Magdalena Łapsa-Parczewska spoke in IZFiA Forum debate on Personal Investment Accounts

Magdalena Łapsa-Parczewska, Managing Director for Capital Market Supervision of the UKNF, spoke in a debate titled ‘Personal Investment Accounts (OKI) – a missing piece in capital market architecture’ during the 20th Funds Forum organised by the Polish Chamber of Fund and Asset Management (IZFiA). The conversation concerned the questions whether Personal [CH2.1]Investment Accounts (OKI) will become a tool to popularise investing and promote the capital market among Poles and what will determine the success of Personal Investment Accounts.

Magdalena Łapsa-Parczewska has expressed her belief that OKI accounts are a pivotal opportunity to develop the capital market and accumulate long-term savings. The success of the new investment product will depend on the combination of appropriate regulations, effective cooperation among financial market institutions, and transparent communication with clients. The priority of the ‘Personal Investment Accounts’ project is not only to encourage Poles to invest but also to ensure that they are fully aware of benefits and risks of their own decisions.

She has drawn the audience’s attention in particular to the risk of clients misunderstanding how the product functions. She has indicated that improper presentation of its mechanisms, in particular in terms of tax consequences and restrictions related to certain assets, could lead to loss of confidence and negative reactions among investors in the future. 

It is, therefore, vital for those who offer the product to provide reliable information about its design and potential financial consequences. Magdalena Łapsa-Parczewska has also noted that the current media environment is much more permissive than it was when earlier saving programmes were introduced, such as PPK (employee capital plans). This creates favourable conditions for popularising the new solution.

Another important topic is the need for public administration to closely cooperate with financial market participants. The speaker has emphasised that before the planned launch of the product, there are still a number of legislative and organisational activities to be taken: appropriate rules need to be adopted, and market infrastructure needs to be prepared. In this respect, she has assigned particular role to a transparent system that must be developed for the purpose of marking eligible assets to make investors sure that the instruments purchased meet the necessary criteria. 

Magdalena Łapsa-Parczewska has pointed to the importance of maintaining positive trends in the capital market, in particular the growing number of active investors. She has expressed the hope that the implemented solutions will contribute to greater market attractiveness and stability. One of the indicators of the Personal Investment Accounts’ success is supposed to be also a limited number of complaints submitted to supervisory authorities, which would be a proof that new mechanisms function properly and investors are effectively protected.