Turkey Wealth Fund
{{Short description|Sovereign wealth fund of Turkey}}
{{Infobox company
| native_name = Türkiye Varlık Fonu
| logo =
| type =
| industry = Sovereign wealth fund
| fate =
| founded = {{Start date and age|2016|8|26|df=y}}
| hq_location_city = İstanbul
| hq_location_country = Turkey
| key_people = Chairman:
President Recep Tayyip Erdoğan
CEO:
Salim Arda Ermut
| aum = {{profit}} US$ 317 billion (2023)
| website = {{URL|https://www.tvf.com.tr/}}
}}
The Türkiye Wealth Fund (TWF; {{langx|tr|Türkiye Varlık Fonu}}, TVF) is a sovereign wealth fund founded in August 2016 and owned by the Government of Turkey. As of 2023, TWF had over $317 billion in total assets.{{Cite web |title=Turkey Wealth Fund Consolidated Financial Statement, 31 Dec 2023 |url=https://www.tvf.com.tr/uploads/file/twf-consolidated-financial-statement-31-december-2023.pdf}} The fund is operated with a "Strategic Investment Plan", which was approved by the Council of Ministers. Companies and assets formerly owned by state institutions shall be eligible to be transferred to the fund and sub-funds shall be able to be created if viewed appropriately.{{Cite web|title=The Law No. 6741 on Establishment of Turkey Wealth Fund Management Company and Amendments in Certain Laws|url=https://www.tvf.com.tr/uploads/file/law-no-6741.pdf|access-date=28 October 2020}}
History
TWF was officially founded on 26 August 2016. According to the law published, the chairman, CEO and board members were appointed by the Prime Minister.{{cite news |title=Türkiye Varlık Fonu Yönetmeliği Yayınlandı |url=http://htemlak.haberturk.com/diger-haberler/haber/1287900-turkiye-varlik-fonu-yonetmeligi-yayinlandi |access-date=27 November 2020 |work=htemlak.haberturk.com |language=tr}} In November 2016, PM Binali Yıldırım appointed board members and Mehmet Bostan as CEO.
On 6 February 2017, it was announced that Ziraat Bankası, Turkish Airlines, TÜRKSAT, BOTAŞ, PTT, BİST, TPAO, Türk Telekom (6.68%), Eti Maden, Çaykur had been handed over to TWF.{{Cite news|last=Coskun|first=Orhan|date=2017-02-06|title=Turkey transfers billions in major company stakes to sovereign wealth fund|work=Reuters|url=https://www.reuters.com/article/us-turkey-economy-fund-idUSKBN15L1PG|access-date=2020-10-28}} In addition to the companies, the 3 billion liras worth Defense Industry Support Fund (Turkish: Savunma Sanayii Destekleme Fonu) was transferred to the TWF for 3 months. The fund also owns several plots of land in Antalya, Aydın, Istanbul, Isparta, İzmir, Kayseri and Muğla, which were previously owned by the Treasury of Turkey. Treasury stakes of Turkish Airlines (49.12%) and Halkbank (51.11%) were also handed over to the fund.
= 2018 changes =
After the 2017 Turkish constitutional referendum, the Prime Ministry of Turkey was abolished. In accordance with this change, TWF law was changed to allow the President of Turkey to become the chairman of the TWF and to appoint the CEO, Vice Chairman and board members. On 12 September, President Erdoğan became the chairman of the fund.{{Cite news|url=https://asiatimes.com/article/erdogan-takes-wheel-of-turkish-wealth-fund/|title=Erdogan takes wheel of Turkish wealth fund|access-date=2018-09-13}}{{Cite news|url=https://www.bloomberg.com/news/articles/2018-09-12/erdogan-names-himself-chairman-of-turkey-wealth-fund-in-overhaul?srnd=premium-europe|title=Erdogan Names Himself Turkey Wealth Fund Chairman in Shakeup|newspaper=Bloomberg.com|date=12 September 2018 |access-date=2018-09-13}}{{Cite web|title=Ex-Turkey president says alarm bells ringing on economy under Erdoğan|url=https://ahvalnews.com/turkey-economy/ex-turkey-president-says-alarm-bells-ringing-economy-under-erdogan|access-date=2020-06-29|website=Ahval}} He also appointed Zafer Sonmez, formerly of Malaysia's government investment vehicle Khazanah Nasional from September 2012 until September 2018, as Senior Vice President & Head. Erdoğan's son-in-law Berat Albayrak was named as his deputy on the board of the sovereign wealth fund.{{Cite news|url=https://www.ft.com/content/8fe07c16-b693-11e8-bbc3-ccd7de085ffe|title=Erdogan takes control of Turkey's sovereign wealth fund|website=Financial Times|date=12 September 2018|access-date=2018-09-13}}
= 2020 changes =
In April 2020, TWF Financial Investments was founded with previously government owned shares of insurance companies.{{cite web |title=Türkiye Varlık Fonu bazı sigorta ve emeklilik şirketlerini bünyesine kattı |url=https://www.sozcu.com.tr/2020/ekonomi/varlik-fonu-bazi-sigorta-sirketlerini-bunyesine-katti-5767613/ |website=sozcu.com.tr |date=22 April 2020 |access-date=18 June 2020 |language=tr}} TWF acquired non-government shares and merger was completed in September 2020; “Türkiye Sigorta” was founded with merging Güneş Sigorta, Halk Sigorta, Ziraat Sigorta and “Türkiye Hayat ve Emeklilik” was founded with merging Vakıf Emeklilik ve Hayat, Halk Hayat ve Emeklilik and Ziraat Hayat ve Emeklilik.{{cite news |title=Çalışanlar dikkat! Bireysel Emeklilik Sistemi'nde dengeler değişiyor |url=https://www.cnnturk.com/ekonomi/calisanlar-dikkat-bireysel-emeklilik-sisteminde-dengeler-degisiyor |access-date=12 September 2020 |work=CNN Türk |language=tr}}
On 18 June 2020, the TWF agreed to acquire a 26.2% stake of Turkcell from Telia and Çukurova Holding for $1,801 million, including $196 million to Telia and $1,605 million loan from Ziraat Bank.{{Cite web|url=https://www.sec.gov/Archives/edgar/data/1071321/000110465920120084/a20-34265_1sc13d.htm|title=Turkcell İletişim Hizmetleri A.Ş.|access-date=2021-01-16|website=sec.gov}}{{cite news |last1=Wires |first1=Daily Sabah with |title=Done deal: Turkey Wealth Fund acquires controlling stake in Turkcell from Telia for $530M |url=https://www.dailysabah.com/business/economy/done-deal-turkey-wealth-fund-acquires-controlling-stake-in-turkcell-from-telia-for-530m |access-date=18 June 2020 |work=Daily Sabah |date=18 June 2020}}{{cite news |title=Turkey Wealth Fund gains controlling stake in Turkcell |url=https://www.aa.com.tr/en/economy/turkey-wealth-fund-gains-controlling-stake-in-turkcell/1880956 |access-date=18 June 2020}} On 22 September 2020 following amendments to Articles of Association, the fund gained the right to appoint five of the nine members of the board of Turkcell.{{Cite web|title=TWF's Turkcell transaction is completed|url=https://www.tvf.com.tr/en/contact/disclosures/2020/turkcell-joins-twfs-portfolio|access-date=2021-01-16|website=tvf.com.tr}}
On 26 November 2020, TWF announced selling a 10% stake in Borsa Istanbul to QIA which was previously acquired from EBRD{{cite news |title=Katar, Borsa İstanbul'a ortak oldu |url=https://www.bbc.com/turkce/haberler-turkiye-55091380 |access-date=26 November 2020 |work=BBC News Türkçe |language=tr}} The next day, Vice Chairman Albayrak announced his resignation, who previously resigned from the Ministry of Finance.
On 10 March 2022, TWF acquired controlling stakes of Türk Telekom for $1.65 billion in order to resolve handover issues in 2026.{{cite news |title=Özelleştirilen en büyük şirketlerden biri olan Türk Telekom'un çoğunluk hissesi artık Varlık Fonu'nun |url=https://www.bbc.com/turkce/haberler-turkiye-60653224 |access-date=11 March 2022 |work=BBC News Türkçe |language=tr}}{{cite news |title=Varlık Fonu Türk Telekom'u neden satın aldı? |url=https://www.sozcu.com.tr/2022/ekonomi/varlik-fonu-turk-telekomu-neden-satin-aldi-7004583/ |access-date=11 March 2022 |website=sozcu.com.tr |language=tr}}
= Management =
Companies
| class="wikitable sortable"
|+ Former | ||
| Company | Operating area | Stake |
|---|---|---|
| Platform Ortak Kartlı Sistemler A.Ş. | Technology and telecom | 20% |
| Turkish Maritime Organization | Transport and logistics | 49%{{cite web |title=Portföy |url=http://turkiyevarlikfonu.com.tr/TR/Portfoy/5 |website=turkiyevarlikfonu.com.tr |access-date=10 June 2018 |language=tr}} |
Licenses:
- Millî Piyango (for 49 years)
- Jockey Club of Turkey (for 49 years)
References
{{reflist}}
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Category:Sovereign wealth funds