DIGIVESTASI - The Indonesia Stock Exchange (IDX) announced that the number of capital market investors has reached more than 6 million, to be precise 6,001,573 single investor identification (SID) as of Wednesday (25/9/2024). Throughout 2024, the number of investors in the stock market increased by 744 thousand. As of August 2024, local investors still dominated share ownership on the IDX with a percentage of 51.5%, while the portion of foreign investor ownership reached 48.5%.

Share ownership by individual investors also showed dominance with a percentage of 53.3%, consisting of 38.3% ownership of domestic institutional investors and 15% of individual investors, compared to 46.6% ownership of institutional investors. However, a survey conducted by CNBC Indonesia shows that there are still many investors who are confused in reading financial statements.

In order to overcome this problem, CNBC Indonesia held a Cuan Class with the theme “Learning to Read Financial Statements from Zero So You Don't Choose the Wrong Stock.” Tasya Natalia, Equity Analyst CNBC Indonesia, explained the importance of understanding financial statements so that investors do not choose the wrong stocks.

Tasya explained that every company listed on the IDX is required to report financial statements no later than 30 days after the period ends. “For example, for Quarter I (Q1) or the period January to March, financial reports must be released no later than April 30. For Quarter II (Q2) which covers April-June, the report must be released no later than July 31,” he said in the online Cuan 4.0 Class, Friday (27/9/2024).

He added that for Quarter III (Q3) covering July-September, the report must be released no later than October 31, and for Quarter IV (Q4) covering October-December, the report must be released no later than March 31.

“Reading financial reports is a bit complicated. In this class, 31% of participants were still confused by complicated terms, although financial statements still need to be dissected,” Tasya emphasized.

She mentioned that there are three reasons why financial statements should be analyzed: to determine financial health, to understand factors that may affect company fundamentals, and to anticipate possible manipulation of financial statements.

“Financial statements are only one factor and only the surface. Therefore, there is still much to learn and explore in stock investment,” Tasya concluded.

Find more news and articles on Google News