0% Interest – and Your Money Is Losing Value Every Day. Here's What to Do.

In this article, you'll learn why saving alone is no longer enough, how inflation and hidden fees eat into your capital, what investor protections really mean – and how a professional investment strategy can protect and grow your wealth.

The Hidden Risk of “Safe” Savings Accounts

Many people still believe that money in a savings account is safe. But in today’s environment, not investing is the greater risk.

Example: CHF 100,000 over 10 years

Let’s assume you put CHF 100,000 into a savings account at 0% interest. With average inflation in Switzerland around 1.5% annually (based on data from the last 10 years), your real purchasing power after 10 years drops to: CHF 86,000 That’s CHF 14,000 gone – without any bad decisions, losses, or market crashes.

Fees, Limitations, and the Illusion of Access

What’s more, savings accounts often come with:

Administrative or custody fees

• Negative interest (in some cases)

• Limits on monthly withdrawals or large transfers

• Delays in accessing your own funds

So even if the money seems “liquid,” it’s often not readily available when you truly need it – and may cost you to access.

How Safe Is My Money – in a Bank vs. an Investment Account?

In Switzerland, deposit protection covers cash balances up to CHF 100,000 per person and per bank. Anything above this amount is not protected if the bank goes bankrupt.

What about investments?

Securities (such as ETFs, shares, bonds) held in a custody account remain your legal property. Even if the bank becomes insolvent, your assets are segregated from the bank’s balance sheet and must be returned to you.

• You retain ownership rights over the assets

• They are not part of the bank's bankruptcy estate

• Risk is controlled through diversification and strategy, not by defaulting to cash

The Better Way: A Structured Investment Strategy

At Caveo, we help you rethink your wealth structure. Together, we assess your:

• Current asset allocation

• Risk profile and investment horizon

• Currency exposure and tax efficiency

• Liquidity needs

• Security and ownership preferences

Based on this, we build a cost-efficient, globally diversified portfolio that balances growth with downside protection.

Conclusion: Inaction Is the Greatest Risk Today

Leaving money idle in a 0% environment is no longer conservative – it’s costly. Real security comes from clarity, ownership, and a plan. With a professional financial strategy, you protect your assets from inflation, restricted access, and structural risk.

Book your free first consultation with Caveo now and discover how to make your money work – for your goals, not the bank’s balance sheet.