Glossary#

What each number on this site means, how we calculate it, and where it comes from.

How We Write#

The rules that every definition, term and reading guide on this site follows.

Definitions#

Each metric with its unit, period, coverage, calculation and source.

Terms#

Words and abbreviations that the definitions use.

Asset-backed security VDMK

A security that a pool of loans or receivables backs. The cash flows of the pool pay the investors.
Also: Varlığa dayalı menkul kıymet

Bank for International Settlements BIS

An organisation of central banks. It publishes credit statistics that compare countries.

Banking Regulation and Supervision Agency BDDK

The Turkish bank regulator. It publishes monthly and weekly data on bank loans and deposits.
Also: Bankacılık Düzenleme ve Denetleme Kurumu

Banks Association of Türkiye TBB

The association of Turkish banks. Its Risk Center publishes data on protested bills.
Also: Türkiye Bankalar Birliği, Risk Merkezi, Risk Center

Basis point bp

One hundredth of a percentage point.
100 bp is 1 pp.

BIST TLREF Index

An index that compounds TLREF from day to day. It gives the return of overnight lira funding over a period.

Borsa İstanbul BIST

The stock exchange of Türkiye. Its debt securities market is the source of the daily bond data on this site.

Borsa İstanbul Derivatives Market VIOP

The derivatives market of Borsa İstanbul. Lira-settled FX futures trade there.
Also: Vadeli İşlem ve Opsiyon Piyasası

Bounced cheque

A cheque that a bank does not pay because the account does not have sufficient funds.
Also: Karşılıksız çek

Breakeven inflation

The inflation rate at which a CPI-linked bond and a fixed-rate bond of the same maturity give the same return.
If breakeven inflation is 25% and actual inflation is 30%, the CPI-linked bond pays more.
Also: Başabaş enflasyon

Brent crude oil

A global benchmark price for crude oil. It is quoted in US dollars per barrel.

Capital Markets Board of Türkiye SPK

The capital markets regulator. It approves debt issuance ceilings before companies sell bonds.
Also: Sermaye Piyasası Kurulu, CMB

Cash loan

Money that a bank lends to a borrower. Guarantees and letters of credit are non-cash loans. They are not cash loans.
Also: Nakdi kredi

Central Bank of the Republic of Türkiye CBRT

The central bank of Türkiye. It sets the policy rate and publishes statistics.
Also: TCMB, Merkez Bankası

Central government

The ministries and agencies in the central government budget. Local governments are not part of it.
Also: Merkezi yönetim

Central Securities Depository of Türkiye MKK

The central registry of securities. Its notices on KAP report payments that issuers did not make.
Also: Merkezi Kayıt Kuruluşu

Cheap and rich

A bond is cheap when its yield is above the fitted curve. It is rich when its yield is below the curve.
Also: Rich / cheap

Classification of Individual Consumption According to Purpose COICOP

An international system that sorts household spending into groups. TÜİK sorts the CPI into 13 main groups with the 2018 version of this system.

Collateral

The security that backs a repo or a loan. The lender keeps its value if the borrower does not pay.
Also: Teminat

Compound yield

An annual yield that assumes reinvestment of interest. It is the convention of the Treasury curve on this site.
Also: Bileşik getiri

Consumer price index CPI

An index of the prices that households pay for goods and services.
Also: TÜFE

Core inflation

Inflation without the items that change most, such as some food and energy prices. Each core measure excludes different items.
Also: Çekirdek enflasyon

CPI-linked bond

A government bond whose payments follow the CPI. Its quoted yield is a real yield.
Also: TÜFE'ye endeksli tahvil, Linker

CPI-linked bond

A bond whose payments follow the consumer price index. Its published yield is a real yield.
Also: Linker, TÜFE'ye endeksli

Debt Securities Market BAP

The Borsa İstanbul market where bonds, bills, lease certificates and repo trade.
Also: Borçlanma Araçları Piyasası

Dollar value of one basis point DV01

The change in the price of a bond for a yield change of one basis point. On this site it is in the currency of the bond or portfolio, not in dollars.
A DV01 of 0.02 per 100 means that the price falls 0.02 when the yield rises by 1 bp.

Earnings before interest and taxes EBIT

On this site, EBIT is the operating profit in the income statement.

Earnings before interest, taxes, depreciation and amortisation EBITDA

Operating profit plus depreciation and amortisation. It shows the cash earnings of operations.

Electronic Data Delivery System EVDS

The public data service of the central bank. Many series on this site come from it.

Emerging market EM

A middle-income economy with developing financial markets. On this site, the comparison group is Brazil, Mexico, South Africa, Poland and Korea.

Eurobond

A bond that the government sells in a foreign currency. On this site the currency is the US dollar or the euro.

First in, first out FIFO

An allocation rule: the oldest item is used first. The page fills the oldest open ceiling with each sale.
A sale of 10 draws on the oldest ceiling until it is full. Then it draws on the next one.

Fiscal year FY

The 12-month accounting year of a company. For most Turkish companies it is the calendar year.

Floating-rate note

A bond whose coupon resets each period to a reference rate. On this site the rate is TLREF or TLREFK.
Also: Floater, Değişken faizli

Foreign exchange FX

Foreign currency, or the rate at which one currency changes into another.

Fund user

The company that receives the money from a lease certificate. It is the real borrower and the credit risk.
Also: Fon kullanıcısı

FX swap

A trade that exchanges one currency for another now and reverses the exchange on a set date. Borsa İstanbul publishes the lira rate that the swap implies.

FX-protected deposit scheme KKM

A deposit scheme that started in December 2021. Its name means exchange-rate-protected deposit. The CBRT publishes the amount that is still outstanding.
Also: Kur korumalı mevduat

Government domestic debt securities GDDS

Lira bonds and bills that the Treasury sells in the domestic market.
Also: DİBS

Gross domestic product GDP

The value of all goods and services that an economy produces in a period.

Hodrick-Prescott filter HP

A statistical method that separates the long-term trend of a series from its short-term movements.

IAS 29, Financial Reporting in Hyperinflationary Economies IAS 29

The accounting standard for high inflation. Turkish companies apply it from their 2023 annual statements. Each filing is in the lira of its own period end.
Also: TMS 29, Enflasyon muhasebesi

Instant and Continuous Transfer of Funds FAST

The instant payment system that the CBRT operates. Customers use it to send lira to an account at another bank.

Interbank Card Center BKM

A card payment organisation of the Turkish banks. It publishes the Kartmetre card payments index.
Also: Bankalararası Kart Merkezi

International Financial Reporting Standards IFRS

The accounting rules that listed Turkish companies follow in their KAP statements. CBRT company accounts use tax returns instead.
Also: TFRS, TMS

International Securities Identification Number ISIN

A 12-character code that identifies one security.

Interquartile range IQR

The range from Q1 to Q3. It holds the middle half of the values and ignores the extremes.
If Q1 is 20 days and Q3 is 60 days, the range is 20 to 60 days.

Inverted curve

A yield curve where short maturities yield more than long maturities.

Investment grade IG

A rating of BBB- or higher on an agency scale. It marks borrowers that agencies see as lower credit risk.
BBB- is investment grade. BB+ is not.

JCR Eurasia Rating JCR

A credit rating agency that rates many Turkish companies on a national scale.

Last twelve months LTM

The 12 months to a period end. It removes seasonality from interim filings.

Lease certificate

A security that an asset-leasing company issues. The rent from an asset pays the investors.
Also: Sukuk, Kira sertifikası

Liquidity deficit and surplus

A deficit means that banks need more funding than they have. The CBRT lends to them on net. A surplus means the opposite: the CBRT takes liquidity from them on net.

Median

The middle value when all values are in order. Half of the values are lower and half are higher.
The median of 2, 5 and 40 is 5. One very large value does not move it.

Ministry of Treasury and Finance HMB

The ministry that borrows for the government. It holds the government bond auctions.
Also: Hazine ve Maliye Bakanlığı, Treasury

Monetary Policy Committee MPC

The committee of the central bank that sets the policy rate.
Also: PPK, Para Politikası Kurulu

Nelson–Siegel fit

A smooth curve with three coefficients that the site fits to observed yields by least squares. It is a visual guide, not a tradable curve. The site draws it only across the traded maturities.

Nominal

A value in lira of its own date. It is not adjusted for inflation. With high inflation, nominal amounts increase when the real amount does not change.

Non-competitive bid ROT

HMB reports these bids on a separate ROT row of its auction result. The accepted amount includes them.
Total accepted = competitive accepted + ROT accepted.

Non-financial corporation NFC

A company that makes goods or gives non-financial services. Banks, insurers and funds are not included.

Non-performing loan NPL

A loan that a bank classifies as non-performing. This occurs when a payment is more than 90 days late. It also occurs when the bank expects that the borrower cannot pay.
Turkish source term: takipteki alacak.
Also: Takipteki alacak, Takipteki alacaklar, Stage 3, Donuk alacak

Non-resident

An investor that is based outside Türkiye. A non-resident can hold lira debt of the Treasury.
Also: Yurt dışı yerleşik

Original maturity

The time from the start of a debt to its final payment date.

Over the counter OTC

Trades that two parties agree directly, not on the order book of an exchange.
Also: Tezgahüstü

Participation bank

A bank that works without interest. It belongs to TKBB and publishes no ratios in the TBB tables.
Also: Katılım bankası

Participation Banks Association of Türkiye TKBB

The association of participation banks. These banks are not members of TBB, so TBB ratios do not cover them.
Also: Türkiye Katılım Bankaları Birliği, Katılım bankaları

Percentage point pp

The difference between two percentages. A change from 3% to 4% is 1 percentage point.
A change from 3% to 4% is +1 pp. It is not a 33% change.

Performing loan

A loan that the bank does not classify as non-performing.
Also: Krediler

Primary balance

The budget balance without interest payments. It shows whether revenue covers all spending except interest.
A deficit of 100 with interest of 60 is a primary deficit of 40.
Also: Faiz dışı denge

Producer price index PPI

An index of the prices that producers receive for their output. Producer prices often move before consumer prices.
Also: ÜFE, Yİ-ÜFE, Üretici fiyat endeksi

Protested bill

A promissory note that the debtor did not pay on its due date. A notary recorded it as unpaid.
Also: Protestolu senet

Provisional figure

A figure that the source can still revise. HMB marks current-year budget figures with (*) Geçici until a later release confirms them.
Also: Geçici

Public Disclosure Platform KAP

The official platform where listed companies and bond issuers publish their disclosures.
Also: Kamuyu Aydınlatma Platformu

Quartile Q1, Q3

Q1 is the value that a quarter of the values are below. Q3 is the value that three quarters are below.
Half of the values lie between Q1 and Q3.

Real

A value adjusted for inflation with the consumer price index. A real change shows the change in purchasing power.

Real yield

A yield after inflation. The quoted yield of a CPI-linked bond is the return above the CPI change.

Remaining maturity

The time from today to the payment date of a debt.

Repo

A loan against collateral. One side sells a security and agrees to buy it back at a set date and price.
Also: Repurchase agreement

Request for Comments RFC

A numbered document that defines an internet standard. RFC 5545 defines the iCalendar format.
A calendar app reads a file that follows RFC 5545.

Simple yield

An annual yield without reinvestment of interest. Auction results and some lists use it.
Also: Basit getiri

Special purpose vehicle SPV

A company set up only to issue securities. An asset-leasing company issues lease certificates for a fund user.
Also: Varlık kiralama şirketi

Statistical classification of economic activities in the European Community NACE

The European system that groups companies by activity. Letters mark sections and two-digit codes mark divisions. The site uses revision 2.1.
Also: NACE Rev. 2.1

Sterilisation

An action of the central bank that takes liquidity out of the banking system. The CBRT uses auctions, quotations and liquidity bills for this.
Also: Sterilization, Sterilizasyon

Turkish Lira Overnight Participation Reference Rate TLREFK

The overnight reference rate for participation finance, which Borsa İstanbul publishes. Floating-rate lease certificates for participation finance can use it as their reference.
Also: TLREF Katılım

Turkish Lira Overnight Reference Rate TLREF

The reference rate for overnight lira funding. Borsa İstanbul calculates it every business day from overnight repo trades.

Turkish Statistical Institute TÜİK

The national statistics office. It publishes the consumer price index every month.
Also: TurkStat, Türkiye İstatistik Kurumu

Union of Chambers and Commodity Exchanges of Türkiye TOBB

The business association of Türkiye. It publishes monthly counts of companies that open and close.

Working-capital requirement WCR

Trade receivables plus inventories, less trade payables. It is the cash that operations hold.

Yield to maturity YTM

The single annual rate that makes the present value of all future payments equal to the price of a bond.

Z-score

A number that shows how far a value is from its average, in standard deviations. A z-score of 2 means that the value is 2 standard deviations above the average.
A bond with an average value of 10 and a standard deviation of 2 has a z-score of 3 when it trades 16.