OVDP are Ukrainian domestic government bonds: the state borrows your money and pays it back with interest. At the Ministry of Finance auction on 29.09.2026 one-year bonds sold at 15.16 %, and that income is tax-free. Sounds simple, but the first purchase always runs into two questions: where do you actually buy them, and how much do the fees take. Let's cover both.
How it works
One bond has a face value - usually 1 000 ₴. You buy it today, receive a coupon (interest) on a schedule, and on the maturity date the state repays the face value. The maturity date and the coupon size are known in advance - no surprises, the whole math can be worked out to the kopeck before you buy.
The main bonus: individuals pay no personal income tax and no military levy on OVDP income. A deposit gives up 23 % of every hryvnia it accrues, bonds give up nothing. That is why 15 % on OVDP and 15 % on a deposit are two very different 15 % (see the bonds-versus-deposit comparison).
Where to buy
- Your bank's app. The easiest route for a beginner: the big banks sell OVDP right in their apps, and the securities account opens there in a few minutes.
- Diia. War bonds can be bought in the government's Diia app from a single bond, with no fees. They are ordinary OVDP; the money funds defence.
- A broker. The classic route: a separate agreement, a trading terminal, access to both the primary auctions and the secondary market. More options - more steps to start.
You can buy on the primary market (Ministry of Finance auctions every Tuesday, bids go through a bank or broker) or on the secondary market - from someone selling their bonds early. For a beginner the secondary market or a bank app is simpler: the price and the yield are visible up front.
What the fees look like
Every intermediary has its own tariffs - open their fee table before buying. Look for four lines:
- Purchase fee - one-time, a percentage of the trade.
- Securities account maintenance - a fixed monthly or yearly charge; often 0 ₴ in bank apps.
- Coupon payments and redemption - some banks take a cut of every payout.
- Selling before maturity - another trade fee if you exit early.
What a fee takes off the yield
A worked example: 100 bonds with a 1 000 ₴ face value, a 37.5 ₴ quarterly coupon (15 % a year), maturity in one year, bought at par.
| Purchase fee | Invested | Profit for the year | Yield (YTM) |
|---|---|---|---|
| 0 % | 100 000 ₴ | 15 000 ₴ | 15 % |
| 0.5 % | 100 500 ₴ | 14 500 ₴ | 14.46 % |
| 1 % | 101 000 ₴ | 14 000 ₴ | 13.93 % |
One percent of purchase fee costs a one-year bond more than a full percentage point of yield. But the same one-time fee spreads out over a longer term: the same bonds bought at 1 010 ₴ with maturity in three years yield 14.59 % - a third of the yearly loss.
Two practical rules follow: on short terms the purchase fee decides, so compare intermediaries by it; and the longer the bond, the less the one-time fee matters and the more the recurring ones (custody, payouts) do.
How to pick an issue
Look at the yield to maturity (YTM), not the coupon: it accounts for both the coupons and the gap between the purchase price and the face value. A zero-coupon bond bought at a discount can pay more than a "coupon" one. And pick a term you will definitely hold: leaving early means selling on the market at the market price.
Key takeaways
- The entry ticket is one bond, about 1 000 ₴
- OVDP income is tax-free - no personal income tax, no military levy
- A purchase fee comes straight out of the yield: 1 % on a one-year bond costs over a percentage point
- A one-time fee matters less on long terms, recurring fees matter more
- Compare bonds by YTM, not by coupon
Check your own case in the bond calculator: enter the price with the fee included - and you will see the honest yield to maturity.