This study aims to examine the effect of institutional ownership, free cash flow (FCF), and investment opportunity set (IOS) on the debt policy of manufacture company listed in Indonesia Stock Exchange (BEI) in the year 2014- 2016. The sampling technique used was purposive sampling with 108 samples after being reduced from outlier. The method of analysis used was multiple linear regression analysis. The result showed that institutional ownership and investment opportunity set (IOS) have no effect on the debt policy. While free cash flow (FCF) have positive effect on the debt policy.