What to do if not sure when next trade will be?

I’ve ~10k EUR in passive investment at Swissquote and had planned to put in about the same amount every year. However, due to the recent loss of a regular income, I cannot stick to that schedule at the moment and am not sure when I will be able to fund my account again.

As I understand, the current fees are 15 EUR per month for account maintenance, and potentially inactivity fees after 24 months of inactivity.

Is the best thing to do to sell up and close the account, and to start all over when I have regular income again or some savings?

Currently, the dividends just about cover the account maintenance fees, so barely breaking even. The thing I kind of want to avoid is getting into a large deficit because of the fees due to inactivity.

Thanks in advance for any advice.

Don’t you pay “only” 15 CHF every 3 months ? And I am not aware of inactivity fees at Swissquote. That means you pay 0.6% per year. If you have a dividend of 2%, it is way more than the fees.

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My answer might sound a bit arrogant, but it is not meant to.

  1. Know your fees. Read up on them on your bank’s website. To my knowledge, you pay 0.1% per year, with a minimum of 15.- and a maximum of 50.- per quarter. And to my knowledge, there is no inactivity fee at Swissquote.
  2. You need an Investment Policy Statement. It must be written in a way that works for good times and less good times.
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The fee structure at Sq is quite straightforward, informing yourself at swissquote.ch would be best.
But yes, for 10’000 you’ll be paying 0.6% p.a. fee (4x15Fr p.a.), nothing more nothing less, ever.
Depending on how stocks develop, the appreciation should be above this.
Selling will probably cost less than 0.6% once off, so yes, sell and close the account is cheaper than holding on, from a fees point of view.

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I think 0.6% a year is acceptable and staying invested is important.

I would ask myself the question in terms of emergency cash. Do you have an emergency fund and do you have enough cash to not need these 10k EUR? Knowing whether you may need this money or not in the next months or years is more important than the 0.6% a year it costs to stay invested.

If you do not have enough cash and cannot take the risk of a bear market, then selling now is probably not the worst time (even though market timing is not advisable and it is best to only invest what one does not need). But I wouldn’t sell just because of 0.6% a year.

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