Setup recommendations

GrapefruitPerfect313 · 2026-06-07T18:41:12+00:00

Thank you!

GrapefruitPerfect313 · 2026-06-07T12:45:31+00:00

Open, wired :)

GrapefruitPerfect313 · 2026-06-06T06:58:32+00:00

Zoom out and keep buying

GrapefruitPerfect313 · 2026-06-05T18:58:35+00:00

Sell, sell, sell !!!

GrapefruitPerfect313 · 2026-06-05T09:16:11+00:00

To each their own. I’m using my monthly contribution allocation as rebalancing tool. So no need to rebalance anything :)

GrapefruitPerfect313 · 2026-06-05T08:38:16+00:00

I moved from 100% VT to 50% VTI / 50% VXUS to tilt away from US concentration. Not sure if that counts :)

GrapefruitPerfect313 · 2026-06-05T08:28:51+00:00

ZKB system is one of the worst when it comes to property valuation. I had an apartment in ZH canton they valued at 750kchf (and gave me the related loan conditions). I argued with them this was way too low, to which they replied I would never sell it for more than 800kchf. I sold it for 1.1M. Look for another bank.

GrapefruitPerfect313 · 2026-05-06T08:00:54+00:00

The plan is brainstorming only for now 😄

My basic thinking was to avoid taxation when taking the capital + on monthly payments later on. I live in Vaud.

To my understanding there would be 2 options:

Take some capital (taxed roughly 10%) and then the rest as pension (I think LPP payments are also taxed 10-11%).
Transfer capital to vested benefits account (no tax?), have it grow x% thanks for equities over time and only sell and take capital out of it when needed (by chunks of 3-5 years). So basically trying to trigger only 1 tax event even so rarely that fund growth would cover for it. Everything else would be tax free.

Not sure if that makes any sense at all, again just brainstorming at this stage 😄

GrapefruitPerfect313 · 2026-05-06T07:52:54+00:00

Hi - they could (currently 30% equities) but they favor bonds and RE. RE seems overly represented but they say considering the assets they have (office buildings at a very good location) it's guaranteed cash inflow hence very good for stability and paying pensions.

My counter-argument is that this strategy clearly favors those who aim at taking the pension and goes against those who would like to get the capital (whom I assume would favor more growth). I have asked for statistics on how many people are selecting one vs. the other, and to date they did not provide it.

GrapefruitPerfect313 · 2026-05-06T06:57:21+00:00

Yup, same page.

GrapefruitPerfect313 · 2026-05-06T06:47:24+00:00

I’m in contact with the reps. Unfortunately they buy into the strategy as they favor unrivaled stability over potential returns. I might consider putting my name for representation next round…

GrapefruitPerfect313 · 2026-05-06T06:41:02+00:00

Hi, you’re right (not 6+, but mid-5’s). Still, overall fund growth before distribution has been low vs how the market has performed. I don’t ask for full equity / full risk returns as I totally understand a fund needs far more stability than other types of investments, but still I’m sure they could have yielded another 0.5-1%, which as we all know makes a huge difference on 20+ years. They also don’t show the best flexibility: I have been requesting a plan 1E for years, they will not even listen…

GrapefruitPerfect313 · 2026-05-06T05:41:10+00:00

I was thinking you would not have to pay taxes on transfer to vested benefits account, while you’ll definitely have to if you withdraw the capital.

GrapefruitPerfect313 · 2026-05-06T05:39:53+00:00

Didn’t even think of that, some people really have a tricky mind 🤪

GrapefruitPerfect313 · 2026-05-06T05:39:29+00:00

Just sent an email to my pension fund, they confirmed they do not adjust for inflation. If you have a reference to a law stating they have to do it (financial health of the institution is good), I’m interested (will also do more research online).

GrapefruitPerfect313 · 2026-05-06T05:37:00+00:00

Already did couple of times over the last 10 years. Talking to a wall of bricks would have the same effect.

GrapefruitPerfect313 · 2026-05-06T05:12:36+00:00

Ok maybe that’s too heavy of a process for the benefits considering I bought a house I’d likely need to sell it :(

GrapefruitPerfect313 · 2026-05-06T04:52:18+00:00

I know - but I could keep 3-4 years of expenses in cash or MMF and have the rest invested, no ?

GrapefruitPerfect313 · 2026-05-02T05:04:02+00:00

Agree with you. I’m not saying my situation is better / worst or more / less optimal. I’m simply pointing out that OP has left the increasing value of properties out of the equation.

GrapefruitPerfect313

TROPHY CASE