VİOP, which stands for Futures and Options Exchange; Turkey’s first private exchange in 2012. The Council of Ministers passed by the Council of operations.
We have compiled for you frequently asked questions about the Futures and Options Exchange, which was established in 2012 and had difficulties in accessing sufficient information and operating under the umbrella of BIST.
What do you need to pay attention to VİOP, which is among the derivative instruments that have recently increased their popularity and minimizes risk with the amount of income they provide?
In order to talk about the VIOP investment and its advantages, the concept of derivative instruments should be mentioned first. Financial instruments whose value directly depends on the value of another financial asset or good are called derivative instruments. Derivative instruments allow the trade of rights and obligations related to this asset without the need to change the ownership of the underlying asset. Derivative instruments can be used for hedging, investment or arbitrage purposes. Futures and options contracts are also among derivative instruments.
Unlike other investment instruments, VIOP, which is included in derivative instruments, provides low investment opportunities at the beginning. Thanks to this tool that minimizes the risk, you can keep the amount of loss you need to worry under control while having information about the market. In short, with VIOP you can deposit a low amount of collateral and get all the profit or loss of the related vehicle.
In addition, VIOP provides two-way investment opportunities, just like Forex trading. In other words, you can invest simultaneously with the expectation that the relevant vehicle will rise and fall. And in order to minimize the risk, it is also possible to purchase the short term of the contract and sell the long term at the same time.
How is the Investment Realized?
An intermediary institution is needed to purchase and sell derivatives in VIOP.
One of the most important points about VIOP transactions is to cooperate with institutions that provide reliable consultancy services. You should choose the institution whose commission and account transaction fees are the most convenient for you among the institutions approved by the Capital Markets Board (CMB).
While developing yourself on the subject with blogs and online trainings, you need to be in mutual trust with the institution that will enable you to make logical investments and make your decisions within the framework of this trust.
After choosing the institution you will cooperate with, respectively;
- Opening an account at an intermediary institution or bank
- Signing the risk notification form
- Taking a decision on buying or selling
- Depositing transaction collateral
- Finally, you need to send your order to the stock exchange through the brokerage firm.
- The important point here is that your order should be complete.
What Should You Expect from the Intermediary Institution?
The intermediary institution you prefer to purchase and sell derivative instruments should send you the “risk notification form” determined by the CMB, and inform you about futures and option contracts.