Fund Manipulation in the Capital Markets and the Process of Victimization of 550 Thousand Investors
The operating steps of the fund manipulation and Ponzi scheme that led to the victimization of 550 thousand investors in the Turkish capital market have been uncovered.
Experts analyzed how the stock manipulation and fund mechanisms in the nature of a Ponzi scheme, which caused victimization for 550 thousand investors in the Turkish capital market, were established and operated in five steps.
The Fund Scheme That Shook the Market
The mechanism that put the Turkish capital market in a difficult situation and caused victimization for 550 thousand investors continues to be a subject of curiosity. Experts state that this structure was created by combining stock and index manipulation with a financing model bearing Ponzi characteristics.
International Ratings
Following these developments, international organizations closely monitored Turkey. MSCI made Turkey a special agenda item in its June 2026 assessment, while S&P Dow Jones Indices placed Turkey on its downgrade watch list in July 2026.
The Beginning of Abnormal Returns
The process began in 2025 when the funds of two portfolio management companies achieved returns far above their peers. While the BIST 100 Return Index gained 15.5%, one fund provided a return of 4,569%.
Narrowing of Circulation and Price Increase
In the preliminary stage, the circulation of shares on the public offering day was narrowed, ensuring they remained within a limited circle. In the first step, prices and daily trading volumes were pushed up through large purchases in small and thinly traded company shares.
Index Inclusion and Repo Transactions
In the second step, the shares with inflated prices entered the BIST30 or BIST50 lists and became subject to trading in the securities lending market. In the third step, money market funds generated interest income above the normal repo market against these shares.
Group Companies and TEFAS Showcase
In the fourth stage, the counterparty of the transactions became companies within the group. In the fifth stage, funds offering high past returns were opened to the TEFAS showcase to attract new investors, keeping the cycle alive with fresh cash inflow.
Massive Asset Size
According to sector estimates, the portfolio management companies at the center of this complex and risky operation managed a massive total asset size of 40 to 50 billion dollars.