Lina Barokas: Stock market has brought in the most since the beginning of 2017

Instructor Lina Barokas, Nişantaşı University, made some evaluations about investment tools that bring in the most returns since the beginning of 2017 when significant incidents happened in global markets, and said that stock market has been bringing in the most since the beginning of the new year and gold per gram is the second bringing in the most after the increase of geopolitical risk.

Lina Barokas said, 'We encounter BIST100 index as the most returning investment tool since the beginning of 2017’ and added:

'Improvements in both global and domestic markets have been effective in the increase of the index providing return nearly at the percentage of 21 since the beginning of the year. Both the USA President Donald Trump’s tax policies and expectations about slow interest increase by America Central Bank (FED) influence global indexes positively. Finalization of the 1st stage of the presidency elections in France and the referendum in the country have minimized the politic ambiguity in the markets and supported not only BIST100 index but also TL assets.'


Explaining that gold per gram has taken the 2nd place and returned nearly 11.5 % Ms. Barokas also said, “Political stress between the USA and North Korea has brought gold, a safe harbour, into prominence. Turkish Republic Central Bank (TCMB) directed the banks to late liquidity window facility and increased the funding cost at the market. This has affected the increase of deposit rates in the market and approximately 11% return was obtained. Since the beginning of 2017 up to now, the value of TL has increased nearly in percentage of 5.5 compared to Euro while it is percentage of 1.5 compared to Dollar”.


Mentioning about the sectors effective in increase of BIST100 index, Ms. Barokas, ended her speech as follows;

'We can see that tourism, textile-leather and technology sectors are effective, respectively, in the increase of BIST100 index. Entrance of foreign tourists has influenced tourism stocks positively. The fact that textile companies’ balance sheets seem positive in textile-leather sector and these stocks are more affordable than the other sectors has made the textile stocks more attractive. We can tell that bank loan incentives of the state to SMEs in scope of structural reform affect such sectors as textile-leather, and SME industry. Credit Guarantee Fund which provides funding to SMEs which cannot receive bank loans due to lack of guarantee and non-SME enterprises as guarantor may reflect in a positive way on bank statements. We can expect the increased request for CGF credits support banks’ assets.”

Release date: 26.04.2017