Order Matching Rules
In the market orders are matched using the “multiple price-continuous auction" method. The matching of two counter orders in the Outright Purchases and Sales Market is enabled through giving priority to the highest price in purchase and the lowest price in sale. If orders have the same price, time priority is applied.
In addition to matching of orders with equal prices, two counter orders are matched when a sell order with a lower price than the price of the existing buy order is received, or when a buy order with a higher price than the price of the sell order is received. Where price equality does not exist, the price of the order which had been entered in the system earlier is the trading price.
Order Entry Methods
Orders are transmitted over a certain price type or yield determined by ISE for each security.
a) Securities for which orders are transmitted over simple yield;
Separately-traded principles of Treasury Bills, Government Bonds, CBRT liquidity bills and coupon bonds issued in TRY / Foreign Currency at a discount (except CPI-indexed bonds)
b) Securities for which orders are transmitted over clean price;
Flat-rate bonds payable in TRY/foreign currency and floating-rate bonds payable in TRY with fixed first coupon rates fixed (Clean price net of inflation is used for CPI-indexed Government Bonds which have been issued by the Treasury since February 2007)
c) Securities for which orders are transmitted over dirty price;
Separately-traded coupons of coupon bonds, floating-rate bonds payable, the first coupon rates of which are not fixed, and floating-rate bonds in foreign currency (Dirty price net of inflation is used for only the coupons and principals CPI-indexed Government Bonds which have been issued by the Treasury since February 2007)
The price field found in the trading system and the bulletins indicates the clean or dirty price which has been chosen at the time of entry of the order. For each security, in addition to the price, settlement price and if any accrued interest are also announced.
Price and Yield Ticks
A tick of TRY 0.001 applies to orders transmitted over clean or dirty price in the market while a tick of 0.01% applies to orders transmitted over yield.
Order Change
Unmatched orders and unexecuted parts of matched orders transmitted to the market can be changed.
While the change in the price/return of the order, increase in nominal value and change of account holder of the trade lead to the loss of time priority, the reduction of nominal amount and change in representative reference do not give rise to the loss of time priority.
Order Cancellation
Unmatched orders and the unexecuted part of matched orders transmitted to the market can be canceled.