Educational guide · Borsa Istanbul
Turkey Stock Loans: A Guide for Borsa Istanbul Shareholders
Short answer
A stock loan is financing secured on listed shares: the shareholder pledges Borsa Istanbul-listed stock and receives cash, keeping economic exposure to the shares. It can be full-recourse or non-recourse.
Frequently asked questions
How is a stock loan different from a margin loan?
A margin loan is a revolving broker facility on a diversified account with daily margin calls and tight concentration limits. A stock loan is usually a fixed-term facility on one holding, which can suit large single-stock positions that a margin account would not accept.
What decides the terms for Borsa Istanbul-listed shares?
Mainly the stock's liquidity (average daily traded value), its volatility, the size of the holding relative to free float, any lock-up or trading restriction, and the tenor requested. Concentrated or less liquid holdings usually receive lower advance rates.
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See also
This guide is general information, not financial, legal or tax advice. It does not describe Squadron Capital's specific terms.