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• 2025: A Year of Two Faces

2025: A Year of Two Faces

Unpack 1st Half Recap and Prepare 2nd Half Playbook

The first half of 2025 felt like a roller coaster for Indonesian investors. From political turmoil, global tensions, to changes in interest rates and fiscal policy, everything caused the market to swing up and down.

But, as the saying goes, after rain comes a rainbow. The IHSG and bonds began to recover from May onwards, bringing a glimmer of hope amid uncertainty.

First Semester 2025: Full of Challenges

During January–April 2025, investors faced:
- US reciprocal tariffs–Indonesia which sparked business concerns.
- Government transition with populist policies that weighed on the market.
- Foreign outflows and high yields that caused bond prices to fall.

The IHSG even plummeted to 5,880 in early April and experienced two trading halts.

But From May, The Wind Shifted
Slowly but surely, conditions began to improve:
- Bank Indonesia cut interest rates three times (total -75 bps).
- The government launched stimulus packages.
- Bond yields began to fall -> driving prices up.
- IHSG rose significantly, returning to the 7,500 level by July 2025.
Domestic investors began to regain optimism.

Second Semester 2025: Big Spending Spree
The new government spent 39% of the total budget in the first semester. This means that in the second semester there will be:
- Large social spending (cash transfers, food assistance, salary subsidies, etc.)
- Infrastructure and cooperative programmes
- Strategic projects such as Danantara: electricity, water, housing

All of this will drive the real economy, increase liquidity, and be a positive catalyst for the equity and bond markets.

Liquidity Shifts Course

As SRBI yields (Bank Indonesia securities) decline to ~5.7%, funds are beginning to flow to other instruments:
- Government and corporate bonds become more attractive
- Stock market is being reconsidered due to higher return potential
This is an important moment to rebalance your portfolio

Time to Diversify

From 2020–2Q25 data, no single asset has consistently outperformed every year. Sometimes stocks lead, sometimes gold, sometimes bonds.
Therefore, two things are important for investors:
- Asset diversification
- Regular portfolio rebalancing

Mutual Fund Products Ready to Address the Challenge

For those seeking stability:
Syailendra Sharia Fixed Income Fund (SSFIF)
Investment in A-rated corporate sukuk, short duration (1–3 years), and remains flexible to enter government sukuk and deposits. Suitable for moderate investors who want stable growth and comply with Islamic principles.

For those who want to be aggressive:
Syailendra Equity Opportunity Fund (SEOF)
Active equity fund with bottom-up strategy and combination indexing. Focus on selected large cap and mid cap stocks with potential to outperform the market.

Conclusion

Indonesia's financial market in 2025 has two faces: an early year full of pressure and a second half that is promising.

Start investing wisely with Syailendra Capital.

Because in the world of investing, consistency is what wins.