The Capital Markets Board of Turkey (CMB) is the financial regulatory and supervisory

Financial regulation

Financial regulation is a form of regulation or supervision, which subjects financial institutions to certain requirements, restrictions and guidelines, aiming to maintain the integrity of the financial system...

 agency of Turkey. Its board it appointed by the Turkish finance ministry

Ministry of Finance (Turkey)

The Ministry of Finance is a government ministry office of the Republic of Turkey, responsible for finance and tax affairs in Turkey. The current minister is Mehmet Simsek since 2009....

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History

The CMB was created in 1982 with the passing of the Capital Markets Law (CML) in 1981. This was followed by a number of further laws and decrees that expanded its functions and responsibilities. The most significant of these changes was Law No. 4487 which was passed in December 1999, which brought in a set of amendments to the Capital Market Law expanding the duties and the scope of authority. This included increased consumer protection and changes to allow dematerlisation of stocks and other changes to make the markets more flexible and able to use information technology.

Responsibilities and functions

The CMB is responsible for safeguarding the stability of the financial market, consumer protections and supervising participants in the stock market

Stock market

A stock market or equity market is a public entity for the trading of company stock and derivatives at an agreed price; these are securities listed on a stock exchange as well as those only traded privately.The size of the world stock market was estimated at about $36.6 trillion...

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Structure

The Chairman who is also the CEO is responsible for the administration and representation of the CMB and sits on a board which consists of seven Commissioners.

The Council of Ministers appoints two members from four nominations by the Ministry of State Responsible for the Economy. The other five members are appointed from the nominations of the "Ministry of Finance

Ministry of Finance (Turkey)

The Ministry of Finance is a government ministry office of the Republic of Turkey, responsible for finance and tax affairs in Turkey. The current minister is Mehmet Simsek since 2009....

", the "Ministry of Industry and Commerce

Ministry of Industry and Commerce (Turkey)

The Ministry of Industry and Commerce is a government ministry office of the Republic of Turkey, responsible for industrial and commercial affairs in Turkey....

", the "Banking Regulatory and Supervisory Board", the "Association of Trade Chambers and Exchanges", and the "Association of Capital Markets Intermediary Institutions". Each of these institutions nominates two candidates, one of whom is to be elected.