Trading platforms / social trading platforms / signal following
FinTechs belonging to this category operate trading platforms or online marketplaces for investment opportunities or certain financial contracts – e.g. securities, factoring etc. and sometimes furthermore provide contact to financial experts and tools for the decision-making.
FinTech-signalling and social trading platforms provide users with the opportunity to exchange opinions on financial investments and offer signal providers and traders the possibility to make their securities portfolio publicly visible. This way the portfolios can be linked to and followed by other traders via the platform automatically, so that the trading and investment strategy of the followed traders can be copied.
The platform often cooperates with a financial services provider or a credit institution where both the trader and the follower hold their securities accounts, and which execute the orders both of the trader and the follower and to which the platform passes on the trading decisions.
Attitude of the country towards trading, social trading or signalling platforms
Borsa Istanbul A.S. (“BIST”) is the single authorised house in Turkey, and incorporates distinct trading platforms for stocks, debt securities, derivatives, and diamonds and precious metals. Each of these markets has its very own regulations determining the trading rules and procedures.
As explained above, investment advises can only be given by authorised investment institutions. However, general advises can be given subject to the conditions explained under “Robo Advisers” section above.
Obligations and requirements to provide trading, social trading or signalling platforms described above
Stocks, debt securities, derivatives, and diamonds and precious metals can only be traded in the BIST. In addition to the centralised marketplace, investment institutions can conduct over-the-counter derivative transactions in electronic trading platforms, that will be notified to the Capital Markets Association.
Additional comments regarding the legal situation for trading, social trading or signalling platforms or what FinTech’s must be aware of in this business area
Market size for trading, social trading or signalling platforms and biggest companies in this business area
BIST is the only house in the field.
Additional comments regarding the economic situation for trading, social trading or signalling platforms or what FinTech’s must be aware of in this business area