Review of the third pillar Swiss Life Dynamic Elements 3a and 3b

Insurance linked to investment funds and traditional savings. Available as pillar 3a or pillar 3b. Minimum premium: CHF 150/month.

The Swiss Life Dynamic Elements product is, in our opinion, a very attractive product for those seeking a higher return for a relatively low risk (depending on how the product is set up). Yes, because the product has many aspects that can be customised based on your profile and your needs, for example: You can choose from four investment strategies: income, balanced, growth and equity. You can include elements to reduce investment risk, such as outperformance protection and maturity management (consult us to better understand these mechanisms). In addition, a guaranteed death lump sum and disability cover can be included. How does it work? The functioning of this product revolves around two fundamental components: the security element and the performance element. The security element is, in practice, a classic insurance component, remunerated with an interest rate that is set at 2% for 2021. This interest rate is set by Swiss Life, and can also be negative, up to -2%. The return element, on the other hand, consists of a portfolio of investment funds and is therefore not remunerated with an interest rate, but with any performance of the funds themselves. Depending on the investment strategy chosen, and the type of premium spread (which can be 'dynamic' or 'constant'), a part of the premium you pay each month will go on the security element and the rest on the return element. For example, if you choose the 'balanced' strategy, this distribution will be 50%-50% between the two elements. At the end of the contract, Swiss Life will pay you the balance of the security and yield elements that you have accumulated over the years. Attention: the final capital is not guaranteed, so it may be higher or lower than what you have paid in over the years. Given all the variables and possibilities offered by this product, in order to have a third pillar that fully satisfies you, thorough and competent advice is essential.

Here are a few points to pay attention to: 1) Is the person in front of you registered with the FINMA intermediary register? 2) Is the intermediary able to explain to you in detail the composition and functioning of the product? 3) Have you chosen the investment strategy together? 4) Has it been explained to you that in addition to gains, there may also be losses? 5) Was the offer made taking into account your current first and second pillar cover? 6) Did the intermediary give you the full offer and time to evaluate it? If you need advice, please contact us by clicking here

- The product offers many possibilities, allowing it to be customised to your measure. - Although the product does not have a guaranteed capital, it offers several mechanisms to reduce the investment risk. - Possibility of including insurance cover in the event of disability and death.

- The product, by its very nature, does not have a guaranteed capital.

In our opinion, the third pillar Swiss Life Dynamic Elements UNO and DUO is a good product for those who are looking for a higher return opportunity and are willing to take a little extra risk. It is also suitable, for example, for those who already have a 3rd pillar (perhaps with guaranteed benefits) and want to diversify. Finally, it must be said that, as with all investment products, your satisfaction will depend, above all, on the quality of the advice.