Are Swiss Annuities Safe?

If you are looking for non-domestic investment opportunities you may want to consider Swiss annuities. Swiss annuities have a history of being one of the most stable investments available worldwide. The annuities are issued by Swiss insurance companies and come in a variety of flexible options including immediate, fixed, deferred and more. Most often the annuities are denominated in Swiss Francs but can also be issued in other currencies. Here is a closer look at Swiss annuities and what makes them a safe investment opportunity.

What Makes Swiss Annuities A Safe Investment

Swiss annuities, over the years, have proven to be an extremely stable investment. Even during times of economic turmoil, times of high inflation, etc. Swiss annuities have always fared well. To date no Swiss insurance company has ever filed for bankruptcy and the Swiss economy is one of the strongest in the world, meaning the chances of a company going under are pretty slim. Additionally, Swiss insurance companies are regulated and must keep a reserve fund just in case.

Other Advantages Of Swiss Annuities

Besides being stable investments, Swiss annuities have numerous other advantages. When you invest in Swiss annuities you will be privileged to the following:

  • Unmatched safety and security over other investments.
  • As a Swiss annuity investor your privacy is taken very seriously and you can be rest assured your privacy is highly regarded and protected.
  • Your funds are protected from creditors and in almost all cases cannot be touched even if you file for bankruptcy.
  • Funds are easily liquidated and most funds can be dispersed just one year after opening your account, without penalty.
  • Your money is not subject to Swiss taxes including the typical 35% Swiss withholding tax.
  • Fixed annuities have a guaranteed return.
  • In most cases you can convert your domestic annuity for a Swiss annuity tax free.

Should You Invest In Swiss Annuities

Deciding whether or not to invest in Swiss annuities is really a personal decision. Swiss annuities, to many people, are an attractive investment option considering their stability and guaranteed return. The most important thing you should keep in mind as an investor is that your portfolio should be diversified. Swiss annuities can certainly help to round out your portfolio, but at the same time should not be your only investment. They are a great option when looking for low risk funds.

Other Things To Consider

No matter where you decide to invest your money it is important to realize that there will always be some risk. Even though Swiss annuities have a strong history of being safe that does not mean that their future is guaranteed. Even though the Swiss have one of the most powerful economic and political countries in the world, there is always the chance they could falter. Before investing your money it is always a good idea to carefully weigh the pros and cons of each investment opportunity and working with a financial planner to help guide you in the decision process is also a smart idea.

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