BRPT, BRMS Rise Despite MSCI Shake-Up as Foreign Investors Sell

Detailed summary

BRPT and BRMS gain despite MSCI index changes, while foreign investors record Rp 45.8 billion in net selling of BRMS.

Jakarta. Shares of Barito Pacific (IDX: BRPT) and Bumi Resources Minerals (IDX: BRMS) defied their removal from MSCI's Global Standard Index, rising during Thursday's morning session as Indonesia's broader stock market staged a strong rebound.

BRPT gained 1.9% to Rp 780, while BRMS advanced 1.3% to Rp 302 by the end of the first trading session on the Indonesia Stock Exchange (IDX) on Thursday. Both stocks, however, saw intense buying and selling activity throughout the session.

Foreign investors recorded a net sell of Rp 45.8 billion ($2.5 million) in BRMS, which MSCI moved to its Small Cap Index. Meanwhile, foreign investors posted an overall net buy of Rp 83.6 billion across the IDX's regular market.

Jakarta Composite Index (JCI) climbed 112.4 points, or 2.2%, to 5,227.5 at the midday break.

Mirae Asset Sekuritas Indonesia said the impact of MSCI's November 2026 index review on the domestic stock market would likely remain limited, despite the potential for portfolio adjustments by foreign investors. The brokerage estimated passive outflows of Rp 1.2 trillion following BRPT's removal from the Global Standard Index and BRMS' downgrade to the Small Cap Index.

Rully Arya Wisnubroto, head of research and chief economist at Mirae Asset Sekuritas Indonesia, said the risk of BRPT's removal had largely been priced into its share price. However, the broader risk of Indonesia being reclassified as a standalone market remained a concern.

"The impact of MSCI's November rebalancing is relatively limited, particularly because the risk of BRPT's removal has largely been priced into its share price. However, this review does not change the risk of Indonesia being reclassified as a standalone market. A sustained market recovery will still require stronger foreign investor participation and tangible progress in market transparency," Rully said.

Global market sentiment has also improved, with Wall Street rebounding in the previous session. The Nasdaq rose 1.6%, while the S&P 500 gained 1.

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