Compare Swiss ETF Savings Plans

The more ETFs a platform offers, the greater your choice.

However, this criterion should not be overemphasised: A solid ETF portfolio can be built up with just one to three ETFs. Even experienced investors rarely use more than ten ETFs to achieve broad diversification.

A classic example is a globally diversified world ETF, which can be supplemented with a Switzerland ETF if required. Alternatively, individual regions such as the USA, Europe or emerging markets can be specifically mapped with their own ETFs. Bond ETFs (bonds) can also be included in the portfolio for further diversification.

Some providers allow the purchase of all ETF savings plans without trading fees, while others only offer a selection free of charge - or none at all.

‘Free’ here means: no purchase fees for the savings plan. This is particularly attractive for long-term wealth accumulation, as fees reduce your return. The federal stamp duty and the product costs of the ETF (TER) remain unavoidable. When selling, the usual trading fees are usually incurred again.

With ETF savings plans, many investors focus on global equity indices such as the MSCI World, MSCI ACWI or the FTSE All-World. If you want to invest specifically in the Swiss market, you will find suitable ETFs on the SMI, SLI, SPI or the SMIM, which tracks medium-sized companies.

A combination of a global ETF and an ETF on a leading Swiss index is also popular - this allows global diversification to be combined with a domestic market focus.

Purchase fees are usually charged when buying ETFs or other securities. These are either staggered as a percentage (e.g. 0.5 % of the amount) or as a fixed flat rate (e.g. CHF 5 to CHF 1,000 transaction value). Make sure you pay low fees - because high costs directly reduce your return.

Some providers even offer completely free ETF savings plans. This makes them particularly attractive for long-term investors.

Fees are incurred when selling securities - usually as a percentage of the sale value or as a fixed lump sum, similar to buying. Even if you are not currently planning to sell, you will only realise price gains when you sell. That's why you should definitely include these future, often underestimated costs in your comparison.

Also pay attention to the possibility of transferring your custody account. Some providers do not allow you to switch to another bank or broker. In such cases, you often only have the option of selling - including the corresponding fees.

In addition to the order fees (buying and selling costs), you need to compare the costs for the safekeeping of your securities. While some providers do not charge any custody fees, other providers charge them as a percentage and others have fixed amounts depending on the assets in the custody account.

Percentage fees without a cap can lead to very high costs, especially for large investment amounts - so make sure you pay attention to low fees here too.

The e-tax statement is a practical service that makes it much easier for you to complete your tax return. You receive a PDF file with all the relevant information about your securities portfolio. This file can be imported directly into your Swiss tax software - the data is transferred automatically.

Even without an e-tax statement, all providers will provide you with the necessary documents free of charge. Entering these manually is usually not a problem for a few securities and transactions - but the more you trade, the more helpful the e-tax statement is.

Some brokers offer this service free of charge, others charge for it - and some don't offer it at all.

You can find the provider's full list of costs here.

ETF savings plans work in a similar way to a standing order: investments are made automatically at the frequency you choose - for example, monthly or weekly. With some providers, you can choose the execution date and investment interval flexibly, while other providers offer fewer options.

Monthly deposits are particularly popular as they can be easily synchronised with incoming wages. The best way to do this is to set up a standing order from your salary account. This way, the desired amount is invested automatically - without the risk of your savings plan being cancelled due to a shortfall.

The more frequently your savings plan is executed, the greater the cost-average effect: you invest at different prices and thus reduce the risk of entering at a price peak. This is particularly worthwhile in fluctuating markets. Weekly or daily executions diversify your investment more, but lead to more transactions. Depending on the fee model, this can be more expensive than a few larger savings instalments. Find the right balance between flexibility, costs and your savings goal.

Some providers do not set a limit on the number of ETF savings plans, while others only allow a certain number at the same time.

This is usually sufficient for simple strategies - for example with a global ETF and an additional Swiss ETF. However, if you want to save specifically in several thematic ETFs or regions, you may come up against limits with some providers.

We generally recommend keeping the number of ETFs deliberately small. The more complex the allocation, the more you have to take care of things like rebalancing, weighting and clarity yourself. Less is often more - especially if you want to stick with it in the long term.

There is an important difference when saving with ETFs: some providers only allow you to buy whole ETF shares, others automatically buy fractional shares, and some allow you to choose yourself.

The advantage of fractional purchases: Fractional shares also allow you to invest small amounts in more expensive ETFs. This is particularly practical if an ETF share costs CHF 250, for example, but you only want to invest CHF 100 per month. Instead of your money lying around, it is invested pro rata - your entire savings amount works for you.

A simple example: You want to invest CHF 100 per month in an ETF that costs CHF 250 per unit.→ Provider A, which only allows whole units, does not make any purchases - your money remains uninvested.→ Provider B, which allows fractions, buys 0.4 units - your money is fully invested

Further advantages of fractional purchases:

• No ‘unutilised’ residual amount

• More flexibility in the ETF selection

• Better diversification, even with small amounts

  
  

But be careful - there are also risks:

• Limited transferability: fractional shares often cannot be transferred to other brokers.

• Sale only via the broker: Fractions can usually only be sold with the original provider.

• Security: Fractions (e.g. 0.5 Roche share) cannot be bought directly on the market. Therefore, the broker acquires a whole share and holds it in trust for you. In the event of bankruptcy, only whole securities can be transferred, which is why your fractional share may have to be sold. If the shares are held by a sub-custodian that goes bankrupt, there may also be a default risk.

Conclusion: Fractional trading is an attractive solution, especially for beginners with small savings amounts. However, if you want to remain flexible, you should also keep an eye on the possible restrictions.

ETFs are ideal for long-term wealth accumulation as they enable broad diversification - and at very favourable conditions. With just one ETF, you can often invest in hundreds or even thousands of companies or other asset classes such as bonds.

Depending on the provider, ETF savings plans can also be supplemented with other securities, for example:

• Individual shares - Direct participation in individual companies, e.g. Apple or Nestle

• Theme certificates - tracker certificates where you can invest in certain trends such as AI, e-mobility or renewable energies

• Cryptocurrencies - investments in Bitcoin, Ethereum & Co, sometimes also as regulated ETPs

• Index funds - Similar to ETFs, but usually with a traditional structure and without stock exchange trading

  
  

Such additions can be useful if you want to customise your portfolio in a targeted manner - for example with individual shares as deliberate bets on certain companies. Crypto positions can also be partially mapped via ETFs.

If you want to transfer your portfolio to another provider at a later date, the question of transferring your custody account arises. Not all providers offer this option. In such cases, you will have to sell your securities (sales fees) and buy them again from the new provider (purchase fees).

If a securities account transfer is possible, there are often costs for the transfer. It is not uncommon for the new provider to cover all or part of these transfer costs - so it is worth making a comparison.

The providers set different priorities. Many cantonal banks, for example, emphasise a dense branch network and personal advice. Digital providers, on the other hand, are usually much cheaper and offer modern, user-friendly online platforms - personal support plays a lesser role there.

So think about what is important to you. For ETF savings plans in particular, a branch network is usually of secondary importance. Simple and flexible management directly via the platform is much more important.

Think about what you expect from your broker or bank. Do you want to use the savings plan offer alone or is it important to you that you receive your financial services from a single source? So if you want other services such as pillar 3a, accounts, cards, mortgages, etc. in addition to the savings plan offer, you need to take this into account when making your choice. However, always make sure you get a cost-effective offer here too.

In addition to favourable fees and a user-friendly platform, security is a key criterion when choosing a provider. With foreign platforms in particular, you should check carefully whether you really want to entrust yourself to their regulation. After all, in the event of an emergency - such as insolvency - enforcing your rights abroad can be much more complicated.

In Switzerland, FINMA is the supervisory authority for financial service providers. Although foreign providers were able to score points with attractive conditions in the past, many Swiss providers and neobanks have now caught up. It is therefore more worthwhile than ever to carefully weigh up risk and security.

It is important to distinguish between the credit balance in your account and the invested ETFs. The credit balance - i.e. money that you have paid in for future investments or that has been credited to you as a dividend - is subject to Swiss deposit protection for providers based in Switzerland and is protected up to CHF 100,000 in the event of bankruptcy. Many foreign providers also generally have deposit protection.

In the event of a broker bankruptcy, the important question arises: What happens to your shares, ETFs or other securities? Basically, in Switzerland, securities such as shares and ETFs legally belong to you as a customer - they are so-called special assets. This means that they are not part of the bankruptcy estate and are segregated in the event of insolvency.

It is important to know which regulation your broker is subject to. This protection is only guaranteed with regulated providers - for example with a FINMA licence in Switzerland or a BaFin licence in Germany.

There is a residual risk with fractional shares, as these are not held directly in your name, depending on the provider, but are often held in collective holdings or in the name of the broker. In such cases, losses can occur in extreme cases.

How easily you can manage your ETF savings plans depends heavily on the platform offering. Neo-banks usually rely on modern, user-friendly mobile apps. Providers such as Swissquote also offer a sophisticated web platform - ideal for anyone who wants to keep an overview on their desktop. Traditional banks often allow access via app and web, but outdated or overloaded systems can significantly spoil the user experience.