What will a 60/40 portfolio offer in the Turkish stock markets in 2026?

Why the 60/40 Portfolio will be Important in 2026?

The year 2026 may bring significant changes for investors in the Turkish stock markets. The traditional 60/40 portfolio strategy, which forecasts a distribution of 60% stocks and 40% bonds, offers investors a balance between growth and stability.

The 2025 Market and Falling Interest Rates

In 2025, Turkey shone as a year of being “discounted but alone.” While stocks lost value, high policy interest rates directed investors towards low-risk deposit products. However, this period could transition to the bright side of 2026. The Central Bank of the Republic of Turkey (CBRT) has reduced the policy interest rate to 38% by the end of the year, and expectations for continued rate cuts have begun to dominate the markets.

Foreign Investors and the Bond Market

As foreign investors start to return to Turkey, they generally take their first steps towards bonds. In periods of high interest rates, bonds offer investors a secure return. The potential disinflation process and the decrease in CDS indicate that Turkey is once again becoming an “investment-grade” country.

Advantages of the 60/40 Portfolio

The 60/40 portfolio for 2026 in Turkey is becoming attractive with the high interest environment and potential growth. The high initial interest offered by bonds, strong coupon yields, and potential price increases provide significant opportunities for investors. It is also likely that stocks will gain value in the upcoming period.

A Strategy for a Balanced Investment Line

While adapting the classic 60/40 approach to the Turkish markets, there are important points to consider. It's essential to maintain a balance according to the investor's risk appetite, which may sometimes involve increasing stock weight or augmenting the bond share.

Conclusion: Expectations for Turkey in 2026

The year 2026 could offer investors a chance to remind themselves of balance again with falling interest rates and declining risk premiums. The 60/40 portfolio strategy may gain significance in the Turkish markets, providing opportunities on both the stock and bond sides. For investors, this year will be one where balance and timing are among the most critical elements.