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| Hello Richard
Thank you very much for your useful post. I was recently advised to join a 3rd Pillar Pension Fund using a bank as opposed to an insurance company. Reasons being more transparent and flexibility.
I enquired at your favourite bank (Raiffeisen) and it seemed OK. I emptied my pensionkasse on buying a house and this leaves me obviously in the situation where i can take full advantage of a 3rd Pillar Pension Fund.
What do you class as being the major pros and cons between banks and insurance companies?
Could you send me some info on the Winterthur option.
Many thanks in advance!
Ian | |
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The law restricting investment risk applies to all policies and this restricts investment in equities to 50% of the fund value.
Banks provide you almost always with straight investment and maybe a little insurance cover. Insurance companies provide you investment with insurance. The insurance might be a small life policy part or it might be some kind of investment loss cover, but there will always be an insurance element. End effect is that not 100% of the premiums are paid into an insurance policy whereas with a bank they are. Hence often the returns from a bank are potentially higher but provide little cover within the policy.
For the winterthur option I only have it physically and in German... They normally (typical insurance company) want to talk to you about it... On their website you can find information but it always says for further information contact an advisor...