The Turkish Capital Markets Board (SPK) decided to close all investment funds traded on the TEFAS platform, which were established by seven portfolio management companies, and also issued a liquidation order for some of these funds.
Details of the SPK Decision
This decision was made following recent developments in the Istanbul stock markets. All investment funds established by portfolio management companies including Tera Portfolio Management, Pusula Portfolio Management, Hedef Portfolio Management, Atlas Portfolio Management, A1 Capital Portfolio Management, Pardus Portfolio Management, and Bulls Portfolio Management have been closed for buying and selling.
Additionally, the SPK issued a liquidation order for specific funds belonging to these companies, the method of which will be determined by this organization. The liquidated funds will include free funds and money market funds.
Number of Affected Funds
The total number of funds affected by this decision reaches 130, which includes five funds managed by Tera, 12 funds by Pusula, 31 funds by Hedef, 16 funds by Atlas, 9 funds by A1, 15 funds by Bulls, and 42 funds by Pardus.
These measures have been taken to protect the rights of investors and to prevent further market volatility. The SPK also decided to temporarily ease the minimum stock holding ratio for margin trading. The ratio was usually set at 35 percent, but will be flexibly applied to a minimum of 20 percent until the end of the trading session on October 2, depending on the risk policies of brokerage firms and customer requests as much as possible.
These measures will continue until further notice and seem aimed at minimizing negative impacts on investors and financial markets.
Currently, the Turkish market is under economic pressures, and these actions could be a sign of the government's efforts to stabilize the financial situation. Given that 130 funds are affected by this decision, it is expected that this will have significant impacts on both small and large investors.
