Market Functioning

Markets in the below table are created with respect to contracts types executed in the market and execution principles.

Matching or orders and private trade notifications are realized under the relevant market. Besides, market segments are defined under the relevant market to publish collective trade statistics.

Detailed information on the workflow of the trading sessions can be found in the Appendix-3 Explanations on Trading Day Sections And VIOP's Trading and Daily Workflow Hours of VIOP Procedure.

In order to trade at VIOP, an investor need to open an account at one of brokerage houses or banks registered as VIOP member.

Only the members who shared their contact information with VIOP are listed. In order to access to the full Member-list of VİOP, click on the following link, please.

Order Methods

One of the following four methods for price determining must be chosen for the orders to be entered in the trading system.

Limit Order (LMT)

A limit order is the order method which is used to realize orders at prices of up to the determined price level. Price and quantity must be entered when this method is used.

Market Order*

A market order is the order type which is used to match orders, starting from the best price order in the market at the time the order is entered. "Market" order can be entered only by choosing "Fill or Kill" or "Fill and Kill" order validity.

*It is not allowed use of "Market Order" as of March 1, 2021

Market to Limit Order

Market to Limit Orders are the orders, such as market orders, which are entered only by specifying the quantity without price. Market to Limit Orders execute only with the pending best price orders. The unmatched part of the order become a limit order with the price of the last trade and stay in the order book. A market to limit order is cancelled immediately if there is not pending order on other side.

Stop Order

A Stop Order is a price order which will be activated when the market reaches the price determined by the ordering party for the relevant contract (activation price), or trades at a higher price in the market in the case of buying orders, or at a lower price in the case of selling orders. For stop orders, in addition to order entry method, activation price must be indicated.

Intermonth Strategy Orders

Intermonth strategy orders enable submission of two simultaneous automatic reverse orders (by one order entry with spread price) for different contract months of traded futures contracts. Different contract months composing the strategy are called the "legs" of the strategy where "M1" refers to the nearest contract month and "M2" refers to the second nearest (far) contract month. Rules of operation of strategy orders are given below:

1. Strategy Buy Order: Order is submitted to the System taking into account the spread price (far month contract bid price- near month contract offer price) composing far month contract (M2) buy and near month contract (M1) sell trade.
2. Strategy Sell Order: Order is submitted to the System taking into the account the spread price (far month contract offer price-near month contract bid price) composing far month contract (M2) sell and near month contract (M1) buy trade.
3. Strategy order codes which are similar to the contract codes are used at order entry.
4. Buy or sell strategy orders can be entered with negative price as long as the price limits are satisfied.
5. Maximum order quantity of a strategy order equals that of the contracts composing the strategy.
6. Strategy order entry is not accepted for durations other than Limit and Day. Strategy orders can not be linked to any condition and can not be used for trade reporting.
7. Matching: The System initially checks whether the price and quantitiy of a buy or sell strategy order can be met with open orders of near/far month contracts or not, and simultaneously matches the strategy order with these orders if the conditions are satisfied. If the spread and or quantity can not be met with open orders of the contracts, this time the System looks for a (counter) strategy order satisfying the conditions. If such an order exists in the System, appropriate prices for far and near month contracts are determined based on the spread, best bid/best offer and base prices of the related contracts and automatic trades at the far and near month contracts are generated.
8. Automatic trades are not included in settlement price calculations and price statistics like the last, low and high of the far and near month contracts composing the strategy and do not activate stop orders with inactive status based on the last price condition. Trade parties can inquire automatic prices for both contract months through trading workstations or FixAPI Drop-Copy intraday, and through trade book at the end of the day.

9. Price Limits: Upper and lower price limits for strategy orders are calculated based on the following formulas:

   Lower Limit= (Far Month Contract Base Price- Near Month Contract Base Price)-k

   Upper Limit= (Far Month Contract Base Price- Near Month Contract Base Price)+k

10. In case trades in any of the legs/contract months composing the strategy are suspended due to any reason, strategy order entry is not allowed.

Validity Period for Orders

One of the following four options regarding the validity period for the order must be chosen while submitting the order.

Fill or Kill (FOK)

It is the order method that requires order to be matched in whole upon the entry or activation otherwise cancelled in whole.

Fill and Kill (FaK)

Upon order entry or activation, the order is matched in full or in part. The unmatched quantity shall be cancelled.

Daily Order (DAY)

The order is valid for the day on which it is entered. Unless it is partly or entirely fulfilled by the end of the day, it will be automatically cancelled by the trading system.

Good Till Cancel Order (GTC)

The order is valid until it is cancelled. Good till cancel orders are valid until the maturity of the contract and will be automatically cancelled by the system at the end of maturity, unless cancelled, or matched.

Good Till Date Orders (GTD)

Date orders are valid by the date entered in the system. Unless partly or entirely matched or cancelled by the specified date, they will be automatically cancelled by the system at the end of the specified day. The system does not accept orders with dates further than the end of the maturity of the contract.

Orders that fall out of the daily price change limits may be entered. Such orders are subject to trade when they are within the limits of price change limits.

*It is not allowed use of "Market Order" as of March 1, 2021

Maximum Order Sizes

Price and quantity control is done by the system at order entry. Orders that do not match the features of the corresponding trading day part can not be entered into the system. The minimum and maximum order sizes applicable in the Market are as follows:

Order Sizes for Single Stock Futures and Options

Order Sizes for Index, Currency, Gold, Silver, Palladium, Platinum, Copper, Base Load Electricity, TLREF and Other Contracts

Regulations of trade reporting for Single Stock Futures and Options

Regulations of trade reporting for Index, Currency, Gold, Silver, Palladium, Platinum, Copper, Base Load Electricity, TLREF and Other Contracts

For further information please refer to the Derivatives Market Procedure

Click for the organizations that have BISTECH VIOP Fix Certificate.

Correction of Erroneous Trades (Mistyped Account Numbers)

The correction of trading errors associated with mistyped account numbers is the process of forming new transactions at trading system to allow the positions/open orders to be transferred to correct account by the member itself using the clearing workstation.

The workflow concerning the correction of erroneous trades executed faulty as a result of the mistyped account numbers for the orders placed on the trading system shall be conducted on clearing workplace by member/s' user.

Trade Cancellation

Without prejudice to the provisions of Article 33 of the Regulation, trades that occur due to erroneous order(s) may be canceled by the Exchange under the following rules.

a) Erroneous trade/trades shall be executed as a result of one of members' erroneous order at least.

b) All requirements stated below shall be fulfilled in time of cancellation request since erroneous trade/trades may be subject to cancellation.

i. Application Period For Erroneous Trade Cancellation: Application for erroneous trade cancellation can be made within 30 minutes from the time the trade is executed. Deadline of application for trade cancellation is 18:30 for normal session trades.

ii. Required Information In Application For Erroneous Trade Cancellation: Order number subject to cancellation, contract and account number relating to erroneous trade/trades due to the erroneous order shall be submitted during the application period. Trade number, price and trade quantity of erroneous trades executed as a result of the related order are also required following the application.

iii. No Bust Range: Trades executed at the prices that are out of no bust range which are calculated by using reference price can be subject to cancellation. No bust ranges are stated below table on the related contract basis.

iv. Minimum Loss Amount Generated As A Result of Trade/Trades Which Is/Are Subject To Cancellation: Minimum loss amount calculated by comparing reference price and prices of trade/trades subject to erroneous trade cancellation shall be TRY 150,000 for applications before 17:30 and TRY 600,000 for applications made at 17:30 and after during the normal session and TRY 150,000 for the applications made during the evening session.

v. Reference Price: Reference price, which is calculated with one or more of the following methods in order to determine the price that will reflect the market fairly, is used to clarify acceptable price levels for trade cancellation and losses due to related erroneous trade.;

i. Price/prices before the erroneous trade,

ii. Price/prices after the erroneous trade,

iii. Settlement price of the previous day,

iv. The first trade price in case erroneous trade/trades are executed with a pending order,

v. Theoretical price calculated according to the spot price of the related underlying asset or the prices of other contract months,

vi. Prices taken from market makers,

vii. If it is decided that above mentioned methods does not reflect the market failry, a different reference price may be determined by General Management

c) In cancellation of trades arising from intermonth strategy orders, prices of trades executed in the related contracts and strategy order price are considered together.

ç) Erroneous trade cancellation requests which fulfill all the requirements stated above can be submitted by either one or both sides of the trade via Trading Workstations (TW, Omnet API) or e-mail to viop@borsaistanbul.com. Cancellation requests for erroneous trade at Evening Session can be submitted by only via e-mail to viop@borsaistanbul.com. Members can also reach VIOP via telephone numbered 0212 298 2427/3, however to be a valid cancellation request an has to be sent to viop@borsaistanbul.com.

d) To be subject to cancellation, whether price tendency of the market is in line with the erroneous trade price or not may be taken into consideration separately.

e) In case trade cancellation is decided, cancellation decisions are announced pursuant to the relevant legislation. Before the cancellation, trading on the relevant contract may be suspended. Also, parties of the relevant trade may be informed about the cancellation.

f) Even if the above conditions are met with regard to the cancellation of the erroneous trade, Article 33 of the Regulation shall be applied if the above conditions are not met, while the right of the Exchange to cancel or not to fulfill the whole or part of the cancellation request is reserved.

g) Erroneous trade reports, even if the above mentioned conditions are not met, may be cancelled if the parties have approvals.

h) Application for a trade cancellation for erroneous trades in the Evening Session is evaluated in the following Normal Session. If the application is considered as acceptable, the related erroneous trade/trades are cancelled

ı) In the evaluation of trade cancellation request, requests may be evaluated together or seperately taking the relationship between orders and trades into account for the same investor.

For further information regarding Correction of Erroneous Trade and Trade Cancellation on VİOP please refer to the Derivatives market Procedure

Market Making Program covers some of the contracts traded at VIOP.

Detailed information about the program can be found in the Sixth Section of the Derivatives Market Procedure .

Rights and obligations of market makers are listed in Appendix-10*, Appendix-11*, Appendix-12 and Appendix-13* of the Derivatives Market Procedure .

*The distribution of the underlying assets in single stock futures contracts by Groups is as follow:

Market Makers

An exchange fee is charged for buy and sell transactions of futures and options contracts at Borsa İstanbul:

• For index futures and index option contracts an exchange fee of 0.004% (four hundred-thousandths) is charged. For future and option contracts the exchange fee is calculated based on the traded value (the product of price, contract size and number of contracts).
• For TLREF and government bond futures contracts an exchange fee of 0.001% (one hundred-thousandths) is charged. The exchange fee is calculated based on the nominal value (the product of nominal value and number of contracts)
• For the other futures and option contracts the exchange fee is charged as 0.003% (three hundred-thousandths) of the traded value of futures and options.

The taxation of the income on VIOP contracts are given in the table below.

* All other Resident and Non-Resident Companies are subject to %10 WHT.