22.10.2026 16:50
The Capital Markets Board (SPK) issued a statement to address the questions that have arisen in public opinion regarding "settlement finality" and "share blocking" included in the draft law discussed at the General Assembly of the Grand National Assembly of Turkey. In the statement, it was said, "The regulation included in the Draft Law does not affect completed transactions. It only covers instructions whose settlement process has not yet been completed."
The CMB (SPK) issued a written statement to address public concerns regarding the fund bill under discussion in Parliament. The statement explained how sell orders placed by investors with locked accounts would be assessed.
STATEMENT ON THE BILL IN THE GRAND NATIONAL ASSEMBLY OF TURKEY
The CMB stated that public doubts had arisen regarding settlement finality and share blocking in connection with the bill under discussion at the Grand National Assembly of Turkey. It was stated that the statement was made for this reason.
THE “IRREVOCABLE” RULE DOES NOT COVER EVERY INSTRUCTION
The CMB explained the settlement finality rule in the Capital Markets Law as follows:
“In the first paragraph of Article 79 of the Capital Markets Law, it is provided that settlement instructions and transactions relating to capital market instruments, as well as payment transactions, cannot be reversed or cancelled even if the activities of the relevant institutions are suspended or they enter liquidation. The purpose of this provision is to protect confidence in the capital markets by introducing the principle that settlement obligations arising from executed transactions are performed irrevocably. However, this provision does not mean that it must be applied to all instructions given through TEFAS regardless of the stage at which the transaction is.”
“NOT EVERY SELL INSTRUCTION ON TEFAS IS A COMPLETED SETTLEMENT”
The statement emphasized that the Turkey Electronic Fund Trading Platform (TEFAS), where fund purchases and sales are made, has a different functioning: “Unlike traditional organized markets, TEFAS is a platform that allows investors to purchase investment fund participation shares from the fund founder and return them to the founder. Therefore, not every sell instruction given on TEFAS is automatically a completed settlement transaction.”
WHEN IS A SALE CONSIDERED COMPLETED?
The CMB made the following statement regarding investors whose accounts are locked, that is, those with share blocking sub-account (PBLK) status: “During the liquidation process, particularly for investors with share blocking sub-account (PBLK) status, the mere placement of sell instructions or the existence of a certain record in the system does not by itself mean that settlement has begun. The settlement transaction is completed when, after the instruction is received, the cash is transferred to the investor’s account and the fund participation share ownership record is removed.”
455,758 SHAREHOLDERS WILL BE ASSESSED EQUALLY
The CMB stated that including instructions whose settlement has not been completed in the liquidation would contribute to the fair distribution of the money in the fund. The statement included the following: “Indeed, persons with a share blocking record are also among the 455,758 fund shareholders and do not constitute an additional group. The arrangement in the Bill does not affect completed transactions. It only covers instructions whose settlement process has not yet been completed. These instructions will be assessed under the Bill on equal terms with other participation share holders, based on the amounts obtained as a result of the liquidation.”
“A NECESSARY AND PROPORTIONATE APPROACH”
The CMB explained the purpose of the arrangement as follows: “The purpose of the arrangement is to clarify the legal status of the aforementioned fund shareholders and to make clear the rights they hold within the scope of liquidation. In this respect, the arrangement is considered a necessary and proportionate approach to achieving the stated objectives.”