Regulation on Marketing, the Information Prospectus and Other Information for Members of Mandatory Pension Funds – Unofficial Consolidated Text (Official Gazette No. 2/20, 80/20 and 52/24)

Croatian Financial Services Supervision Agency (HANFA), 10000 Zagreb, Franje Račkoga 6, P.O. Box 164, Croatia t: 01 6173 200, f: 01 4811 507, e: info@hanfa.hr, OIB: 49376181407, MB: 02016419, w: www.hanfa.hr REGULATION ON MARKETING, THE INFORMATION PROSPECTUS AND OTHER INFORMATION FOR MEMBERS OF MANDATORY PENSION FUNDS (Official Gazette No. 2/20, 80/20 and 52/24 – Unofficial Consolidated Text)

INTRODUCTORY PROVISIONS
Article 1.
This Regulation prescribes:
− marketing content of pension funds,
− content and methods of presentation and calculation of business results of pension funds, − additional data and information that the website of a pension company must contain, which are important for members, the market and the public, − additional information, content and structure of the information prospectus of a mandatory pension fund, − additional conditions for publishing the information prospectus of a mandatory pension fund.

Article 2. (OG 52/24)
Certain terms in this Regulation have the following meanings:

1. Hanfa is the Croatian Financial Services Supervision Agency.
2. Act means the Mandatory Pension Funds Act (Official Gazette Nos. 19/2014, 93/2015, 64/2018, 115/2018, 58/2020 and 156/2023).
3. Pension company means a pension company managing mandatory pension funds.
4. Pension fund means a mandatory pension fund.

MARKETING CONTENT
Article 3.
Marketing content of a pension company and pension funds includes all information communicated by the entities under Article 118 of the Act via marketing means under Article 116 of the Act, from which the intention to market is unequivocally derived. Information in marketing content includes but is not limited to highlighting names, returns, fund selection methods, mentioning financial groups or other related persons with entities under Article 118 of the Act, regardless of the path and medium through which marketing materials are sent to the public.

Article 4.
In addition to provisions under Article 114 of the Act, marketing content must not contain written, oral or pictorial statements and messages:

1. which state inaccurate data or use expressions that may create a wrong impression about the pension company and pension fund,
2. which place other pension companies and pension funds in a less favorable position,
3. which negatively, falsely and incorrectly portray other participants on the financial market,
4. which in any way mislead members or potential members of pension funds.

PRESENTATION OF BUSINESS RESULTS OF PENSION FUNDS
Article 5.
(1) Business results of a pension fund include information on the value of assets under management, returns, unit calculation value, portfolio structure, costs of the pension fund, i.e., all information aimed at presenting the business operations of the pension fund. (2) When a pension company presents business results for marketing purposes, it must not provide estimates of any kind nor present them in a way that implies forecasting possible future business results, within the meaning of Article 115(1) points 2 and 6 of the Act.

Article 6.
The calculation of the unit calculation value of a pension fund used as marketing content must be the result of asset valuation in accordance with International Financial Reporting Standards (IFRS), the Act, regulations adopted under the Act and accounting policies of the relevant pension fund, confirmed by the depositary of the pension fund.

Article 7.
(1) Information on returns of a pension fund must be presented:
1. for the current year,
2. for the period of the previous 12 months from the date on which returns are published,
3. as average annual return since the establishment of the pension fund,
4. for the entire period prescribed by Article 115(1) point 3 of the Act, as annual return for each calendar year separately,
5. with a description and methodology of how returns are calculated,
6. with a note that business results achieved in previous periods do not indicate and have no impact on future business results of the pension fund.
(2) The pension company must present all return information from paragraph 1 of this article in one place without separating them. (3) When presenting return information from paragraph 1, the pension company must adhere to the following:
1. returns for periods shorter than one year must not be presented on an annualized basis,
2. if returns for multi-year periods are presented, average annual return calculated as a geometric mean must be shown,
3. returns of the pension fund must always contain the exact time period to which they relate (start and end dates),
4. alongside pension fund returns, marketing information must include basic risk data of the pension fund,
5. fees and costs of the pension fund considered in calculating returns must be listed.

ADDITIONAL DATA AND INFORMATION TO BE CONTAINED ON THE WEBSITE OF A PENSION COMPANY
Article 8. (OG 52/24)
(1) The website of a pension company, in addition to data and information under Article 123(1) of the Act, must contain the following:

1. significant changes in the ownership structure of the pension company,
2. changes in management and supervisory board of the pension company,
3. data on employee membership in supervisory boards of commercial companies with special indication whether pension funds under management hold transferable securities of those companies, no later than 10 days after the event occurs,
4. notice of participation and voting methods at general meetings of commercial companies whose transferable securities are held in portfolios by pension funds managed by them, at least 15 days before their holding,
5. where applicable, publicly published decisions by Hanfa on:
   − revocation or annulment of operating permits, − expiration of validity of operating permits, − issuance of public warnings to pension companies (publication of the operative part of the decision), − revocation or annulment of operating permits for management board members (publication of the operative part), − expiration of validity of operating permits for management board members (publication of the operative part), − revocation or annulment of operating permits for supervisory board members (publication of the operative part), − expiration of validity of operating permits for supervisory board members (publication of the operative part),
6. where applicable, notice on the initiation of pre-bankruptcy agreement, bankruptcy or liquidation proceedings of the pension company,
7. immediately after conclusion, data on all purchase and sale transactions of transferable securities and money market instruments on the OTC market executed by the pension company for the account