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THE DETERMINANTS OF THE COMPOSITE STOCK PRICE INDEX IN INDONESIA Herry Krisnandi; Melati; Elwisam; Kumba Digdowiseiso; Latifah Abdul Ghani
International Journal of Educational Review, Law And Social Sciences (IJERLAS) Vol. 4 No. 1 (2024)
Publisher : CV. RADJA PUBLIKA

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.54443/ijerlas.v4i1.1449

Abstract

This study employs a Systematic Literature Review (SLR) methodology to examine the factors that influence the composite stock price index in Indonesia. Identification of ten reputable journals using the Google Scholar search engine. The analysis findings from multiple journals, including the study conducted by Wahyuni et al. (2023) in the Consumer Goods Industry sector, indicate that inflation, dollar exchange rate, and Return on Equity (ROE) exert a substantial impact on IHSG. In a recent study conducted by Giffarina (2021), it was found that inflation and interest rates have a detrimental impact on the JCI, while the exchange rate also exerts a negative influence. This research validates prior perspectives, affirming that inflation and exchange rates exert a multifaceted influence on the Jakarta Composite Index (JCI) on the Indonesia Stock Exchange (IDX). This study offers a comprehensive perspective on the factors that impact the IHSG, thereby enhancing the comprehension of the Indonesian capital market for individuals involved in investment decision-making and policy formulation.
THE DRIVERS OF COMPANY CAPITAL STRUCTURE Melati; Elwisam; Suadi Sapta Putra; Kumba Digdowiseiso; Yulita
International Journal of Educational Review, Law And Social Sciences (IJERLAS) Vol. 4 No. 1 (2024)
Publisher : CV. RADJA PUBLIKA

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.54443/ijerlas.v4i1.1450

Abstract

Companies have a demand to comprehend the factors that impact their choice between equity and debt capital. The objective of this research is to condense and combine existing discoveries pertaining to the factors that influence a company's capital structure. The study employed the Systematic Literature Review (SLR) method, which facilitates meticulous, discerning, and well-documented searches of literature to obtain more precise and all-encompassing insights. The research findings indicate that business risk, profitability, company size, and company growth exert a substantial influence on the capital structure policy. Nevertheless, certain factors, such as asset structure, non-debt tax shield, and uniqueness, do not consistently demonstrate an influence. The discussion emphasizes the intricacy of the connections between these variables and the necessity of adopting a contextual approach when managing capital structure. To achieve long-term financial goals, it is crucial to have a comprehensive comprehension of the business context and company characteristics when making decisions about capital structure.