VIOP is the short name of the Borsa Istanbul futures and options market.
A derivative is a financial contract which derives its value from the performance of another entity called the "underlying”. Nowadays, derivatives which are based on equity, index, foreign exchange, T- bill, bond, commodity, gold, energy etc. are traded on the exchanges all over the world.
Future Contracts listed at VIOP:
- Single Stock Future Contracts
- Equity Index Future Contracts
- Currency Future Contracts
- Physically Delivered FX Futures
- Precious Metals Future Contracts
- Metal Future Contracts
- Energy Future Contracts
- Foreign Index Future Contracts
- Interest Rate Future Contracts
- Government Bond Futures
Option Contracts listed at VIOP:
- Single Stock Option Contracts
- Equity Index Option Contracts
- USDTRY Option Contracts
- Pyhsicially Delivered USDTRY Option Contracts
The specifications and codes of the contracts to trade on the Market will be announced by the Exchange. For Futures Contracts, the contract code includes information on instrument group, underlying asset, contract size and expiration date.
Table 1: Code For Futures Contracts
Code | Explanation |
---|---|
F_ | Instrument group (Futures) |
XAUTRY | Underlying asset code |
M | Contract code regarding the contract size |
0317 | Expiration date (Ex. March 2017) |
For Option Contracts, the contract code includes information on instrument group, underlying asset, contract size, exercise style, expiration date, option class and strike price.
Table 2: Code For Options Contracts
Code | Explanation |
---|---|
O_ | Instrument group (Options) |
XU030 | Underlying asset code |
E | Exercise style (A: American-The contractual right can be used on any date until or on expiry date, E: European-The contractual right can be used on expiry date) |
0417 | Expiration date (Ex. April 2017) |
C | Option class (C: Call option P: Put option) |
1240,00 | Strike price |
Single Stock Futures and Options contracts subject to corporate action adjustments may have different contract specifications than standart contracts. Contract codes may have additional information such as N1, N2, N3 etc. indicating that the contract is non standart.
Intermonth strategy orders shall be sent to the System with strategy order codes determined as in the below instead of the contract codes.
Table 3: Intermonth Strategy Order Code
Code | Explanation |
---|---|
F_ | Contract group to compose the intermonth strategy order (Futures) |
XU030 | Underlying asset code |
M2-M1 | Contract months included in the strategy (M1:nearest contract month – M2: second nearest contract month) |
Flexible contracts which are created by Exchange members by altering expiry day and/or strike price parameters of existing contracts with predefined constrains, are coded as follows:
Table 4: Contract Code for Flexible Option Contracts
Code | Explanation |
---|---|
TM_O | Flexible Option Contract |
XU030 | Underlying Asset Code |
E | Exercise style (A: American-The contractual right can be used on any date until or on expiry date, E: European-The contractual right can be used on expiry date) |
250419 | Expiration Date (Ex. 25 April 2019) |
C | Option class (C: Call option P: Put option) |
1235,00 | Strike Price |
Flexible contract codes, subjected to corporate action adjustment, may have additional information such as N1, N2, N3 etc. indicating that the contract is non standart.
Table 5: Contract Code for Flexible Future Contracts
Code | Explanation |
---|---|
TM_F | Flexible Future Contract |
USDTRY | Underlying asset code |
P_ | Settlement code (P: Physical delivery) |
250419 | Expiration Date (Ex. 25 April 2019) |
For further information regarding Contract Codes on VİOP please refer to the Derivatives Market Procedure
Table 6: Contract Code for Pyhsically Delivered USD/TRY Future Contracts
Code | Explanation |
---|---|
F_ | Instrument group (Futures) |
P_ | Settlement code (P: Physical delivery) |
USDTRY | Underlying asset code |
0322 | Expiration Date (Ex. March 2022) |
Table 7: Contract Code for Pyhsically Delivered USD/TRY Option Contracts
Code | Explanation |
---|---|
O_ | Instrument group (Options) |
P_ | Settlement code (P: Physical delivery) |
USDTRY | Underlying asset code |
E |
Exercise style (A: American-The contractual right can be used on any date until or on expiry date, E: European-The contractual right can be used on expiry date) |
0422 | Expiration date (Ex. April 2022) |
C | Option class (C: Call option P: Put option) |
8950,00 | Strike Price |
VIOP primarily offers risk management opportunity to the investors who wish to avoid their risk. VIOP is the right choice for investors who want to gain profit in the context of their price expectations because it provides the opportunity to invest to the same amount of underlying assets as spot market but with a lower amount of collateral. VIOP also differs from spot market with its advantage to offer investors the opportunity to invest in different market conditions.
In order to start trading at VIOP, you must open a brokerage account. Information about our members can be found on http://borsaistanbul.com/en/members/members-list, for the information related to account opening you can apply to the intermediary institution you want to work with.
Normal Session (All Markets) |
09:20-18:10 |
Evening Session* (only for Index Futures, USD/Tonne Copper Futures and Precious Metals Futures except TRY/Gr Gold Futures) |
19:00-23:00 |
Half Day-Normal Session* |
09:20-12:40 |
* Evening Session is not held at half days and the last trading day of the calendar year.
Evening Session does not held at the last trading day of the calendar year. 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 , VIOP Procedure.
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.
Related Files
In the system there is a risk management structure with two layers which are called pre-trade risk management and post-trade risk management. Pre-trade risk management is performed by application of pre-trade risk management, PTRM. PTRM application is integrated with the Trading and Clearing platforms to provide pre-trade and at-trade risk management. PTRM, offers the Exchange and its members the ability to control and watch the possible risk arising from both orders and trades. Thanks to the application, risk of orders sent from trading workstations which are FixAPI and OUCH and realized trades can be controlled. Risk controls can be made at different stages which are before the orders are accepted (pre-order), after they are accepted (post-order) and during the transactions.
Post-trade risk management is controlled by Takasbank. For the trades realized in the market, margining on portfolio basis is applied. Takasbank employs “Standard Portfolio Analysis of Risk-SPAN” algorithm for margining on portfolio basis. Takasbank will determine and announce the parameters that will form the basis for margining on portfolio basis. Takasbank Central Counter Party’s Legislation is applied for regulation of risk management and collateralization.
In the system margin sufficiency of accounts will be checked by comparing margin consumption calculated by pre-trade margin model with the available collateral calculated by the component of clearing system responsible for real time margin calculations. In the case where the available collateral is negative for an account, breach will occur and the affected account will be in “risky” status. Risky accounts are not allowed to enter position increasing orders and can only enter position decreasing orders. All long orders of an account in breach state will be cancelled. Contrary to the existing rule, risky accounts can have more than one order that can wait open in the trading system.
The taxation of the income on VIOP contracts are given in the table below.
Withholding TAX (WHT) | Banking and Insurance Transactions TAX (BITT) | ||||
---|---|---|---|---|---|
TAXATION OF INCOME ON VIOP CONTRACTS | Individual Investors | Corporate Investors* | BITT taxpayers | ||
Resident | Non-Resident | Resident Capital Companies (limited liability companies and joint stock companies) and Investment Funds | Non-Resident Capital Companies (limited liability companies and joint stock companies) and Investment Funds | ||
The income generated from the positions in the contracts written on Equity and Equity Index | 0% | 0% | 0% | 0% | Within the scope of exemption. |
The income generated from the positions in all other contracts | 10% | 10% | 0% | 0% | Within the scope of exemption. |
* All other Resident and Non-Resident Companies are subject to %10 WHT.
VIOP data is available on the Borsa Istanbul website with the following link:
And also it can be reached via data vendors using the information provided below;
Name | Web Link |
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Bloomberg |
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Reuters |
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Matriks |
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Foreks |
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DirectFN |
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VIOP publishes a range of brochures illustrating applications of VIOP products and related strategies. Some of the useful links and VIOP training materials can be found from the table below:
Click for Derivatives Market (VIOP) Information Booklets
Click for Borsa İstanbul Derivatives Market (VIOP) Page
Click for Derivative Market Procedure
Click for Technical Documents
VIOP has been holding seminars in several locations. For detailed information please follow our news section on the Borsa Istanbul website.