Financial institutions implement measures against fluctuations in the fund market

Following the sharp wave of selling in Borsa İstanbul and developments in the fund market, the Financial Stability Committee, the Central Bank of the Republic of Turkey (CBRT), the Capital Markets Board (CMB), and the Banking Regulation and Supervision Agency (BRSA) coordinated various measures. The CMB decided to liquidate 130 investment funds established by seven companies.

Steps by the Financial Stability Committee and the CBRT

Meeting to evaluate developments in the markets, the Financial Stability Committee announced that all necessary measures would be taken swiftly. The statement emphasized that the issue was temporary and manageable in nature.

Meanwhile, the Central Bank increased borrowing limits in the interbank money market, raising borrowing limits tenfold to 510 billion TL and increasing the weekly repo auction to 300 billion TL.

Liquidation Decisions Taken by the CMB

The Capital Markets Board decided to liquidate hundreds of funds founded by seven companies. Tera Portföy's 5, Pusula Portföy's 12, Hedef Portföy's 31, Atlas Portföy's 16, A1 Portföy's 9, Bulls Portföy's 15, and Pardus Portföy's 42 investment funds will be liquidated.

It was officially determined that this liquidation decision, covering a total of 130 investment funds, directly concerns 517,503 investors.

Additional Regulations by the BRSA and CMB

The Banking Regulation and Supervision Agency decided not to include share buybacks acquired by banks from the market through repurchase in the calculation of the capital adequacy ratio.

Additionally, the CMB introduced a minimum 20 percent flexibility to the equity protection ratio in leveraged capital market instrument transactions, while imposing a 2-year trading ban on certain executives due to transactions in Katılımevim shares.

Reflections on the Markets

While these comprehensive measures reflected positively on the stock market side, the BIST 100 index completed the day with an increase of 2.95 percent at 13,510 points.

On the other hand, Emlak Katılım Tasarruf Finansman AŞ announced that it had begun negotiations to acquire Katılımevim and Birevim in line with its growth strategy.