Bandung, May 2026 — A research proposal from the Center for Modeling, Simulation, and Risk Prediction (PRISM) Center of Excellence and the Center for Mathematical and Statistical Modeling (PPMS) of Institut Teknologi Bandung (ITB) has been selected to receive funding under the IFG Progress Joint Research Program 2026, worth up to Rp120,000,000 (including tax). This achievement is a direct continuation of an expected output of the ITB EQUITY – World Class University Post-Doctoral Program, funded by LPDP under the EQUITY Program (Contract No. 4298/B3/DT.03.08/2025), namely the preparation and submission of a follow-on research proposal to a competitive funding institution.
The IFG Progress Joint Research 2026 is a research-collaboration program between Indonesia Financial Group (IFG)—through its financial research arm, IFG Progress—and academics from universities across Indonesia. The program aims to promote data- and evidence-based research that generates strategic insights for strengthening the insurance, guarantee, and investment industries. Its topics span strategic industry issues, market dynamics, risk management, and business-model innovation amid global economic uncertainty, with a proposal submission deadline of 30 April 2026.
The ITB team’s proposal, “Groupwide Investment Strategy under Macro Uncertainty: A Stochastic, Machine-Learning-Based Asset-Liability Management/Liability-Driven Investment Framework with a Case Study of Indonesia’s Life Insurance and Social Security Industry,” directly addresses one of the program’s priority topics, “Groupwide Investment Strategy under Macro Uncertainty.” The proposal was submitted to the IFG Research Grant Committee on 30 April 2026. Selection was multi-stage and competitive: of 131 proposals received, 15 were shortlisted for a 2nd review by the IFG Progress team and IFG Division Heads, and 8 final proposals with the highest scores and best quality were ultimately selected—including the ITB team’s proposal.
The research team comprises Prof. Novriana Sumarti, S.Si., M.Si., Ph.D. (Principal Investigator), with members Dila Puspita, S.Si., M.Si., Ph.D. (Financial Mathematics/Actuarial Science), Adhe Kania, S.Si., M.Si., Ph.D. (Metaheuristic/Multi-objective Optimization), and Dr. Fathimah Al-Ma’shumah, S.Si., M.Si. (Machine Learning, Statistics, Financial Mathematics), the EQUITY Program Post-Doctoral Fellow. The research is carried out under PPMS and PRISM Center of Excellence, ITB.
The research develops an integrated framework for managing investment under macroeconomic uncertainty, combining VECM-X macroeconomic modeling with Markov-Switching to probabilistically detect uncertainty regimes, Barndorff-Nielsen–Shephard/Ornstein-Uhlenbeck (BNS-OU) stochastic volatility modeling, and dynamic asset-liability portfolio optimization based on Reinforcement Learning under the regulatory constraints of the Financial Services Authority (OJK). The framework is a methodological continuation of the Economic Scenario Generator (ESG) and machine-learning research developed during the postdoctoral program, and is aimed at strengthening the capacity of Indonesia’s Non-Bank Financial Industry (IKNB).
In line with the program’s requirements, the research will produce an IFG Progress Economic Bulletin as a mandatory output, as well as a research poster and/or a journal publication. The award affirms the sustainability of research beyond the program and highlights the tangible impact of the EQUITY Post-Doctoral Program in fostering research collaboration with the national financial industry and strengthening ITB’s international recognition. This follow-on activity also supports the Sustainable Development Goals (SDGs), in particular SDG 8 on Decent Work and Economic Growth, SDG 9 on Industry, Innovation, and Infrastructure, and SDG 17 on Partnerships for the Goals.
