BKB Nachhaltig Wachstum (CHF) V

A 1.22% TER on a sustainability fund. BKB's growth option charges a premium for going green.

BKB Nachhaltig Wachstum ranks #36 among 67 3a investment funds in Switzerland. It's the growth-oriented option in Basler Kantonalbank's sustainability range, blending 77% stocks with 20% bonds. Decent performance over five years, but the fees are among the highest in its category.

Are the Fees Worth It?

The 1.22% TER is steep. On a CHF 50,000 portfolio, you're paying CHF 610 per year in fund management fees alone, before any flat fee from your 3a provider. Compare that to a passive fund charging 0.10-0.20%, and the difference adds up to thousands over a 30-year investment horizon.

The five-year return of +22.61% is respectable but not exceptional for a 77% equity fund. After adjusting for the higher fees, the net gain trails many cheaper alternatives with similar allocations. The active ESG screening adds cost, but the question is whether that cost translates into meaningfully different returns or just a feel-good label.

What Actually Stands Out

Swing pricing protects existing investors when large inflows or outflows hit the fund. This mechanism adjusts the fund price so that trading costs are borne by the investors causing them, not by you. In a volatile market, that's a subtle but real advantage worth 0.1-0.2% annually.

The CHF 106 million fund size is adequate for a cantonal bank product. BKB applies its own sustainability criteria, excluding controversial weapons, coal, and companies with poor governance. The cantonal bank backing provides an implicit state guarantee that adds a layer of institutional security.

What Most Reviews Miss

BKB Nachhaltig Wachstum and Bank Cler Nachhaltig Wachstum are essentially the same fund with the same management team and nearly identical returns. Bank Cler is BKB's subsidiary. The TER differs by just 0.01%. If you're comparing these two, you're splitting hairs on products that perform within 0.1% of each other.

The three-year return of +23.32% sounds decent until you realize a passive global 75/25 fund would have returned significantly more at half the cost. Active management in this fund hasn't demonstrably outperformed its benchmark. You're paying for the ESG label and cantonal bank comfort, not for alpha generation.

The Bottom Line

If you bank with BKB and want a sustainability-focused growth fund, this gets the job done. But the 1.22% TER makes it hard to recommend over cheaper alternatives with similar allocations. Check our guide to the best 3a investment funds in Switzerland for options that deliver comparable returns at lower cost.

Verdict: A solid cantonal bank ESG option, but you're paying a meaningful premium for the sustainability label and active management.