FEAS Yearbook FEAS Yearbook 2003 | Page 52

ISTANBUL STOCK EXCHANGE TRADING Days Hours: Stock Market (SM) Bonds & Bills Market (BBM) International Market (IM) Derivatives Market (DM) Market segmentation: SM Segmentation BBM Segmentation IM Segmentation Derivatives Market System: SM, BBM Mechanism: SM, BBM, IM, DM Market makers/specialists: SM, BBM, IM Instruments: SM BBM IM DM Currency: SM, BBM, IM, DM Real time information: SM, BBM, DM, IM CLEARING & SETTLEMENT Monday-Friday 09:30-12:00/14:00-16:30 09:30-12:00/13:00-17:00 10:00-17:00 10:00-12:00/13:00-14:00 National, second national, new economy, watch list companies Outright purchase and sales, repo/rev repo Depositary receipts, Eurobonds Currency futures contracts Automated, depository link, data dissemination., reporting facilities, WAN (excluding IM for WAN) Multiple price continuous auction (IM: hybrid; market maker & continuous auction) SM&DM: No; BBM&IM: Market maker, yes Stocks, rights coupons Govt. bonds, T-bills, money market instruments (repo/reverse repo), corporate bonds, Depository receipts, Eurobonds Currency futures contracts SM: local; BBM: local & foreign; IM: US$, EUR, GBP, JPY; DM: local, US$ & EUR Market depth and basic data STRUCTURE & REGULATIONS Legal Regulation Securities market regulations Trading rules Surveillance Corporate actions Trading halts regulations Investor protection Central Depository: SM, BBM, IM, DM Yes Period: SM, BBM, IM, DM SM: T+2; BBM: T up to T+90 days; IM: T+3; DM: T+0 Registered: SM, BBM, IM SM, BBM: bearer IM: bearer & registered Settlement: SM, BBM, IM, DM Book entry Clearing: SM, BBM, IM, DM SM, BBM, DM: Yes; IM: multi-netting DVP: SM, BBM, IM Yes Clearing Institution: Yes, same as settlement and depository institution Risk sharing: SM, BBM, IM, DM Yes Margin/lending: SM, BBM, IM Yes Custodians: Institutional investors, brokerage houses, banks, exchange members, clearing members, market makers FOREIGN PARTICIPATION Special status within the law Self Exchange, regulatory authority (CMB) Exchange Yes Equity (centralized), fixed income (centralized) Yes Yes Foreign investors Allowed, no restrictions Investment limitations No limitations Repatriation No restrictions 2003-VOLUME BY SECTOR TAXES Non-resident legal entities Cash Dividends: Corporate tax Not subject to declaration Withholding tax Applied within the dividend distributing company Interest income from Turkish government bonds: Corporate tax Taxed at source Withholding tax Govt. bonds and treasury bills 0% if issued after 1 October 1998 Capital gains derived from sale of shares: Corporate tax Capital gains after the application of either deduction ratio or cost adjustment; must be declared within 15 days through a special tax return. Withholding tax 16.5% withholding tax is declared and paid by the seller until the 20th of the month following the month in which the special tax return is submitted. 4% Transportation, telecommunication and storage 1% Construction and public works 4% Wholesale and retail trade, hotels and restaurants 1% Electricity, gas and water 29% Manufacturing industry 0.5% Other 60% Financial institutions 1% Technology 2004 HOLIDAY CALENDAR Jan. 1, 31; Feb. 1, 2, 3, 4; Apr. 23; May 19; Aug. 30; Oct. 29; Nov. 13, 14, 15, 16 MINIMUM LISTING REQUIREMENTS Requirements Minimum paid-in capital Years of business activity Main Floor (A) TL 5 trillion Normally 3 years but if the free float rate is more than 25% then 2 years Capitalization of issue n/a Free float 25% if its capital is under TL 10 billion; 15% if its capital is within range of TL 10 billion to TL 50 billion and 5% if its capital is more than TL 50 billion Free float ratio 5, 10, 25% Minimum # of shareholders 250 Minimum years of positive financial results Normally 3 years but if the free float rate is more than 25% then 2 years # prior years audited financial accounts Last year-end and latest interim # times dividends distributed in last 3 years n/a Whole class of securities to be issued No Listing agreement with Central Depository n/a Prospectus Yes Special requirements Yes Additional special requirements n/a FEDERATION OF EURO-ASIAN STOCK EXCHANGES YEARBOOK 2003/2004 PAGE 50 Second National Market n/a n/a New Economy Market n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a n/a No n/a Yes Yes n/a n/a n/a No n/a Yes Yes n/a