XTB says goodbye to the Turkish market

X-Trade Brokers Brokerage House has decided to withdraw from the Turkish market. The official communique states that the reason is the restrictive and sudden regulatory changes introduced by the local financial supervision, ie the Capital Markets Board of Turkey.

"Due to the completion on May 18, 2017 of detailed analyzes of the impact of regulatory changes in the field of investment services, investment activities and additional services on the activities conducted by XTB on the Turkish market, on the same day the company decided to withdraw XTB from its activities in this market ”.

Jakub Zabłocki, founder of XTB

Due to the termination and liquidation of the subsidiary operating under the name "X-Trade Brokers Menkul Degerler", the company will make a write-off worth PLN 5,6 million in the consolidated financial statements.

Jakub Zabłocki, the founder of DM XTB, in an interview with Marcin Wenus during FxCuffs 2017 mentioned the unusual atypical approach of the Turkish regulator. The lack of any dialogue with representatives of the industry and the introduction of changes, even key and very restrictive, could happen properly overnight. On the same day the brokers also had to apply to them, which was exceptionally labor-intensive and translated into a dynamic and rapid outflow of customers.

Lewar 1: 10 and 50 000 TRY deposit

One of the changes introduced by this year's Turkish supervision was the limitation of leveraging to 1: 10 and setting a minimum deposit for 50 000 TRY, ie approx. 51 000 PLN with immediate effect. This automatically resulted in a reduction in the activity of Turkish traders and the search for alternatives beyond the borders of the home country.