摘要：Corporate governance perception index (CGPI) is a research project on grading good corporate governance in Indonesia. This program is expected to positively influenced investors’ confidence to invest. This research examines market reaction by detecting market reaction differences between high-rank and low-rank companies around the date of CGPI announcement in 2006 – 2008 through seven days of observation. This research was conducted in Indonesia Stock Exchange. Sample consisted of 52 companies which were drawn using purposive sampling method. Data were analyzed using descriptive, statistic, and sensitivity analysis. Result showed that market reacted to CGPI announcement, which was demonstrated by abnormal return and changes of stock traded volume around the date of CGPI announcement. There was no significant difference about market reaction between high and low rank companies on CGPI during 2006 – 2008. This implies that investors have not considered CGPI properly in stock market transactions.
