Share Financing & Stock Loans in Turkey
The Borsa Istanbul (BIST) founded on April 5, 2013, is the sole exchange entity of Turkey combining the former Istanbul Stock Exchange (ISE): İstanbul Menkul Kıymetler Borsası, IMKB), the Istanbul Gold Exchange: İstanbul Altın Borsası, İAB) and the Derivatives Exchange of Turkey: Vadeli İşlem Opsiyon Borsası, VOB) under and as one corporate entity. As of April 5, 2013 there were 371 listing on the BIST with a market capital of 411 billion Turkish Lira.
The judiciary of the Republic of Turkey are Independent, with Constitutional Court supervising conformity of laws to the 1982 Constitution (Articles 138 to 160). Turkish law is based on and derived from various European systems, mainly French, Italian, and Swiss. Property rights and contracts are secure and reliably enforced.
Squadron has been a reliable provider of non-recourse stock loans since 2000. Squadron’s stock loan solution for shareholders who own stock in listed a company which trade on the BIST (formally ISE), is simple, and confidential. Shareholders in Turkey can now pledged their securities and borrower against their stock. Squadron’s stock loan program offers borrowers an opportunity to monetize their stock position without having to sell their stock into the market, with all that that entails.
Even though Turkey is one of the fastest growing emerging economies, most banks in Turkey do not offer margin loans for stocks traded on the Borsa Istanbul BIST (formally ISE). This presents a challenge for major shareholders and listed companies who require additional cash for development, growth, expansion, mergers and acquisitions.
If you own stock that trades on the Borsa Istanbul we can help you borrower against your shares. Borrowers who pledge their stock will continue to receive dividends and will retain profits if the stock position increases in value.
Squadron’s stock loans are non-recourse; in the event of a default the stock position is simply surrendered to the lender. The borrower has no further obligations to the repay the loan. There are no negative consequences to the borrower or underlying companies credit rating.
Squadron offers both long and short term stock loans in Turkey with competitive interest rates and loan to value ratios of 40% – 75%. Since the only collateral for the loan are the pledged shares, the Squadron stock loan can be funded very quickly with minimal paperwork and documents required.
At Squadron we value your privacy. All share financing agreements and stock loans will remain strictly confidential.
Borsa Istanbul (BIST) Hours of Operation
Morning Hours: 09:30 to 12:30
Afternoon Hours: 14:00 to 17:30
Clearing: Takasbank – Istanbul Stock Exchange Clearing & Settlement Bank
Currency: Turkish Lira (TRY)
