Khashoggi, a Saudi national and U.S. resident who became increasingly critical of powerful Crown Prince Mohammed bin Salman, has not been seen since he walked into the kingdom's Istanbul consulate to sort out marriage paperwork on Oct 2.
CNN's report said the nation had not given its clearance for the attack on Khashoggi, and said "Those involved will be held responsible". Saudi officials have called the allegations "baseless", but reports in U.S. media on Tuesday suggested the kingdom may acknowledge the writer was killed there.
Turkish crime scene investigators had searched the Saudi Consulate in Istanbul over the disappearance and alleged slaying of Saudi writer Jamal Khashoggi. A day earlier he called on Khalid bin Salman bin Abdulaziz Al Saud, Saudi Ambassador to the United States.
The statement was issued as worldwide concern grew over the writer who vanished on a visit to the Saudi Consulate in Istanbul over a week ago.
According to a Turkish presidential source, who asked not to be named, Erdogan and the king discussed "the issue of shedding light on the case of Jamal Khashoggi" and also emphasised the "importance of creating a joint working group within the framework of the investigation".
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The bank has been one of the leading managers of Saudi Arabia's large bond sales in recent years, including a sale this year that raised $11 billion for the kingdom.
The Turkish government believes Khashoggi was killed and dismembered inside the consulate, and his body removed in suitcases or boxes.
The Washington Post reported evidence has been shared with USA authorities.
"This is happening at a time when Saudi Arabia is preparing for a big investment event and they don't need people suspending or pulling out investments", said Nadi Barghouti, head of asset management at Emirates Investment Bank in Dubai.
Nobel Peace Prize victor Tawakkol Karman of Yemen talks during a protest outside the Saudi Consulate in Istanbul, Turkey Oct 8, 2018. A police dog was part of the search team.
Scores of the kingdom's businessmen, princes and officials were rounded up in the Ritz-Carlton hotel just days after last year's conference in what the government described as a crackdown on corruption.
The club already have a connection with the oil-rich Gulf state after announcing a strategic partnership with Saudi Arabia's General Sports Authority previous year.
Saudi Arabia's Arab allies have rushed to its support.
Turkey's investigation into the disappearance of Khashoggi has reportedly revealed recordings made on his Apple Watch, which synced with his iPhone being carried outside the consulate by Khashoggi's fiancée.