Every investor has very different goals, needs and a completely different attitude to risk. This is why it is always important to determine your personal investor profile before investing money. It represents the foundation of your investment strategy, and ultimately the basis for investing your money. Your investment profile takes your personal investment horizon  Your investment horizon is the period over which you wish to invest. This means you have to consider how long you wish to invest your money for and the period of time during which you will not need it for other things. For example, if you are planning to take a training course or a major trip in four years’ time – for which you need the money – this may determine your investment horizon., risk capacity and risk appetite into account. You can find out more in the article on investment recommendations.

Diversifying while finding the right mix

Investors can implement their investment strategies in various different ways. But remember: don’t put all your eggs in one basket. To invest money successfully, you need to diversify your assets broadly. The risk should be spread across as many different investments as possible. For example, if you want to buy shares  A share is a security which gives investors a stake in a company. Companies raise capital by issuing shares. Shareholders have proprietary rights (e.g. entitlement to dividends) and membership rights (e.g. entitlement to take part in the general meeting and the right to vote). and bonds  A bond is a security that generates interest for investors. In addition to entitlement to payment of the agreed interest, bond holders – the creditors – also have the right to repayment of their capital. A government bond is issued by a state. The state, the Swiss Confederation for example, is the issuer of the bond and therefore also the debtor. directly, you’ll need to hold a whole range of securities. This is the only way to really diversify and keep a mix of assets that suit your investment strategy.

Combine different asset categories simply and inexpensively

It’s easier to implement and diversify your investment strategy if you purchase units in different funds  A fund is a “pot” into which investors put money. This is invested by the fund management in various securities, such as shares or bonds, based on certain criteria. This means good diversification can be achieved even with a low level of investment. There are various types of funds: if a fund invests in shares, it is called an equity fund. Real estate funds invest in property.. It’s even simpler and less expensive if you invest in an asset allocation fund. Asset allocation funds combine different asset categories in a way that fits your personal investment strategy. Depending on the type of fund, they contain varying allocations of shares and bonds. For example, investors who want to invest more long-term and accept fluctuations in value can opt for a asset allocation fund with a higher allocation of shares. Meanwhile investors who need the money they invested back again in the near future and who want to assume very little risk, will opt for a fund where shares have a lower weighting or none at all.

Invest professionally, even with small amounts of money

Fund managers ensure that the weightings of the different investments in the fund (i.e. the allocations of bonds and shares) remain the same. This ensures that the asset allocation fund reflects your investment strategy at all times, irrespective of how the individual securities in your fund perform. Investing in an asset allocation fund means you can implement your entire strategy with a single investment. The costs are limited as you do not need to purchase a large number of different shares or fund units.

Even with small investment amounts, investors can pursue a broadly diversified investment strategy and benefit from professional investment expertise. What’s more, the diversification within the asset allocation fund means that the risk is spread even with the selection of just one product.

Asset allocation funds for any risk profile

The ideal basic investment for long-term investing

Asset allocation funds are particularly well suited as a basic investment for investors who want to invest long-term or pursue a core-satellite approach  The core/satellite approach is an investment strategy which has become well established over recent years. The assets are distributed into a larger core element and a smaller one with so-called satellites. The core consists of around 80% of the total investment and is therefore the most significant part of the portfolio. The satellites allow investors to determine individual priorities, for example, with specialized funds.. This involves placing between 80% and 100% of your investment amount in basic investments that correspond exactly to your investment strategy. You can use the remainder of the amount (up to 20%) to set priorities in your portfolio. Depending on your preferences and interests, you could, for example, invest in specialized equity funds which focus on emerging markets, socially responsible companies, real estate or selected Swiss companies.

Set up your portfolio easily

Asset allocation funds are a simple, tried-and-tested way for investors to implement their personal investment strategy and, if needed, supplement it flexibly by setting priorities. Whether you are an investor who wants to assume very little risk or can take more high-risk investments, there are products suited to each investment strategy. Regardless of whether the focus is more risk-oriented or prudent: asset allocation funds are broadly based and uncomplicated. They also give investors who only want to invest small amounts the chance to make well diversified investments.