In a changing economic environment, how do the returns of Swiss pension funds affect your financial future?
Swiss pension funds are currently in an enviable financial position. After an exceptional year in 2025, marked by average returns of 6.3%, they continue their momentum in 2026 with an average return reaching 5% by the end of August.
According to the Risk Check-up study by Complementa, the average coverage ratio of pension funds is 118.5%. This means that for every franc of benefits owed, there is 1.185 francs of reserve available. This solid financial situation is reassuring for the insured.
However, this apparent solidity masks underlying fragilities. The "third contributor," or income from financial investments, has generated more revenue than the contributions from employers and employees. This highlights an increased dependency on financial markets, which can be volatile.
For a Swiss individual, this means that although current returns are high, your retirement increasingly depends on the performance of financial markets. It is therefore crucial to be aware of the risks associated with this dynamic.
These solutions should not be considered in isolation. Alp Conseils is here for your financial planning. Contact us to discuss further.