CHF Money market funds [2023]

True, but I meant with respect to WHT, with respect to income tax the fund is indeed pretty good.

Hmm, the treaty is really not very clear about this, but the overview from ESTV lists 10% for bonds / bank deposits:

0% would be very surprising to me, then there would be no need for any MMF / bond funds with a CH domicile and banks could offer the funds for foreigners and CH residents from Luxembourg.

Quick question - the following fund has three different numbers for fees on its factsheet

TER (0.11%)
Management fees (0.09%)
Flat fees (0.14%)

Which one is the actual expected Fees for this fund?

Swisscanto (CH) Money Market Fund
Responsible Opportunities

1.3% is before tax? That return is added to your income & taxed at your income tax rate, right?

Not sure about the size of your emergency fund, but if <100k, and for approx. 1.3% interest why not “simply” go for an account at Radicant and/or wiLLBe, paying 1.25-1.3% p.a.?

Some will judge the MMF at IB “simpler” than another bank account/app to follow up on? Is that it?

Simpler yes and directly attached to SNB rate. I guess currently not too important but when the interest rate rose you could directly get higher returns in the MMF whereas the banks tried to hold onto zero interest rates for as long as they could. My regular bank offers 0.75% and that is also taxed so there is still a significant advantage.

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Ah thanks, just trying to understand different options. That’s certainly a valid reasoning / plus point.
Also, I suppose you don’t have to “shop around” regularly, because wiLLBe or Radicant may be OK now, but not decent in a year or two, whereas MMF will be always attached to SNB rate.

Yes :confused: most banks are not passing on better interest.

A lot of them are expecting lower key interest rates in the foreseeable future.
I can imagine, that some of them want to stick to continuity - and not offering a roller coaster of interest rates.

I have checked Money Market Funds in CHF. The most complete list happened to be at

Here is the list of Money Market Funds in CHF which are available at IB. At least I can open the quote window and I am not getting any errors with the order preview.

Name / ISIN / IB ID

Pictet CH - Sovereign Short-Term Money Market CHF P dy

Pictet CH-Short-Term Money Market CHF -P dy

Pictet CH-Enhanced Liquidity CHF -P dy

Pictet CH - Short-Term Money Market CHF I dy
Class for institutional/qualified investors. My purchase order was accepted, but I won’t be surprised if it fails at later stages.

LO Funds (CH) - Short-Term Money Market (CHF) MD

Swisscanto (LU) Money Market Fund Responsible CHF FT

Pictet-Short-Term Money Market CHF P

Pictet-Short-Term Money Market CHF -P dy

Pictet-Short-Term Money Market CHF -R

LO Funds - Short-Term Money Market (CHF) MA

LO Funds - Short-Term Money Market (CHF) MD

The next two funds have shown me 0 comission for a 3000 CHF order, but TER is like 0.1% or more above that for other funds.

LO Funds - Short-Term Money Market (CHF) PA

LO Funds - Short-Term Money Market (CHF) PD

There are few other funds which I find and can open the order window, but the order preview comes with
Commission (EST.) NA
Total NA

According to, for example, the Pictet CH fund prospectus, they are not for mere mortals.

Now it would be not bad to figure out if CH domicile is advantaged for CHF MMF. Spontaneoulsy I would say yes, but I don’t have knowledge to be certain.

As a next step, I would dig into their performance in 2023 and what percentage of it is taxable (ICTax). However I am not sure that I have time for it now. If you are interested to perform such analysis, please go on.

I also not completely sure that there are no fees from the side of the fund management upon subscription and redemption, but it seems to be that there are none.

P.S. The publications for funds can be found at


At least on tax front, when I looked, they all had >1% taxable except for swisscanto.

It would make life much easier if one can buy Money market fund at the same bank where salary comes.

The challenges are that even though Top Swiss banks have MM funds (UBS/ZKB) , their custody fees and commissions would erode a significant portion of the earnings. So the only good options would be IBKR / Swissquote. Am I right?

Just wanted to be sure I am not missing a trick where if you buy Swisscanto MM fund then ZKB wouldn’t charge the custody fees.

One interesting point
I saw Swisscanto (CH) has zero taxable income while Swisscanto (LU) has taxable income (0.65 per share) for 2023

Any idea why would that be?

Another problem -: Swisscanto (CH) is not available to buy anywhere it seems. I can’t find it on IB and also not on Swissquote. Where can anyone actually buy those ?

Does it makes sense to invest in a money market fund. The yield offer by the bank on the account seems (always?) higher

It’s liquid and has no limits, savings accounts often aren’t. (Also it took a while for banks to raise rates while MMFs follow the rates closely, up and down)

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I think if you look at big banks (UBS, ZKB etc), the yield on money market funds is higher. At least at this moment.

In addition, all the interest on savings account is taxable income.

For money market funds -: it depends on the ratio of coupon payments vs. capital appreciation. Only coupon payments are taxable.

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The rates by bank are often times only temporary and you dont want to hop around banks all the time. MMF more or less five you SNB rate -cost. Also no transfer limits etc.

Just beware of negative interest, if we are ever going there again. Than a bank with 0% is obviously preferred.


Going through this topic and for a newbie who has never entered the money markets what would be a simple fund on IB to invest like 50k for a 12 months horizon that would not incur much taxes ?

The Swisscanto fund has had low tax so far and the dividend date is in March.

Tho if you know your exact horizon (don’t need liquidity) you might get better rates on term deposit accounts.


What are the buy and sell fees of the broker (for exemple: IB) to invest in the funds ?
I’m just wondering for which amount, it makes senses to invest in a money market fund instead of keeping it on a saving account

It’s ~5CHF on IB to buy.

thanks but term deposit will have the entire interest amount taxed while these funds might only have the coupon part getting taxed
again trying to thread the needle to optimize for best returns on parking some cash that is not invested in stocks

Is this Swisscanto LU still the prefered MM Fund? Can this one be bought on IB?