Finpension 3a - Dividend optimization strategy.

S

sulk4458

New member
Hi all,

I'd like a feedback on my 3a strategy.
| UBS (CH) Index Fund 2 – Equities Europe ex CH I-X-acc | 40%
| UBS (CH) Institutional Fund – Equities Emerging Markets Global Passive II I-X-acc | 20%
| UBS (CH) Index Fund – Equities Switzerland All NSL I-X-acc | 15%
| UBS (CH) Index Fund 2 – Equities Japan Pension NSL I-X-acc | 15%
| UBS (CH) Index Fund – Equities Pacific ex Japan NSL I-X-acc | 9%


This coupled with an IBKR stragety which would add VTI proportionally.

My target is to optimize (by reducing dividens) a 100% VT strategy on IBKR.
 
Not sure I understand your goal correctly.
  • Replicate VT as close as possible in 3a?
  • Be as dividend heavy in as possible in 3a since they are tax free?
  • Avoid US stocks in 3a and have all US stocks in IBKR through VTI?
 
Hi @gaijin ,

I want an overall 100% VT exposure between IBKR and Finpension 3a.

Currently I have 100% VT in IBKR and a single VT-like ETF in Finpension (I don't remember the name right now).

I want to optimize the overall exposure by trying to be as close to 100% to VT as possibile but putting the dividend heaviest part of my portfolio in 3a.
My current capacity in finpension 3a is way inferior compared to total IBKR portfolio, so the best I can do is try to replicate ex-US makets there (which are more dividend heavy markets) in the 3a, but I still need to offset it in the IBKR portfolio with VTI. Otherwise I would simply be finding myself leaning towards ex-US.
 
If your goal is to reduce your dividends on VT and increase them in your 3a while sticking to an overall VT-allocation, I believe your portfolio is sound indeed.

Have you estimated how much you can save? As you said, 3a can grow slower than IBKR in this case. I am not sure if it's worth the extra capacity. But that's an interesting idea indeed and can be optimized since dividends are not taxed as income in the 3a.
 
@Baptiste Wicht
It's a little bit triky to estimate it. It depends on your income and marginal tax %, also it depends on how large your 3a is.

Given a total portfolio of 1M, marginal tax rate of 33% I would say it saves around 500 CHF per year.
 
sulk4458 said:
@Baptiste Wicht
It's a little bit triky to estimate it. It depends on your income and marginal tax %, also it depends on how large your 3a is.

Given a total portfolio of 1M, marginal tax rate of 33% I would say it saves around 500 CHF per year.
Click to expand...
It should also depend in how much you can put in your 3a compared to your broker, no?
 
sulk4458 said:
Hi @gaijin ,

I want an overall 100% VT exposure between IBKR and Finpension 3a.

Currently I have 100% VT in IBKR and a single VT-like ETF in Finpension (I don't remember the name right now).

I want to optimize the overall exposure by trying to be as close to 100% to VT as possibile but putting the dividend heaviest part of my portfolio in 3a.
My current capacity in finpension 3a is way inferior compared to total IBKR portfolio, so the best I can do is try to replicate ex-US makets there (which are more dividend heavy markets) in the 3a, but I still need to offset it in the IBKR portfolio with VTI. Otherwise I would simply be finding myself leaning towards ex-US.bowl games
Click to expand...
How are you calculating the US and ex-US allocations across both accounts to keep your overall portfolio as close to VT as possible? Do you rebalance the allocations regularly, or just adjust them when you make new contributions?
 
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