Economist Kerim Rota evaluates the fund crisis
While issues in investment funds and liquidation decisions have caused ripples in the markets, experts have evaluated the process's effects on pricing and audit mechanisms.
While the fund crisis, which began after Capital Markets Board decisions led over a hundred funds to enter the liquidation process, has resonated widely in the markets, economist Kerim Rota emphasized that what happened came explicitly in plain sight.
Liquidation Process and Market Impact
In line with the decisions made by the Capital Markets Board regarding seven portfolio management companies, 131 funds have entered the liquidation process. It is stated that the total size of these funds reaches approximately 800 billion liras.
Chronicle of a Death Foretold Analogy
Economist Kerim Rota claimed that price formations in certain stocks were supported through funds established by some portfolio management companies. Describing this situation as the story of the last two years, Rota compared the process to the novel Chronicle of a Death Foretold, stating that everything happened right in front of everyone's eyes.
Distinction of Situation for Investors
Stating that funds under liquidation must be separated from other funds, Rota expressed that there is no need for investors to worry regarding money market, equity, and private pension funds outside of liquidation.
Asset Sales and Potential Losses
It is emphasized that the most critical issue of the upcoming period will be the prices at which the assets held by the funds within the scope of liquidation can be sold. It is predicted that the largest losses will be experienced in four to five equity funds, and that losses could be greater in funds managed by Tera and Pusula Portföy.