Loss of Value in Borsa İstanbul Leaves Real Sector Facing Collateral Pressure
Declines in stock prices on Borsa İstanbul are putting real sector companies that use credit by showing collateral in a difficult situation with margin call demands.
The loss of stock value starting with the mutual fund crisis on Borsa İstanbul has left real sector companies that use credit by showing collateral facing margin call and renewal pressure. Calls from banks and the limited nature of Wealth Fund purchases are raising concerns.
Declines on the Stock Market
The mutual fund crisis continues to negatively affect Borsa İstanbul companies, with numerous companies continuing their series of lower circuits.
More than half of the companies traded on the exchange are priced negatively, revealing a general selling trend.
Collateral Problem of the Real Sector
Real sector companies that use credit by showing their shares as collateral are struggling with margin calls coming from banks.
While the loss of value in shares reduces the value of the collateral, companies are experiencing selling pressure and selling regardless of the price for their debts.
Turkey Wealth Fund Purchases
Although the Turkey Wealth Fund makes historical purchases via Ziraat Portföy, these interventions are concentrated in bank and BIST 30 stocks.
The fact that these purchases have no effect on the negative trend in other stocks is criticized by real sector sources.
Views of the Banking Sector
Banking sector sources state that without the Wealth Fund support, daily drops in the BIST 100 could have reached much higher levels.
It is stated that since companies do not have assets to replace the collateral, they are forced to sell on the stock market, and this problem may last longer.