Turkish regulator allows interim payouts of up to 1 million lira per fund

An interim payment means part of the money is returned to investors before the liquidation is completed. Ekonomim reported on 2 October that 65 of the 131 funds in liquidation fall under the decision. Investors with a net investment below 1 million lira will receive the full amount. According to Dünya, SPK announced at 15:09 on 1 October that the limit will apply separately to each fund. An investor holding units in 3 funds in liquidation could therefore receive up to 3 million lira. The calculation will be made fund by fund by the Central Registry Agency (MKK).

According to Ekonomim, money market funds hold about 266,000 investors and 301 billion lira. Tera Portföy's money market fund alone accounts for 224 billion lira and about 167,000 investors. The decision covers liquidation funds of the portfolio companies Tera, Pusula, Atlas and Hedef. A1 Capital, Bulls and Pardus will carry out their liquidations themselves. Treasury and Finance Minister Şimşek, joining a conference in London by video link on 1 October, said there was no systemic problem in the fund markets.

On the investigation, Bloomberg HT reported on 2 October that 13 of the 33 suspects in custody were brought before a judge. 4 were arrested and 9 were released under judicial control. Investing.com data show that the BIST 100 rose 2.53% on 1 October after falling 2.40% on 29 September and 2.79% on 30 September. An analyst quoted by Ekonomim said the decision had reduced uncertainty over the liquidation.