The Financials sector in the Turkish economy has grown at a tremendous
rate over the last 35 years. The liberalization and the opening of the economy to
international and foreign investors in the 1990s, and the overhaul of the structure of
the Turkish banking system with numerous reforms after the economic crisis in the
beginning of the 2000s have strengthened the sector. The purpose of this study is to
examine the volatility characteristics of the sector in recent years. Using intraday
data, the efficiency of the Financials sector and the five sub-sectors (Banking,
Insurance, Financial Factoring, Investments, Real Estate) are examined. The
impacts of global, regional, and domestic events are analyzed. Public policy decisions
of financial regulators to accommodate the changing economic and political
conditions are investigated, as is the efficacy of such decisions.

• Financials sector intraday volatility characteristics in the emerging Turkish economy