From Liability to Investment: Boğaziçi Ventures Venture Capital Investment Fund (GSYF) Approach
R&D and design centers are among the key structures that strengthen Turkey’s innovation capacity. Operating under Law No. 5746 on R&D Activities, these centers are responsible for fulfilling specific R&D incentive obligations at the end of each fiscal year.
Introduction
R&D and design centers are among the key structures that strengthen Turkey’s innovation capacity. Operating under Law No. 5746 on R&D Activities, these centers are responsible for fulfilling specific R&D incentive obligations at the end of each fiscal year.
These obligations are not merely a legal requirement; when properly managed, they represent a strategic opportunitythat allows companies to invest in their own future.
With the rapid growth of technology entrepreneurship in recent years, companies have begun to view these obligations not only as grants or supports but also as investment instruments. At this point, venture capital investment funds (GSYF) have emerged as one of the most effective solutions, both in terms of financial return potential and the sustainability of R&D investments.
This article comprehensively examines the GSYF options managed by Boğaziçi Ventures and BV Portföy for institutions aiming to optimize their year-end R&D incentive obligations, detailing the structure, advantages, and strategic contributions of these funds.
Key Differences Between GSYF and Incubation Investment
When fulfilling R&D incentive obligations, companies can choose between two main approaches:
Making a direct incubation or venture investment, or
Investing through a GSYF (Venture Capital Investment Fund) within the framework of professional portfolio management.
Incubation investments are typically direct investments in early-stage startups. While they may offer high potential returns, they also carry risks such as management burden, operational complexity, and liquidity challenges. Managing such investments in-house can lead to resource dispersion and make performance tracking difficult.
In contrast, GSYFs are regulated structures managed by professional portfolio managers and supervised by the Capital Markets Board of Turkey (SPK). They provide a systematic, transparent, and safer framework for corporate investors.
Advantages of GSYFs:
Risk diversification: Investments are spread across a portfolio, minimizing single-startup risk.
Professional oversight: Managed by SPK-licensed managers and audited by independent institutions.
Tax exemption: Income from GSYFs is tax-exempt.
Planned exit: Fund duration and liquidity strategy are predetermined.
For these reasons, fulfilling R&D obligations through a GSYF offers not only legal compliance but also financial efficiency and strategic sustainability.
The Role of Boğaziçi Ventures and BV Portföy
Boğaziçi Ventures is one of Turkey’s leading technology investment platforms, founded by an entrepreneurial team with deep industry experience. The firm manages multiple venture capital funds that provide capital, strategic guidance, and global network access to technology-oriented startups.
BV Portföy, licensed by the Capital Markets Board (SPK), translates Boğaziçi Ventures’ investment vision into institutional GSYF structures. By combining professional portfolio management with entrepreneurial expertise, BV Portföy creates a secure, transparent, and high-potential investment environment.
The distinguishing factor of this integrated BV structure is not only capital provision but also the ability to offer strategic mentorship, financial advisory, and access to a global business network. This makes BV Portföy’s funds stand out from traditional investment vehicles and create measurable, sustainable impact for companies fulfilling R&D obligations.
To date, BV Portföy has managed hundreds of millions of TL in investments, evaluated over 10,000 startups, and contributed to numerous success stories in Turkey’s technology ecosystem.
BV Portföy’s GSYF Options Aligned with R&D Obligations
BV Portföy offers flexible and professional fund structures that meet the needs of various institutional scales and investor profiles. Each fund is designed to support both financial goals and efficient fulfillment of R&D incentive obligations.
BV Portföy Sinerji GSYF (BSG)
Sinerji GSYF is a practical investment alternative for companies seeking to fulfill R&D incentive obligations, with no minimum investment threshold and entry through commitment. As a sector-agnostic fund, it is open to all investor types.
Focused on secondary investments, the fund co-invests in rounds led by reputable investors.
Investment Strategy:
Secondary Investment: Acquiring shares from founders or investors of successful, high-potential tech startups at discounted valuations.
Co-Investment: Partnering with leading investors in various sectors to expand investment reach and enhance exit opportunities.
Dividend Payments: Allocating part of commitments to high-yield liquid assets to provide annual dividends, ensuring both regular cash flow and long-term appreciation.
Launched: September 18, 2023
Duration: 10 years
Target return: 25% annual USD-based
Fund size: USD 20 million
Investments have been made in sectors such as gaming, fintech, digital health, space, robotics, and sports technologies. In 2025, the fund will focus on sustainability-oriented fields such as energy, mobility, recycling, and battery technologies.
Investors include multinational R&D centers, local technology and automotive firms, technopark companies, and individual investors.
BV Portföy Joygame Pre-IPO GSYF (JOY)
Launched on March 1, 2024, this fund focuses on the gaming industry — Boğaziçi Ventures’ core area of expertise — and aims to take Joygame, Turkey’s first domestic game publisher, public.
With over 15 years of experience and a team of 180, Joygame operates globally as both a game developer and publisher. It manages 14 studios, 50+ games, and serves 4 million monthly active users across 200+ countries and 30 languages, achieving 40% annual USD-based growth.
The fund aims to support Joygame’s IPO within 5 years, targeting a 5x USD-based return post-listing, with global peers trading at 14–15x EBITDA multiples.
Target size: USD 7 million
Use of funds: Financing new game development and post-IPO growth
Investor base: Includes individuals, institutions, and domestic and international game companies.
BV Portföy LT Pre-IPO GSYF (BVS)
This single-asset fund prepares Liquidity Trading, a high-frequency and algorithmic trading firm, for IPO.
Founded by a team with 15+ years of experience, Liquidity Trading provides HFT infrastructure and automated trading algorithms for major Turkish asset managers. Its systems enable fully automated, low-cost, low-risk equity transactions.
Total AUM supported by LT systems: ~₺3 billion
Top 3 performing TEFAS arbitrage funds are powered by LT technology.
IPO target: 2027
Fund size: USD 8 million
Approximately 50% of the fund’s assets are invested in Liquidity Trading’s absolute return funds, significantly reducing principal risk.
The company aims to expand globally by forming prime brokerage agreements with major financial institutions and trading on Nasdaq, Eurex, Tadawul, and ADX. Its R&D efforts play a crucial role in positioning it as a strong global HFT player.
Expected return: 5x investment multiple, 10–13x EBITDA, over 5 years (USD-based).
BV Growth II GSYF / Artificial Intelligence Fund
In the next five years, as AI approaches human-level capability, Boğaziçi Ventures and BV Portföy are leveraging their BV Growth Fund experience to launch BV Growth II, with the goal of producing at least two unicorns.
Following major AI Summit events with over 3,000 participants and the launch of the BVV Technology Fund (listed on TEFAS), Boğaziçi Ventures continues to reinforce its leadership in AI investment.
Fund Highlights:
Focus: Early-stage AI-driven startups with transformative potential
Investment stage: Pre-seed to Series A
Portfolio: ~18 startups across fintech, retail tech, industrial tech, agri-tech, gaming, and health
Geography: 70% Turkey, 30% international (esp. South Korea)
Target fund size: USD 50 million
Duration: 12 years (6-year commitment period)
Expected return: 35–55% annual USD-based
Investors can currently participate via Letter of Intent (LOI), with the first close targeted for end of 2025.
Key Considerations in Fund Selection for R&D Obligations
Meeting R&D obligations through GSYFs not only ensures compliance but also strengthens a company’s financial sustainability and innovation capacity. Selecting the right fund is therefore critical for both financial efficiency and strategic impact.
Key criteria:
Investment strategy: Short-term gain vs. long-term value creation
Duration and liquidity: Must align with the company’s cash flow
Manager track record: Past performance and experience of the fund team
Tax advantages: Tax exemption enhances investment efficiency
Transparency: Regular SPK-regulated reporting ensures accountability
A well-chosen GSYF thus becomes more than a compliance tool — it is a strategic investment in corporate growth and innovation.
Conclusion and Recommendation
R&D incentive obligations, when managed strategically, are not merely financial responsibilities — they are opportunities to enhance innovation and achieve sustainable growth. They allow institutions to invest in the future and contribute to the broader technology ecosystem.
With its professional management, deep sector expertise, and extensive investment network, Boğaziçi Ventures and BV Portföy transform these obligations into measurable, auditable, and high-return investment opportunities.
As the fiscal year-end approaches, R&D centers and corporate investors should not simply aim to fulfill their obligations — but to turn this process into a long-term value creation mechanism.
BV Portföy’s GSYF options provide a reliable, flexible, and strategic foundation for this transformation.
For over a decade, Boğaziçi Ventures has worked tirelessly to support entrepreneurs, leveraging deep industry knowledge and a strong network to drive sustainable, smart technology solutions across multiple verticals.
Entrepreneurs are invited to apply for investment discussions via [email protected] — join our global network and grow your technology venture!
To manage your investments securely, diversify your portfolio, and minimize risks, rely on BV Portföy’s expertise.
Contact us for investment opportunities:
[email protected] | www.bvportfoy.com