset recoveries; and
(d) net amount of Financial Assets after deducting impairment loss allowances; (13) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (14) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (15) Explanation of the impact of modifications on contractual cash flows on expected credit losses; and (16) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists. e) Transferred Securities Portfolios Securities Companies are required to disclose, among other things:
(1) Details of the type and carrying amount of transferred Financial Assets based on Financial Asset classification, separated between Third Parties and Related Parties; (2) Amount of Transferred Securities Portfolios by currency and interest rates of securities; (3) Changes in Fair Value of each type of Transferred Securities Portfolio measured at Fair Value through profit or loss; (4) If the Securities Company reclassifies Transferred Securities Portfolios in accordance with SAK, the Securities Company discloses the amount of pledged Securities reclassified from or to each category and the reason for reclassification; (5) The Securities Company may have transferred Financial Assets such that part or all of the Financial Assets do not meet the criteria for derecognition. The Securities Company discloses for each group of Financial Assets:
(a) type of Asset;
(b) type of risks and benefits of ownership that remain with the Securities Company; (c) if the Securities Company continues to recognize all Assets, the carrying amount of Assets and related Liabilities; and (d) if the Securities Company continues to recognize Assets to the extent of continuing involvement, the total carrying amount of initial Assets, the amount of Assets where the Securities Company continues to recognize, and the carrying amount of related Liabilities; (6) Reasons and basis for forming impairment loss allowances;

(7) Details of Financial Asset mutations showing:
(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances; (8) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (9) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (10) Explanation of the impact of modifications on contractual cash flows on expected credit losses; (11) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists; (12) Specifically for loaned Securities portfolios, the following must be disclosed:
(a) information enabling users of financial statements to evaluate the type and magnitude of risks arising from Securities lending activities as regulated in SAK which must be disclosed in the risk management disclosure group; and (b) maturity of Securities lending transactions by type of Securities; and (13) Specifically for repurchased Securities portfolios and pledged Securities portfolios, the following must be disclosed:
(a) terms and conditions of transactions related to repurchased Securities portfolios and pledged Securities portfolios; and (b) the Securities Company's ability to meet obligations, and if there is a potential inability to meet obligations, the Securities Company must disclose such matter. f) Trade Receivables Securities Companies are required to disclose, among other things:
(1) Amount of receivables separated between Third Parties and Related Parties; (2) Specifically for receivables from Related Parties, disclosure by Related Party name; (3) Amount of receivables by currency; (4) Reasons and basis for forming impairment loss allowances; (5) Details of Financial Asset mutations showing:

(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances; (6) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (7) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (8) Explanation of the impact of modifications on contractual cash flows on expected credit losses; (9) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists; (10) Amount amortized using the effective interest rate method; and (11) Continuing involvement information for transferred receivables, including:
(a) amount transferred, interest expense, retention, maturity, and other important covenants regulated in the agreement; and (b) collateral provided, if any collateral exists. g) Receivables from Securities Brokerage Transactions Securities Companies are required to disclose, among other things:
(1) Details of receivable types by Party, including receivables from KLP, clients, and/or other Securities Companies; (2) Client receivables are separated for each client, namely NPR and NK; (3) Client and/or other Securities Company receivables are separated based on Third Parties and Related Parties; (4) Party name, interest rate, and amount of Related Party receivables; (5) Amount of receivables by transaction type; (6) Amount of receivables by currency; (7) Reasons and basis for forming impairment loss allowances; (8) Details of Financial Asset mutations showing:
(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances;

(9) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (10) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (11) Explanation of the impact of modifications on contractual cash flows on expected credit losses; (12) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists; (13) Disclosure related to margin money, if margin money exists:
(a) carrying amount of Financial Assets pledged as collateral for Liabilities or Contingent Liabilities, including amounts reclassified in accordance with SAK; and (b) terms and conditions related to such collateral; (14) Specifically for client receivables, disclose:
(a) details of regular transactions consisting of transactions that have matured but are not yet settled and transactions that have not yet matured; and (b) carrying amount of receivables pledged as collateral, if there are receivables pledged as collateral; and (15) Specifically for receivables from other Securities Companies:
(a) Disclosure related to margin money for Securities lending, including:
i. Fair Value of Financial Assets lent by other Securities Companies; and
ii. terms and conditions related to such lending.
(b) Disclosure related to separated transactions, including:
i. basis for determination (information regarding the determination letter);
ii. Securities and amount transacted; and
iii. regulatory basis used as reference.
h) Receivables from Securities Issuance Underwriting Transactions Securities Companies are required to disclose, among other things:
(1) Details of the amount of receivables arising from securities issuance underwriting transactions, both through public offerings and non-public offerings, other than those included in trade receivables; (2) Amount of receivables by currency; (3) Reasons and basis for forming impairment loss allowances; (4) Details of Financial Asset mutations showing:

(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances; (5) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (6) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (7) Explanation of the impact of modifications on contractual cash flows on expected credit losses; and (8) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists. i) Receivables from Investment Management Transactions Securities Companies are required to disclose, among other things:
(1) Details of the amount of receivables arising from investment management transactions, other than those included in trade receivables; (2) Amount of receivables by currency; (3) Reasons and basis for forming impairment loss allowances; (4) Details of Financial Asset mutations showing:
(a) gross amount of Financial Assets before deducting impairment loss allowances; (b) amount of impairment loss allowances; (c) amount of Financial Asset recoveries; and (d) net amount of Financial Assets after deducting impairment loss allowances; (5) Reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as Financial Assets purchased or deteriorated, with details in accordance with SAK; (6) Explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (7) Explanation of the impact of modifications on contractual cash flows on expected credit losses; and (8) Management's opinion on the adequacy of the allowance amount or a statement of management's belief that no impairment exists. j) Receivables from Repo Transactions Securities Companies are required to disclose, among other things:
(1) name of Party/counterparty;

(2) the amount of receivables separated between Third Parties and Related Parties; (3) details of the type and amount of Securities transacted; (4) details of the type and amount of Repo Securities transacted again (re-repo transactions) by the buyer (if any); (5) the purchase date and the repurchase date; (6) the purchase price and the repurchase price; (7) the location of the collateral Securities; (8) the interest rate on repo transaction receivables; (9) the repo term; (10) the interest rate on cash margin, if there is cash margin; (11) the type and amount of Securities margin and/or cash margin, if there is Securities margin and/or cash margin; (12) the reasons and basis for the formation of impairment loss allowances; (13) details of the movement of Financial Assets showing:
(a) the amount of Financial Assets gross before deducting impairment loss allowances; (b) the amount of impairment loss allowances; (c) the amount of Financial Asset recoveries; and (d) the amount of Financial Assets net after deducting impairment loss allowances; (14) reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as purchased or impaired Financial Assets with details in accordance with SAK; (15) an explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (16) an explanation of the impact of modifications on contractual cash flows on expected credit losses; and (17) management's opinion on the adequacy of the allowance amount or management's statement of assurance that there is no impairment. k) Other Receivables Securities Companies are required to disclose among others:
(1) details of the type and amount of other receivables; (2) the amount of other receivables separated between Third Parties and Related Parties; (3) the amount of receivables by currency; (4) the reasons and basis for the formation of impairment loss allowances; (5) details of the movement of Financial Assets showing:
(a) the amount of Financial Assets gross before deducting impairment loss allowances; (b) the amount of impairment loss allowances; (c) the amount of Financial Asset recoveries; and (d) the amount of Financial Assets net after deducting impairment loss allowances; (6) reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as purchased or impaired Financial Assets with details in accordance with SAK; (7) an explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances; (8) an explanation of the impact of modifications on contractual cash flows on expected credit losses; and (9) management's opinion on the adequacy of the allowance amount or management's statement of assurance that there is no impairment. l) Prepaid Expenses Securities Companies are required to disclose among others:
(1) details of the type and amount of prepaid expenses; and (2) the amount of amortization for deferred expenses, which must explain among others the method and period of amortization. m) Prepaid Taxes Securities Companies are required to disclose among others:
(1) details by type and amount of each tax; and (2) an explanation regarding the amount of tax refunds requested and their status. n) Investments in Associate Entities Securities Companies are required to disclose among others:
(1) the name of the associate entity;
(2) the percentage of ownership and an explanation of the existence of Significant Influence, along with the reasons; (3) the carrying amount and Fair Value of investments in associate entities whose quotes are available; (4) a summary of the financial information of the associate entity including the aggregate amount of Assets, Liabilities, Revenue, and profit or loss; (5) the reason for the absence of Significant Influence even though the Securities Company holds more than 20 (twenty percent) of voting rights or potential voting rights of the recipient entity (investee) directly or indirectly; (6) the end of the reporting period of the associate entity's financial statements, when those financial statements are used in applying the equity method and the date or period differs from the issuer or public company, and the reason for using a different date or period; (7) the nature and level of any significant restrictions on the associate entity's ability to transfer funds to the Securities Company; (8) the associate entity's share of losses not recognized and the reasons, if the Securities Company ceases to recognize its share of the associate entity's losses, both for the period in which the loss occurred and cumulatively; (9) the associate entity's share of contingent Liabilities that occur jointly with other investors; (10) Contingent Liabilities that arise because the investor is jointly liable for all or part of the associate entity's Liabilities; and (11) a summary of the financial information of the associate entity, individually or in groups, which is not recorded using the equity method including total Assets, total Liabilities, Revenue, and profit or loss. o) Shareholdings Securities Companies are required to disclose among others:
(1) the nominal value of shares and the classification of its Financial Assets; and (2) profits/losses caused by changes in the Fair Value of shareholdings and their recording in accordance with their classification. p) Intangible Assets Securities Companies are required to disclose information related to Intangible Asset items as regulated in SAK. q) Fixed Assets Securities Companies are required to disclose among others:
(1) each group of Fixed Assets must be disclosed separately based on Asset ownership, namely directly owned Fixed Assets and/or leased Fixed Assets; (2) reconciliation of the gross carrying amount and accumulated depreciation of Fixed Assets at the beginning and end of the period showing additions, disposals, and reclassifications; (3) the amount of depreciation for each presentation period and the allocation of depreciation expenses; (4) impairment losses and the amount of reversals recognized in the income statement and other comprehensive income, if there are impairment losses and the amount of reversals recognized in the income statement and other comprehensive income; (5) the amount of contractual commitments in the acquisition of Fixed Assets; (6) the amount of compensation from Third Parties for Fixed Assets that have suffered impairment, are lost, or are discontinued, which is included in profit or loss, if not disclosed separately in the income statement and other comprehensive income; (7) in the event that Fixed Assets are presented using the revaluation model, in addition to the disclosures referred to in items (1) through (6) above, Securities Companies are also required to disclose among others:
(a) the effective date of revaluation (valuation date); (b) the effective date of approval from the Directorate General of Taxes (DJP) if Fixed Assets for tax calculations use the revalued amount; (c) the name of the appraiser and the latest valuation report; (d) the method and significant assumptions used in determining the Fair Value of Assets; (e) the carrying amount for each class of Fixed Assets if the Asset were recorded using the cost model; and (f) revaluation surplus or impairment loss, showing changes during the period and restrictions on the distribution of surplus balances to shareholders; (8) specifically for Fixed Assets under construction and development, Securities Companies are required to disclose among others:
(a) details of Fixed Assets under construction; (b) the percentage of the carrying amount against the contract value; (c) estimates at completion; (d) obstacles to continued completion, if there are obstacles; (e) the amount of expenditures recognized in the carrying amount of Fixed Assets under construction; and (f) in the event that borrowing costs are capitalized for Assets that meet the criteria for Qualifying Assets, it is mandatory to disclose:
i. the amount of borrowing costs capitalized during the current period; and
ii. the capitalization rate used to determine the amount of borrowing costs that are reasonably capitalized;
(9) other disclosures include among others:
(a) the carrying amount of Fixed Assets that are temporarily idle; (b) the existence and amount of restrictions on ownership rights and Fixed Assets pledged for Liabilities; (c) the gross carrying amount of each Fixed Asset that has been fully depreciated and is still in use; (d) the carrying amount of Fixed Assets that have been discontinued from active use and are not classified as held for sale; (e) in the event that the cost model is used, the Fair Value of Fixed Assets for each class of Fixed Assets; (f) book value, net sale proceeds, profits/losses from Fixed Assets whose recognition is discontinued; (g) in the event that there are Fixed Assets derived from grants, the type of Asset, carrying amount, and acquisition date must be disclosed; (h) changes in useful life estimates and/or depreciation methods by type of Fixed Asset; and (i) conditions or events that cause impairment or recovery of impairment. r) Other Assets Securities Companies are required to disclose among others:
1) details of the type and amount of Other Assets and important descriptions of the respective Assets;
2) reasons for changes in the classification of Assets that were previously not included in Other Assets or vice versa;
3) for the type of Fixed Assets that are no longer actively used and are held for sale (scrapped), the carrying amount and net realizable value must be disclosed;
4) details of the movement of Financial Assets showing:
(a) the amount of Financial Assets gross before deducting impairment loss allowances; (b) the amount of impairment loss allowances; (c) the amount of Financial Asset recoveries; and (d) the amount of Financial Assets net after deducting impairment loss allowances;
5) reconciliation of impairment loss allowances, separated for 12 (twelve) month expected credit losses and lifetime expected credit losses, as well as purchased or impaired Financial Assets with details in accordance with SAK;
6) an explanation of how significant changes in the gross carrying amount of financial instruments during the reporting period contributed to changes in allowances;
7) an explanation of the impact of modifications on contractual cash flows on expected credit losses; and
8) management's opinion on the adequacy of the allowance amount or management's statement of assurance that there is no impairment.
2) Liabilities
a) Trade Payables
Securities Companies are required to disclose among others:
(1) the amount of trade payables separated between Third Parties and Related Parties; (2) specifically for payables to Related Parties, disclosed by the name of the Party; (3) the amount of trade payables by currency; and (4) the collateral provided by the Securities Company by indicating the related items. b) Payables from Securities Broker Transactions Securities Companies are required to disclose among others:
(1) details of the type of payables based on the Party, including payables to KLP, clients, and/or other Securities Companies; (2) client payables are separated for each client, namely NPR and NK; (3) client payables and/or payables to other Securities Companies are separated based on Third Parties and Related Parties; (4) the name of the party, interest rate, and amount of Related Party payables; (5) the amount of payables by type of transaction; (6) the amount of payables by currency; (7) the amount, name of the Party, and type of transaction related to credit balances for funds borrowed by the Securities Company from clients; (8) disclosures related to collateral, if there is collateral:
(a) the carrying amount of Financial Assets pledged as collateral for Liabilities or Contingent Liabilities, including the amount that has been reclassified in accordance with SAK; and (b) the terms and conditions related to the collateral; (9) in the event that the Securities Company initially designates a Financial Liability to be measured at Fair Value through profit or loss, it is required to disclose in accordance with the provisions required in SAK; (10) specifically for client payables, disclose:
(a) the name of the Party, interest rate, and amount of payables to each NPR outside of transactions; and (b) the carrying amount of collateral submitted if there is a submission of collateral; (11) specifically for payables to other Securities Companies, disclosures related to collateral for borrowing Securities, if the Securities Company has collateral (Financial Assets or Non-financial Assets) and is allowed to sell or re-pledge without prior default by the owner of the collateral, it is required to disclose among others:
(a) the Fair Value of the collateral held;
(b) the Fair Value of each collateral sold or re-pledged, and whether the Securities Company is obligated to return the collateral; and (c) the terms and conditions related to the use of the collateral; and (12) specifically for disclosures related to short position Securities payables, disclose among others details regarding the type and amount of short position Securities. c) Payables from Securities Underwriting Transactions Securities Companies are required to disclose among others:
(1) details of the amount of payables arising from securities underwriting transactions, both through public offerings and not through public offerings, other than those included in trade payables; and (2) the amount of payables by currency. d) Payables from Investment Management Transactions Securities Companies are required to disclose among others:
(1) details of the amount of payables arising from investment management transactions, other than those included in trade payables; and (2) the amount of payables by currency. e) Repo Transaction Payables Securities Companies are required to disclose among others:
(1) the name of the party/counterparty;
(2) the amount of payables separated between Third Parties and Related Parties; (3) details of the type and amount of Securities transacted; (4) the purchase date and the repurchase date; (5) the purchase price and the repurchase price; (6) the location of the collateral Securities; (7) the interest rate on repo transaction payables; (8) the repo term; (9) the interest rate on cash margin, if there is cash margin; and (10) the type and amount of Securities margin and/or cash margin, if there is Securities margin and/or cash margin. f) Tax Payables Securities Companies are required to disclose among others the type and amount of tax payables and information regarding tax assessments. g) Accrued Expenses Securities Companies are required to disclose among others:
(1) the type and amount regarding components that are large in amount; and (2) other accrued expenses that are not detailed separately because of their small amount, grouped into a separate component, but must explain their nature and main elements. h) Short-term Payables Securities Companies are required to disclose details of:
(1) Short-term Debt Instruments, including among others:
(a) details of the type, nominal value, and carrying amount in Rupiah and foreign currency, maturity date, and interest rate; (b) an explanation of the collateral and other requirements; and (c) an explanation regarding the conditions of short-term debt instruments. (2) The portion of Long-term Liabilities that will mature soon; Securities Companies are required to disclose Long-term Liabilities that will mature soon in accordance with the disclosure of long-term payables and long-term debt instruments as regulated in this regulation. (3) Other Short-term Payables, including among others:
(a) details of the type, nominal value, and carrying amount in Rupiah and foreign currency, maturity date, and interest rate; (b) grouping other short-term payables according to classification separated between Third Parties and Related Parties; (c) an explanation of the collateral and other requirements; (d) an explanation regarding the conditions of other short-term payables; (e) other important events including the Securities Company's compliance in meeting requirements; and

(f) specifically for Liabilities arising related to the sale of Repo Securities by the buyer (in repo transactions) to other Parties, it is mandatory to disclose among others:
i. the name of the Party/counterparty;
ii. the type and amount of Repo Securities transacted again (transaction of sale of Repo Securities) by the buyer;
iii. the date of sale of Repo Securities;
iv. the sale price of Repo Securities;
v. the Fair Value of Repo Securities;
vi. unrealized profits/losses;
vii. the location of Repo Securities; and
viii. in the event that the Securities Company initially designates a Financial Liability to be measured at Fair Value through profit or loss, it is required to disclose in accordance with the provisions required in SAK.
i) Long-term Payables
Securities Companies are required to disclose among others:
(1) details of the amount of payables based on the name of the bank/financial institution and type of currency; (2) the amount of payables separated between Third Parties and Related Parties; (3) the range of contractual interest rates during the reporting period; (4) the maturity date; (5) the amount of the portion that will mature within 12 (twelve) months; (6) an explanation of the loan facilities obtained, including the amount and purpose of obtaining them; (7) payments made during the current period for each loan facility; (8) details of each default during the period consisting of principal, interest, repayment funds, or withdrawal conditions of the loan; (9) the carrying amount of loans received that experienced default at the end of the reporting period; (10) an explanation regarding the settlement of defaults or renegotiation of loan withdrawal conditions; (11) the collateral provided by indicating the related items; (12) other important requirements, such as restrictions on dividend distribution, restrictions on certain ratios, and/or restrictions on obtaining new debt; and (13) other important events including the Securities Company's compliance in meeting requirements and loan conditions, for example, debt restructuring and default conditions. j) Long-term Debt Instruments (1) Securities Companies are required to disclose among others:
(a) details regarding the type, nominal value, and carrying amount in Rupiah and foreign currency, maturity date, interest payment schedule, interest rate, stock exchange where the debt instrument is listed, and the purpose of issuance; (b) the amount of the portion that will mature within 12 (twelve) months; (c) the rating and name of the Securities Rating Company; (d) the name of the trustee and business connections with the Securities Company; (e) details of each default during the period from principal, interest, repayment funds, or withdrawal conditions of the loan; (f) the carrying amount of loans received that experienced default at the end of the reporting period; (g) an explanation regarding the settlement of defaults or renegotiation of loan withdrawal conditions; (h) collateral and the formation of funds for the repayment of principal debt by indicating the related items, if there is collateral and the formation of funds for the repayment of bond principal; (i) restrictions required in the trust agreement and other important requirements; and (j) other important events including the Securities Company's compliance in meeting requirements and loan conditions, for example, debt restructuring and default conditions. (2) For long-term debt instruments in the form of sukuk, in addition to the mandatory disclosures in item (1) above, it is also mandatory to disclose:
(a) sukuk grouped by the Shariah contract used; and (b) an explanation of the main requirements in the issuance of sukuk, including:
i. a summary of the Shariah contract and the Shariah transaction scheme used;
ii. Assets, benefits, or activities that underlie;
iii. nominal value;
iv. the amount of remuneration, for ijarah sukuk;
v. the principle of profit sharing, the basis for profit sharing, and the amount of the profit sharing ratio, for mudharabah sukuk;
vi. the planned schedule and method of distribution and/or payment of remuneration or profit sharing;
vii. the term;
viii. the purpose of issuance; and
ix. other important requirements.
k) Employee Benefits Liabilities
Securities Companies are required to disclose among others:
(1) short-term employee benefits the type and amount of short-term employee benefits.
(2) post-employment benefits
(a) defined contribution plans the amount recognized as an expense for defined contribution plans.
(b) defined benefit plans
i. information explaining the characteristics of the defined benefit plan and associated risks;
ii. information identifying and explaining the amount arising from the defined benefit plan in the financial statements;
iii. information explaining how the defined benefit plan impacts the amount, timing, and uncertainty of the entity's future cash flows; and
iv. specifically for Securities Companies participating in multi-employer defined benefit plans, disclose as required by SAK.
(3) other long-term employee benefits the type and amount of other long-term employee benefits.
(4) termination benefits
(a) an explanation of the program and the amount of termination benefits; and (b) an explanation regarding Contingent Liabilities, if there are Contingent Liabilities related to termination benefits. l) Subordinated Payables Securities Companies are required to disclose among others:
(1) the name of the creditor, nature of the obligation, term, type of currency, and range of contractual interest rates during the reporting period; (2) the purpose of obtaining them; (3) requirements related to the repayment of subordinated debt; (4) other important events including the Securities Company's compliance in meeting requirements and loan conditions (for example, debt restructuring and default conditions); and (5) other important requirements, for example, fulfilling the obligation of agreements and having obtained approval. m) Convertible Bonds Securities Companies are required to disclose among others:
(1) details regarding the type, nominal value, and carrying amount, maturity date, interest payment schedule, interest rate, stock exchange where convertible bonds are listed, and the purpose of issuance; (2) the conversion period and conversion requirements including among others the conversion ratio, exercise price, conversion rights before maturity and their requirements, and penalties; (3) the dilution impact if all bonds are converted, considering the level of

conversion or exercise price that is most favorable from the perspective of the convertible bondholder; (4) the number of bonds that have been converted and the impact of their conversion; (5) the rating and name of the Securities Rating Agency; (6) the number of portions maturing within 12 (twelve) months; (7) the name of the trustee and business relationships with the Securities Company; (8) collateral and the establishment of funds for the repayment of bond principal by designating related accounts, if there is collateral and the establishment of funds for the repayment of bond principal; (9) other important events, including the Securities Company's compliance with the requirements and conditions of debt, such as debt restructuring and default conditions; (10) in the event that the Securities Company issues convertible bonds without a public offering, the purpose of issuance and the name of the buyer must be disclosed; (11) the Liability components of convertible bonds; (12) the existence of embedded derivative features; and (13) other important requirements. n) Other Liabilities Securities Companies are required to disclose, among other things:
(1) details of the type and amount of other liabilities; and (2) the amount of other liabilities separated between Third Parties and Related Parties.
3) Equity
a) Equity attributable to the owners of the parent entity, consisting of, among other things:
(1) Share Capital
Securities Companies are required to disclose, among other things:
(a) Description of each type of share of the Securities Company, including:
i. the number of authorized shares;
ii. the number of shares issued and fully paid, and those issued but not fully paid;
iii. the nominal value of shares, or the value of shares without nominal value;
iv. reconciliation of the number of outstanding shares at the beginning and end of the period;
v. rights, privileges, and restrictions attached to each type of share, including restrictions on dividends and repayment of capital;
vi. shares of the Securities Company held by the Securities Company itself or by subsidiaries or associates; and
vii. shares reserved for issuance with option rights and contracts
for the sale of shares, including the number and terms.
(b) Shareholder structure, namely:
i. shareholders owning 5% or more;
ii. names of directors and commissioners who hold shares; and
iii. other shareholders.
By disclosing the number of shares, ownership percentage, and nominal value amount for each of these shareholders.
(c) In the event of changes in share capital during the current year, the following must be disclosed:
i. decisions related to changes in share capital, such as approval by the Minister of Law and the General Meeting of Shareholders (GMS);
ii. sources of increased share capital, including donation capital and other additional paid-in capital, differences from revaluation of fixed assets, exercise of warrants, conversion of bonds, etc.;
iii. recording method and number of shares repurchased, in the event of repurchase of issued shares; and
iv. purpose of changes in share capital, including for expansion or debt repayment.
(d) In the event that only part of the Securities Company's shares are listed on the stock exchange, the number of shares listed and not listed on the stock exchange must be stated. (2) Additional Paid-in Capital Securities Companies are required to disclose, among other things:
(a) details of the amount of additional paid-in capital; (b) description of the source of share premium; (c) details of equity securities issuance costs based on the issuance of equity securities; (d) description of the nature and origin of exchange rate differences on paid-in capital; (e) description of the type of Assets and amount of donation capital; (f) description of the nature and origin of other additional paid-in capital; and (g) disclosure for transaction differences with controlling entities, including:
i. name and explanation of the combined entity or business;
ii. explanation of the controlling relationship of the transacting entities and that the relationship is not temporary;
iii. effective date of the transaction;
iv. operations or business activities that have been decided to be sold or discontinued due to the business combination;
v. ownership of the transferred entity or business and the type and amount of consideration received;
vi. book value of the combined or transferred business and the difference between the book value and the amount of consideration paid or received; and
vii. disclosure regarding the presentation of restated financial statements as regulated in SAK, providing information at least as follows:
i) summary of previously reported financial statement figures for the period being restated; ii) summary of the book value of Assets and Liabilities of the combined entity or business; iii) impact of accounting policy adjustments; and iv) summary of financial statement figures after restatement. (3) Transaction Differences with Non-controlling Parties Securities Companies are required to disclose, among other things:
(a) description of ownership change transactions without loss of Control, including:
i. type of transaction and change in ownership percentage;
ii. name of the subsidiary; and
iii. name of the transacting party;
(b) calculation of transaction differences for ownership changes without loss of Control; and (c) the amount realized in profit or loss upon disposal of investments upon loss of Control. (4) Treasury Stock Securities Companies are required to disclose, among other things:
(a) explanation of the decision underlying the repurchase of the Securities Company's shares, including the background of share repurchase, disposal, or reduction of paid-in capital; (b) date or period of acquisition and the number of shares and value of treasury shares acquired; (c) date and number of treasury shares used as a reduction of paid-in capital; (d) date and number of treasury shares re-disposed of and the difference between the acquisition price and the disposal price of treasury shares;

(e) accumulated number of shares and value of treasury shares; and (f) procedures and conditions for the repurchase of the Securities Company's shares.
(5) Retained Earnings Balance
Securities Companies are required to disclose, among other things:
(a) changes in the retained earnings balance during the relevant period and GMS approval related thereto; (b) reasons and amount of prior period adjustments, if any adjustments exist; and (c) retained earnings balance with designated users, nature, and purpose of each reserve account. (6) Other Equity Components (Other Comprehensive Income) Securities Companies are required to disclose, among other things, information regarding changes in each component of other comprehensive income along with its analysis, where such analysis can be presented in the statement of changes in equity if not presented in this section. b) Non-controlling Interests Securities Companies are required to disclose, among other things, details of the non-controlling shareholders' portion of the equity of each subsidiary that cannot be directly or indirectly attributed to the parent entity.
4) Revenue
Securities Companies are required to disclose, among other things:
a) the amount of each significant category of Revenue recognized during the period, based on transactions conducted by the Securities Company, including:
(1) Revenue from contracts with customers, including:
(a) Commission revenue, such as intermediaries and syndicate members.
(b) Service revenue, such as advisory and underwriting (lead underwriter) fees, where the underwriter is most responsible for the issuer in the event of failure in syndicated underwriting of securities. (2) Revenue from investment results, including:
(a) returns received from investment results, such as interest income and/or returns from debt securities and money market instruments and/or dividends from equity securities; and (b) investment gains (losses), such as gains (losses) from securities trading transactions, including unrealized gains (losses) on securities measured at Fair Value through profit or loss. Disclosed separately based on Related Parties and Third Parties; b) details of the amount of main product/service groups;

c) name of the Party (counterparty) and cash inflow value exceeding 10% (ten percent) of Revenue; and d) in the event that the Securities Company acts as an agent or principal in agency transactions, details of the net Revenue components must be disclosed separately, including:
(1) Gross Revenue;
(2) deductions from Gross Revenue; and
(3) total Net Revenue.
5) Expenses
Securities Companies are required to disclose, among other things:
a) details of the type and amount of expenses; b) additional information about the nature of expenses, including depreciation and amortization expenses, and employee benefit expenses; and c) name of the Party (counterparty) and cash outflow value exceeding 10% (ten percent) of Revenue.
6) Other Revenue and Expenses
a) Other Revenue
Securities Companies are required to disclose, among other things, details and amounts of other revenue. b) Other Expenses Securities Companies are required to disclose, among other things, details and amounts of other expenses.
7) Financial Costs
Securities Companies are required to disclose, among other things, details of the cost value for each type of financial cost.
8) Other Comprehensive Income
Securities Companies are required to disclose, among other things:
a) for those that will not be reclassified to profit or loss:
(1) changes in the surplus of revaluation of fixed assets or intangible assets; (2) gains and losses from remeasurement of defined benefit plans; (3) share of other comprehensive income from associates and/or joint ventures; and (4) gains and losses from investments in equity instruments designated at Fair Value through other comprehensive income in accordance with SAK. b) for those that will be reclassified to profit or loss:
(1) exchange rate differences due to translation of financial statements; (2) gains and losses on financial assets measured at Fair Value through other comprehensive income in accordance with SAK; and (3) effective portion of gains and losses on hedging instruments in cash flow hedging. d. Other Disclosures
1) Related Party Transactions
Securities Companies are required to disclose, among other things:
a) All transactions or balances with Related Parties, the amount of which:
(1) exceeds Rp1,000,000,000.00 (one billion rupiah) for transactions with persons or close family members; and/or

(2) exceeds 0.5% (zero point five percent) of the equity value on the transaction date for transactions with related entities. b) Disclosure as referred to in letter a), with the following provisions:
(1) disclosure related to transactions with persons or close family members includes name, nature of relationship with Related Parties, and information regarding transactions and balances with such parties; (2) disclosure related to transactions with related entities includes the nature of the relationship with Related Parties and information regarding transactions and balances, including commitments, necessary to understand the potential impact of such relationships in financial statements, at least:
(a) transaction amount and its percentage of total Revenue and related expenses; (b) balance amount and its percentage of total Assets or Liabilities, including commitments, at least including:
i. terms and conditions, including whether there is collateral, and the nature of consideration to be given, for settlement; and
ii. details of guarantees given or received.
(c) amount of impairment loss reserves, individual and collective impairment loss reserves, and write-off of receivables related to the balance amount; and (d) reasons and basis for establishing impairment loss reserves, if reserves are established; (3) the required disclosure as referred to in numbers (1) and (2) is done separately for each of the following categories:
(a) parent entity;
(b) entities with Joint Control or Significant Influence over the Securities Company; (c) subsidiaries; (d) associates; (e) joint ventures where the Securities Company is a joint venturer; (f) Key Management Personnel of the Securities Company or its parent entity; and (g) other Related Parties. c) Securities Companies are required to disclose all compensation provided to each member or group of directors, commissioners, principal shareholders who are also employees, and other key management for each of the following categories:
(1) short-term employee benefits;

(2) post-employment benefits;
(3) other long-term employee benefits;
(4) termination benefits; and
(5) share-based payments. d) In the event that the Securities Company is a related entity with the government, then for transactions with other government-related entities, the Securities Company does not follow the disclosure provisions as referred to in letter b) number (2), but is required to disclose the following:
(1) name of the government-related entity and the nature of its relationship with the Securities Company; (2) nature and amount of each transaction that is individually significant; and (3) for other transactions that are collectively, but not individually, significant, quantitative or qualitative indication of the extent of such transactions. In this case, such transactions are not required to be presented separately as main components in financial statements. e) Disclosure that Related Party transactions are conducted on terms equivalent to those in arm's length transactions, only if such statement can be proven.
2) Income Tax
Securities Companies are required to disclose, among other things:
a) components of (Income) tax expense consisting of:
(1) current (Income) tax expense;
(2) adjustments recognized in the period for current tax arising from prior periods; (3) amount of deferred tax expense (Income) arising from temporary differences and their reversal; (4) amount of deferred tax expense (Income) related to changes in tax rates or application of new tax regulations; (5) amount of benefits arising from tax losses not previously recognized or temporary differences of a prior period used to reduce current tax expense and deferred tax expense; (6) deferred tax expense caused by the reversal or reversal of previous reductions in Deferred Tax Assets; and (7) amount of (Income) tax expense related to changes in accounting policies and errors treated in the statement of profit or loss and other comprehensive income, because they cannot be treated retrospectively; b) aggregate current and deferred tax related to transactions charged or credited directly to equity; c) amount of Income Tax related to each component of other comprehensive income; d) explanation of the relationship between (Income) tax expense and accounting profit in the following form:
(1) reconciliation between (Income) tax expense and the product of accounting profit with the applicable tax rate, disclosing the basis for calculating the applicable tax rate; and/or (2) reconciliation between the average effective tax rate and the applicable tax rate, disclosing the basis for calculating the applicable tax rate; e) explanation of changes in the applicable tax rate and comparison with the applicable tax rate in the previous accounting period; f) amount and time limit for use, if there is a time limit, deductible temporary differences and uncompensated tax losses not recognized as Deferred Tax Assets in financial statements; g) fiscal reconciliation and calculation of current tax expense in the following manner:
(1) profit before tax according to accounting; (2) plus/deducted positive or negative corrections in detail; and (3) taxable profit; h) calculation of current tax expense and Liabilities by applying the tax rate in accordance with regulations governing taxation; i) statement that taxable profit resulting from reconciliation becomes the basis for filling out the Annual Income Tax Return (Annual PPh Body); j) each type of temporary difference and each type of uncompensated tax loss, namely:
(1) amount of Deferred Tax Assets and Liabilities recognized in the financial position statement for the presentation period; and (2) amount of deferred tax expense (Income) recognized in profit or loss, if such amount is not visible from the change in the amount of Deferred Tax Assets or Liabilities recognized in the financial position statement; and k) amount of Deferred Tax Assets and reasons or evidence supporting the recognition of Deferred Tax Assets, if:
(1) the use of Deferred Tax Assets depends on future taxable profit conditions being greater than the profit from reversing existing taxable temporary differences; and (2) the entity incurs losses in the current or previous period resulting in the recognition of Deferred Tax Assets related thereto.
3) Leases
Securities Companies acting as lessees are required to disclose, among other things:
a) book value of right-of-use Assets at the end of the reporting period based on the class of underlying Assets and lessee (lessor); b) depreciation expense for right-of-use Assets based on the class of underlying Assets; c) interest expense on lease liabilities; d) expenses related to short-term leases. This expense does not include expenses related to leases with a lease term of 1 month or less;

e) expenses related to leases of low-value Assets. This expense does not include expenses related to short-term leases of low-value Assets; f) expenses related to variable lease payments not included in the measurement of lease liabilities; g) Revenue from subleasing right-of-use Assets; h) total cash outflows for leases; i) additions to right-of-use Assets; j) gains or losses arising from sale and leaseback transactions; k) significant estimates and adjustments used, including judgment when determining the lease term if not in accordance with the lease contract, such as when using proxy calculations or there are additional periods covered in the lease agreement contract; l) maturity analysis of lease liabilities; m) future cash outflows that may potentially impact the lessee and are not reflected in the measurement of lease liabilities, including impacts arising from:
(1) variable lease payments;
(2) extension options and termination options; (3) residual value guarantees; and (4) leases not yet commenced by lessees who have committed; n) restrictions or covenants arising from leases; and o) other disclosure provisions for lessees as regulated in SAK.
4) Impairment of Non-financial Assets
Securities Companies are required to disclose the following for each impairment loss recognized or reversed during a specific period for an individual Asset or a cash-generating unit, including:
a) events and conditions indicating the recognition or reversal of impairment losses; b) the amount of impairment losses recognized in profit or loss during the period and the components of the statement of profit or loss and other comprehensive income in which the impairment losses are included; c) the amount of impairment losses reversed recognized in profit or loss during the period and the components of the statement of profit or loss and other comprehensive income in which the reversed impairment losses are included; d) the amount of impairment losses on revalued Assets recognized in other comprehensive income during the period; e) the amount of impairment losses on revalued Assets reversed recognized in other comprehensive income during the period; f) if the recoverable amount is Fair Value less costs of disposal, the Securities Company discloses the following information:
(1) the fair value hierarchy level used;
(2) for Fair Value measurements in category level 2 and level 3 of the fair value hierarchy:
(a) description of the valuation technique used;

(b) changes in valuation technique and reasons, if there are changes in valuation technique; and (c) each key assumption underlying the determination of Fair Value; and g) if the recoverable amount is value in use, the Securities Company discloses the discount rate used in current estimates and previous estimates, if there are previous estimates of value in use.
5) Interest in Joint Ventures
Securities Companies are required to disclose, among other things:
a) aggregate amount of contingent liabilities with the amount of other contingent liabilities separately; b) aggregate amount of capital commitments related to its interest in joint ventures separately from other commitments; c) list and explanation of significant interests in joint ventures and ownership interests in joint control entities; and d) in the event that joint ventures are recognized in joint control entities, additional disclosures regarding:
(1) the method used to recognize its interest; and (2) the aggregate amount of each Current Asset, Non-current Asset, Short-term Liabilities, Long-term Liabilities, Income and expenses related to its interest in joint ventures.
6) Dividends
Securities Companies are required to disclose, among other things:
a) the amount of dividends and dividends per share that have been declared and paid as distributions to owners during the reporting period; b) the amount of dividend liabilities for:
(1) the reporting period, and
(2) the previous period; c) the amount of dividends and dividends per share proposed or declared after the reporting period but before the date of completion of the financial statements and not recognized as Liabilities to owners at the end of the reporting period; d) the amount of cumulative preferred dividends not recognized; and e) the date of GMS approval in deciding the determination of cash dividends.
7) Financial Instruments
a) Securities Companies classify financial instruments into groups according to the nature of the information disclosed and consider the characteristics of the financial instruments. Securities Companies provide sufficient information to allow reconciliation of each line item presented in the financial position statement. b) Securities Companies disclose in the financial position statement or in the notes to the financial statements, sub-classification of the items presented and

classified in an appropriate manner according to the Securities Company's business activities. c) Special disclosures related to the reclassification of Financial Assets include:
(1) In the event that the Securities Company has reclassified Financial Assets in the current or previous reporting periods, then for each such event, the Securities Company discloses:
(a) the date of reclassification;
(b) a detailed explanation of changes in the business model and a qualitative description of the impact of such reclassification in the entity's financial statements; and (c) the amount of reclassifications into and out of each category. (2) In the event of reclassifying Assets from the FVTPL category so that the Assets are measured at amortized cost or measured at FVTOCI, then for each reporting period after reclassification until derecognition, the Securities Company discloses:
(a) the effective interest rate determined on the date of reclassification; and (b) Interest Income recognized.
(3) In the event that since the last annual report, the Securities Company has reclassified Financial Assets out of the FVTOCI category into the category of Financial Assets measured at amortized cost, or out of FVTPL into Financial Assets measured at amortized cost or at FVTOCI, then the Securities Company discloses:
(a) Fair Value of Financial Assets at the end of the reporting period; and (b) Fair Value gains or losses that should have been recognized in profit or loss or other comprehensive income during the period if the Financial Assets had not been reclassified. d) Securities Companies may transfer Financial Assets such that part or all of the transferred Financial Assets do not qualify for derecognition. The Securities Company discloses at each reporting date for each class of transferred Financial Assets that are not derecognized in their entirety:
(1) the nature of the transferred Assets;
(2) the nature of risks and benefits of ownership to which the Securities Company is exposed; (3) a description of the nature of the relationship between the transferred Assets and the related Liabilities, including restrictions arising from the transfer regarding the use of the transferred Assets by the Securities Company; (4) when the counterparty to the related Liability only has the transferred Assets as collateral, a schedule specifying the Fair Value of the transferred Assets, the Fair Value of the related Liability, and the net position (difference between the Fair Value of the transferred Assets and the related Liability); (5) when the Securities Company continues to recognize all transferred Assets, the carrying amount of the transferred Assets and the related Liability; and (6) when the Securities Company continues to recognize Assets to the extent of continuing involvement, the carrying amount of the Assets continuing to be recognized by the entity and the carrying amount of the related Liability. e) Securities Companies are required to disclose:
(1) the carrying amount of Financial Assets pledged as collateral for Liabilities or contingent Liabilities, including amounts that have been reclassified; and (2) the terms and conditions related to such collateral. f) When a Securities Company has collateral (Financial Assets or Non-financial Assets) and is permitted to sell or repledge it without prior default by the owner of the collateral, then the Securities Company discloses:
(1) the Fair Value of the collateral held;
(2) the Fair Value of any collateral sold or repledged, and whether the Securities Company is obligated to return such collateral; and (3) the terms and conditions related to the use of such collateral.
8) Fair Value of Financial Instruments
Securities Companies are required to disclose for each class of Financial Assets and Financial Liabilities, among others:
a) The Fair Value of each class of Financial Assets and Liabilities and the type of Securities in a manner that allows comparison with their carrying amounts; b) Significant methods and assumptions used in determining the Fair Value of Financial Assets and Liabilities and the reasons and impacts if there are changes in significant methods and assumptions used; c) the level of the Fair Value hierarchy for each class of Financial Assets and Liabilities and the type of Securities; d) the amount of any transfers between level 1 and level 2 in the Fair Value hierarchy, the reasons for such transfers, and the entity's policy for determining when transfers between levels are considered to have occurred; e) for level 2 and level 3 Fair Value measurements, a description of the valuation techniques and inputs used in measuring Fair Value; f) for level 3 Fair Value measurements, a reconciliation from opening balance to closing balance; and g) in the event that the Securities Company does not recognize gains or losses on initial recognition of Financial Assets or Financial Liabilities when Fair Value cannot be evidenced by quoted prices in active markets (level 1 input), or based on valuation techniques that only use data from observable markets, then the Securities Company discloses the following:

(1) accounting policy in recognizing in profit or loss, the difference between Fair Value at initial recognition and transaction price to reflect changes in factors (including time) that market participants would consider when determining the price of Assets or Liabilities; (2) the cumulative difference not yet recognized in profit or loss at the beginning and end; (3) the period for reconciling changes in the balance of such differences; and (4) the reasons for the entity's conclusion that the transaction price is not the best evidence of Fair Value, including a description of evidence supporting Fair Value.
9) Financial Risk Management
a) Securities Companies are required to disclose information that enables users of financial statements to evaluate the nature and scope of risks arising from financial instruments to which the entity is exposed at the end of the reporting period, as well as risk management policies, including but not limited to risks as follows:
(1) Credit Risk, among others:
analysis of the age of Financial Assets that are not yet past due or have not suffered impairment and those past due at the end of the reporting period but have not suffered impairment. (2) Liquidity Risk, among others:
(a) maturity analysis for derivative and non-derivative Financial Liabilities showing the remaining contractual maturities intended to understand cash flow timing; and (b) a description of how the Securities Company manages liquidity risk. (3) Market Risk, among others:
(a) sensitivity analysis for each type of market risk to which the Securities Company is exposed at the end of the reporting period, showing how profit or loss and equity are affected by possible changes in relevant risk variables on that date; (b) methods and assumptions used in preparing sensitivity analysis; and (c) changes in methods and assumptions used previously. (4) Other risks held by the Securities Company. b) Disclosures as referred to in letter a) consist of qualitative and quantitative disclosures for each type of risk arising from financial instruments. Qualitative disclosures in the context of quantitative disclosures enable users of financial statements to link related disclosures, so that users of financial statements can understand the overall picture regarding the nature and scope of risks arising from financial instruments. The interaction between qualitative and quantitative disclosures results in the disclosure of information in a manner that enables users of financial statements to better evaluate the entity's risk exposure.
10) Capital Management
Securities Companies are required to disclose among others:
a) qualitative information about the Securities Company's objectives, policies, and processes in managing its capital, including:
(1) a description of the parts managed as capital; (2) the nature of requirements and their implementation in the event the Securities Company is required to meet capital requirements mandated by external Parties; and (3) how the Securities Company meets its objectives in managing its capital; b) a summary of quantitative data about the parts managed as capital; c) any changes in letters a) and b) from previous periods; d) a statement of compliance with any capital requirements from external Parties (if any); and e) the consequences of non-compliance with capital requirements from external Parties, if non-compliance occurs.
11) Non-Cash Transactions
a) Securities Companies are required to disclose investment and financing activities that do not require the use of cash and are not included in the statement of cash flows. b) Transactions that do not affect cash flows include among others the acquisition of Assets on credit or lease.
12) Commitments and Contingencies
a) Commitments
Securities Companies are required to disclose among others:
(1) commitments including:
(a) lease, agency and distribution, management and technical assistance, royalty, and license agreements, disclosed:
i. Related Parties involved in the agreement;
ii. the period of validity of the commitment;
iii. the basis for determining compensation and penalties;
iv. the amount of expenses or Income in the reporting period; and
v. other restrictions;
(b) contracts or agreements that require the use of funds in the future, disclosed:
i. Related Parties involved in the agreement;
ii. the period of validity of the commitment;
iii. the total value, currency, and portion that has been realized; and
iv. sanctions;
(2) provision of guarantees or warranties, among others:
(a) the guaranteed Party and the Party receiving the guarantee, separated between Related Parties and third Parties for the guaranteed Party; (b) the background for the issuance of the guarantee; (c) the period of validity of the guarantee; and (d) the value of the guarantee; (3) unused credit facilities, such as L/C facilities, bank overdrafts; and (4) a description of the nature, type, amount, and limitations. b) Contingencies Securities Companies are required to disclose among others:
(1) legal cases or disputes, disclosed:
(a) Related Parties involved;
(b) the amount in dispute;
(c) the background, content, and status of the case and legal opinion; and (d) financial impact; (2) government regulations impacting the Securities Company, such as environmental issues, disclosed with a brief description of the regulation and an estimate of its financial impact; (3) possibility of additional tax liabilities:
(a) type of tax assessment or bill, type of tax, tax year, and the principal amount and penalties or interest; and (b) the Securities Company's stance towards the tax assessment or bill (objection or appeal); (4) other contingent events, disclosed among others:
(a) characteristics of contingent Assets or Liabilities; (b) estimate of its financial impact measured using best estimate, risk and uncertainty, present value, and future events. Contingent Liabilities related to the guarantee of Securities issuance under full commitment are measured using the best estimate of the remaining unsold shares offered at the initial public offering price; (c) indication of uncertainty related to the amount or timing of outflow of resources; and (d) possibility of reimbursement by third Parties.
13) Share-Based Payment
Securities Companies are required to disclose among others:
a) details of the amount of Liabilities for share-based payments, both short-term and long-term; b) an explanation of each type of share-based payment agreement existing in a period, including general terms and conditions of each agreement, such as vesting conditions, maximum duration of options granted, and settlement methods; c) the number and weighted average exercise price of stock options for each group of stock options;

d) for stock options exercised during the period, the weighted average stock price on the exercise date or during the reporting period; e) the range of exercise prices and weighted average remaining contract life for stock options outstanding at the end of the period; f) determination of Fair Value by disclosing at least the following:
(1) options granted during a period, the weighted average Fair Value of such options on the measurement date and information on how such Fair Value was measured; and (2) the number and weighted average Fair Value of such equity instruments on the measurement date, and information on the measurement of such Fair Value for other equity instruments granted during a period (i.e., other than stock options); and g) The impact of share-based payment transactions on the Securities Company's profit or loss in a period and on its financial position.
14) Changes in Accounting Estimates, Changes in Accounting Policies, and Errors
a) Changes in Accounting Estimates
Securities Companies are required to disclose among others:
(1) the nature and reasons for changes in accounting estimates and a reconciliation of the impact of changes in related account estimates; (2) the amount of estimate changes impacting the current period; and (3) the estimated impact of estimates on future periods, provided that in the event the amount of impact on future periods is impracticable, this fact must be disclosed. b) Changes in Accounting Policies Securities Companies are required to disclose among others:
(1) the nature of the change in accounting policy; (2) the reason why applying the new accounting policy provides reliable and more relevant information; (3) the amount of adjustment for each financial statement line item affected for the current period and each prior period presented; (4) the amount of adjustment related to periods prior to the period presented. In the event it is impracticable, the reason must be disclosed; and (5) circumstances making retrospective application impracticable for a specific period or for periods before the period presented and the date the change in accounting policy began. c) Errors Securities Companies are required to disclose among others:
(1) the nature of prior period errors;
(2) the amount of correction for each presentation period for each financial statement line item affected;

(3) the amount of correction at the beginning of the earliest presentation period; and (4) circumstances making retrospective application impracticable and an explanation of the method and timing of correction if retrospective restatement is impracticable.
15) Other Material Information
Securities Companies are required to disclose other material information among others the nature, type, amount, and impact of specific events or circumstances that can affect the performance of the Securities Company.
16) Events after the Reporting Period
Securities Companies are required to disclose events after the reporting period among others:
a) in the event the Securities Company receives information after the reporting period about conditions existing at the end of the reporting period, then the Securities Company updates the disclosure of such conditions according to the latest information; and b) in the event there are material non-adjusting events after the reporting period, then the Securities Company discloses a description of the event, among others:
(1) the date of occurrence;
(2) the nature of the event; and
(3) an estimate of the financial impact, or a statement and reason that such an estimate cannot be made.
17) Latest Developments in Accounting Standards and Regulations Related to Securities Company Activities
In the event the Securities Company has not applied an Accounting Standard (SAK) and/or regulations related to Securities Company activities, which have been issued but are not yet effective, then the Securities Company discloses among others:
a) the title of the SAK and related regulations; b) the nature of the changes not yet effective or changes in accounting policy; c) the date of application of the SAK and regulations as required; and d) a discussion regarding the impact of initial application of the SAK and regulations on financial statements or a management statement that such impact cannot be known or reasonably estimated.
18) Reclassification
a) In the event the Securities Company changes the presentation or classification of items in its financial statements, then the Securities Company is required to disclose among others:
(1) the nature of the reclassification;
(2) the amount of each item or class of items reclassified; and (3) the reason for reclassification. b) In the event reclassifying comparative amounts is impracticable, then the Securities Company is required to disclose:
(1) the reason for not reclassifying the amounts; and (2) the nature of adjustments that will be made, if the amounts were reclassified.
19) Investment Entities
a) In the event the Securities Company becomes an Investment Entity or ceases to be an Investment Entity, the Securities Company discloses the change in Investment Entity status and the reason for the change. b) In the event the Securities Company becomes an Investment Entity, the Securities Company is required to disclose among others:
(1) the impact of the status change in the financial statements for the periods presented; (2) the Fair Value amount of subsidiaries that cease to be consolidated, on the date of status change; (3) the amount of gains or losses, if there are gains or losses; and (4) the line item in profit or loss when gains or losses are recognized, if not presented separately. c) For each subsidiary that is not consolidated, the Securities Company as an Investment Entity is required to disclose among others:
(1) the name of the subsidiary;
(2) the principal location of the subsidiary's business activities and the country of incorporation if different from the principal location of the subsidiary's business activities; (3) the proportion of ownership interest held by the Investment Entity and, if different, the proportion of voting rights held; and (4) in the event the subsidiary is an investment product in the form of a collective investment contract, then disclosing items (1), (2), (3) and the effective letter of registration statement and/or listing letter for investment products in the form of collective investment contracts as well as ownership value.
20) Special Disclosures for Securities Companies that are Issuers and Public Companies
a) Basic and Diluted Earnings (Loss) per Share Securities Companies that are issuers or public companies are required to disclose among others:
(1) the amount used as the numerator in calculating basic and diluted earnings per share, and a reconciliation of such amount to the profit or loss attributable to the parent entity for the period. Such reconciliation includes the individual impact of each type of instrument affecting earnings per share; (2) the weighted average number of ordinary shares used as the denominator in calculating basic and diluted earnings per share, and a reconciliation of the denominator. Such reconciliation includes the individual impact of each type of instrument affecting earnings per share; (3) instruments (including contingently issuable shares) that have the potential to dilute basic earnings per share in the future, but are not included in the calculation of diluted earnings per share because such instruments are antidilutive for the presentation period; (4) an explanation of ordinary share transactions or transactions in potentially ordinary share instruments, other than those calculated according to applicable SAK, that occurred after the reporting period and would significantly change the number of ordinary shares or potentially ordinary share instruments outstanding at the end of the period if the aforementioned transactions had occurred before the end of the reporting period; and (5) basic and diluted earnings per share for discontinued operations. b) Operating Segments Securities Companies that are issuers or public companies are required to disclose among others:
(1) disclosure at the segment level
(a) general information, consisting of:
i. factors used by management to identify reportable segments; and
ii. types of products and services generating Income from each reportable segment;
(b) information regarding segment profit or loss, including specific Income and expenses, segment Assets, and segment Liabilities of the reportable segment, and the basis of their measurement; and (c) a reconciliation of total segment Income, the measure of segment profit or loss reported, segment Assets, segment Liabilities, and other material segment elements to the amounts related in the Securities Company's financial statements. (2) disclosure at the entity level (a) Product and Service Information Income from external customers for each product and service or each group of similar products and services. (b) Geographic Information
i. Income from external customers attributed to:
i) the domicile country of the Securities Company; and ii) all foreign countries in total where the Securities Company obtains Income. In the event Income from a foreign country individually is material, such Income is disclosed separately, including the basis for attributing such Income to that country individually.
ii. Non-current Assets other than financial instruments, Deferred Tax Assets, Post-employment Benefit Assets, and rights arising from insurance contracts located in:
i) the domicile country of the Securities Company; and ii) all foreign countries in total where the Securities Company has Assets. In the event Assets from a foreign country individually are material, such Assets are disclosed separately. (c) Major Customer Information In the event Income from transactions with a single external customer reaches 10% (ten percent) or more of consolidated Income, the Securities Company must disclose:
i. the fact;
ii. total Income from each customer; and
iii. the identity of the segment reporting such Income.
c) Errors
Securities Companies that are issuers or public companies disclose errors as part of the disclosure of changes in accounting estimates, changes in accounting policies, and related errors, namely the amount of correction for each presentation period of basic and diluted earnings per share. d) Reconciliation between SAK and Accounting Standards in Other Countries (1) This provision applies to Securities Companies that are issuers or public companies preparing financial statements using accounting standards other than SAK to meet the requirements of capital market authorities in other countries or for the purpose of offering Securities in other countries. (2) Securities Companies that are issuers or public companies are required to disclose among others:
(a) a summary of differences between SAK and accounting standards in other countries; (b) a reconciliation of different line items for the statement of financial position along with explanations; and (c) a reconciliation of different line items for the statement of profit or loss and other comprehensive income along with explanations. (3) In the event Securities Companies that are issuers or public companies are required by capital market authorities in other countries to make additional disclosures following the regulations applicable in that country, then such disclosures must be added to the financial statements.

PT PERUSAHAAN EFEK DAN ANAK PERUSAHAAN
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
As of 31 December 20X9
(In thousands of Rupiah, unless otherwise stated) The attached notes to the financial statements are an integral part of the financial statements as a whole.

20X9 20X8
Note
ASSETS
Cash and Cash Equivalents xx.xxx.xxx xx.xxx.xxx Restricted Cash and Cash Equivalents xx.xxx.xxx xx.xxx.xxx Time Deposits xx.xxx.xxx xx.xxx.xxx Securities Portfolio xx.xxx.xxx xx.xxx.xxx Transferred Securities Portfolio xx.xxx.xxx xx.xxx.xxx Trade Receivables Third Parties xx.xxx.xxx xx.xxx.xxx Related Parties xx.xxx.xxx xx.xxx.xxx Receivables from Securities Broker Transactions Third Parties xx.xxx.xxx xx.xxx.xxx Related Parties xx.xxx.xxx xx.xxx.xxx Receivables from Securities Underwriting Transactions Third Parties xx.xxx.xxx xx.xxx.xxx Related Parties xx.xxx.xxx xx.xxx.xxx Receivables from Investment Management Transactions Third Parties xx.xxx.xxx xx.xxx.xxx Related Parties xx.xxx.xxx xx.xxx.xxx Receivables from Repo Transactions xx.xxx.xxx xx.xxx.xxx Other Receivables xx.xxx.xxx xx.xxx.xxx Prepaid Expenses xx.xxx.xxx xx.xxx.xxx Prepaid Taxes xx.xxx.xxx xx.xxx.xxx Investments in Associates xx.xxx.xxx xx.xxx.xxx Shareholdings xx.xxx.xxx xx.xxx.xxx Intangible Assets xx.xxx.xxx xx.xxx.xxx Right-of-Use Assets xx.xxx.xxx xx.xxx.xxx Property and Equipment xx.xxx.xxx xx.xxx.xxx Deferred Tax Assets xx.xxx.xxx xx.xxx.xxx Other Assets xx.xxx.xxx xx.xxx.xxx TOTAL ASSETS xx.xxx.xxx xx.xxx.xxx

PT PERUSAHAAN EFEK DAN ANAK PERUSAHAAN
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
As of 31 December 20X9
(In thousands of Rupiah, unless otherwise stated) The attached notes to the financial statements are an integral part of the financial statements as a whole.

20X9 20X8
Note
LIABILITIES
Trade Payables
Third Parties xx.xxx.xxx xx.xxx.xxx
Related Parties xx.xxx.xxx xx.xxx.xxx
Payables from Securities Broker Transactions
Third Parties xx.xxx.xxx xx.xxx.xxx
Related Parties xx.xxx.xxx xx.xxx.xxx
Payables from Securities Underwriting Transactions Third Parties xx.xxx.xxx xx.xxx.xxx Related Parties xx.xxx.xxx xx.xxx.xxx Payables from Investment Management Transactions Third Parties xx.xxx.xxx xx.xxx.xxx Related Parties xx.xxx.xxx xx.xxx.xxx Payables from Repo Transactions xx.xxx.xxx xx.xxx.xxx Tax Payables xx.xxx.xxx xx.xxx.xxx Accrued Expenses xx.xxx.xxx xx.xxx.xxx Short-Term Payables xx.xxx.xxx xx.xxx.xxx Deferred Tax Liabilities xx.xxx.xxx xx.xxx.xxx Long-Term Payables xx.xxx.xxx xx.xxx.xxx Long-Term Debt Securities xx.xxx.xxx xx.xxx.xxx Lease Payables xx.xxx.xxx xx.xxx.xxx Employee Benefits Liabilities xx.xxx.xxx xx.xxx.xxx Subordinated Payables xx.xxx.xxx xx.xxx.xxx Convertible Bonds xx.xxx.xxx xx.xxx.xxx Other Payables xx.xxx.xxx xx.xxx.xxx TOTAL LIABILITIES xx.xxx.xxx xx.xxx.xxx EQUITY Equity attributable to owners of the parent entity Share Capital xx.xxx.xxx xx.xxx.xxx Additional Paid-in Capital xx.xxx.xxx xx.xxx.xxx Differences in Transactions with Non-controlling Interests xx.xxx.xxx xx.xxx.xxx Treasury Shares (xx.xxx.xxx) (xx.xxx.xxx) Retained Earnings xx.xxx.xxx xx.xxx.xxx Other Comprehensive Income xx.xxx.xxx xx.xxx.xxx

PT PERUSAHAAN EFEK DAN ANAK PERUSAHAAN
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
As of 31 December 20X9
(In thousands of Rupiah, unless otherwise stated) The attached notes to the financial statements are an integral part of the financial statements as a whole.

Total Equity attributable to owners of the parent entity xx.xxx.xxx xx.xxx.xxx Non-controlling interests xx.xxx.xxx xx.xxx.xxx TOTAL EQUITY xx.xxx.xxx xx.xxx.xxx TOTAL LIABILITIES AND EQUITY xx.xxx.xxx xx.xxx.xxx

PT. PERUSAHAAN EFEK DAN ANAK PERUSAHAAN
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME For the Year Ended 31 December 20X9 (In thousands of Rupiah, unless otherwise stated) The attached notes to the financial statements are an integral part of the financial statements as a whole.

20X9 20X8
Note
REVENUE xx.xxx.xxx xx.xxx.xxx
EXPENSES (xx.xxx.xxx) (xx.xxx.xxx)
GROSS PROFIT xx.xxx.xxx xx.xxx.xxx
Other Income xx.xxx.xxx xx.xxx.xxx
Other Expenses (xx.xxx.xxx) (xx.xxx.xxx)
Finance Costs (xx.xxx.xxx) (xx.xxx.xxx)
PROFIT (LOSS) BEFORE TAX xx.xxx.xxx xx.xxx.xxx Tax Expense (Income) (xx.xxx.xxx) (xx.xxx.xxx) PROFIT (LOSS) FOR THE PERIOD xx.xxx.xxx xx.xxx.xxx Other Comprehensive Income Items that will not be reclassified subsequently to profit or loss xx.xxx.xxx xx.xxx.xxx Items that will be reclassified subsequently to profit or loss xx.xxx.xxx xx.xxx.xxx Income tax related to other comprehensive income (xx.xxx.xxx) (xx.xxx.xxx) TOTAL OTHER COMPREHENSIVE INCOME FOR THE PERIOD, NET OF TAX xx.xxx.xxx xx.xxx.xxx TOTAL COMPREHENSIVE INCOME FOR THE PERIOD xx.xxx.xxx xx.xxx.xxx PROFIT (LOSS) FOR THE PERIOD ATTRIBUTABLE TO Owners of the parent entity xx.xxx.xxx xx.xxx.xxx Non-controlling interests xx.xxx.xxx TOTAL COMPREHENSIVE INCOME FOR THE PERIOD ATTRIBUTABLE TO Owners of the parent entity xx.xxx.xxx xx.xxx.xxx Non-controlling interests xx.xxx.xxx BASIC AND DILUTED EARNINGS PER SHARE (in Rupiah) x,xx x,xx

The attached notes to the financial statements are an integral part of the financial statements as a whole.

PT. PERUSAHAAN EFEK DAN ANAK PERUSAHAAN
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the Year Ended 31 December 20X9
(In thousands of Rupiah, unless otherwise stated) Note Share Capital Retained Earnings*) Additional Paid-in Capital Differences in Transactions with Non-controlling Interests Treasury Shares Other Comprehensive Income) Total Non-controlling Interests Total Equity Designated Undesignated Surplus Revaluation Surplus Assets Investment in Equity Instruments Financial Statement Translation Financial Assets FVOCI Cash Flow Hedging Total Balance as of 1 January 20X8 xx.xxx (xx.xxx) xx.xxx - - - - - - - - - xx.xxx Accounting Policy Changes - - xx.xxx - - - - - - - - - xx.xxx Restated Balance xx.xxx (xx.xxx) xx.xxx - - - - - - - - - xx.xxx Equity Changes in 20X8 Profit (loss) for the period - xx.xxx xx.xxx - - - - - - - - - xx.xxx Dividends - - (xx.xxx) - - - - - - - - - (xx.xxx) - (xx.xxx) Other Comprehensive Income - - - - - - - - - - - - xx.xxx Balance as of 31 December 20X8 xx.xxx (xx.xxx) xx.xxx - - - - - - - - - xx.xxx Equity Changes in 20X9 Profit (loss) for the period - xx.xxx xx.xxx - - - - - - - - - xx.xxx Dividends - - (xx.xxx) - - - - - - - - - (xx.xxx) - (xx.xxx) Other Comprehensive Income - - - - - - - - - - - - xx.xxx Balance as of 31 December 20X9 xx.xxx (xx.xxx) xx.xxx - - - - - - - - - xx.xxx

*) Retained earnings include actuarial gains and losses ) includes the share of other comprehensive income from associates and/or joint ventures

PT. PERUSAHAAN EFEK DAN ANAK PERUSAHAAN
CONSOLIDATED STATEMENT OF CASH FLOWS
For the Year Ended 31 December 20X9
(In thousands of Rupiah, unless otherwise stated) The attached notes to the financial statements are an integral part of the financial statements as a whole.

20X9 20X8
Note
CASH FLOWS FROM OPERATING ACTIVITIES
Commission Receipts xx.xxx.xxx xx.xxx.xxx
Interest Income Receipts xx.xxx.xxx xx.xxx.xxx Receipts from Traded Securities xx.xxx.xxx xx.xxx.xxx Receipts from Clients - net xx.xxx.xxx xx.xxx.xxx Receipts from Clearing and Guarantee Institutions - net xx.xxx.xxx xx.xxx.xxx Payments to Securities Companies - net xx.xxx.xxx xx.xxx.xxx Receipts from (Payments to) Margin Clients - net xx.xxx.xxx xx.xxx.xxx Sale of Securities Portfolio - net xx.xxx.xxx xx.xxx.xxx Payments to Suppliers and Employees (xx.xxx.xxx) (xx.xxx.xxx) Income Tax Payments (xx.xxx.xxx) (xx.xxx.xxx) Other Receipts (Payments) - net xx.xxx.xxx xx.xxx.xxx Net Cash from (for) Operating Activities xx.xxx.xxx xx.xxx.xxx CASH FLOWS FROM INVESTING ACTIVITIES Interest Receipts xx.xxx.xxx xx.xxx.xxx Maturity of Time Deposits xx.xxx.xxx xx.xxx.xxx Proceeds from Sale of Property and Equipment xx.xxx.xxx xx.xxx.xxx Placement of Time Deposits (xx.xxx.xxx) (xx.xxx.xxx) Acquisition of Property and Equipment (xx.xxx.xxx) (xx.xxx.xxx) Net Cash from (for) Investing Activities xx.xxx.xxx xx.xxx.xxx CASH FLOWS FROM FINANCING ACTIVITIES Issuance of Share Capital xx.xxx.xxx xx.xxx.xxx Issuance of Short-Term Debt Securities xx.xxx.xxx xx.xxx.xxx Repayment of Short-Term Debt Securities (xx.xxx.xxx) (xx.xxx.xxx) Bank Loan Receipts xx.xxx.xxx xx.xxx.xxx Bank Loan Payments (xx.xxx.xxx) (xx.xxx.xxx) Interest Payments (xx.xxx.xxx) (xx.xxx.xxx) Net Cash from (for) Financing Activities xx.xxx.xxx xx.xxx.xxx Net Increase (Decrease) in Cash and Cash Equivalents xx.xxx.xxx xx.xxx.xxx Cash and Cash Equivalents at Beginning of Period xx.xxx.xxx xx.xxx.xxx Cash and Cash Equivalents at End of Period xx.xxx.xxx xx.xxx.xxx

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

Approved in Jakarta on 24 April 2025
EXECUTIVE HEAD OF SUPERVISOR
FOR CAPITAL MARKET, DERIVATIVE FINANCIAL,
AND CARBON EXCHANGE
FINANCIAL SERVICES AUTHORITY
REPUBLIC OF INDONESIA,
INARNO DJAJADI signed