Paper Title
Relationship Between Political Stability With The Market Performance (Case Study On Jakarta Composite Index)

Capital markets have an very important role for the economy of a country. The more important and substantial contribution of capital markets for a country, the level of sensitivity of the events which happen around it would be higher. In Indonesia, one of the events that can potentially cause a reaction in the capital market is the Presidential Election period of 2014-2019. It is expected to affect the political stability of Indonesia, which then could result in economy stability. This study analyzed the relationship between the condition of political stability with the performance of the market, as measured by the rate of return of JCI (Jakarta Composite Index). The sample data used in this study is the rate of return of JCI 70 days before and 70 days after the Presidential Election. A statistical tool that is used as a method in this study is the different test paired sample t-test. The conclusion from this study is there is no relationship between the political stability of a country with the market performance. This is in line with the previous study which examines how the Indonesian Presidential Election period of 2004-2009 affect the average abnormal return and average of trading volume activity on LQ-45’s index. Index Terms— Political Issues, JCI.