Global Custody Solutions Credit Suisse Swiss Pension Fund Index
A comparison of Swiss pension funds
Credit Suisse Swiss Pension Fund Index Q2 2019
Q2 2019: 1.91%
YTD 2019: 7.50%
Positive performance once again for the Credit Suisse Swiss Pension Fund Index in the second quarter of 2019
In the quarter under review, the Pension Fund Index rose by 3.36 points or 1.91%, thereby building on the good first quarter of 2019. As of June 30, 2019, the index stood at 179.49 points, based on a starting level of 100 points at the beginning of 2000. Following an excellent start to the year, the pension funds continued their upward trajectory in the second quarter. The good result was driven in particular by the months of April (+1.71%) and June (+1.60%). Only in May was there a correction (-1.39%), albeit not pronounced enough to drag the quarter as a whole into negative territory.
The lion's share of positive performance in the second reporting quarter is attributable to Swiss franc investments: Swiss equities contributed +0.84% to the return while CHF bonds made a contribution of +0.37%. Foreign equities and real estate also made a positive contribution to the overall return, to the tune of +0.28% and +0.26% respectively. The contributions of alternative investments, mortgages, and other investments were fairly negligible, but were nonetheless positive.
The index of the BVG mandatory minimum rate of return (1% p.a. since January 1, 2017) rose by 0.38 points (0.25%) to a level of 154.38 points in the reporting quarter, likewise from a baseline of 100 in January 2000. The return of the Credit Suisse Swiss Pension Fund Index was therefore 1.66% above the BVG requirement in the second quarter of 2019.