Stock

Stock are bills issued by incorporated partnerships as securities and represent incorporated partnership capital share.

Purchasing the stocks of an incorporated company means becoming a partner of the company. The safe and accurate information flow must be ensured in stock purchase and sales.

Hisse Senedi alım satımında güvenli ve doğru bilgi akışı esastır.

Investment in Stocks

Short/Long-Term Investment Potential:Stocks allow their holders to gain high yields in both the short and long term. Along with the opportunity of short-term revenues, stocks are stable and regular and have higher yield potentials than other investment instruments.

Profit shares (dividends): Stocks provide their holders with the right of shares from the annual net profit of the company. If the company’s General Assembly decides to conduct profit distribution, the holders of stocks are paid dividends.

Capital gains: These are the revenues from the stocks purchase and sales by valorizing the price changes in the short and long term. The revenues of any domestic and foreign investors from stock purchase and sales are not taxed. There is a risk of loss in stock purchase and sales in case stocks lose value.

Tax Advantage: The withholding applied to the revenues from stock purchase and sales is 10% for security investment partnerships and the exclusive rate for other stock is 0%.

Opening Stock Account

Kuveyt Türk Participation Bank is Vakıf Yatırım Menkul Değerler’s agency. You can open a Stock Account by visiting Kuveyt Türk branches.

You can instantaneously follow the stock prices on Kuveyt Türk Online Branch with IBS RealTrade Program and perform stock purchase and sales, as well as public offering application.

If you wish to make your transactions with telephone banking, you can call 0212 352 35 77 (internal nr:3) Vakıf Yatırım Call Center. Contact your branch for detailed information on the special services and the applied commission rates regarding the stocks.

Suitability of Stock to the Principles of Participation Banking

The selection of stock at Kuveyt Türk is made on the basis of Participation Index Rules created in line with the principles of “Participation Banking”.

Accordingly, the index includes companies which do not engage in

• Interest-based finance, trade, service or intermediacy (banking, insurance, financial rental, factoring or other interest-based activity areas),
• Dealings with alcoholic drinks, gambling, lottery,
• Pork or similar food,
• Press, publication, advertisement, tourism or entertainment,
• Tobacco products or weapons,
• Forward gold, silver or foreign currency trade.

In addition, the companies must satisfy some financial rates to enter the index.

Buna ek olarak, endekse girecek şirketler bazı finansal oranları da sağlamak zorundadır.

The companies;

• Must have a ratio of interest-based credit to market value less than 30%
• Must have a ratio of interest-yielding cash and securities to market value less than 30%
• Must have a ratio of the revenues from the abovementioned activity areas to the total revenues less than 5%

Kuveyt Türk checks whether the companies comply with the Participation Index criteria of the Stocks processed at Istanbul Stock Exchange (BIST) twice a year according to the 6-month and 12-month periods of the companies’ balance sheets.

Stocks that do not conform with the participation index criteria consecutively for 2 periods as a result of this analysis will only be allowed to be sold; and these stocks will not be purchased until they conform to the criteria of Participation Index.

Clearing of the stocks is performed by the only authorized clearing and central storage institution in Türkiye BIST Clearing and Storage Bank Inc. (Takasbank).

• The day of clearing is T+2, which is the second business day following the transaction.
• The delivery is made in exchange for the payment.