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About MKK

MKK is the central securities depository for capital market instruments which are decided by CMB to be dematerialized. MKK conducts full dematerialization model on a rights owner basis (direct model) for the Turkish capital market instruments.

Dematerialization process started with the dematerialization of mutual fund participation certificates in 24.04.2005, continued with the dematerialization of all stocks regardless of their types (traded at the exchange or not) until 28.11.2005. Following this date, corporate actions processes of publicly traded companies, issues of publicly traded companies and any capital market instrument issues of the companies started to be made as fully registered on an electronic medium without printing certificates physically.

One of the main goals of MKK is to fulfill its responsibilities of increasing market efficiency and minimizing possible risks as well as following the global post-trade industry standards.

MKK was designated as the Central Securities Depository of Turkey by the new Capital Market Law. In addition to this designation, our institution was defined by the Central Bank of Turkey as a Securities Settlement System (SSS) operator as per the “Law No. 6493 on Payment and Security Settlement Systems, Payment Services and Electronic Money Institutions”. MKK’s main duties and services are fully determined in accordance to global standards and best practices with the SSS operator definition.

MKK was further authorized by the Capital Markets Board in 2015 to establish a trade repository as per the related regulations.  In pursuant to this authorization, our institution started the “e-VEDO: Electronic Trade Repository” project. Trade repository services that will be provided by MKK in international standards will gather counterparty and transaction data on over-the-counter traded derivatives in a single center, reduce systemic risks, and improve monitoring capabilities of regulatory bodies in this market.

MKK is transforming into a “technology firm” aiming to support our country with its value added projects and services besides its capability in offering efficient and affordable services to its members. Instead of having high revenues, MKK thrives to lower the market costs as much as possible for the market participants in favor of investors, being aware of the fact that its main aim is to add value to our economy while performing its functions as a central securities depository authorized by the regulations. As it is aimed by the Istanbul Financial Center Project (IFC) and MKK’s vision for 2023, it is evident that the capital markets will expand, new instruments will be introduced to the market and new IPO’s and issues will take place; however MKK’s intention is to use this opportunity for continuously cutting its central depository costs instead of increasing its revenues. With the discounts in fees, MKK will continuously lower its main operating revenues and increase its revenues from add value projects and services. A transformation like this is very crucial, not only for our company but also for our national capital markets. The positive effects of this transformation to our country, aiming continuous reduction in costs and adding value to our economy with add value services; will be better understood in the long run.

Our institution continues its efforts towards implementing its in-house developed software and systems in foreign markets. The ongoing efforts started to materialize as exemplified by the letter of intent and final agreement signed with Nasdaq OMX in 2014 and 2015 for the marketing of “e-GEM: Electronic General Meeting System” in 17 countries around the world, and by the cooperation agreement signed with the AFRICLEAR Consortium in 2016  for implementation of e-GEM in African capital markets.

What is a “Central Securities Depository Institution”?
History of Central Securities Depositories in Turkey
Transition to the Dematerialised System and the Dematerialised System Law
Financial Accounts Center
System Integrations