Securities administration - Turkey


Income collection

 Market Record dateEx-dateBasis for entitlementStandard interest calculation rule
Coupon/redemption paymentPayment date -1

Payment date for on-exchange trades

Negotiable as per agreed settlement cycle for OTC trades

Traded position on ex-date -1 for on-exchange trades

Settled position
on Record date for OTC trades

Dividend paymentaAs determined by the issuerRecord Date +1

Traded position on ex-date -1 for on-exchange trades

Settled position on Record date for OTC trades

Not applicable

a. Cash dividends are paid between Record Date +3 (ex-date +2) and Record Date +6 (ex-date +5).

Corporate actions

Most common corporate events

The most common corporate events in Turkey are rights issues, bonus issues and stock dividends.

The MKK usually credits proceeds, as follows:

Corporate eventFirst possible value date (credit of proceeds)
Rights issueThe day on which the subscription price is paid. The subscription price is usually debited with value the day on which the exercise instruction is given to the Depository (that is, any time during the subscription period).
Bonus issue/stock dividendRecord date+1

Organisation of AGMs/EGMs

There is no standard notification period to announce an upcoming AGM/EGM but the law requires that the event is announced at least 21 calendar days before the AGM.

The peak season for AGMs/EGMs is from February to May.

Proxy voting procedures

Every investor is entitled to vote at an AGM/EGM and no restrictions apply to foreign shareholders. Investors may be represented physically at the meeting or via the MKK’s Electronic General Meeting System (e-GEM). Physical representation requires the investor’s personal presence or a duly mandated proxy’s meeting attendance. Banks would generally cast e-GEM votes on their foreign clients’ behalf.

The MKK does not require shares to be blocked in advance of the meeting.