Director of Development at the IDX Jeffrey Hendrik said that the regulatory framework is expected to be released in the third quarter of 2025 in the form of an OJK regulation (POJK).
“We are expecting the POJK regarding gold ETFs to be issued by the third quarter of this year, and by the fourth quarter, we anticipate having the gold ETF products officially listed on the IDX,” he said, according to a statement released here on Friday.
Currently, the OJK is in the process of developing the framework for the gold ETF trading scheme. The initiative follows the issuance of POJK Number 17 of 2024 on the conduct of bullion business.
An ETF is essentially a mutual fund that is traded on the stock exchange like individual shares. It combines the fund management aspect of mutual funds with the buy-and-sell mechanisms of stocks.
Gold ETFs allow investors to directly invest in physical gold bullion or use derivative contracts for indirect exposure to gold.
As of June 20, 2025, the total assets under management (AUM) of gold ETFs worldwide stood at US$388.8 billion, representing 3,587 tons of gold, according to the World Gold Council (WGC).
Earlier, deputy commissioner of insurance, guarantee, and pension fund supervision at the OJK, Iwan Pasila, expressed his support for the gold ETF launch in Indonesia’s capital markets.
He said that gold’s stable value, which tends to rise over time, could serve as a hedge against market volatility, particularly for insurance products or pension funds during periods of stock market downturns.
“Gold investment can help offset stock market fluctuations. When the price of stocks rises, the price of gold may dip a bit, but when stocks fall, gold tends to balance things out,” Iwan explained.
The move aligns with global investment trends, where gold-backed ETFs have become an attractive option for diversifying portfolios, especially amid the uncertain economic climate.
Indonesia’s Gold ETF market is expected to offer new opportunities to both local and international investors looking to gain exposure to precious metals, without dealing with the logistical challenges of owning physical gold.
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Reporter: Muhammad Heriyanto, Uyu Septiyati Liman
Editor: Rahmad Nasution
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