Are my assets protected against bankruptcy?

In the event of bankruptcy of True Wealth AG, your investments will remain with the account-holding bank until you instruct it to close your account and custody account or transfer the asset management mandate to another asset manager. Your securities are booked as special assets at the account-holding bank, i.e. in the hypothetical event of the bankruptcy of the account-holding bank, they do not fall into the bankruptcy estate of the bank, but remain your property. Only the cash balance would fall into the bankruptcy estate of the bank. Deposit protection then applies to the first CHF 100'000 of your cash balance.

For cash deposits at our custodian bank, Basellandschaftliche Kantonalbank (BLKB), the unlimited state guarantee also applies, i.e. the canton of Basel-Landschaft is liable for the deposits at BLKB in the hypothetical event of bankruptcy. This also applies to cash deposits under Pillar 3a, which are deposited with the 3a Digital Pension Foundation via Basellandschaftliche Kantonalbank.

However, in the event of the systemic bankruptcy of several banks at the same time, deposit protection may reach its limits. For this reason, our portfolio proposals generally contain only a small cash allocation (1-2%), which we require for portfolio-related reasons. For risk-averse investors, we use the ETF on short-term Switzerland Government Bonds ("Eidgenossen") in addition to the government-guaranteed sight deposits at BLKB.