You can’t exactly buy CSIF CH Real Estate as a product in your main portfolio if you are not a qualified investor (maybe there is an other version) but you can buy the composants. But let’s be theoric with this product.
Today’s net asset value is 1607.36 CHF. The fiscal value on 31st decembre was 871.56 CHF (source : https://www.ictax.admin.ch/extern/fr.html#/security/3659981/20181231). Let’s say that it will be 950 chf in december 2019.
If your marginal wealth tax rate is 0.2% assuming you don’t live in for ex. Vaud and you’re not rich, you will save (1607.36-950)/1607.36 * 0.002 = 0.082% of your RE investment per year assuming you have something else of the same value in your 3rd pillar instead.
Now let’s look at earning’s tax. Let’s take a 30% marginal tax rate. CSIF CH Real Estate owner get a 26.9 CHF taxable dividend and a 9.48 CHF tax-free dividend in 2018. 9.48/(26.9+9.48) = 26.1%. Assuming 2.3% dividend yield, that mean you have a 0.023 * 0.261 * 0.3 = 0.0018% wasted double tax examption. But the product you will put inside your 3rd pillar instead has maybe a 3% dividend yield. Difference between what you don’t pay anymore (0.03 * 0.3) and and your “new” earning tax on your “exiting” RE (0.023 * 0.738 * 0.3)= 0.004 %
Total = 0.082+0.004 =0.086% of your RE investment which not anymore in 3rd pillar per year.
Imagine you are really rich. Then your RE portfolio will be 100% tax free products and not 26% tax free subproducts. Your wealth tax will be higher and your earning tax as well.