Turkish Citizenship by Private Pension Fund (BES)

How the private pension route works

The private pension route uses the Turkish private pension system (Bireysel Emeklilik Sistemi, BES). It was added to the citizenship regulation by Presidential Decision No. 5554 of 13 May 2022 and has been open since 13 June 2022, which makes it the newest of the seven investment routes. You invest USD 500,000, or the equivalent in foreign currency, in pension funds approved by the Insurance and Private Pension Regulation and Supervision Agency (SEDDK), under one pension contract made specifically for citizenship, and you keep the investment for 3 years.

SEDDK issues the conformity certificate that confirms the investment meets the conditions. As on every route, the foreign currency is first sold to a bank in Turkey and on to the Central Bank (TCMB), and a Foreign Exchange Purchase Certificate (DAB) is issued before the investment.

Conditions

• Amount: USD 500,000, or the equivalent in foreign currency.
• Funds: pension funds approved by SEDDK.
• Contract: a single pension contract made for citizenship. The amount cannot be spread over several contracts.
• Holding period: 3 years.
• Certification: SEDDK, which issues the conformity certificate.

Choosing the pension company and the funds

The contract is made with a pension company operating in Turkey, and the money is invested in the funds you choose within that contract, among those approved by SEDDK. Pension funds invest in different assets, so their values move during the 3 years, up or down. That is the main difference from the bank deposit route: you are not holding a fixed balance, you are holding fund units.

We help you understand the options the pension companies offer, read the contract terms with you and explain what the 3-year condition means for switching between funds and for the end of the period. We do not recommend a particular fund and we do not manage the money: the pension company holds the contract, and the choice of funds is yours.

Timeline

No official processing time is published, and no timeframe can be guaranteed. There is no property search, valuation or title deed stage. The stages are:

• Choice of pension company and funds, currency sale, DAB and the contract: arranged once your documents are in order.
• SEDDK certificate and residence permit: a few weeks.
• Citizenship application to decision: advisers commonly report about 3 to 6 months for a complete file. The security review and the Presidential decision are usually the longest stage.

See the process, documents and timeline for each stage.

Holding period and exit

The investment must stay in the citizenship pension contract for 3 years. Leaving the contract or withdrawing the money earlier means the investment no longer meets the condition the application was based on. The terms for leaving the pension contract after the 3 years are set by the pension company and the rules of the pension system, so we read them with you before you sign, and plan the exit at the start rather than at the end.

Family members

The investor's spouse and children can apply on the same investment, so the amount does not change with the size of the family. We confirm which children can be included for your case before the file is prepared. See family members.

Costs

There is no title deed fee, VAT or valuation fee on this route. The pension company's charges are set out in the pension contract, which we review with you. Our fees are not published: contact us for fees, questions and service scope.

Risks and common mistakes

• Treating the pension investment as a fixed balance: fund values move, and the result in your own currency also depends on the exchange rate.
• Spreading the amount over several contracts: it must be one citizenship contract.
• Choosing funds that are not approved for the route.
• Transferring money before the currency sale and the DAB are arranged as the rules require.
• Not reading the contract terms on charges, switching and leaving the contract.
• Planning to use the money within the 3 years.

Why our advice on financial routes

Our advice on the financial routes is led by our founder, Burak Ünal. He holds an MSc in Finance from the London School of Economics (2019) and, before founding Gordion Partners, worked at Oliver Wyman, the management consulting firm, as a Financial Services Consultant, on projects in Turkey, Italy and Greece. That background is the basis of how we explain the fund choices, the currency, the holding period and the exit of a USD 500,000 pension investment, in plain terms and in your language.

We do not promise returns or exchange rates, and we do not hold or manage your money: the pension company holds the contract, and the investment decision is yours. For tax questions in your home country, consult a tax adviser.

Compare the other routes

• Bank deposit (USD 500,000): a deposit held in Turkish lira for 3 years.
• Investment fund shares: real estate or venture capital fund units, blocked for 3 years.
• Real estate investment (USD 400,000): the lowest amount, with a property you keep for 3 years.
• Our guide to the USD 500,000 private pension investment.

Book a consultation or message us on WhatsApp: we will go through the pension options and the contract terms with you before you decide.