The Borsa İstanbul (abbreviated as BIST) is the sole exchange entity of
Turkey
Turkey ( tr, Türkiye ), officially the Republic of Türkiye ( tr, Türkiye Cumhuriyeti, links=no ), is a transcontinental country located mainly on the Anatolian Peninsula in Western Asia, with a small portion on the Balkan Peninsula in ...
combining the former Istanbul Stock Exchange (ISE) ( tr, İstanbul Menkul Kıymetler Borsası, IMKB), the Istanbul Gold Exchange ( tr, İstanbul Altın Borsası, İAB) and the Derivatives Exchange of Turkey ( tr, Vadeli İşlem Opsiyon Borsası, VOB) under one umbrella. It was established as an incorporated company with a founding capital of 423,234,000 (approx. US$240 million) on April 3, 2013, and began to operate on April 5, 2013. Its slogan is ''worth investing''.
Shareholders of Borsa İstanbul are: 49% Government of Turkey, 41% IMKB, 5% VOB, 4% IMKB members, 1% IMKB brokers and 0.3% IAB members. It is planned that all the Government-owned
shares will be offered for sale. Among the executives of the nine-member board of directors, which is presided by chairman Himmet Karadağ, are former deputy chairman of ISE Osman Akyüz, former head of VOB Işınsu Kestelli,
Merrill Lynch Investment Bank General Manager Hüseyin Kelezoğlu and Chairman of Turkish Association of Capital Market Intermediary Institutions Attila Köksal.
History
Early days of the securities market in Turkey
The origin of an organized securities market in Turkey has its roots in the second half of the 19th century. The first securities market in the
Ottoman Empire
The Ottoman Empire, * ; is an archaic version. The definite article forms and were synonymous * and el, Оθωμανική Αυτοκρατορία, Othōmanikē Avtokratoria, label=none * info page on book at Martin Luther University) ...
was established in
Istanbul
)
, postal_code_type = Postal code
, postal_code = 34000 to 34990
, area_code = +90 212 (European side) +90 216 (Asian side)
, registration_plate = 34
, blank_name_sec2 = GeoTLD
, blank_i ...
in 1866 for refinancing the
Ottoman foreign debt taken during the
Crimean War
The Crimean War, , was fought from October 1853 to February 1856 between Russia and an ultimately victorious alliance of the Ottoman Empire, France, the United Kingdom and Piedmont-Sardinia.
Geopolitical causes of the war included the ...
(1853–1856) through government
bonds.
With a law in 1873 it was formally renamed as the
Dersaadet Securities Exchange (
Turkish: ''
Dersaadet
The city of Istanbul has been known by a number of different names. The most notable names besides the modern Turkish name are Byzantium, Constantinople, and Stamboul. Different names are associated with different phases of its history, with diff ...
Tahvilat Borsası'').
It created a medium for European investors who were seeking higher returns in the vast Ottoman markets. Following the proclamation of the
Turkish Republic
Turkey ( tr, Türkiye ), officially the Republic of Türkiye ( tr, Türkiye Cumhuriyeti, links=no ), is a transcontinental country located mainly on the Anatolian Peninsula in Western Asia, with a small portion on the Balkan Peninsula in ...
, a new law was enacted in 1929 to reorganize the fledgling capital markets under the new name of "Istanbul Securities and Foreign Exchange Bourse".
Soon, the Bourse became very active and contributed substantially to the funding requirements of new enterprises across the country. However, its success was clouded by a string of events, including the
Great Depression of 1929 and the impending
World War II
World War II or the Second World War, often abbreviated as WWII or WW2, was a world war that lasted from 1939 to 1945. It involved the vast majority of the world's countries—including all of the great powers—forming two opposing ...
abroad which had taken their toll in the just developing business world in Turkey. During the industrial drive of the subsequent decades, there was a continuous increase in the number and size of joint stock companies, which began to open up their equity to the public. Those mature shares faced a strong and growing demand from mostly individual investors and some institutional investors.
1980s to the present
The early phase of the 1980s saw a marked improvement in the Turkish capital markets, both in regard to the legislative framework and the institutions required to set the stage for sound capital movements. In 1981, the "Capital Market Law" was enacted. The next year, the main regulatory body responsible for the supervision and regulation of the Turkish securities market, the
Capital Markets Board based in
Ankara
Ankara ( , ; ), historically known as Ancyra and Angora, is the capital of Turkey. Located in the central part of Anatolia, the city has a population of 5.1 million in its urban center and over 5.7 million in Ankara Province, maki ...
, was established. A new decree was issued in October 1983 foreseeing the setting up of securities exchanges in the country. In October 1984, the "Regulations for the Establishment and Functions of Securities Exchanges" was published in the Official Gazette. The regulations concerning operational procedures were approved in the
parliament
In modern politics, and history, a parliament is a legislative body of government. Generally, a modern parliament has three functions: Representation (politics), representing the Election#Suffrage, electorate, making laws, and overseeing ...
and the Istanbul Stock Exchange was formally inaugurated at the end of 1985.
![Istanbul-stock](https://upload.wikimedia.org/wikipedia/commons/7/78/Istanbul-stock.jpg)
The Istanbul Stock Exchange (ISE) was the only corporation in
Turkey
Turkey ( tr, Türkiye ), officially the Republic of Türkiye ( tr, Türkiye Cumhuriyeti, links=no ), is a transcontinental country located mainly on the Anatolian Peninsula in Western Asia, with a small portion on the Balkan Peninsula in ...
for
securities
A security is a tradable financial asset. The term commonly refers to any form of financial instrument, but its legal definition varies by jurisdiction. In some countries and languages people commonly use the term "security" to refer to any for ...
exchange established to provide trading in
equities
In finance, stock (also capital stock) consists of all the shares by which ownership of a corporation or company is divided.Longman Business English Dictionary: "stock - ''especially AmE'' one of the shares into which ownership of a company ...
,
bonds and bills, revenue-sharing certificates, private sector bonds, foreign securities and
real estate
Real estate is property consisting of land and the buildings on it, along with its natural resources such as crops, minerals or water; immovable property of this nature; an interest vested in this (also) an item of real property, (more general ...
certificates as well as international securities. The ISE was founded as an autonomous, professional organization in early 1986. It is situated in a modern building complex in the quarter of
İstinye
İstinye is a neighbourhood in Istanbul, Turkey, on the European side of the city. It is located in the district of Sarıyer, between the neighbourhoods of Emirgan and Yeniköy, on the northwestern shore of the Bosporus strait. It is one of the f ...
, on the European side of
Istanbul
)
, postal_code_type = Postal code
, postal_code = 34000 to 34990
, area_code = +90 212 (European side) +90 216 (Asian side)
, registration_plate = 34
, blank_name_sec2 = GeoTLD
, blank_i ...
, since May 15, 1995.
ISE is home to 320 national companies. Trading hours are 09:30–12:30 for the first session and 14:00–17:30 for the second session, on workdays. All ISE members are incorporated banks and brokerage houses.
ISE price indices are computed and published throughout the trading session while the return indices are calculated and published at the close of the session only. The indices are: ISE National-All Shares Index, ISE National-30, ISE National-50, ISE National-100, Sector and sub-sector indices, ISE Second National Market Index, ISE New Economy Market Index and ISE Investment Trusts Index. The ISE National-100 Index contains both the
ISE National-50 and
ISE National-30 Ise may refer to:
Places
*Ise, Mie, a city in Japan
**Ise Grand Shrine, a Shinto shrine located in Ise, Mie
*Ise Ekiti, a city in Nigeria
* Ise, Norway, a village in Norway
* Ise Province, an ancient province of Japan
* River Ise, a tributary of th ...
Index and is used as a main indicator of the national market.
On April 5, 2013, the Istanbul Stock Exchange merged with the Istanbul Gold Exchange and was reorganized and renamed as Borsa Istanbul.
Logo of Borsa Istanbul
The current logo of Borsa Istanbul is the traditional flower of Istanbul's imperial gardens, the
tulip
Tulips (''Tulipa'') are a genus of spring-blooming perennial herbaceous bulbiferous geophytes (having bulbs as storage organs). The flowers are usually large, showy and brightly coloured, generally red, pink, yellow, or white (usually in warm ...
(also the namesake of the
Tulip period
The Tulip Period, or Tulip Era (Ottoman Turkish: لاله دورى, tr, Lâle Devri), is a period in Ottoman history from the Treaty of Passarowitz on 21 July 1718 to the Patrona Halil Revolt on 28 September 1730. This was a relatively peacef ...
in
Ottoman history), which was
first introduced to the Europeans in Vienna, 1554, as a gift by Ottoman Sultan
Suleiman the Magnificent
Suleiman I ( ota, سليمان اول, Süleyman-ı Evvel; tr, I. Süleyman; 6 November 14946 September 1566), commonly known as Suleiman the Magnificent in the West and Suleiman the Lawgiver ( ota, قانونى سلطان سليمان, Ḳ ...
to
Charles V, Holy Roman Emperor
Charles V, french: Charles Quint, it, Carlo V, nl, Karel V, ca, Carles V, la, Carolus V (24 February 1500 – 21 September 1558) was Holy Roman Emperor and Archduke of Austria from 1519 to 1556, King of Spain (Crown of Castile, Castil ...
, of the
House of Habsburg
The House of Habsburg (), alternatively spelled Hapsburg in Englishgerman: Haus Habsburg, ; es, Casa de Habsburgo; hu, Habsburg család, it, Casa di Asburgo, nl, Huis van Habsburg, pl, dom Habsburgów, pt, Casa de Habsburgo, la, Domus Hab ...
. The tulip later even became a
valuable investment commodity in Europe, especially in
Habsburg Netherlands
Habsburg Netherlands was the Renaissance period fiefs in the Low Countries held by the Holy Roman Empire's House of Habsburg. The rule began in 1482, when the last House of Valois-Burgundy, Valois-Burgundy ruler of the Netherlands, Mary of Burgu ...
, during the
Tulip mania
Tulip mania ( nl, tulpenmanie) was a period during the Dutch Golden Age when contract prices for some bulbs of the recently introduced and fashionable tulip reached extraordinarily high levels. The major acceleration started in 1634 and then ...
of the 17th century.
Annual Returns
The following table shows the annual development of the ISE National-100 since 1990.
Memberships of ISE
The ISE is a full member of:
*
World Federation of Exchanges
The World Federation of Exchanges (WFE), formerly the ''Federation Internationale des Bourses de Valeurs'' (FIBV), or International Federation of Stock Exchanges, is the trade association of publicly regulated stock, futures, and options exchang ...
(WFE),
*
Federation of Euro-Asian Stock Exchanges
The Federation of Euro-Asian Stock Exchanges (FEAS) is a non-profit international organization comprising the main stock exchanges in Eastern Europe, the Middle East, and Central Asia. The purpose of the Federation is to contribute to the coopera ...
(FEAS),
*
International Securities Services Association
International is an adjective (also used as a noun) meaning "between nations".
International may also refer to:
Music Albums
* ''International'' (Kevin Michael album), 2011
* ''International'' (New Order album), 2002
* ''International'' (The T ...
(ISSA),
*
International Capital Market Association
The International Capital Market Association or ICMA is a self-regulatory organization and trade association for participants in the capital markets.
ICMA stated aims are to promote high standards of market practice, appropriate regulation, trad ...
(ICMA),
*
European Capital Markets Institute (ECMI),
*
World Economic Forum
The World Economic Forum (WEF) is an international non-governmental and lobbying organisation based in Cologny, canton of Geneva, Switzerland. It was founded on 24 January 1971 by German engineer and economist Klaus Schwab. The foundation, ...
(WEF),
*
Federation of European Securities Exchanges (FESE)
*
Sustainable Stock Exchanges (SSE) initiative and
The ISE is an affiliate member of:
*
International Organization of Securities Commissions
The International Organization of Securities Commissions (IOSCO) is an association of organizations that regulate the world's securities and futures markets. Members are typically primary securities and/or futures regulators in a national jurisdic ...
(IOSCO).
Fossil fuel investments
According to
Carbon Tracker
Carbon Tracker is a London-based not-for-profit think tank researching the impact of climate change on financial markets.
Carbon Tracker popularized the notion of a carbon bubble, which describes the incompatibility between the continued devel ...
in 2021 $1 b of investment in
coal power
A coal-fired power station or coal power plant is a thermal power station which burns coal to generate electricity. Worldwide, there are about 8,500 coal-fired power stations totaling over 2,000 gigawatts capacity. They generate about a th ...
was at risk of
stranding, including $300 m for
EÜAŞ
The Electricity Generation Company ( tr, Elektrik Üretim A.Ş.; EÜAŞ) is the largest electric power company in Turkey. Owned by the government, it produces and trades electricity throughout the country.
History
EÜAŞ was founded by the gov ...
.
ISE and arts
There is a four-meter high marble statue of the "Bull and Bear", in front of the ISE building’s protocol entrance. Created by one of Turkey’s foremost sculptors,
Mehmet Aksoy, the statue symbolizes the behavior of the world’s stock markets, an aggressive bull poised to attack the surrendering bear. Another group of statues, sculptured by
Şermin Güner, made in the honor of all existing and deceased brokers, represents brokers engaged in executing orders and is placed at the main entrance.
The Istanbul Stock Exchange makes contributions to the arts by organizing exhibitions and concerts as well as sponsoring important artistic events in Istanbul.
See also
*
*
Economy of Turkey
Turkey has an emerging market economy, as defined by the International Monetary Fund. The country is a founding member of the OECD (1961) and the G-20 major economies (1999). Since 1995, Turkey is a party to the European Union–Turkey Custom ...
*
List of stock exchanges
This is a list of major stock exchanges. Those futures exchanges that also offer trading in securities besides trading in futures contracts are listed both here and in the list of futures exchanges.
There are sixteen stock exchanges in the world ...
*
List of European stock exchanges
In the European region, there are multiple stock exchanges among which five are considered major (as having a market cap of over US$1 trillion):
*Euronext, which is a pan-European, Dutch-domiciled and France-headquartered stock exchange comp ...
*
List of Mideast stock exchanges
This is a list of Asian stock exchanges.
In the Asian region, there are multiple stock exchanges. As per data from World Federation of Exchanges, below are top 10 selected in 2020:
* Shanghai Stock Exchange, China
* Tokyo Stock Exchange, Japan ...
References
External links
Official website
{{authority control
Financial services companies of Turkey
Economy of Turkey
Stock exchanges in Europe
Stock exchanges in the Middle East
Companies based in Istanbul
Financial services companies established in 2013
Derivatives (finance)
Turkish companies established in 2013