de | cn | ru

Market News

Turkey's regulator caps leverage to 1:10, sets minimum deposit of TRY 50 000

Feb 10 2017
By
Jonathan Smith

Turkey's financial markets regulator, the Capital Markets Board (SPK), has introduced a new set of restrictions on the forex market, lowering further the maximum leverage and setting a minimum security deposit requirement to open a forex trading account. 

According to a publication in the Turkish State Gazette, effective from February 10, 2017, the maximum leverage that can be offered by forex brokers operating in Turkey is 1:10 and the minimum required sum to open a forex trading account is TRY 50 000 (around $13 600), or their equivalent in another currency.
 
If the funds in the account fall below this sum because of withdrawal or transfer to another account, new positions cannot be opened. If the sum falls bellow TRY 50 000 due to losses from trading, new positions can be opened. 
 
The new leverage restrictions and security deposit requirements are in effect for new positions. The already opened positions are under the old conditions. 
 
Previously the max leverage was set at 1:100 and could be offered to clients with at least TRY 20 000 (around $5440). For those with less funds, the leverage cap was set at 1:50. 
 
As per the new SPK requirements, the brokers must inform in written their clients of the new conditions and obtain their signature within 45 days at the latest.
 
Experts on the Turkish forex market commented that the new restrictions will in practice kill the forex industry in the country. 
 
The Turkish forex market has over 40 licensed brokers operating on it. The majority of them are local players, but some international brokers like Saxo Bank and XTB and Phillip Capital are also present.
 
Turkey is the latest country to introduce some regulatory restrictions on the retail forex and CFD brokers, along with France, Cyprus and Belgium (which altogether banned trading in forex, CFDs and binary options). The Netherlands government and the country's financial markets regulator are mulling some limitations, while Germany's BaFin and UK's FCA have already opened consultations on a set of tighter measures with the industry.
 
 
TAGS: turkey  leverage  cap  deposit  capital markets board  spk 

Related forex news

Forex
Broker Country Regulation Platform Min Deposit Review
US CFTC, NFA MT4, Web,
in-house
$50 Review Website
US NFA, CFTC MT4 $250 Review Website
Cyprus, UK, Mauritius CySec, FCA, FSC MT4, MT5, Web $10 Review Website
Australia, Cyprus ASIC, CySEC MT4, MT5, Iress $100 Review Website
Cyprus, Australia CySec, ASIC MT4, MT5 $5 Review Website
UK, Australia, South Africa FCA, ASIC, FSCA MT4, Trading
Station,
NinjaTrader
$50 Review Website
UK, Cyprus, UAE, South Africa FCA, CySEC, DFSA, FSB MT4, MT5, FxPro
Markets,
cTrader
$100 Review Website
Cyprus CySEC MT4, MT5, Web $1 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus, UK, South Africa, UAE CySec, FCA, FSCA, DFSA MT4, MT5, Web $5 Review Website
UK FCA MT5 $5 Review Website
UK FCA MT4, Web, MT4
for Mac
$100 Review Website

More Forex Market News

Austrian FMA warns against Estonian forex company Euro Wealth OÜ

Jan 24 2020 12:46:03

  The Austrian Financial Market Authority (FMA) has officially warned the public against doing business with Prestige.FM and Prestige Financial Markets – two forex brokerage brands operated by unregulated Estonian company Euro Wealth OÜ (previously AllProTech OÜ). Read more

Vodafone also leaves Libra

Jan 23 2020 17:34:17

The leading British telecom Vodafone is leaving Facebook's digital currency project, Libra.    Vodafone is the latest of a series of companies, which recently decided to withdraw from the project amid growing regulatory pressure from major central banks and many governments. Read more

SEC brings charges over fraudulent ICO that raised $600,000

Jan 22 2020 17:17:56

  The US Securities and Exchange Commission (SEC) has charged Sergii “Sergey” Grybniak and his company Opporty International, Inc. for conducting a fraudulent initial coin offering (ICO), which has scammed investors of $600,000 with unregistered digital asset securities. Read more

UK's FCA might ban credit card deposits with online forex and CFD brokers

Jan 20 2020 18:21:17

After earlier this month the UK Gambling Commission (UKGC) announced that after April 14th 2020 clients of gaming websites will no longer be able to use credit cards to fund their bets, some experts and analysts say it is high time that the UK's Financial Conduct Authority (FCA) do the same, as quit... Read more

The CNMV remains vigilant, blacklists Forbslab and eTrader247

Jan 20 2020 14:32:21

 Unregulated forex brokers Forbslab and eTrader247, along with several other alleged scammers, have been the latest additions to the warning list of Spanish financial watchdog – the Comision Nacional del Mercado de Valores (CNMV). Read more

Crypto scammer Patrick McDonnell sentenced to 33 months of imprisonment

Jan 17 2020 14:54:19

Patrick McDonnell, CEO of Coin Drop Markets, was sentenced to 33 months in federal prison and also ordered to pay $224,350 in restitution, after pleading guilty to cryptocurrency fraud last year. The Federal court in Brooklyn issued the sentence on Thursday. Read more

UK's FCA expects up to 10% decline of profits in the forex industry

Jan 16 2020 17:47:56

The Financial Conduct Authority (FCA) expects that the new regulations imposed on the retail forex and CFD brokers in the UK will lead to an overall reduction of their profits of between 6% and 10% - a decline which by the year 2021 may reach between 38.5 million GBP and 55.3 million GBP. Read more

UK’s FCA updates its warning list with A.B.Capitals and LincolnFX

Jan 16 2020 16:48:27

  Another bunch of brokers have made it to the warning list of UK’s Financial Conduct Authority since the beginning of 2020. We’ll focus on two of them - A.B. Read more

Coinbase will pay $1 mln to victims of the Cryptsy hack attack

Jan 15 2020 18:06:18

Coinbase, the San Francisco based crypto exchange, has agreed to pay 962500 USD as a compensation  to victims of the Cryptsy hacker attack, in an out of court settlement, court papers reveal. Read more

Clients of FXFINPRO to be invited to file compensation claims

Jan 15 2020 14:32:03

  Clients of now-defunct forex brokerage FXFINPRO will be invited to submit compensation applications by the Investor Compensation Fund (ICF), the Cyprus Securities Exchange Commission (CySEC) announced on Monday. Read more

de | cn | ru