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FEDERATION OF EURO-ASIAN STOCK EXCHANGES SEMI ANNUAL REPORT APRIL 2007
CENTRAL REGISTRY AGENCY INC. OF TURKEY
AFFILIATE MEMBER
The Central Registry Agency of Turkey
(CRA) moved Turkish Capital Markets one
step forward in terms of legal and
operational quality.
Remzi Özbay
CEO
The Central Registry Agency of Turkey (CRA)
moved Turkish Capital Markets one step
forward in terms of legal and operational
quality, by putting the Central
Dematerialization System into operation.
Shares, mutual funds and corporate bonds
now can only be traded in dematerialized
form.
Investors can control their accounts by means
of the CRA website and of the CRA Voice
Response System which recognizes voices.
In our new price list, banks and intermediary
institutions saved a minimum of 50% and a
maximum of 93% in the cost of operations.
The issuers, when making issues in the capital
market, were saved of the difficulties and risks
of importing and distributing valuable
documents and of making their rights to be
exercised on valuable papers and on
presenting coupons.
All our operations with Takasbank (ISE
Settlement and Custody Bank) are based on
electronic exchanging of messages. The new
software facility we have put into operation
has been built on an architectural structure
which has no dependence outside and which
can reach everybody through different access
and integration channels from the simplest
investor to the intermediary institutions having
the most sophisticated systems.
Within the framework of our mission of
representing and managing the Investors’
Protection Fund, the harms suffered by the
investors in the previous years were
compensated for in very short periods by the
compensation payments made by the Fund.
General Information
The CRA was established in accordance with the
Turkish Capital Markets Law in 2001. The CRA
serves as the central depository for the following
security types: equities, mutual fund certificates,
exchange traded funds and corporate bonds.
The CRA will also serve for government bonds and
t-bills as of 2007, according to the project plan.
All transactions regarding dematerialized capital
market instruments (e.g. creation of investor
accounts, pledging securities, furnishing colleterals,
securities transfers, dematerialization operations)
are done by the CRA members via Central Registry
Software which was developed in-house.
In November, 2005 all stock certificates including
the certificates formerly kept at Takasbank
were dematerialized. Between April 2005 and
March 2006, all mutual fund certificates were
dematerialized at the CRA platform. In August 2006,
first corporate bond in Turkish Capital Markets
after approximately 5 years, was issued through
the CRA.
The CRA also manages and represents the Investor
Protection Fund. This involves, conducting all the
formalities on behalf of the Fund as per the
applicable regulatory provisions and implementing
liquidation formalities of intermediary institutions,
which are subject to gradual liquidation per the
CMB resolution, on behalf of the Investor Protection
Fund as per the applicable regulatory provisions.
Form of Securities: Dematerialized.
Type of Commercial Entity: Although the CRA
is operated as a for-profit organization, its fee
schedule is approved by the CMB.
Regulated by The Capital Markets Board
Ownership
30% Istanbul Stock Exchange (ISE)
64.9% ISE Settlement and Custody Bank
(Takasbank)
0.1% Istanbul Gold Exchange (IGE)
5% The Association of Capital Market Intermediary
Institutions of Turkey (TSPAKB)
Memberships to International
Organizations European Central Securities
Depositories Association (ECSDA)
International Securities Services Association (ISSA)
Future Outlook
Following the issuance of the draft Turkish
Commercial Code, CRA plans to provide services
to investors enabling them to participate in the
member issuers general assemblies remotely,
using electronic signatures.
We also aim to increase the level of straight through
processing, especially for corporate actions, and to
fully synchronize our message formats with ISO
standards. Efficient reporting has always been one
of our main concerns and in this regard we plan to
increase the report types available to our members,
while providing analytical tools to manage them.
Within the context of the ongoing European Union
consistency processes, we would like to extend the
coverage of the Investor Protection Fund, to include
all securities, in addition to shares.
We are also working on the dematerialization of a
new security type–t-bills and government bonds.
Dematerialization is expected to be realized at the
beginning of 2007. A further development in this
regard would be the inclusion of repo and reverse
repo trades into the dematerialized system.
Transaction Volumes (as end of 2006)
Members 540
(387 being issuers, 153 being intermediaries)
End-Users 1742
Daily Transactions +3,800,000
Accounts 19,165,160
Investors 7,431,821
Accounts Showing Balance 3,671,475
Total Reports Accessed by End-Users 2,250,177
Market Value of Securities Deposited
Equities US$ 100,589,902,155
Mutual Funds US$ 15,392,711,949
Exchange Traded Funds US$ 88,636,544
Corporate Bonds US$ 86,476,541
Monetary Value of Dividends Processed US$ 16,216,026,394
Average Value of Daily Transactions US$ 825,994,164
* Please refer to page 80 for the Turkey country report.
CONTACT INFORMATION
Contact Name Mr. Yakup Ergincan E-mail yakup.ergincan@mkk.com.tr Website www.mkk.com.tr
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