Financial performance analysis of Asset Management Companies in Türkiye

Banks play an important role in the economic structure of developing countries. Loans are the main source of income for banks, but loans that are not repaid within 90 days for various reasons are classified as 'non-performing loans'. The follow-up of these loans is costly and time-consuming for banks, which makes it difficult to focus on core activities. For this reason, non-performing loans that are deemed uncollectible are transferred to asset management companies through a tender under the Code of Obligations. Asset management companies are critical in terms of reintegrating individuals and the real sector into the economy after collection. During the pandemic period, curfews and business closures negatively affected both Turkey and the world economy. In cooperation with the Presidency of the Republic of Turkey, the Council of Ministers, the Ministry of Treasury and Finance and the Central Bank, various support and measures were taken to maintain economic balance. In this study, macroeconomic variables associated with financial analysis and non-performing loans during the pandemic period are examined, and the financial performance of 16 asset management companies operating in Turkey in 2020-2023 is analysed. As a result of the comparative analysis, vertical analysis and ratio analyses conducted with BRSA data, it was concluded that the asset size and profitability of the sector increased and were not adversely affected by the pandemic period.