Page 37 - TURKRptMar20
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        at 27.25.
That level still compares higher than the figures in the 20s seen in May last year and the 22s seen in October. However, the ETF remains dramatically below its historical high of 79 seen in 2010.
TUR’s net asset value stood at $380mn as of February 10.
The Berlin-listed iShares MSCI Turkey ETF (ISVZ) was up 1.58% y/y to 25.05 on February 11 while the Mexico-listed MXN-denominated iShares MSCI Turkey ETF (TUR) was up 0.74% y/y to 546 as of January 16.
TUR, the only ETF that offers pure exposure to the Borsa Istanbul, replicates the MSCI Turkey IMI 25/50 Index, which covers around 99% of the free float-adjusted market capitalisation on the Istanbul stock exchange.
It has 48 constituents. Garanti BBVA has the highest weight. Its weight stood at 10.45% as of February 10 (10.47% as of January 17), followed by Akbank (9.05%, down from 9.35% on January 17), BIM (7.68%, down from 7.73%) and Koc Holding (5.47%, down from 5.79%).
The London-listed GBP-denominated HSBC MSCI Turkey UCITS ETF (HTRY) was down 5.16% y/y to 193 on February 11 while the Xetra-listed EUR-denominated HSBC MSCI Turkey UCITS ETF (H4ZK) was down 1.71% y/y and the Paris-listed HSBC MSCI Turkey UCITS ETF (HTR) was down 1.58% y/y.
The HSBC MSCI Turkey UCITS ETF replicates the MSCI Turkey Index (MITR00000PTR). It was up 7.8% y/y as of February 10.
Garanti BBVA has the highest weight, at 14.92% (up from 14.69% in January), in HSBC’s Turkey ETF, followed by Akbank (13%, down from 13.19%), BIM (unchanged at 10.88%) and Turkcell (unchanged at 8.3%).
“The [Turkish equity] market has corrected 6% from its tops [in January] and we would wait for another 4-5% pull-back for re-entry,” Akin Tuzun of VTB Capital said on February 5 in his monthly Turkish equities monitor entitled “Worth waiting for better entry points”.
 Tuzun also noted: “Negative real interest rate [in Turkey where the benchmark rate is 11.25% but annual inflation stands at 12.15%] might not be sustainable... Turkey is the only country with negative real rates among its peer group of ‘fragile’ EMs from a currency perspective (such as Brazil, India, South Africa, Indonesia).”
Search for any reliable indicator​. “The official foreign ownership data of the equity market maintains its ambiguity... The market (and we as well) takes the 10-year bond yield as a proxy for the long-term risk free rate in general; however, we think the most recent drop (from 12% to 10%) is not fundamental and is not sustainable, and thus continue to use 12% as the long-term risk free rate for Turkey,” Tuzun also said.
 37​ TURKEY Country Report​ March 2020 ​ ​www.intellinews.com
 





















































































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