Investing in the financial markets

Yes, you must pay income tax on capital gains and on capital (dividend) income.

Financial instrument purchase and sale transactions are subject to brokerage commissions which are calculated based on the type of financial instrument and the size of the transaction, but please bear in mind that there is a minimum commission fee per transaction, and in some markets there may be an additional fee for transactions. 
You can see brokerage commissions on our Price List under Brokerage Services. 

Meanwhile, the following commission fees apply for financial instrument account servicing: 

• a monthly fee for holding financial instruments, taken in the customer’s chosen base portfolio currency;
• a commission fee for the customer’s chosen transaction (receiving, transferring or deregistering securities), which is taken in the transaction currency; 
• a fee for processing orders for corporate events or tax certification documents for certain financial instrument types. 

You can see the full list of service prices on the Price List under Financial Instrument Account Servicing. 

Commission fees are taken automatically from the money in the customer’s financial instrument account. Customers must ensure that they have a sufficient balance, otherwise there may be a commission fee for a negative balance.

You can submit an order at any branch of the bank, or remotely by phone or through the online bank.

The bank does not give recommendations on the most suitable investment types, and does not recommend specific financial instruments, as only the customer can adequately evaluate and make decisions on their investments, needs and the suitability of specific financial instruments for their aims and requirements. 

However, we recommend that potential investors use Finoterapija, an online consultation prepared by Citadele subsidiary CBL Asset Management, which was created to help customers understand how to better manage their finances.

Existing bank customers can open a financial instrument account. They must have a current account or card account open. We recommend also activating the online bank. 

To open a financial instrument account, you must read the relevant documents, terms and conditions and sign an application to open a financial instrument account and transaction agreement. 

The easiest way to do this is for free through the Citadele online bank under Investments (New Order > Application to open a financial instrument account and transaction agreement). 

If necessary, you can also sign an agreement at any Citadele branch.

A company may issue convertible bonds, which the bond holder has the right to exchange for shares of this company within a certain time period.