Since your Pillar 3a is basically a pension fund, you can only withdraw the money in a few exceptional cases as regulated by law. This long-term nature makes it suitable for investments in securities (assuming an investment horizon of 5-10 years). In this way, you benefit from higher earnings opportunities compared to the pure account solution. At the same time, an investment in real values, i. e. equities and real estate, provides a certain degree of protection against inflation. With a pure account solution you are completely exposed to this risk. Inflation expectations are currently around 0.5%, which is already higher than the interest rates of many providers.
In order to benefit from higher earnings opportunities, you have to accept certain price fluctuations. In addition to the interest-bearing account, we offer a variety of strategies with a small equity component (strategy 20), which are exposed to smaller fluctuations, up to pure equity strategies (strategy 100), which are exposed to larger fluctuations.
Download our app, answer 6 simple questions and find out which investment type you are. Your investment type will then tell you which strategy suits you best. If we find out from your answers that you don’t want to see fluctuations or that you have too short an investment horizon (e.g. because you want to withdraw your retirement assets for owner-occupied residential property in the next few years), we recommend a pure account solution with no fluctuations. Of course, you can override the investment proposal at any time. It’s very simple, just try it yourself!