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| There was an article about pension funds in yesterday Sonntag Zeitung. It suggests that Pillar 3 is crap unless we are within 10 years of retirement. We should invest in the markets instead.
After reading it, I also felt that the super conservative pension regulations in Switzerland exists just so that banks and other providers of investment funds as alternative to the 3a can thrive. | |
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What exactly have they compared against?
Of course if they chose the idiotic active funds by banks (at 2.5% and underperforming the market) that it's a robbery.
With these new solutions you can get much closer to a good diversification (especially paired with your investments outside of the 3rd pillar), and then add the tax-free (or deferred to be precise) dividends, tax refund per year, and remove the still-slightly-too-high maintenance fees.
And you are not too far off from investing outside.
I wouldn't call it crap, it's a close call at worst, but depending on your current income tax rate I'd say.