Capital Market Law

Capital market means market where stock and bonds regulated by law are bought and sold, market where long-term credit are supplied and demanded and all kinds of purchase and sales causing all kind of market movements. In legal terms the capital markets is the name of the environment which enables the transfer the mid-and long-term loanable funds by means of capital markets instruments from the savers to investors, in another words it is the name of model finance system which consists of institutions and organization enabling fund transfer between investors and savers.

The Capital Market Law aims to regulate and control the secure, transparent and stable functioning of the capital market and to protect the rights and benefits of investors with the purpose of ensuring an efficient and widespread participation by the public in the development of the economy through investing savings in the securities market.

Both to establish the finance system called capital market and also to ensure the persistency of this market, the rights and the benefits of the parties in free market shall be protected and the organisation which ensures this protection shall be organized.

In our legal system these regulations are carried out by the Capital Market Law. The person, institution and transactions subject to the Capital Market Law are described in this law. Accordingly;

  • Capital market Instruments,
  • Export, offer and sale of capital market instruments to public,
  • The ones who exports and offers capital market instruments to public,
  • Stock markets and other markets organized,
  • The activities of Capital market,
  • Capital market institutions,
  • Capital market board is subject to capital market law. However there are exceptions of the ones described here.