Here's how to buy the XBNI ETF in the primary and secondary markets

KONTAN.CO.ID - JAKARTA. BNI Asset Management launched the BNI-AM Nusantara Index Mutual Fund ETF MSCI Indonesia Equity Index (XBNI) on Wednesday (23/5). Like ETF mutual funds in general, this product can be purchased by investors in the primary market or secondary market.

Director of BNI-AM, Putut Endro Andanawarih said, for investors who wish to buy XBNI ETFs on the primary market, transactions can be made through participating dealers, namely PT Indo Premier Sekuritas. "But investors You have to have a securities account with participating dealers and prepare investment funds," he said, today (23/5).

After the investor orders the purchase of a unit of XBNI ETF creations, the participating dealer will inform the investment manager or BNI-AM. Then, BNI-AM will send instructions for receiving the delivered securities portfolio to the custodian bank, namely Bank Central Asia. At this stage, BNI-AM will determine the list of delivery securities portfolios which will then be given to the participating dealers. Then, the participating dealers will buy a group of securities that are included in the surrendering securities portfolio as well as create an XBNI ETF creation unit before giving it to investors.

Meanwhile in the secondary market, Putut said, XBNI ETF purchase transactions could be through any broker on the IDX. The first step, investors create a securities account and hand over the funds to the broker.

Then, the broker will make purchase transactions on the IDX based on market mechanisms. Or in other words, the success of the transaction depends on existing supply and demand factors. If the transaction is successful, the broker will pass on the proceeds to the investor.

For information, investors can purchase XBNI ETFs on the primary market through participating dealers for a minimum of 1 creative unit or 100,000 investment units. Meanwhile, in the secondary market, investors can buy this ETF for a minimum of 1 lot or 100 units through any broker on the IDX.

Each ETF participation unit is offered at the same price as the initial net asset value (NAV) of IDR 1,000. This number is valid on the date of the first submission determined by BNI-AM. Furthermore, the price of each XBNI ETF participation unit is determined based on the market price on the IDX.