Dollarization Rate in Investment Funds Increased in September
According to economist Haluk Bürümcekçi's calculations, the dollarization rate in funds increased in September due to outflows from money market funds.
According to calculations made by economist Haluk Bürümcekçi, the dollarization rate in funds recorded an increase in September due to the outflows experienced in money market funds.
Developments in the Fund Market
Developments observed in the fund market and changes in investment behaviors draw attention. Developments on September 16 indicating that certain investment funds had difficulty meeting redemption requests increased liquidity concerns in the market. This situation led to the strengthening of selling pressure in the markets and accelerated outflows from funds.
Large Drop in Portfolio Value
According to TEFAS data, while the total portfolio value of standard, participation, and free money market funds was 3.581 trillion TL on August 31, it declined to the level of 2.799 trillion TL on September 28. It was determined that this drop in the reported total fund value amounted to 781.6 billion TL.
Technical Effects and Net Contraction
In the report prepared by Bürümcekçi, it was stated that 267.5 billion TL of this decline stemmed from some funds reporting prices, number of shares, and total fund values as zero simultaneously. When this technical effect is excluded, it was seen that the actual contraction in the total fund value was approximately 514.1 billion TL.
Outflows from Money Market Funds
It was stated that the change in the total fund value includes the effects of investor inflows and outflows as well as valuation effects on fund prices. In assessments made to measure net investor movement, approximately 642.8 billion TL of net investor outflows took place from money market funds in the period between August 31 and September 28.
Sub-Breakdowns of Outflows
A 419.7 billion TL portion of the realized net investor outflows consisted of standard money market funds. In addition, 127.0 billion TL of the outflows originated from free money market funds and 96.2 billion TL from participation money market funds.
Change in the Dollarization Rate
According to calculations made via TEFAS data, dollarization in the total of securities and pension investment funds had peaked at 47.4 percent in March 2024. After falling to 35.1 percent in January 2025, this rate increased compared to the previous month, rising to the level of 40.1 percent as of September 2026.
Expert Assessment and Warning
Economist Haluk Bürümcekçi specifically emphasized that, considering the denominator effect created by the outflow in money market funds, this increase should not be evaluated as a new permanent dollarization trend.