Please submit your application form through the Digital Supervision Portal (Digitaal Loket Toezicht)
Our supervision is intended to ensure strong and sound financial institutions that meet their obligations. Assessments can make a significant contribution to this objective. Management and supervisory board members are essential to an institution’s strategy and corporate culture, and hence also to its soundness and future viability.
Individuals to be assessed
The following individuals will be assessed on fitness and/or propriety.
- Anyone involved in daily policymaking or co-policy making, including at least an institution’s management board members.
- Day-to-day policymakers of a holder of a qualifying holding
- Members of an institution's supervisory body, such as a supervisory board or committee.
- Individuals applying for a declaration of no-objection (DNO) for holding or acquiring a qualifying holding.
- Individuals holding a qualifying holding for which no DNO is required, as is the case with individuals at trust offices
- Members of an investment committee (pension funds)
- Members of a stakeholders’ body (pension funds)
- Legal representatives (insurance companies)
- Second-tier management (banks and insurers)
Responsible supervisory body in the Netherlands
The assessments are performed by DNB or the AFM depending on the type of institution.
- Candidates are assessed by DNB if their proposed position is with one of the following institutions: banks, insurers, financial holding companies, insurance holding companies, mixed financial holding companies, central counterparties, premium pension institutions, payment institutions, clearing institutions, settlement firms, electronic money institutions, special purpose reinsurance vehicles, credit unions, dispensation holders under Section 3:5 of the Financial Supervision Act (Wet op het financieel toezicht – Wft), foreign exchange institutions, pension funds, occupational pension funds, general pension funds and trust offices.
- Candidates are assessed by the AFM if their proposed position is with one of the following institutions: investment firms, investment fund managers, investment companies, undertakings for collective investment in transferable securities (UCITS), custodians, UCITS custodians, UCITS managers, financial service providers, pension custodians, market operators, central securities depositories, third-country accounting and audit firms.
DNB and the AFM work closely together on the assessments, but form their opinions independently. If either authority arrives at a negative opinion, both institution and candidate will receive a provisional negative decision. Both the institution and the candidate may present their views in response to a provisional decision.
Time of assessment
Initial fitness or propriety assessments take place upon the proposed appointment of a management or supervisory board members at a supervised institution. In case of an initial assessment, candidates are allowed to occupy their new positions only after receiving a positive decision on their fitness and/or propriety from the supervisory authority.
A fitness assessment is linked to a particular position. This means that a fitness assessment is required for all proposed appointments. This also applies if an incumbent management or supervisory board member who has been assessed previously changes their position or remit within the same institution.
As a rule, Propriety assessments are one-time procedures. This means that there are no reassessments of propriety, unless facts or circumstances come to light that may reasonably be relevant to the assessment of the person's propriety.
Assessment of an individual's reputation is linked to a qualifying holding in a financial enterprise. This means that a reputation assessment takes place when a holding is acquired or enlarged.
In exceptional circumstances DNB may decide to initiate an assessment of an incumbent management or supervisory board member. This may be an assessment of fitness or propriety, or both. Such a reassessment will only take place if facts or circumstances arise that provide reasonable grounds for revisiting a previous assessment.
DNB will charge a fee from the moment that an assessment application is submitted. This fee is also charged if an assessment is withdrawn or if the application proves incomplete and is not completed before the deadline. The Financial Supervision Funding Act (Wet bekostiging financieel toezicht) sets the fee for taking into consideration an application for an initial fitness assessment at EUR 2,000. The fee for an initial propriety assessment is EUR 1,100.
Most individuals joining a financial institution and whose fitness is assessed will also be required to take the oath or affirmation. New employees of financial institutions must take the oath or affirmation for the financial sector within three months following their appointment. As this is based on the Financial Supervision Act (Wet op het financieel toezicht – Wft), the oath or affirmation does not apply to management and supervisory board members of pension funds and trust offices.