Open to all investors.
Fund Informationen
Fund Name | Helvetica Swiss Living (HSL Fund) |
Legal form | Contractual investment fund of the type real estate fund under Swiss law |
Duration of the fund | Open end |
Investors | Retail investors |
Fund Management | Helvetica Property Investors AG |
Auditors | PricewaterhouseCoopers AG |
Custodian Bank | Bank J. Safra Sarasin |
Over the counter trading | The shares are traded via Bank J. Safra Sarasin AG, General Guisan-Quai 26, 8002 Zurich |
Valuation experts | Wüest Partner AG |
Financial year | 01.01. – 31.12. |
Appropriation of income | To be distributed |
Debt ratio | 33% |
NAV frequency | Audited annually |
Valor Nr. | 49527566 |
ISIN | CH0495275668 |
Bloomberg Ticker | HSL:SW |
Appraiser and valuation method
With the approval of the supervisory authority, the Fund Management has appointed Wüest Partner as an independent valuation expert. The valuation experts are distinguished by their many years of experience in valuation. The precise execution of the assignment is governed by a contract concluded between the Fund Management company and Wüest Partner. Wüest Partner values the fund's investment properties using the discounted cash flow method (DCF). Under this method, the market value of a property is determined by the sum of the net income expected in the future over 100 years (valuation period), discounted to the reporting date. Discounting is carried out per property, depending on its individual opportunities and risks, in line with the market and adjusted for risk.
Relevant tax regulations for the investor
The Helvetica Swiss Living Fund holds does not invest in direct real estate but holds its properties through individual special purpose vehicles. It is not subject to income or capital taxes. Income and capital taxes are not paid by the fund, but by the companies held. Distributions of income from the real estate fund to all investors in Switzerland and abroad are subject to Swiss federal withholding tax. Further information on taxes can be found in the fund prospectus. CH withholding tax is reclaimable for clients domiciled in Switzerland. It is partially reclaimable for foreign clients if double Tax Treaty exists.
Fees and Incidental Costs Charged to the Inventors
Remuneration | Maximum rate | Actual rates 2024 | Basis |
Issue commission on units | 5.00% | – | Net asset value of units |
Redemption commission on units | 5.00% | – | Net asset value of units |
With the fund contract amendment of May 10, 2023, the maximum rate for redemption commissions on units was increased from 1.50% to 5.00%. The new rate applies to any potential future redemptions.
Fees and Incidental Costs Charged to the Fund
Remuneration | Maximum rates | Actual rates 2024 | Basis |
Remuneration to the Fund Management Company |
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Management fee | 1.00% | 0.70% | Gross asset value |
Purchase/sales compensation | 2.00% | – | Purchase/sale price |
Building and renovation fee | 4.00% | 3.00% | Construction costs |
Property management | 5.00% | – | Gross rental income |
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Remuneration to Third Parties |
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Remuneration to custodian bank (custodian bank commission) | 0.05% | 0.05% | Net asset value of units |
Remuneration to custodian bank (distribution commission) | 0.25% | 0.04% | Gross distribution amount |
Market Maker | – | CHF 50 000 | Flat amount of CHF 12'500 per quarter |
Remuneration to property managers | 5.00% | 3.83% | Gross rental income |
Real estate as an investment
The Swiss real estate market has proven to be exceptionally stable in recent decades. With investments in real estate as an investment opportunity, risk-adjusted returns have often been better than with other asset classes. Swiss real estate is considered safe and has proven to be an interesting asset class for many investors due to the country's stability and consistency. Especially in phases with extremely low interest rates, it is worthwhile investing in attractive real estate investment products: Instead of accepting zero or even negative interest rates, real estate offers attractive, positive returns that need not fear comparison with other investments.
Advantages of real estate as an investment
- Above average return
- Below average volatility
- Diversification effect due to low correlation
- Inflation protection with relatively high and stable cash flow returns
- Low vacancy rate by international standards
- Swiss GDP per capita and GDP growth is very attractive compared to the euro zone
Agio for Swiss real estate funds
The agio represents the premium that an investor is prepared to pay and which exceeds the net asset value of the properties. How does the premium justify itself to the investor? One element is the way in which the net asset value is calculated. This is because it is systematically lower than the market value - because deferred liquidation taxes are included in the calculation. It is more than unlikely that such a situation will arise, which is why a premium on it is justified. In addition, the amount of the premium is also subject to demand. When interest rates are low, investors are prepared to pay more for real estate, which drives up the premium.
How does a Swiss real estate fund work?
The way it works is similar to that of other investment funds. The investor invests in fund shares in the fund of his choice, which in turn is invested in real estate. The fund buys real estate and land that fits into the portfolio. The profits from this flow back into the fund assets and are distributed to investors. Which properties are bought or sold is determined by the Fund Management firm, which acts according to a defined investment strategy.
Risks
Changes in property value and interest rate trends and their impact on the development of rental income, but also other market-specific and legal factors, influence the value of the HSL Fund's units. An investment in this fund is therefore suitable for investors with a medium to long-term investment horizon and a corresponding willingness and ability to take risks. Every investment is subject to market fluctuations. Each fund has specific risks that may increase significantly under unusual market
Your contact person
All relevant documents are available on Swiss Fund Data or on Helvetica.com.
If you have any questions or require further information, please do not hesitate to contact me.
Urs Kunz
Chief Commercial Officer
T +41 43 544 70 95
urs.kunz@helvetica.com
