Dear Investors,
We are pleased to present a market overview and the performance results of OTP Capital’s mutual investment funds for December 2025.
GENERAL ECONOMIC SITUATION IN UKRAINE
In December 2025, Ukraine’s financial environment remained stable and predictable. At its final Monetary Policy Committee meeting of the year, the National Bank of Ukraine kept the key policy rate unchanged at 15.5%, reaffirming the consistency of its monetary policy.
Inflation dynamics turned out to be better than expected by the regulator. In November, inflation slowed to 9.3% year-on-year and 0.4% month-on-month, largely due to a decline in prices for unprocessed food products.
A key event of the month was the agreement reached with the European Union on providing Ukraine with long-term financial support in the form of a so-called “reparations loan” totaling EUR 90 billion for the next two years. This decision significantly strengthened the country’s financial resilience and boosted investor confidence in Ukrainian debt instruments.
In the foreign exchange market, the NBU substantially increased its interventions, which reached USD 4.46 billion in December. As a result, the official exchange rate of the hryvnia remained stable at UAH 42.27 per USD.
HRYVNIA AND FOREIGN CURRENCY INSTRUMENTS
Yields on hryvnia-denominated domestic government bonds (OVDPs) at primary auctions remained unchanged in December:
- 16.35% — 1.5 years
- 17.1% — 2 years
- 17.5% — 2.5 years
- 17.8% — 3 years
Interest rates on term deposits stayed within the range of 10.5–14.5% in hryvnia and up to 2% in US dollars.
Yields on foreign-currency OVDPs declined to 3.9–4.1% in the primary market amid strong demand and limited supply. In the secondary market, yields did not exceed 3.5% in US dollars and 2.3% in euros.
Positive news regarding external financing supported a rise in Ukrainian Eurobond prices, which increased by 4.5–6% in December, reaching record levels.
PERFORMANCE OF FUNDS MANAGED BY OTP CAPITAL
OTP Classic Fund
In December, the portfolio of the OTP Classic Fund was expanded through the purchase of UAH 518 thousand worth of OVDPs. In the deposit segment, funds were placed as follows: UAH 3.5 million with Tascombank, UAH 3.7 million with Sense Bank, and UAH 7 million with Oschadbank.
Fund performance:
1.2% for the month and 13.7% over the last 365 days.
OTP Kids Fund
In December, OVDPs worth UAH 38 million were sold from the OTP Kids Fund portfolio, while UAH 68.3 million was invested in new government bonds. The rebalancing focused on increasing the yield of OVDPs held in the fund’s portfolio.
Fund performance:
2.0% for the month and 16.8% over the last 365 days.
OTP Equity Fund
In December, the management of the OTP Equity Fund focused on reallocating assets into short-term deposits at the highest available rates. Deposits totaling UAH 1 million were rolled over with Ukreximbank and UAH 1 million with Ukrgasbank.
Fund performance:
1.0% for the month and 12.8% over the last 365 days.
OTP Valutnyi
In December, the OTP Valutnyi portfolio was increased through the purchase of foreign-currency-denominated OVDPs totaling USD 136 thousand.
Fund performance:
2.0% in US dollars for the month and 5.5% over the last 365 days.
OTP Maximum Fund
In November, the management of the OTP Maximum Fund focused on selling OVDPs worth UAH 0.9 million and purchasing UAH 5.3 million worth of medium-term, high-yield government bonds. Active portfolio rebalancing was postponed from the fourth quarter of 2025 to early 2026, which is expected to generate additional returns for the fund.
Fund performance:
1.5% for the month and 18.6% over the last 365 days.
