PUBLIC STATEMENT FROM THE CAPITAL MARKETS BOARD REGARDING THE PREPARATION PROCESS FOR THE GUIDELINES ON INVESTMENT FUNDS
PUBLIC STATEMENT FROM THE CAPITAL MARKETS BOARD REGARDING THE PREPARATION PROCESS FOR THE GUIDELINES ON INVESTMENT FUNDS
The Capital Markets Board (“SPK”/“the Board”), in a press release dated September 18, 2026, shared a detailed chronology regarding the preparation process for the comprehensive amendments made to the Guide on Investment Funds (“Guide”), which was disclosed to the public on August 28, 2026. The announcement is significant for portfolio management companies and fund investors, as it outlines the rationale behind the regulation, the institutions whose opinions were sought, and other measures complementing the Guide.
1. The Rationale Behind the Regulation: Fund-Driven Abnormal Price Movements
The announcement states that in the fourth quarter of 2025, price movements in shares with low actual trading volumes—which could not be explained by economic reality or the companies’ fundamental financial metrics—were observed through funds belonging to certain portfolio management companies (“PMCs”), particularly hedge funds and money market funds.
2. Financial Stability Committee Decision and Working Group Within the Board
At the December 2, 2025, meeting of the Financial Stability Committee (“FSC”), chaired by Minister of Treasury and Finance Mr. Mehmet Şimşek, the matter was placed on the agenda, and a recommendation was issued regarding macroprudential measures that could be taken by the Capital Markets Board (CMB). Following this decision, a Working Group was established within the Board on December 3, 2025.
3. First Macroprudential Measure: Raising the Qualified Investor Threshold to 10 Million TL
The first step taken as part of these measures was the increase, effective December 18, 2025, of the required total financial assets for qualified investor status from 1 million TL to 10 million TL. This change constitutes a structural intervention that redefines the investor profile by restricting access to hedge funds.
4. Institutional Opinions and the Industry Consultation Process
The announcement emphasizes that the Draft Guidelines underwent an extensive consultation process:
● December 15, 2025: Requests for opinions were submitted to Borsa Istanbul A.Ş. and Istanbul Clearing and Depository Bank A.Ş. (“Takasbank”).
● January 28, 2026: The Revised Draft was submitted to the Ministry of Treasury and Finance; the Ministry announced that it would be enacted after sectoral feedback was received on February 11, 2026.
● February 13, 2026: The draft is opened for public comment from the entire sector through the Turkish Capital Markets Association (“TSPB”).
● February 18, 2026: Request for comments from the Central Securities Depository Inc.
5. Two Regulations Complementing the Guide
During the process, the TSPB and Takasbank requested that the provisions regarding the operation of the Turkey Electronic Fund Trading Platform (“TEFAS”)—particularly the rules on netting, clearing, and distribution of receivables in the TEFAS Implementation Principles—be comprehensively amended prior to the publication of the Guide. The TEFAS Implementation Rules prepared in this context were approved by the Board on June 17, 2026, and implemented by Takasbank on July 20, 2026.
In addition, pursuant to the Board’s decision dated July 23, 2026, units of GYF and/or GSYF included in investment fund portfolios and traded on the Exchange will be valued based on net asset value rather than the Exchange price effective July 31, 2026. The Board states that this regulation prevents the value of certain funds from being calculated on a fictitious basis.
6. Purpose of the Guide: Limiting Systemic Risk and the Potential for Manipulation
Following meetings held in August 2026 with Borsa Istanbul, Takasbank, and MKK, the Guide was finalized and announced to the public on August 28, 2026. The announcement explained that the purpose of the Guidelines is to prevent the impact on financial stability of systemic risk created—particularly by money market funds and equity open-end funds—through unsecured borrowing among related parties and through unusual price movements on the Stock Exchange. It is noted that the regulation contains provisions aimed at protecting investor savings, ensuring confidence, limiting the potential for manipulation through funds, and increasing transparency.
7. Transition Periods and Board Oversight
The announcement states that appropriate transition periods have been granted for compliance with the Guidelines and that developments following the Guidelines will continue to be closely monitored by the Board on a per-PMCs basis and across the sector as a whole.
The announcement clarifies that the Guidelines are not a standalone regulation but rather part of a comprehensive macroprudential measure package that includes raising the qualified investor threshold, restructuring the TEFAS Implementation Principles, and amending the valuation principles for GYF/GSYF. For portfolio management companies, key priorities include reviewing related-party transactions, unsecured borrowing structures, positions in shares with low actual circulation ratios, and fund portfolio valuation methods during the transition periods, as well as bringing internal control and risk management systems into compliance with the provisions of the Guidelines.