This research
aims to analyze the potential of unfair competition in the underwriter
companies of bond issuances and to analyze the urgency of the minimum fee
determination to prevent the potential of unfair competition in the capital
market in Indonesia. The main method uses in this research is literature study
to obtain the objective results. Literature study to do towards some regulations,
journals, scientific papers, newspapers and other sources which are further
analyzed by the researcher. While the type of research used is normative juridical.
The results of this research are: The first,
there is potential of unfair competition in the underwriter companies of bond
issuances that enables small companies are bankrupt. This is due to the
underwriter tariff is too low and not worth with the risk borne. For
example the fee for underwriters reaches zero percent, whereas the
underwriter's duties are so numerous and the risks are huge, especially in full
commitment agreement. This ways are used
by the large securities companies to switch off the opponent. The second, the
minimum fee determination of underwriter companies is very important to prevent
unfair competition. This is due to there is no regulation concerning the
minimum fee of underwriter companies in Indonesia. Despite
there are the provisions of Article 20 of Law No. 5 of 1999 about Prohibition
of Monopolistic Practices and Unfair Competition which prohibits businesses do
selling at a loss, but the arrangement concerning about fee for the underwriter
is not necessarily being a subject to this regulation because the mechanism
entirely submitted to the market. Under these conditions, the government should
make a minimum threshold for the underwriter companies to prevent unfair
competition in the form of regulation.
Journal Section | Articles |
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Authors | |
Publication Date | December 27, 2017 |
Submission Date | October 1, 2017 |
Published in Issue | Year 2017Volume: 3 Issue: 9 |
Contact: ijasosjournal@hotmail.com
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