Make more out of your money Investing

What types of investments are there?

Whether classic or modern – anyone looking to invest money today has a wide range of options to choose from. The right type of investment for you depends on your goals, your risk tolerance, and your investment horizon.

The most common options include: 

• Savings account: A safe solution for short-term reserves, but with little interest
  
• Investment funds: Money is pooled and invested in various securities, usually actively managed
• ETFs: mostly passively managed funds that track an index – cost-effective and transparent
• Equities: direct investment in companies with corresponding return and risk of loss

These forms are supplemented by sustainable investments, real estate investments, or structured products. For beginners, broad diversification is often recommended – for example, through funds or ETFs. 

Finding the right investment strategy

A well-thought-out investment strategy helps you to use your money in a structured and efficient manner. It should be tailored to your individual circumstances and answer the following questions:

• What are my goals? (e.g., retirement provision, wealth accumulation, home ownership)
  
• How high is my available budget?
  
• How risk-tolerant am I?
  
• How long can I do without the money I invest?
  

Only once these points have been clarified can the right combination of investment type, risk, and term be defined. Important: The strategy does not have to be complex – but it should be realistic and fit in with your everyday life.

Realistically assess your risk tolerance

Risk is part of investing, but it can be managed. Losses in value, price fluctuations, and currency influences are normal components of many investments. The decisive factor is how you deal with them. 

Those who understand and consciously accept the risk can take advantage of opportunities – for example, through higher returns. On the other hand, those who find fluctuations difficult to cope with should opt for safer but less profitable solutions.

Please note: Risk is not inherently bad. It is about keeping it within a framework that suits you – both financially and emotionally. 

What should you consider when it comes to your investment horizon?

Your investment horizon has a significant influence on which products are suitable for you. It makes a difference whether you want to access your money in two, five, or twenty years.

The following generally applies:

• Short-term (less than 3 years): Capital should be readily available – for example, savings account or short-term bonds
  
• Medium term (3 to 7 years): Balanced mix with limited risk
  
• Long term (7 years or more): Higher volatility possible, for example, stocks or ETFs with a focus on growth
  

A clearly defined horizon helps you to better classify setbacks – and contributes to achieving your goals realistically.

Investing money for beginners

Getting started with investing does not have to be complicated or expensive. Even with small amounts and some basic knowledgeyou can take your first steps. You can also find the most important information in our guide.

A sensible start consists of four simple steps:

1. Secure your nest egg
   Before you think about investing, you should have a financial reserve – ideally three to six months' salary. This buffer should be kept in a savings account where it is available at any time, for example in the event of job loss, illness, or unplanned expenses.
2. Analyze your budget
   Take an honest look at how much money you have left over each month. Simple household calculators or budget apps can help with this. Important: Only invest what you can afford to do without in the long term – this reduces emotional pressure when prices fluctuate.
3. Just get started
   No one has to start with individual stocks or speculative products. ETF savings plans, mixed investment funds, or standardized pension solutions are ideal for beginners. They offer broad diversification, low entry costs, and automatic processing.
4. Seek independent advice
   Especially at the beginning, it makes sense to seek advice from experienced professionals – for example, on investment horizons, risk tolerance, and tax issues. Reputable advice is focused on your goals, not on selling products. 

Tip on investing for beginners: It is better to start with a small, regular amount – for example, CHF 100 per month – rather than waiting for the “perfect” moment. This way, you avoid unnecessary delays and benefit from the so-called cost average effect: When prices fall, you buy more shares, and when they rise, you buy fewer – this balances out fluctuations in the long term. 

Invest sustainably

Sustainability also plays an important role in the financial industry. Those who want to invest money sustainably pay attention to environmental, social, and economic goals – the so-called ESG criteria.

Examples of sustainable investment products:

• Environmental and climate funds (financing projects that focus on protecting the environment)
• Companies with a proven social commitment
  
• Government bonds with a sustainable purpose (financing projects with environmental and social goals)
  

These investments make it possible to combine returns with responsibility. Pay attention to transparency and clear criteria – not every “green” product delivers what it promises.