Investment Products

Sweeping Account is a demand deposit account that adds value to your savings automatically in the Fiba Portföy A.Ş. Short-Term Debt Instruments Fund while making your payments.

Sweeping Account has all the features of your existing demand deposit account, and it carries out EFT, money order, credit card, bills and other regular payments automatically. It automatically utilizes your savings that are above a certain threshold in the Fiba Portföy A.Ş. Short-Term Debt Instruments Fund. Sweeping Account is a demand deposit account in TRY that liquidates funds at the time of payment and makes the payment as such.

In order to carry out payment orders through Sweeping Account, you have to select the TRY demand deposit account as Sweeping Account.

Payments Made

• Regular payments such as rent, school payments, building fee
• Bill payments (Electricity, water, natural gas, etc.)
• Overdraft Account interest payments
• Forward EFT payments
• Forward Swift commissions
• Insurance premium payments
• Cheque payments (Bank customers)

You can open a Sweeping Account at our branches and through Internet Banking. Please check the fund amounts bought & sold and payment details via Fibabanka Internet Banking and Mobile Banking app.

Investment advantages under the guarantee of the State are at Fibabanka.

• They are debt securities issued by the Undersecretariat of Treasury within the domestic market.
• They are issued as tenders or public offerings by the Republic of Turkey Undersecretariat of Treasury in order to meet the borrowing need of the state through the Central Bank of the Republic of Turkey.
• The Government Domestic Debt Securities (GDDS) with less than 1 year of maturity are called Treasury Bills, while those with 1 year or more are called Government Bills.
• At the time of the investment, the investors are aware of how much interest income they will earn after the maturity of Treasury Bills and Government Bonds and do not face a risk of losing from the capital if they wait until the end of the maturity.
• During their maturity period, they can be traded in secondary markets and their liquidity varies depending on the nature of the issuance.
• If they are desired to be liquidated prior to the end of maturity, returns may vary depending on the conditions of the market at that time.
• Such products offer capital gain in times of interest rate falls. The capital gain is higher in long-term bonds.

You can invest in private sector bonds; one of the most popular investment instruments, by the Fibabanka privilege and securely evaluate your assets.

• Debt securities issued by banks or other joint stock companies as long-term with over a year of maturity, discount or coupon are called "Private Sector Bonds".
• In discount bonds, the issuer pays the nominal amount of the bond to the investor at the end of the maturity.
• In coupon bonds, the investor is paid coupon return within certain periods (3 months, 6 months or 1 year) and capital payment over the maturity amount.
• The interest rate taken as basis in those with variable interest is the bond interest. The additional interests paid offer the investors higher return opportunity.
• Investors undertake the risk of the issuing institution.

Derivative Products at Fibabanka offer the chance to earn more income from investment products by evaluating your assets.

Their return is based on the performance of the underlying asset (such as instrument, FX, interest) and they are derived from the return of the underlying asset.

Derivative Products are preferred by the investors who wish to be protected against future fluctuations in the markets, and also aim to profit from such fluctuations by taking a certain amount of risk.

1. Forward

Forward (Forward Purchase/Sale Transactions) indicates the agreements regarding the purchase or sale of a certain amount of asset such as FX or precious metal on a future date at a set price. Forward agreements oblige both parties to carry out the transaction at the price and amount specified in the agreement, irrespective of the current price of the asset that is the subject of the transaction in the market at maturity. Forward transactions may be used to be protected from the fluctuations in asset prices or they can also be used to profit from such fluctuations.

2. Options

Option agreements can be at a set maturity (European type) or during a certain amount of time (American type) and they grant the right to purchase or sell a certain amount of goods, economic or financial indicators, money or capital market instrument, commodities or FX that serve as the underlying asset to the option at a set price, in return for a certain amount of option premium to be given to the buyer of the option, however only obligating the seller to sell it upon the request of the buyer.

Option agreements grant a right to the buyer party, and give rise to a liability for the seller party. Option agreements can be structured in countless ways as long as the parties mutually agree on it. Such features enable options to be established using various underlying assets such as FX, Equity Shares, Index, Gold, Eurobond, Interest. Options can be chosen to be protected from risks such as currency rate, markets, interest risk, or they can be used to benefit from currency rate, equity prices, commodity prices, interest rates in line with the projections of the customers who have an insight on such subjects.

Option types are as follows:

• Call Option: The call option agreement grants the right to the buyer of the option agreement to purchase a certain amount of the underlying asset on a certain date or before the date at a set price.
• Put Option: The put option agreement grants the right to the buyer of the option agreement to sell a certain amount of the underlying asset on a certain date or before the date at a set price.

3. DCD

It is basically an FX put option structured as a deposit. It is a product that has a higher return compared to the deposit against the risk of repayment of the capital in a different currency. In DCD transactions, the customer assumes a risk in line with the market expectations and aims to sell to the bank the right to purchase or sell a certain currency at a set maturity and price, thereby increasing the deposit income.

4. Swap

"In finance markets, “Swap” means the exchange of FX, interests or instruments or cash flows pertaining to them, in other words the payment liabilities, at a set maturity or during a certain period of time. The subject matter of Swap transactions may be several assets such as foreign exchange, precious metals, interests, equity shares or bill/bonds. Primary Swap transactions are as follows:

FX Swap;

They are forward transaction agreements to swap one currency with another and returning the swapped capitals after a certain amount of time. In FX Swap transactions, the swapped amounts in the beginning of the transaction are returned on the date of maturity based on the currency rates/parities stated in the agreement. In other words, FX Swap is the combination of a spot foreign currency transaction made on the date of the agreement and a complementary forward transaction in the reverse direction. (If the first transaction is a spot purchase, a forward sales agreement is signed on the maturity date; if the first transaction is a spot sale, then a forward purchase agreement is signed on the maturity date.)

IRS – Interest Rate Swap

It is the sum of the transactions through which interest flows calculated via various methods over a certain period are swapped in order to protect the customers from the interest risk arising from the fluctuations in interest rates or to profit from the changes in interest rates.

XCCY Swap – Cross-Currency Swap

It is created by combining Interest Rate Swap and FX Swap. This type of transaction aims to protect the customers against both exchange risks arising from their liabilities/receivables and interest risks. In other words, the customer has the option to convert the liability/receivable in a certain currency into another one.

5. Structured Products

Structured products offer unlimited return and risk profiles and they are created by combining several derivative products or the concurrent utilization of deposit or bond/bill products along with derivative products. Therefore, the investors can create special structures tailored to their own expectations and needs..