finpension Switzerland 20

A Swiss tilt, 70% bonds and a negative five-year return. Here's the honest case for and against.

finpension Switzerland 20 ranks #75 among 122 3a investment funds in our comparison, and it's the Swiss-focused sibling of finpension Global 20. It holds 20% stocks, 70% bonds, 9% real estate and 1% cash, with a strong home bias. It can work for finpension clients de-risking before withdrawal, but the numbers are thin.

Are the Fees Worth It?

You pay a flat 0.39% a year, all-in, well below the 0.77% average of the other 3a investment funds in our comparison. But a flat fee hurts most at low equity. VIAC Global 20 costs 0.22% all-in: on CHF 50,000, that's CHF 110 a year versus CHF 195 here, so CHF 85 more every year for a similarly defensive mix.

After fees, Switzerland 20 is down 5.94% over five years, though up 11.60% over three years and 0.96% over the past year. The five-year window includes the bond sell-off when interest rates rose in 2022, which hit a 70% bond portfolio hard. When returns are this thin, an 85-franc fee gap per CHF 50,000 is a real slice of them.

What Actually Stands Out

The Swiss focus. About 70% of the equity part sits in Swiss stocks (Large Caps plus Small & Mid Caps), versus about 40% in the Global version. At this level that's only 14% of the whole portfolio. The bonds tilt home too: the largest bond fund holds Swiss franc bonds, and Swiss real estate is 6% of the portfolio versus 4% in Global.

Underneath sit institutional Swisscanto index funds reserved for pension money. They reclaim a large part of the foreign withholding tax on dividends, and there's no stamp duty on purchases and sales. Swisscanto by Zürcher Kantonalbank is the custodian. finpension also lets you run up to five 3a portfolios, so this can be the defensive slice while the others stay aggressive.

What Most Reviews Miss

The home bias hasn't paid off so far. Switzerland 20 returned 11.60% over three years versus 12.87% for finpension Global 20, and -5.94% versus -5.73% over five. The gap is small because stocks are only a fifth of the mix, but it points one way: Swiss stocks lagged world stocks in this period.

A Swiss tilt means less currency risk but more concentration: the Large Caps Switzerland fund alone is half of the equity part. And if you want capital that doesn't fluctuate, 70% bonds won't give you that, as the last five years showed. The best 3a savings account pays 1.00% with no market risk at all.

The Bottom Line

finpension Switzerland 20 is transparent and simple, but it's neither the cheapest conservative 3a nor the best performer on finpension's own menu. It fits as the defensive slice of a multi-portfolio setup for someone who wants their last stock exposure in francs. Our guide to managing your 3a near retirement walks through de-risking step by step. If you open an account, code RTEQJB gives a CHF 25 fee credit once you've paid in CHF 1,000 within 12 months (enter it at sign-up or within 24 hours).

Verdict: A niche de-risking tool for finpension clients who prefer Swiss stocks. Cost-focused conservative savers will find cheaper options at VIAC.