Global Custody Solutions Credit Suisse Swiss Pension Fund Index

Credit Suisse Swiss Pension Fund Index

A comparison of Swiss pension funds 

Credit Suisse Swiss Pension Fund Index
Q4 2019

Q4 2019: 2.12%
2019: 11.48%

Record year for Credit Suisse Swiss Pension Fund Index

The Pension Fund Index rose by 3.87 points, or 2.12%, in the quarter under review and therefore showed a positive return for each quarter of 2019. As of December 31, 2019, the index stood at 186.14 points, based on a starting level of 100 points at the beginning of 2000. November (+1.27%) was the strongest month, although both October (+0.49%) and December (+0.35%) likewise ended in positive territory.

The majority of positive performance in the fourth reporting quarter was attributable to equities (contribution of +1.82%). Swiss equities achieved a return contribution of +0.71%, while foreign equities made a contribution of +1.11%. Real estate likewise turned in a positive performance, contributing a total of +0.57% to the good result. Bonds, on the other hand, delivered a negative performance (–0.37%). Liquidity and alternative investments were fairly unremarkable, but nonetheless ended in positive territory.

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 155.16 points in the reporting quarter from a baseline of 100 in January 2000. The return of the Credit Suisse Swiss Pension Fund Index was therefore 1.87% above the BVG requirement in the fourth quarter of 2019.

The annualized return on the Credit Suisse Swiss Pension Fund Index (since January 1, 2000) amounted to 3.15% as of December 31, 2019. This contrasts with an annualized BVG mandatory minimum rate of return of 2.22%.