Oikocredit updates its Participation Terms

Oikocredit is updating the terms and conditions governing the purchase, holding and selling of participations in the cooperative. The changes will come into effect on 1 June 2025. The updated terms will apply to both existing participations and any issuance requests for participations submitted in May 2025. 

Updated Participation Terms better reflect internal processes 

The Participation Terms describe, amongst other things, the issuance and redemption process for participations in Oikocredit. Investors can submit issuance requests at any time to purchase participations, and redemption requests at any time to sell them. On a monthly basis, all issuance and redemption requests are gathered in a batch, and the Managing Board decides whether to honour those requests. 

The Participation Terms state that the Managing Board of Oikocredit will exercise its discretion in determining whether and how to honour issuance and redemption requests. The Managing Board shall, in any event, always take into account the liquidity and solvency of Oikocredit. In addition, it may also consider other factors that it may deem relevant. The decision by the Managing Board is referred to as Monthly Issuance & Redemption Decision. 

To better reflect an updated internal process, the amended Participation Terms specify that the Managing Board will take these decisions directly, rather than holding a meeting. They also state that the Managing Board may delegate this decision, for example to a relevant committee. 

Notice period adjustment 

The notice period for changes to the Participation Terms has been adjusted. The new requirement is that amendments will be announced at least 28 days before their effective date, as opposed to the previous requirement of the first business day after one month after publication. This change makes it easier to let amendments take effect on the first day of a month, while still allowing investors enough time to consider actions in response to amended Participation Terms.  

If you have any questions about these changes, you’re welcome to contact your local investment support officer. 

For more information about investing in Oikocredit, please refer to the relevant country Invest page. You can access the updated Participation Terms here.