Danantara CIO Linked to Sanctioned Brokerage Amid MSCI Warning
Manish Pandey, CIO of Indonesia's wealth fund Danantara, indirectly owns a stake in a brokerage sanctioned for market manipulation as MSCI threatens a market downgrade.
The Chief Investment Officer of Indonesia's wealth fund, Danantara, Manish Pandey, indirectly owns a 27.5% stake in PT Supra Sekuritas Indonesia, a brokerage recently sanctioned by the Financial Services Regulatory Authority for market manipulation. The disclosure occurs as Indonesia seeks to avoid a downgrade to standalone status by MSCI, which has warned that opaque ownership and coordinated trading could trigger capital outflows between US$25 billion and US$50 billion.
Since MSCI issued its warning on October 15, the benchmark stock index has fallen approximately 10%. A spokesperson for Pandey stated that the investment is passive and that he has had no role in the daily operations or compliance decisions of the brokerage.
Pandey has met with MSCI leadership in New York to address these concerns. MSCI is expected to reach a final decision regarding the status of the Indonesian market by the end of June 2027.
