Sweden's Coeli Asset Management has begun buying Indonesian stocks for the first time, after the Indonesian stock index fell as much as 30% since the start of 2026 amid roughly 4.7 billion dollars in net selling by foreign investors. James Bannan, a fund manager at Stockholm-based Coeli, said the firm has watched the Indonesian market for years but previously considered stocks too expensive, and this year's sharp decline has made valuations increasingly attractive. The stocks Coeli has started investing in include GoTo Gojek Tokopedia and Bank Central Asia, bringing the fund's current Indonesian allocation to nearly 6%, which Bannan described as a fairly high starting position for the fund. Indonesia's stock market has faced pressure from concerns over transparency, concentrated shareholder structures, and a low free float, prompting MSCI to warn in January that it could downgrade Indonesia to frontier market status. Meanwhile, the rupiah has weakened about 7% against the US dollar since the end of December, making it the worst-performing currency in Asia, and a Bank of America survey last month found that about 35% of global fund managers were underweight Indonesian equities, the most negative view in the Asia-Pacific region. However, foreign investor interest is beginning to show signs of recovery after the government of Prabowo Subianto reshuffled personnel at the finance ministry and the central bank, while Invesco and PPM America both said they have reduced their underweight positions in Indonesian assets.
Coeli began buying Indonesian stocks for the first time, naming GoTo Gojek Tokopedia among its initial purchases as valuations turned attractive.
