Summary

The Federal Department of the Interior is opening a consultation on amendments to the Federal Law on Occupational Pension Schemes (BVG). The Substitute Institution for Occupational Pensions is to be granted the opportunity for a further 6 years to deposit vested benefits funds interest-free at the Federal Treasury. This regulation applies under two conditions: if the coverage ratio falls below 103 % and the policy rate of the Swiss National Bank is at zero percent or below. The consultation period runs until 30 March 2026.

Persons & Organizations

Topics

  • Occupational Pension Schemes (BVG)
  • Vested Benefits Funds
  • Financial Stability of Pension Institutions
  • Monetary Policy and Policy Rates

Detailed Summary

The Substitute Institution for Occupational Pensions is a central institution in the Swiss pension system. It protects insured persons whose pension fund becomes insolvent. To ensure its financial stability in times of low or negative interest rates, a legislative amendment is being proposed.

The planned amendment to the BVG will enable the Substitute Institution to invest vested benefits funds of up to 10 billion francs interest-free at the Federal Treasury. This measure is time-limited to 6 years and can only be activated under two cumulative conditions:

  1. The coverage ratio of the Substitute Institution falls below 103 %
  2. The policy rate of the Swiss National Bank is 0 % or lower

This regulation creates a buffer for crisis periods and reduces dependence on capital market returns. Depositing at the Federal Treasury is safer and more stable than private investment forms.

Key Messages

  • The Substitute Institution receives a 6-year transitional solution for the investment of vested benefits funds
  • Maximum amount: 10 billion francs interest-free
  • Activation only when coverage ratio < 103 % AND policy rate ≤ 0 %
  • Consultation deadline: 30 March 2026
  • Objective: Ensure financial stability in a low-interest environment

Stakeholders & Affected Parties

StakeholderImpact
Substitute InstitutionReceives additional liquidity options
Insured PersonsImproved security of their old-age pensions
Pension FundsIndirect stabilizing effect
Federal FinancesManagement of additional funds
Consultation StakeholdersOpportunity to submit statements

Opportunities & Risks

OpportunitiesRisks
Strengthening the financial stability of the Substitute InstitutionPossible dependence on state support
Better protection for insured persons in crisis situationsWaiver of returns through interest-free deposits
Reduced market risk through secure investment formLimited temporal validity (only 6 years)
Clear trigger conditions for activationComplexity of dual conditions

Action Relevance

Relevant for decision-makers:

  • Observe deadline: Statements must be submitted by 30 March 2026
  • Detailed analysis: Review of impacts on the overall pension system required
  • Stakeholder consultation: Pension funds, insured persons' associations and cantons should take a position
  • Long-term perspective: Evaluation of whether 6 years is sufficient or a longer-term solution is needed

Quality Assurance & Fact-Checking

  • [x] Central statements and figures verified
  • [x] Official source: Federal News Service (Third-party message)
  • [x] Date and deadlines verified
  • [x] No unconfirmed data included

Supplementary Research

Recommended for deeper understanding:

  • Federal Office of Social Insurance (BSV): Information on BVG and Substitute Institution
  • Swiss National Bank (SNB): Current policy rate and monetary policy
  • Fedlex: Complete legislative text and consultation documents

Source Directory

Primary Source:
Federal Department of the Interior (2026): Consultation Opening: Investment of Vested Benefits Funds of the Substitute Institution – https://www.news.admin.ch/de/newnsb/Jy1M6NxZV7E5IzHh1ReEj

Supplementary Sources:

  1. Fedlex – Electronic Legislation and Ordinance Database: https://fedlex.data.admin.ch/eli/dl/proj/2025/95/cons_1
  2. Federal Office of Social Insurance (BSV): Occupational Pension Schemes
  3. Swiss National Bank (SNB): Monetary Policy and Policy Rates

Verification Status: ✓ Facts checked on 28 January 2026


This text was created with the support of Claude.
Editorial responsibility: clarus.news | Fact-checking: 28.01.2026