Foreign currency investments in the Swiss banking system

Planning a strategic investment portfolio suitable for the personal investment profile

Why should you spread your investments abroad?

Since 2013, there has been an increase in the number of investments made by qualified investors (those who have NIS 12 million or more in liquid assets), and the dispersion of these investments abroad as well. Why are more and more people choosing to disperse their investments and not keep them only in Israel?
Because although there is a match between the behavior of the various global economic markets, in the Corona crisis for example, it was possible to see that while the Israeli stock market has been in negative territory since the beginning of the year, the US stock market is in positive territory and even highly positive in some indices.
Such variation also exists in crises that belong to the local Israeli economy and not only in global crises. Therefore, as residents of Israel, dispersing investments abroad, to Switzerland and the USA in particular, being the largest economy in the world, is an important and strategic step.

What other good reason is there to diversify your investments?

Israeli investment portfolio managers often buy research related to investments from foreign bodies. On the other hand, the management of investment portfolios abroad, mainly in the medium-sized and large banks, is done “close to the plate” and in geographical proximity to the companies that the studies cover. Investing through banks abroad allows exposure of the portfolio to professional analysis, research and world-class products such as alternative funds and private equity.

What are the advantages of Switzerland as a destination for investment abroad?

Scope of knowledge, research and experience of hundreds of years

Switzerland is one of the richest and most stable countries in the world, so it is a strategic and convenient destination for depositing funds and managing investments. In addition, Switzerland has been an international private banking investment center for hundreds of years, and therefore possesses knowledge, practice and expertise in international investments and private banking investments, accumulated over a long period of time, and throughout economic history.

Banks abroad, as well as banks in Switzerland, have analysis departments with hundreds of analysts, investment managers, CIOs who are responsible for the overall strategy, and also a management team with decades of experience in global investments.

Switzerland has an advanced supervision and regulation system, which protects investors and provides them with a supportive framework. For example: the capital adequacy ratio required of banks in Switzerland is very high compared to what happens elsewhere in the world.

Flexibility in complex times

Proper planning of managing your finances in Switzerland provides great flexibility by giving you the opportunity to manage your finances even outside Israel’s borders and in complex times such as: war, regional and international tensions, global economic crises, and more. The Swiss banking system also allows for high flexibility in performing technical operations, such as for example transferring funds and payments abroad.

A wide variety of products

In Switzerland there is a significantly wider variety than in Israel, when it comes to financial products available for private investments. Unlike Israel, in the field of bonds of all kinds – abroad there are tens of thousands of investment bonds, and only the large and medium-sized banks can carry out such extensive research and monitoring.
For example: a large bank in Switzerland, a large bank for pure private banking, offers many types of different investment portfolios and different risk profiles from which you can choose the most suitable ones for Israeli investors. The investment houses in Israel market one global investment portfolio in several risk profiles, while in a foreign bank you can find at least ten different investment portfolios.
The amount of types of investment portfolios and the ability to customize them to your preferences allow us to be more flexible in building investment portfolios.

The major Swiss banks have the ability to analyze, compare and track funds over time. Abroad, the world of funds is very large, and requires the capabilities of the Swiss banks. The same is true for shares – investors and investors in shares have the support of dedicated analysts in Switzerland for the various fields.
We will manage the investments in the Swiss banks for you in a strategic planning tailored to you personally

In-depth knowledge of the Swiss banking system

The Kali Group has agreements with banks in Switzerland and familiarity with the various portfolios in each bank. We will personally match you with the best portfolios in each field, within the same bank, and against competing banks and managers. Kali’s experts and expertise will design an investment strategy for you based on choosing the bank and the specific portfolio that best suits your profile, expectations and preferences. We have the professional and bureaucratic knowledge needed to open an account and investment portfolio in Switzerland, and the knowledge needed for ongoing management and monitoring.

Protecting your interests

Our only interest is your interest as a Kali customer.

How do we maintain objectivity? Kali is a privately owned company, which does not have exclusivity agreements with any financial body, which does not sell its own financial products, and therefore does not depend on any banks or investment houses. Our income from all entities is the same, so we will always recommend an investment portfolio that is most accurate to your needs and desires.

Regular monitoring and consistent monitoring of the performance of your investment portfolio

We will provide regular reports for you, and we will provide ongoing control, accompaniment and supervision of the investment portfolio abroad. We will also create cost and results control on an ongoing basis and in front of the competitors, so that the full picture of the situation will always be clear and transparent.

The Kali Group has a monthly investment committee, the equivalent of the existing committee for the Israeli investment portfolios. The committee conducts a review of returns and exceptions and verifies that the portfolio’s performance meets expectations and compares to competitors.
We will use scientific tools to compare and measure the investment portfolio abroad
We will use the Kali Index for overseas portfolios – the Kali Index is a mathematical tool that we developed, which relies on data from many clients, and enables a comparison that examines portfolio performance in comparison to competitors – between different banks and even within the same bank. The index allows us to strengthen the objectivity of the information and recommendations that will be given to you.

The portfolios are also measured against a reference index corresponding to your investment portfolio, in order to evaluate the performance in relation to the performance of the relevant markets in the world.
Do you already have an investment portfolio abroad? This is what Kali can do for you
Kai’s investment experts and expertise will examine whether the management of the existing investment portfolio is optimal for you – an examination of an existing portfolio and account abroad at a professional level and at the level of direct costs and hidden costs.

Kelly’s experts and expertise will match the planning of the investment portfolio and financial assets to the investment profile that best suits you
We will measure and compare the performance of your portfolio against other portfolios at the same bank, and at competing banks, in order to allow you to choose the portfolio that is best for you.

Costs and benefits for buying/selling securities will be upgraded according to the arrangement of the investment house.
Kali Group Insurance and Investment Marketing Agency Ltd. is the holder of a license for investment marketing as stated in the Law on the Regulation of the Practice of Investment Consulting, Investment Marketing and Investment Portfolio Management, 1995 (hereinafter: “Investment Marketing” and the “Consulting Law”), and not for consulting investments, and that it has a relationship with the manufacturers of financial products and services that are marketed by it as part of providing services to the client. to the list of manufacturers
This should not be seen as a substitute for investment marketing tailored to the client’s needs. Use of information and data is the sole responsibility of the user.

Articles on Financial Planning