TCMA 2020 ANNUAL REPORT

(Takasbank) and our members for eliminating the discrepancies in the valuation of certain securities covered in the fund portfolios of members. Established in November, the working group is anticipated to determine a standard valuation method for securities identified by the CMB and to ensure uniformity in practice across the sector. Mutual Fund Investments of Insurance and Pension Companies The Association made attempts before the Insurance and Private Pension Regulation and Supervision Agency to broaden the mutual funds universe that can be purchased for the portfolios of insurance and pension companies and to update the risk weights of these mutual funds according to underlying assets. Real Estate and Venture Capital Mutual Fund Investments for Acquiring Turkish Citizenship Upon the new application filed in December for ensuring equality in the minimum amount of real estate and venture capital mutual fund investment with other instruments for acquiring Turkish citizenship, our Association took a formal step before the T.R. Ministry of Interior Directorate General of Civil Registry and Citizenship Affairs. Our Association also made an attempt before the Capital Markets Board of Turkey (CMB) for satisfaction of the retention requirement for real estate and venture capital fund investments in the regulations through a new Citizenship Blockage Account before the Central Securities Depository (MKK). Mutual Funds Transfer The Association made an attempt before the Capital Markets Board of Turkey (CMB) to enable mutual fund unit shares transfers between the same investor’s accounts with different institutions and between different investors’ accounts with the same and/or different institutions, such is the case for other capital market instruments like equities and bonds. Contribution to the Tax Expenditures Report of the T.R. Ministry of Treasury and Finance Data on revenues derived on stock and securities investment trust share trading on the basis of investor groups for 2019 were compiled from our members and submitted to the T.R. Ministry of Treasury and Finance to be used for the Ministry’s Tax Expenditures report. TCMA Scale Up Investments Questionnaire To measure the investors’ investment appetite for scale up companies the Association administered a questionnaire among asset management companies, investment trusts, venture capital investment funds and angel investors. The results of the survey were shared with Borsa İstanbul. Joint Initiatives with Birleşik Mortgage Financing Company The Association lent support to the initiatives of Birleşik İpotek Finansmanı Kuruluşu (BİFK), a mortgage financing company established in 2020 to perform the securitization activities within the scope of housing and asset finance, in which the Association has a shareholding interest. In this context, various meetings were held participated by representatives from our Members, and opinions were exchanged on various topics from the properties of asset/mortgage-backed securities to be issued by BİFK in the period ahead to regulations. The Association’s Investment Portfolio In June 2015, the Association’s Board of Directors decided to invest the provisions for severance and notice pays for the Association’s employees in the mutual funds traded on the Turkey Electronic Fund Trading Platform (TEFAS), for the dual purpose of securing maximum returns with minimum risk through proper distribution of assets, and of supporting the capital markets. The preparatory work for the portfolio, and an assessment of its one-year performance were published in the Winter 2020 edition of the Association’s quarterly journal, Gösterge. The initial investment amount of TL 1.1 million in March 2016 rose to TL 1.6 million at the end of 2017, to TL 1.7 million at the end of 2018, to TL 2.4 million at the end of 2019, and to TL 3.3 million at the end of 2020. INITIATIVES 30 TCMA 2020 ANNUAL REPORT