MiFID

Suitability and Adequacy Test in OTP Bank

• In providing selected investment products and services, OTP Banka shall obtain required information relating to knowledge and experience of the client or prospective client in the area of investments, having respect to a specific type of investment product and service of OTP Bank. At the same time, OTP Bank shall assess the financial situation and investment objectives of the client and, on the basis of this information, recommend the client or prospective client an investment product or service that are the most suitable for the client with regard to the level of client´s knowledge and experience.
• When OTP Banka provide an investment service to a professional client, it is entitled to assume that in relation to products, deals and services for which the client is deemed to be a profession client, the client has the required expertise and knowledge. Therefore, OTP Banka is entitled to assume that the client is able to financially handle related investment risks that incur in connection with client´s investment objectives.
• The Suitability and Adequacy Test shall be performed prior to providing the selected service only in the case of a retail (not a professional) client. The Suitability and Adequacy Test shall be repeated two years after the last test at the latest. “Form of Suitability and Adequacy Test“ (101 kB)
• The Test contains questions from the following areas:
  • Expertise/Experience in the financing services,
  • Assets/Dynamics of income,
  • Willingness to risk,
  • Transactions habits.
• When OTP Banka does not obtain the required information under point (1) in providing the selected investment product and service, as a securities dealer it may not recommend a retail client or a prospective client any investment products and services of OTP Bank.
• When a client or a prospective client decides not to provide information under point (5) of this Article, or it does not provide enough information relating to its knowledge and experience, OTP Banka shall warn the client or the prospective client that such a decision will not enable to determine whether the relevant investment product or service is suitable for the client or the prospective client. This warning may be provided in a standardized form (Warning – rejection of the Suitability and Adequacy Test (100 kB))
• OTP Banka may not influence the client or the prospective client in respect of rejecting to provide the required information.
• Calculation of the investment profile will be made automatically at the OTP Banka branch after filling out the relevant form.
• The result of the Suitability and Adequacy Test is the investment profile of the client.
  
  The following are the investment profiles of clients:
  • Stabile
  • Conservative
  • Balanced
  • Dynamic
• Based on the investment profile, OTP Banka may offer the client relevant products and services as they are listed in the list of recommended products for particular clients depending on their investment profiles. List of recommended products for particular clients
• When a client requires from OTP Banka a product that does not match its investment profile (see the above list of recommended products), the client shall sign a declaration in a standardized form. Request for providing an investment service (99 kB)