VIOP - FUTURES & OPTIONS

1

VIOP - FUTURES & OPTIONS

MARKET

London

April, 2013

VIOP www.borsaistanbul.com

Agenda

Section 1 Borsa İstanbul……….………………………………………………………..4

Section 2 VIOP - Futures and Options Market……………………………………....15

Section 3 Product Specifications…………………..………………………………….19

Section 4 Market Rules and Risk Management…………………………….............32

Section 5 Borsa İstanbul – TURKDEX Merger………………………………………37

3

Section 1

Borsa İstanbul

4


Why Borsa İstanbul?

• Resilient and growing financial sector

• High liquidity in the cash market, number one in turnover velocity among FESE

members in January 2013

• First organized options market for Turkish equity underlyings & indices

• Huge potential in derivatives, as seen in TURKDEX’s tremendous growth

• Low cost base

• Forthcoming derivatives products, i.e Currency Options, Interest Rate Options,

Energy & Commodity Derivatives

5

Markets of Borsa İstanbul

EQUITY MARKET

DEBT SECURITIES

MARKET

FOREIGN

SECURITIES MARKET

EMERGING

COMPANIES MARKET

(11 Companies)

(VIOP)

FUTURES AND

OPTIONS MARKET

National Market

(233 companies)

Second National

Market

(77 companies)

Watch List Companies

Market

(13 companies)

Institutional Products

Market

Spot Market

Repo/Reverse Repo

Market

Wholesale Market

Repo Market for

Specified Securities

Interbank

Repo/Reverse Repo

Market

Eurobonds Market BIST30 SingleStock

Futures & Options

Index Options

(BIST30)

ETFs Market

(17 Funds)

ITs, REITs;

Venture Capital

(49 companies)

Warrant &

Certificates Market

(240 warrants, 92

certificates)

Markets of Borsa İstanbul

6

Precious Metals and

Stones Market

Energy & Commodity

Markets


Borsa İstanbul: Market Status

Average Daily Equity Market Traded Value (USD Billions) Equity Market Traded Value (USD Billions)

8th highest equity market turnover among the emerging markets

Source: Borsa İstanbul, *As of April 5th, 2013

Market Capitalization (USD Billions)*

Source: World Federation of Exchanges, as of

December 31th, 2012

0 500 1,000 1,500 2,000 2,500 3,000

Tel Aviv SE

Warsaw SE

Indonesia SE

GreTai Securities Market

BSE India

Bursa Malaysia

Mexican Exchange

The Stock Exchange of Thailand

Johannesburg SE

MICEX / RTS

Borsa Istanbul

Saudi Stock Exchange - Tadawul

National Stock Exchange India

Taiwan SE Corp.

BM&FBOVESPA

Korea Exchange

Shenzhen SE

Shanghai SE

Borsa İstanbul: Market Status

7

00.20.40.60.8

11.21.41.61.8

2

1.19 1.04

1.26

1.7 1.67

1.38

1.21 1.25

1.75 1.72 1.83

0

50

100

150

200

250

300

350

69 98

162 163

290

120

236

307

201

309 324


Borsa İstanbul: A Highly Appreciated Investment Platform

Source: Borsa İstanbul, *As of April 1st, 2012

Percentage of Foreign Investors in Free Float

Market Capitalization

Share Turnover Velocity**

Source: World Federation of Exchanges

** As of March31st, 2013

5 th highest turnover velocity in the world as of March

2013

Borsa İstanbul: A Highly Appreciated Investment

Platform

8

65.3

72.4

67.5 67.3

66.2

62.1

65.8 66

56

58

60

62

64

66

68

70

72

74

2006 2007 2008 2009 2010 2011 2012 2013/4*

00% 50% 100% 150% 200% 250% 300%

Singapore Exchange

SIX Swiss Exchange

London SE Group

NASDAQ OMX Nordic Exchange

NYSE Euronext (Europe)

Australian SE

BM&FBOVESPA

TMX Group

BME Spanish Exchanges

Taiwan SE Corp.

Deutsche Börse

Saudi Stock Exchange - Tadawul

Korea Exchange

Thailand Stock Exchange

Borsa İstanbul

Japan Exchange Group - Tokyo

Shanghai SE

GreTai Securities Market

Shenzhen SE


Borsa İstanbul: A Well-Established Debt Securities Market

Borsa İstanbul has the world’s 4th largest bonds market on electronic order book

Source: Borsa İstanbul

*includes repo/reverse repo market.

**As of October 2012

Borsa İstanbul: A Well-Established Debt Securities

Market

9


Borsa İstanbul: High IPO Potential

• 10 new companies in emerging

companies market with a total of 26

IPOs and one SPO during 2012

• Number of listed companies reached

to 407

• Funds raised through debt

instrument issuances amount to USD

23,6 billions in 2012

• Remarkable increase in the

issuance of debt instruments: 263

new issuances in 2012

• With more IPOs, our intention is to

reach at least 50-60% market

capitalization/GDP ratio

0

5

10

15

20

25

30

2002 - 2009 2010 2011 2012

6

22

27 26

Number of IPOs*

Source: Borsa İstanbul, *Figure for 2002 to 2009 is annual average

Borsa İstanbul: High IPO Potential

10


Roadmap of Borsa İstanbul

Demutualization

Vertical / Horizontal

Consolidation

IPO and New Products

Integration with

Turkdex, Gold

Exchange

A More Efficient

Pre/Post-Trade

System

Closer Linkages

with Regional

Exchanges

New Capital Markets

Law

Trading Platform with

a State of Art

Technology

A Diversified Pool

of Products - VIOP

Roadmap of Borsa İstanbul

11


New Organizational Infrastructure under Borsa İstanbul New Organizational Infrastructure under Borsa

İstanbul

12


New Regulatory Framework

The new Capital Markets Law legislated at the end of 2012 is intended to

meet the requirements of İstanbul International Financial Center Project

sustain more transparent, effective, reliable, competitive environment for

capital market in Turkey

increase number and types of institutional investors such as asset

management companies together with increasing retail investor base

achieve coherence with EU capital market regulations

enhance corporate governance

improve operational efficiency


13



The Law includes remarkable changes on;

Financial Instruments and Issuers

Financial Reporting, Independent Audit, Rating, and Valuation

Capital Market Activities, Intermediaries, and Self-Regulatory

Organizations

Institutional Investors

Surveillance and Precautionary Measures

Market Crimes and Sanctions


14

Section 2

VIOP - Futures and Options Market

15


VIOP - Futures and Options Market At a Glance

• As of 9th of April, 583 contracts with 11 different underlyings (10 equities and 1

index) are available for trading.

29.08.2012 21.12.2012 05.04.2013 05.08.2013

CMB gave authority to

Borsa İstanbul for

SSOs and SSFs.

Launch of VIOP - Options and

Futures Market (SSOs,SSFs)

with 10 underlyings

Launch of Borsa İstanbul

Launch of BIST30 Options

TURKDEX – Borsa İstanbul

Merger

16

Code Code

AKBNK.E TCELL.E

EREGL.E THYAO.E

GARAN.E TUPRS.E

ISCTR.E VAKBN.E

SAHOL.E YKBNK.E

Code

XU030


VIOP Members

Member

Code Member Name

Member

Code Member Name

ACA ACAR YATIRIM MENKUL DEĞERLER A.Ş. HSY HSBC YATIRIM MENKUL DEĞERLER A.Ş.

ADY ANADOLU YATIRIM MENKUL KIYMETLER A.Ş. IYF İNFO YATIRIM A.Ş.

AKM AK YATIRIM MENKUL DEĞERLER A.Ş IYM İŞ YATIRIM MENKUL DEĞERLER A.Ş

AMK ALTERNATİF YATIRIM A.Ş. KRE KARE YATIRIM MENKUL DEĞERLER A.Ş.

AOL ATA ONLINE MENKUL KIYMETLER A.Ş. MRS MARBAŞ MENKUL DEĞERLER A.Ş.

ATA ATA YATIRIM MENKUL KIYMETLER A.Ş. MSA MEKSA YATIRIM MENKUL DEĞERLER A.Ş.

BGC BGC PARTNERS MENKUL DEĞERLER A.Ş. OMD OSMANLI MENKUL DEĞERLER A.Ş.

CAM CAMİŞ MENKUL DEĞERLER A.Ş. OYA OYAK YATIRIM MENKUL DEĞERLER A.Ş.

DET DELTA MENKUL DEĞERLER A.Ş. PIT PİRAMİT MENKUL KIYMETLER A.Ş.

DSI DEUTSCHE SECURITIES MENKUL DEĞERLER A.Ş. SKY ŞEKER YATIRIM MENKUL DEĞERLER A.Ş.

DZY DENİZ YATIRIM MENKUL KIYMETLER A.Ş. SNK SANKO MENKUL DEĞERLER A.Ş.

EFG BURGAN YATIRIM MENKUL DEĞERLER A.Ş. STJ STRATEJİ MENKUL DEĞERLER A.Ş.

EKN EKİNCİLER YATIRIM MENKUL DEĞERLER A.Ş. UNS ÜNLÜ MENKUL DEĞERLER A.Ş.

EKS EKSPRES YATIRIM VE MENKUL DEĞERLER A.Ş. TAC TACİRLER YATIRIM MENKUL DEĞERLER A.Ş.

FNY FİNANS YATIRIM MENKUL DEĞERLER A.Ş. TBY TEB YATIRIM MENKUL DEĞERLER A.Ş.

GDK GEDİK YATIRIM MENKUL DEĞERLER A.Ş. TKS TAKSİM YATIRIM A.Ş.

GLB GLOBAL MENKUL DEĞERLER A.Ş. TLM TEKSTİL YATIRIM MENKUL DEĞERLER A.Ş.

GLT GALATA YATIRIM A.Ş. TRA TERA MENKUL DEĞERLER A.Ş.

GRM GARANTİ YATIRIM MENKUL KIYMETLER A.Ş. YAT YATIRIM FİNANSMAN MENKUL DEĞERLER A.Ş.

PHC PHILLIP CAPITAL MENKUL DEĞERLER A.Ş. YKR YAPI KREDİ YATIRIM MENKUL DEĞERLER A.Ş.

HLY HALK YATIRIM MENKUL DEĞERLER A.Ş. CSM CREDIT SUISSE

17

There are currently 42 members.


UNDERLYING SECURITIES MARKET CAP

USD bln

(as of April 2, 2013)

WEIGHT IN

BIST30 INDEX

(%)

BLOOMBERG

TICKER INDUSTRY

1 BIST30 Index 220.0 100 XU030 Index

2 Garanti Bank 22.2 14.5 GARAN TI Banking

3 Akbank 21.0 12.0 AKBNK TI Banking

4 Is Bank 17.1 7.2 ISCTR TI Banking

5 Turkcell 14.9 5.0 TCELL TI Telecoms

6 Yapı ve Kredi Bankasi 13.9 3.4 YKBNK TI Banking

7 Sabancı Holding 12.5 7.5 SAHOL TI Multi-Sector Holdings

8 Vakıflar Bankasi 8.1 2.8 VAKBN TI Banking

9 Tupras 7.8 5.2 TUPRS TI Oil & Gas Refining

10 Turk Hava Yollari 4.9 3.4 THYAO TI Airlines

11 Eregli 4.0 1.7 EREGL TI Steel

Underlying Securities – Equity Options and Futures

18

Section 3

Product Specifications

19


BIST30 Options

Product Name BIST30 Options

Underlying Security BIST30 Price Index

Exercise Style European-style; an option is exercised automatically on the Last Trading Day.

Contract Size Underlying security is the 1/1000 of the index values.

Contract size for the index options is 100 underlying securities.

Price Quotation and Tick

Size

Prices are offered for the premium value of one underlying security.

TRY0.01 per underlying security = TRY1.00 per contract.

Contract Months The two nearest calendar months and the following quarterly month of the

March, June, September and December cycle.

Settlement Cash settlement

Settlement Period T+1 (first day following the expiry date)

Last Trading Day and

Expiry Day Last business day of the contract month.

Trading Hours 09:15-17:45, non-trading period 12:30-14:00 (London 07:15-15:45)

Max Trade Size 2,500 contracts (14.4m USD)

Margins Initial Margin: Set by the SPAN portfolio margining method.

Maintenance Margin: 75% of the required collateral.

20


BIST30 Options

Daily Settlement Price

Established by Takasbank.

- Weighted average price of all trades performed within the last 10

minutes before the closing of the trading session,

- If number of trades performed within the last 10 minutes before the

closing of the trading session is less than 10, the weighted average of

the last 10 trades before the closing will be set as the settlement price.

Final Settlement Price Closing index values on the Last Tading Day.

Exercise Price Intervals

Strike price tick is 2 (2,000 index points).

Option contracts with different strike prices are created within the ±10%

limit of the last closing value of BIST30 Index.

For each maturity, at least five different strike prices; two in the money, one

at the money and two out of the money options.

Different strike price option contracts are opened automatically with the

changes in the BIST30 index value.

Position Limits

As for the client level position limit, the gross open position in the same

side of the market (Long Call+Short Put or Short Call+Long Put) for each

client across all index option contracts, should not exceed 50,000

contracts. If 50,000 contract limit is exceeded, the client level position

limit will be 20% of the total open position on contracts of the same

underlying.

Market wide position limit is not applied to the index options.

Vendor Code Reuters: 0#XU030*.IS

21


Strike Price Level Example

• Assume the closing value of BIST30 index as of April 4th is 105,815.32, this

corresponds to the underlying price of 105.815

• Upper limit for the strike price range is 105.815 * ( 1 + %10) = 116.397

• Lower limit for the strike price range is 105.815 * ( 1 - %10) = 95.234

• The strike prices levels in the following table will be formed in the system.

One at the money (106), two out of the money (108-110) and two in the

money (102-104) strike priced option contracts will be immediately opened

for trading.

22

Strike Prices

96

98

100

102

104

106

108

110

112

114

116


Profit/Loss Example for BIST30 Options

• Assume that the investor bought 10 option contracts of

O_XU030E0613C90.000S0 (Strike Price 90, Maturity June 2013, Call option on

BIST30) on April 5, 2013 for a premium of 3.74 TRY for one underlying.

Trade Date April 5, 2013 Friday

BIST30 Index Value 90,642.78

Underlying Price 90.642

Strike Price 90

Maturity Date June 28, 2013 Friday

Number of contracts traded 10 contracts

Price paid for one underlying (premium

value of the option) 3.74 TRY

Contract size 100 underlying

Total Position Size 90,642 TRY (10 x 100 x 90.642)

Total Premium (TRY) 3,740 TRY (3.74 x 10 x 100)

23


Profit/Loss Example for BIST30 Options

• Two different scenarios on the maturity date

On the maturity date BIST30 closing value is 94,876.83


Underlying Index Price 94,876.83 / 1000 94.876

Final Settlement Price-

EDSP (TRY) 94.876 – 90 = 4.876 (rounded) 4.88 TRY

Profit/Loss (TRY) 4.88 x 10 x 100 4,880 TRY

On the maturity date BIST30 closing value is 89,341.45


Underlying Index Price 89,341.45 / 1000 89.341

Final Settlement Price-

EDSP (TRY) 89.341 – 90 ≤ 0 0.01 TRY

Profit/Loss (TRY) 0 TRY

24


Single Stock Futures (SSFs)

Underlying Securities BIST30 stocks

Contract Size 100 shares per contract

Tick Size TRY0.01 per underlying security = TRY1.00 per contract

Expiry Months The two nearest calendar months and the following quarterly month of the


Settlement Physical delivery

Delivery Day T+3 (3 business days after the Last Trading Day)

Trading Hours 09:15-17:40, non-trading period between 12:30-14:00 (London 07:15 - 15:40)








Final Settlement Price The closing price in the closing session of the underlying security in the cash

market on the Last Trading Day.

Last Trading Day Last business day of the contract month.

Daily Price Limit The daily price limit is set as +/-20% of the base price (previous daily

settlement price).

Vendor Code Reuters: 0#ISTFUT

Bloomberg: SFUT TI

25


Single Stock Options (SSOs)

Underlying Securities BIST30 stocks

Exercise Style American

Contract Size 100 shares per contract1

Tick Size Prices are offered for the premium value of one underlying security.

TRY0.01 per underlying security = TRY1.00 per contract

Exercise Day Exercise by 17:45 on any business day.

Expiry Months The two nearest calendar months and the following quarterly month of the


Settlement Physical delivery

Delivery Day T+32 (Three business days following the day of exercise – Last Trading Day)

Trading Hours 09:15-17:40, non-trading period between12:30-14:00 (London 07:15 - 15:40)

Expiry Day & Last Trading

Day Last business day of the contract month.

Daily Price Limit None

Clearing House Takasbank

Vendor Code Reuters: 0#ISTOPT

Bloomberg: XXXXX TI Equity OMON

26

1. Due to corporate action contract adjustments some stock option series may have a non-standard contract size.

2. Option premium is payable in full by the buyer on the business day following a transaction.


Single Stock Options (SSOs)

Exercise Price Intervals

Set by the strike price increment table.

Option contracts with different strike prices are created within the ±20%

limit of the spot price.

For each maturity, at least three different strike prices; one in the

money, one at the money and one out of the money options.

Different strike price option contracts are opened automatically with the

changes in the underlying stock value.








Margins Initial Margin1: Set by the SPAN portfolio margining method.

Maintenance Margin: 75% of the required collateral

27

1. Physical delivery collateral is requested only in case of exercise.


Strike Price Intervals for Stock Options

Strike Price Intervals (TRY) Strike Price Increments (TRY)

0.01 – 1.00 0.05

1.00 – 2.50 0.10

2.50 – 5.00 0.25

5.00 – 10.00 0.50

10.00 – 25.00 1.00

25.00 – 50.00 2.50

50.00 – 100.00 5.00

100.00 – 250.00 10.00

250.00 – 500.00 25.00

500.00 – 1,000.00 50.00

1,000.00 and above 100.00

28

• The interval between the exercise prices is set according to the fixed scale below:


Trading Hours

Single Stock

Futures and

Options

NonTrading

Period

Normal Session

Session

Break

Normal Session

Settlement Price

Calculation

BIST30 Options

NonTrading

Period

Normal Session

Session

Break

Normal Session

Settlement

Price

Calculation

9:15am (07:15am London Time)

17:40 (15:40

London

Time)

17:55 (15:55

London

Time)

29

12:30 (10:30am London Time)

14:00 (12:00 London Time)

17:45 (15:45

London

Time)

• American Options exercise by 17:45 on any business day.


Settlement Process

Last Trading Day (T)

T+1 T+2 T+3

Settlement Day

Exercise deadline

17:45 (Index Options

are automatically

exercised)

Deadline for physical

delivery at 16:30

Single Stock Futures & Options and BIST30 Options

Trade Day T+1 T+2

Settlement Day

Trading ceases

at 17:40

Deadline for

default at 16:30

Cash Equity Markets

Times are shown in local time (GMT+2:00)

Cash settlement

for Index Options

30


Exchange Fees

Competitive Exchange Fee Structure

• Exchange Fees for SSFs - 0.004% (4/100,000) of the notional value

• Exchange Fees for SSOs and SIOs - 0.008% (8/100,000) of the premium

value, minimum 0.03 TRY for each option trade.

31

Section 4

Market Rules and Risk Management

32


Position Limits for SSFs & SSOs

• Market Wide Position Limit: If aggregate open interest in the futures and

options on individual equities exceed the number of free float shares, from

next day onwards the client/ trading members should trade only to decrease

their positions through offsetting positions till the normal trading in the market

is resumed. The normal trading in the market is resumed only after the

aggregate open interest comes down to 95% or below of the market wide

position limit.

• Client Level Position Limit: The gross open position in the same side of the

market (Long Call+Short Put+Long Futures or Short Call+Long Put+Short

Futures) for each client, across all derivative contracts on a stock, should not

exceed 5% of the number of the free float shares.

33


Initial Margin & Leverage

• Required collateral & leverage ratios for SSFs (as of April 2,2013)

UNDERLYING

SECURITY

INITIAL

COLLATERAL

(TRY)

UNDERLYING PRICE

(TRY)

CONTRACT SIZE

(TRY)

COLLATERAL

RATIO (%) LEVERAGE

BIST30 950 105,8161 10,581

AKBNK 135 9.44 944 14.30 6.99

EREGL 50 2.33 233 21.46 4.66

GARAN 120 9.5 950 12.63 7.92

ISCTR 95 6.86 686 13.85 7.22

SAHOL 200 11 1100 18.18 5.50

TCELL 240 12.15 1215 19.75 5.06

THYAO 110 7.42 742 14.82 6.75

TUPRS 800 55.75 5575 14.35 6.97

VAKBN 80 5.86 586 13.65 7.33

YKBNK 85 5.74 574 14.81 6.75

34

1. BIST30 Index value as of April 2th, 2013.


• Real-time post trade margining is in force via SPAN (Portfolio based margining)

• SPAN, assesses the maximum risk and the required collateral which covers the

risk of a portfolio.

1. Risk measurement: Maximum loss of portfolio in one day is estimated.

2. Required premium: Liquidation values of long and short positions in a

portfolio.

• SPAN calculates the maximum likely loss that could be suffered by the portfolio

based on different price and volatility scenarios.

• There are 16 scenarios in the original algorithm. Each scenario is comprised of a

different market simulation with price and volatiliy moves of 1/3,2/3,3/3 ratio and

the extreme move of multiplier 3.

• Pre-order risk management is used for risky accounts.

SPAN - Post Trade Risk Management

35


Risk Management

CONTRACTS

F_GARAN0611S0 O_GARANA0611C5.00S0 O_GARANA0911C5.00S0 TOTAL RISK

POSITIONS 1 1 -1

SCENARIOS

1 Underlying price unchanged; Vol up 0 -268 360 92

2 Underlying price unchanged; Vol down 0 271 -345 -74

3 Underlying price up 1/3 range; Vol up -233 -391 470 -154

4 Underlying price up 1/3 range; Vol down -233 135 -245 -343

5 Underlying price down 1/3 range; Vol up 233 -156 257 334

6 Underlying price down 1/3 range; Vol down 233 375 -424 184


8 Underlying price up 2/3 range; Vol down -466 -30 -125 -621

9 Underlying price down 2/3 range; Vol up 466 -54 162 574



12 Underlying price up 3/3 range; Vol down -700 -220 14 -906

13 Underlying price down 3/3 range; Vol up 700 37 74 811


15 Underlying price up extreme move -490 -340 284 -546

16 Underlying price down extreme move 490 155 -147 498

MAXIMUM RİSK 811

• For example, for a portfolio composed of one long position in F_GARAN0611S0,

one long position in O_GARANA0611C5.00S0, and one short position in

O_GARANA0911C5.00S0, 13th scenario is the worst with the total risk of 811 TRY

(700+37+74).

SPAN Algorithm Example

36

Section 5

Borsa İstanbul – TURKDEX Merger

37



• VIOP – Futures & Options Market is planned to be the ONLY derivative trading

platform in Turkey under the Borsa İstanbul on 5th of August, 2013.

• Borsa İstanbul and TURKDEX officially will merge on the 3rd of May 2013.

38



Spot Market Derivatives

Market

• Equities

• Debt Securities

• Single Stock Futures

• Single Stock Options

• Stock Index Options

Forthcoming Products

• Currency Options

• CFDs

• Energy Derivatives

• Commodity Derivatives

Derivatives

Market

• Stock Index Futures

• Currency Futures

• Commodity Futures

• IR Futures

5th August

39


Merger Timeline

40

April May June July August

14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32

Stage 1: Registration of BIST (03/04/2013)

Stage 2: Deadline for the share exchange (03/05/2013)

Stage 3: Trading system update process

Stage 3: Opening of the test system

Stage 4: Start of trading at VIOP (05/08/2013)



• According to sub-paragraph b, paragraph 6, article 138 of the Capital Market Law

no. 6362, the shareholders of Turkish Derivatives Exchange (TURKDEX) will be

entitled to purchase Borsa İstanbul A.Ş. shares equal to the product of their share

multiplied by 0.05, within one month following the registration of the Articles of

Association of Borsa İstanbul A.Ş. (03.04.2013)

• The merger stipulates the migration of the futures contracts currently traded on

TURKDEX to Borsa İstanbul Futures & Options Market (VIOP), thereby all futures

and options contracts will be traded on a single platform.

• Following the transition, all futures and options contracts market data will be

provided through a single channel to data vendors.

• Transfer of the positions and collaterals from the accounts at TURKDEX to the

accounts at VIOP system will be completed in accordance with the principles

declared by Takasbank.

41



• Following the merger, portfolio based margining will be used instead of contract

based margining used at TURKDEX. Portfolio based margining will be handled by

Takasbank using SPAN algorithm. The parameter file which is the basis for SPAN

algorithm is announced by Takasbank on a daily basis.

• All the contracts traded on TURKDEX will be transferred to VIOP Trading System

on August 5, 2013, and starting from this date, the transferred contracts will start

trading in accordance with the market rules of VIOP Futures & Options Market.

Some of the TURKDEX contracts with a low open interest or low traded volume

may not be transferred to the VIOP Market and closed to trading.

• Contract codes of TURKDEX contracts which will migrate to VIOP Futures &

Option Markets will be converted to the existing contract code format of VIOP.

42



• Following the transition period, order transmission for the contracts to be traded on

the market will be made on VIOP API instead of VOB API, and also the trading

front end known as VOBKE screens will be replaced with VIOP screens.

• Risk management will be carried out in line with the procedure currently applied by

VIOP, with no collateral checks at the time of trade, and post-trade collateral check

by Takasbank. In order to control market risks, risk control may be applied at order

entry in some special cases.

• Position limits of the contracts traded on TURKDEX are being reviewed in

coordination with Takasbank.

• Guarantee Fund amounts calculated for VIOP will be recalculated during the

transfer of positions and collaterals for the accounts opened at TURKDEX, and

there will be only one Guarantee Fund with Takasbank.

43



• Following the merger, only brokerage houses will be authorized to trade single

stock and index futures and options. Banks will not be authorized to trade in those

contracts directly, but only as agencies of brokerage houses. However, banks may

keep depository accounts for such contracts and/or act as clearing members. On

the other hand, with the exception of single stock and index futures/options, banks

will be allowed to trade contracts and may provide intermediary services for client

orders.

• Member representatives authorized to trade on TURKDEX are required to

participate in a one-day VIOP practical training program organized by Borsa

İstanbul in order to be able to trade at VIOP.

• All members will be informed about the changes regarding the post-session

bulletins and reports prior to the merger.

44


Contact Us

Çetin Ali Dönmez

Executive Vice President

[email protected]

Muammer Çakır

Head


Tel: +90-212-298-2580

[email protected]

Fatih Alali

Assistant Specialist


Tel: +90-212-298-2186

[email protected]

[email protected]

45

mailto:[email protected]





















Disclaimer

Authorization of Use

This document is for informational purposes only. The information contained herein may not

otherwise be copied, performed, distributed, rented, reproduced, sublicensed, altered, stored for

subsequent use, etc., in whole or in part, in any manner without Borsa İstanbul's prior written

consent. All images of Borsa İstanbul are Registered Service Marks and may not be used for

commercial purposes without its prior written consent.

Please note that all products and services are subject to change without notice.

Disclaimer

Borsa İstanbul does not make any representations, warranties or guarantees, whether express or

implied, regarding the accuracy or completeness of this information. The information issued by

Borsa İstanbul with the express condition, to which everyone using it accepts, that no obligation,

responsibility or liability shall be incurred by Borsa İstanbul for any loss or damage whatsoever,

whether incidental, special, indirect or consequential, in connection with, caused by, or arising

from any use of, or reliance on, this information.

Because of the possibility of human and technical error as well as other factors, Borsa İstanbul is

not responsible for any errors or omissions, either its own or its information providers’.

46

Date post:	15-Mar-2022
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VIOP - FUTURES & OPTIONS

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