We need to be careful in choosing instruments in the capital market
Jakarta (ANTARA) - Chairman of the Commissioner Board of the Financial Services Authority (OJK), Wimboh Santoso, has urged citizens to be wary of financial instruments offering high interest rates, especially those traded outside the capital market. "Outside of the capital market is like other assets such as crypto assets. Do not just be interested in high income," Santoso urged during an online discussion here on Tuesday.

Some instruments that offer high incomes over a short term fall under speculative investments, which are not safe, he cautioned.

Speculation also frequently occurs within instruments in the capital market, which can cause price volatility due to the imbalance of supply and demand in the capital market, Santoso added.


Related news: Four-pronged approach to expedite credit growth in 2021: BI


"We need to be careful in choosing instruments in the capital market," he noted.

According to Santoso, people often incur a massive loss by investing in instruments based on inaccurate information.

To this end, Santoso said he will continue to monitor information driving speculation in Indonesia as this is not just a domestic trend, but has also been seen in other countries such as the US.

Related news: Financial services sector sustain stability in 2021 first-semester
C
Related news: Healthcare workers in Surabaya to receive third vaccine dose this week

Translator: Agatha Victoria, Fadhli Ruhman
Editor: Fardah Assegaf
Copyright © ANTARA 2021