TSPB ANNUAL REPORT 2017

Classification Guide” announced with our Circular no. 26. The sector’s feedback and the fund classification were submitted to the Undersecretariat of Treasury. Corporate Bonds CMB and T.R. Ministry of Justice have been presented with our suggestion that a statement should be supplemented to the Capital Market Law which will set out that, in the event issuers fail to satisfy their payment obligations in relation to corporate bonds, a document that will be issued and provided to the right holders by the Central Registry Agency (MKK) specifying that the payment has not been made shall act as a legal notification. The same memo also addresses that it would be beneficial to introduce a provision for the formation of a general assembly of bondholders in companies issuing bonds within the Capital Market Law for the purpose of protecting the rights and interests of bondholders, as well. Revisions to the Communiqué on Principles Regarding Investment Services, Activities and Ancillary Services The CMB Communiqué Amending the Communiqué on Principles Regarding Investment Services, Activities and Ancillary Services, which covers revisions regarding maximum leverage ratio applied in leveraged trading transactions and initial collateral amount to be deposited to carry out leveraged trading, came into force upon its publication in the Official Gazette issue 29975 dated 10 February 2017. The concerns our members conveyed to the Association in relation to the implementation of the said revisions were communicated to CMB in order to ensure uniformity in implementation. Proposal to Abolish Borsa İstanbul Membership Guarantees under the Central Counterparty Service It was intended to guarantee clearing obligations for equity market transactions within the frame of Central Counterparty (CC) service, and to set up a collateralization system to be tracked on a daily basis by İstanbul Clearing, Settlement and Custody Bank Inc. (Takasbank) according to the net securities positions to be maintained by the relevant institutions in respect of the management of the said risk. Taking into consideration that in such a case there will be no risk to be managed by Borsa İstanbul and that separate guarantee amounts are being collected for the risks that may arise in relation to membership to the stock exchange, we have submitted to the CMB our proposal to either abolish Borsa İstanbul’s guarantee for the equity market pursuant to the Regulation on Principles of Activities or to set a symbolic amount instead. Borsa İstanbul and Takasbank Shares in Capital Adequacy Calculations The Association took action before the CMB for consideration of Borsa İstanbul and Takasbank shares held by our intermediary institution members as liquid assets in capital adequacy calculations. Liaison Office Personnel Our members were informed of the decision regarding specialized personnel to be employed in liaison offices of intermediary institutions passed in the CMB meeting held on 10 March 2017 that, upon the Association’s application, the practice of employing one liaison office contact person and at least one specialized personnel be continued; yet, license will not be required of specialized personnel other than the contact person as of the date of the CMB decision. Depositing the Cash from Share Sales Received on Day T+2 into the Customer’s Account on Day T+0 The General Letter no. 782 has been published, which describes the CMB decision for the execution of the implementation that the amount to be generated on the sales of shares owned by customers on the stock exchange be deposited by intermediary institutions into the relevant customers’ accounts on day T or T+1 without waiting for day T+2. Initiatives 22 TCMA 2017 Annual Report