There is an optimal investment strategy for your capital. Optimal means an investment that precisely meets your personal needs for returns, security and availability. One that adapts as your needs change.
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20.4% of Swiss own shares
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Just under 6% of Swiss own assets of at least CHF 1 million
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One out of four Swiss is optimistic about his or her financial future
Increase your capital with the right investment solution
Investment funds combine the assets of many investors and invest them broadly in various securities in a diversified manner. Investment funds allow customers with fewer assets to invest in a targeted and effective manner. There is a very diverse offering of funds: bonds, stocks, commodities, precious metals, real estate and individual sectors and countries. Strategy or portfolio funds invest in a certain investment strategy. For example, there are conservative, balanced and very speculative funds. You can learn about the quality of the funds by comparing returns and looking at ratings.
These three questions are crucial for determining the right investment strategy for you:
- How long can you invest your assets?
- What risks can and do you want to incur with your assets?
- How important are returns?
The answers to these questions result in the investment triangle with the following competing investment goals: returns, security and liquidity.
The longer your investment horizon and the higher your risk capacity and your risk appetite, the more a medium to high level of risk may be right for you. This will provide you with higher potential returns, but it also means you have to accept a higher risk of loss.
Our investment experts will be glad to help you determine the right investment strategy for you.
Risk appetite
Risk appetite is the subjective, personal willingness of an investor to incur risks or accept losses.
Risk capacity
Risk capacity is the objective ability of an investor to cope with fluctuations and losses on investments without experiencing financial difficulties. The less an investor needs the invested capital to meet his or her obligations, the greater his or her risk capacity.
Investment and risk profile |
Risk tolerance |
Investment objectives |
Equity exposure |
Investment horizon |
Liquidity |
Minimal risk |
Preserve capital, regular income, no equity component |
0% |
Less than three years |
Income |
Little risk |
Preserve capital, regular income, moderate increase in value through a low equity component |
Approx. 25% |
Three to four years |
Balanced |
Medium risk |
Preserve capital, regular income, moderate increase in value through a moderate equity component |
Approx. 50% |
Five to seven years |
Growth |
Above-average risk |
Long-term capital increase with above-average equity component and greater possible increase in value |
Approx. 75% |
Eight to 12 years |
Equity |
High risk |
Long-term capital increase with a very high equity component |
100% |
Over 12 years |
Should you expect 4%, 8% or 10% annual performance with equity investments? Unfortunately, there is no reliable answer to this question. However, it has been shown in the past that equities achieve returns that are clearly superior to bonds over the long term. Looking at the period from 1926 to 2008, equities had an average performance of 7.6% per year. Investments in equities are usually subject to high fluctuations. Over a longer investment horizon involving regular investments, this can result in positive effects, but only if you, as an investor, are able to cope with these fluctuations. If this is not the case, it would be better for you to invest your money in bonds and bond funds.
There are insurance solutions that permit you to combine investment funds with supplementary insurance cover. This allows you to protect yourself and your family – for example, if you become disabled as a result of an accident or illness. You can also make financial provision in the event of your death. The combination of saving and risk protection in a single product is only possible with life insurance.
You can learn more here
Summary
The longer your investment horizon, higher your risk capacity and higher your risk tolerance, the more your investment strategy may tend to involve medium to high risk. This means higher return opportunities and a higher risk of loss.
Get more returns now
Make more out of your money – with the Swiss Life investments that are right for you. You can choose from traditional and unit-linked insurance solutions as well as pure fund investment solutions tailored to your personal wishes and goals.
Make an appointment for a consultation
Our experts will work with you to find the optimal solution for your investments – with an individual combination of security and returns tailored to you. Arrange an appointment today and receive a personal consultation!
