Short Selling Ban Lifted on Borsa Istanbul, Order/Trade Ratio Returns to 5:1

The previously imposed short selling ban on Borsa Istanbul (BIST) has been lifted. With the regulation by the Capital Markets Board of Turkey (SPK), the order/trade ratio applied by investors in short selling transactions has been raised back to 5:1. This decision is seen as a normalization step in the markets. Under previous regulations, short selling transactions were restricted and the order/trade ratio was lowered. With the new decision, investors can place orders up to 5 times the transaction volume when short selling a stock. This ratio aims to increase market depth and support liquidity. Experts note that the lifting of the ban may cause short-term volatility in the BIST 100 index, but in the long run, it will contribute to healthier functioning of market mechanisms. Short selling transactions enhance market efficiency by allowing investors to price in their bearish expectations. The SPK's move is considered in line with similar practices in global markets. It is important for investors to pay attention to risk management under the new regulation and consider margin requirements in leveraged transactions. This is not investment advice.