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VBTS (Volatility-Based Measures System)

VBTS is the Borsa Istanbul system that automatically applies graduated trading measures, based on predefined criteria, to shares showing unusual price and volume moves. The system aims to keep trading in the equity market fair and orderly and to protect investors from the risks of excessive volatility.
Contents
  1. 1.Key points
  2. 2.How it works
  3. 3.Interpretation
  4. 4.Pitfalls
  5. 5.Official sources
  6. 6.Frequently asked questions

Key Points

  • The criteria are set in advance; shares are screened daily on price and volume and measures are applied to those that meet the conditions.
  • A share placed under VBTS may signal concentrated speculative activity; the measures reduce liquidity and make trading harder.
  • a measure is not a negative decision about the company itself; it follows from price action.

How It Works

measures are graduated. The main ones are a ban on short selling and margin trading, gross settlement and trading under the single-price method. The type, start date and duration of each measure are announced by Borsa Istanbul on KAP.

Interpretation

A share placed under VBTS may signal concentrated speculative activity; the measures reduce liquidity and make trading harder. The current list of shares under measures can be followed on the Restricted stocks page.

Pitfalls

a measure is not a negative decision about the company itself; it follows from price action. Trading flexibility falls sharply under gross settlement and single-price measures. Rules on measure durations can change over time, so rely on the KAP announcement.

Official Sources

Official regulation and sources the definition is based on.

Pages Where This Term Appears

Related Terms

Frequently Asked Questions

VBTS is the Borsa Istanbul system that automatically applies graduated trading measures, based on predefined criteria, to shares showing unusual price and volume moves.

measures are graduated. The main ones are a ban on short selling and margin trading, gross settlement and trading under the single-price method. The type, start date and duration of each measure are announced by Borsa Istanbul on KAP.

Prepared by: Yatırımcı.AI Research TeamLast reviewed: Method: MethodologyEditorial policy