VKF_FRAE_2018_uyg11

VakıfBank Annual Report 2018 65 The Bank also issued bonds amounting TL 5 billion which will be included as additional Tier 1 Capital. This fixed interest rate bond does not have a maturity period, can be early redeemed at the end of five years, and pays interest twice during each year. The issuance not only provided long-term funding for the Bank, but also had a positive effect on the statutory ratios since it qualifies as additional capital. In the following period, VakıfBank bonds will continue to be presented to corporate and retail investors and offered as an alternative investment instrument. Mutual Funds As part of mutual fund participation share trading and marketing activities, the Bank provides brokerage service for money market funds and the short-term debt instruments fund founded by Vakıf Portföy. Brokerage services are delivered via branch locations in addition to alternative distribution channels, such as internet banking, telephone banking, ATMs and mobile banking. Managed by portfolio specialists pursuing strategies customized to meet the specific needs of customers, Vakıf Portföy mutual funds captured a 5.24% market share and reported TL 1.7 billion in total assets under management (AUM) as of year-end 2018. Investors can access all investment funds on the TEFAS Platform (Turkey Electronic Funds Trading Platform) via branch locations, telephone banking, internet banking, and mobile banking. Gold Banking and Gold Days Being one of the first banks to launch gold banking, VakıfBank provides gold banking service to customers at branch locations as well as via alternative channels, by 30 years of experience in this segment. Besides giving customers the opportunity to buy and sell gold, VakıfBank organized Gold Days at 592 branches in 2018. The Bank provided customers with personal expert service at many branch locations. During VakıfBank Gold Days, Cumhuriyet gold coins in halves and quarters as well as all-carat gold jewelry, including bracelets, rings, and necklaces, are assessed by gold experts. Corresponding amounts are deposited into customers’ Golden Era Accounts in grams of gold. In 2018, VakıfBank started to broker the “Gold Bond” and “Gold-Based Lease Certificate” issues by the Ministry of Treasury and Finance. Activities of the Depositary and Fund Service Department VakıfBank conducts all depositary services as defined in Capital Markets Board regulations. The Bank offers general depositary and portfolio depositary services to both corporate customers and collective investment undertakings. The Bank also provides fund service department activities for collective investment institutions. Securities Issued (TL Billion) 2018 22.3 2017 19.5