If you want your money to work for you, you have a wide variety of options.
Let’s take a closer look at one of these options: fund savings plans.
In the large fund savings plan comparison, we looked at the top ETF funds in detail and selected five of the best offers.
If you want to buy the best funds, you have to know what is important. Buying the best funds is not difficult with the right basic knowledge. What are funds? Generally, the funds are issued by a fund company. A fund manager manages the fund within this fund company. Here comes the first sticking point:
If you want to buy the best funds, you must do it with the best fund companies. The fund manager should be an expert in his field because he is the one we trust with our money. It determines which securities ultimately make up the fund because a fund is made up of various securities.
And that brings us to the second point: the composition of the fund must be right. The basic rule for funds is to present a portfolio that is as broadly diversified as possible. For example, the portfolio can focus on a geographic region, industry or something similar. The companies must be on the rise so that the depot diligently increases in value.
So if you want to buy the best funds, you have to invest in the most promising regions/areas. If you get an excellent fund or a good fund manager, you don’t have to worry about it. If you want to put together the fund savings plan yourself, you are responsible for making the right choice yourself.
Whether you opt for the Deka fund, the Riester fund savings plan, the Basel equity fund, the DKB fund savings plan or another ETF savings plan. At some point, you have to choose a vendor to make the project a reality. Then, of course, you can orient yourself on a few points to end up with the safest possible provider.
So let’s take a look at how online fund saving is gradually becoming part of everyday life. Sure, we also look at how you can recognize a reputable provider. Because only with a transparently working provider can you look forward to future returns. So how does sign up verification, deposit and trading work?
When registering, you can quickly see whether a provider is serious or not. To start with the registration, one goes to the website of the favoured provider. There you look out for the registration form, which is usually clearly visible. You then enter the usual data in the registration form, such as surname, first name, email address, and telephone number.
Once you’ve done that, you have to wait for the operator’s confirmation email. A confirmation link is hidden in this email. If you click on this, the registration is done, and the account is opened. To be able to use the account to the full extent, a verification is pending.
Incidentally, this verification is usually already pending when you opt for a demo account. If there is a demo account, you should use this for yourself and do a test run on the platform.
In our example, we have chosen our test winner Capixal, as trading in stocks, ETFs & funds are entirely free of fees.
We come to the previously announced verification. If the providers are located within the EU, verification is required as part of the Know Your Customer process. The operators want to know exactly who is hanging around on the platform. This includes answering some questions about previous trading behaviour and providing proof of identity and address.
For proof of identity, upload a copy of your ID card or passport. With some providers, this is also done via a video chat. It is also necessary to provide proof of your own address. With the help of an official letter or an energy bill, this can be done quickly. Depending on the workload, the account is then activated in a few hours or working days, and you can move on to the next step.
If the operator does not require verification, one should pay attention. Why do the operators not require proof of identity? Are the providers regulated and have a license? Here one should rule out possible security risks from the start.
Now we come to the deposit . Even with the best provider, it won’t work without a deposit. Not every provider requires a basic minimum deposit amount . However, this is usually the case with online brokers. The minimum deposit is then usually between 50 and 250 euros (with Capixal it is 250 €) . Especially the big providers are quite well positioned when it comes to depositing options.
Accordingly, you can choose between payment by credit card, instant transfer, PayPal or other payment service providers . Depending on the type of payment, the payment booking takes a few moments or working days. But once the account has been topped up, trading can begin.
Here is an overview of all of the payment methods available on Capixal:
| Payment option | Possible? |
| Buy funds with a credit card | ✔️ |
| Buy funds with PayPal | ✔️ |
| Buy funds with Skrill | ✔️ |
| Buy funds with bank transfer | ✔️ |
| Buy funds with Neteller | ✔️ |
| Buy funds with UnionPay | ✔️ |
When making a deposit, it is important to ensure that you are not illegally redirected to the site of an external, possibly unregulated broker. Of course, serious providers will refrain from such forwarding, but one should remain vigilant.
The account is now ready to be used for the first time. Ideally, you have already thought about the right fund beforehand. It doesn’t matter whether it is the Deka fund, the Basler Aktienfonds, the Riester fund savings plan, the DKB fund savings plan or a completely different ETF fund savings plan. The procedure is always the same. First, you look for the right fund in the provider’s directory.
Once you have found your favourite, you then select the level of regular investments. Sometimes these investment intervals and amounts are already specified. So you don’t have to do much more than let the investment run. Sure, you can make improvements here and there. But actually, the only thing now is to let the investment run as long as possible.
With the top ETF funds, you can easily earn money over a long-term investment period. At least that’s the theory. What you need, however, is a lot of patience. As a rule, investing in the top ETF funds only makes sense if you hold out for 10-15 years.
Over the long period of time , the risks are balanced out over time, and in the end you have hopefully achieved a satisfactory increase in value .
In order for this plan to work, in addition to an ETF savings plan , you also need a cheap securities account and the appropriate equity index fund (ETF). We deliberately focus on the composition of the top ETF funds. We go into whether fund saving is still profitable and how the registration with the big providers actually works.
We also want to know whether you can trust fund managers or prefer to put the system together yourself. So, last but not least, we have prepared a sample calculation to illustrate the fund investment clearly. And then you can start saving!
When investing in funds, investors should pay attention to a few aspects. First, before investing in funds, investors must ask themselves what risk should be taken and what goals are being pursued with the fund investment.
For a risk-taking investor who wants to invest over a long period of time at low fees, ETFs are better suited than actively managed pension funds, for example. In principle, however, there is the right fund for every type of investor. For example, for investors with a low-risk tolerance, actively managed mixed funds can be a good way to invest in funds.
When choosing the fund, fees also play a major role. While actively managed funds sometimes charge high management fees and performance-related fees, these fees are often very low with ETFs, if they are incurred at all. For many funds, front-end loads are also required.
For funds from well-known providers such as Union Investment , the front-end load is sometimes 5% . Investors should therefore take a close look at the fund’s fee structure. The TER (Total Expense Ratio) can be used to compare fund fees.
In general, investors should look for a fund that suits their requirements and also has a high volume. As a rule of thumb, investors should only invest in funds with a volume of over € 100 million . This ensures that investors can sell their fund units at any time.
The choice of broker also plays an important role in the area of funds. While some brokers charge high fees for custody account management and transactions, there are also brokers who charge no custody account fees and only low transaction fees. Here, too, it is worth comparing the providers, because investors can save large amounts of fees.
Discount brokers such as Capixal offer investors the opportunity to invest in stocks and ETFs free of commission. As a result, investors should consider these brokers when making a comparison because their fees are often significantly lower than those of the established custodian banks.
So we see that investors should pay attention to a few aspects when investing in a fund. First, it is important that investors know their risk tolerance and goals and then select a fund that suits them. In the area of brokers, investors can often save a lot of money with online brokers because they often charge lower fees.
There is no general answer to the question of the best-mixed fund. Often, only past performance is used to evaluate a mixed fund. However, this approach does not go far enough. First of all, past performance is not an indicator of good future development.
In addition, investors differ greatly in their risk appetite and investment goals. In order to find the best-mixed fund for an investor, it is therefore always necessary to consider his risk appetite and his investment goals.
An investor who is not very willing to take risks and uses the fund investment to build up additional retirement provisions needs a different mixed fund than an investor who is very willing to take risks and wants to achieve high returns in a short period of time.
For risk-averse investors, it is worth taking a look at mixed funds with a higher proportion of bonds and possibly precious metals and other safer asset classes. The proportion of somewhat riskier asset classes, such as stocks, should be lower in this case.
A mixed fund with a very high equity component is most likely the right choice for a risk-taking investor because it better suits their risk profile and investment objectives.
In general, investors should make sure that the fees for the mixed fund are not too high. This is because a front-end load and high management fees are often required for mixed funds . This can mean that the fund has good performance, but the high returns significantly reduce the return.
Therefore, it may be worthwhile for investors to put together a portfolio of different asset classes that have the same risk profile as the mixed fund. Investors can use ETFs for this purpose, for example.
In summary, we can say that there is no such thing as the best-mixed fund. The mixed fund must match the investor’s willingness to take risks and the investment objectives and should generally not charge any exorbitantly high fees. When choosing the right mixed fund, investors should not only pay attention to past performance. Past developments can indicate the fund manager’s skills but are not a guarantee of future profits.
It can also be worthwhile for investors to switch to cheaper alternatives such as ETFs and put together their own cost-effective portfolio that has the same risk profile as the mixed fund.
If you are looking for tips to save money, sooner or later, you will come across the fund savings segment. It almost seems as if fund saving is the ultimate tip for saving money. Even if the conventional financial market is going through ups and downs around the funds. If you rely on these money-saving tips, you assume that fund saving will still make sense in ten years.
For example, if you want to build up a private pension plan, the shoe should fit perfectly. Even if the fund saving is theoretically profitable, in reality, it depends on the implementation by the fund saver himself.
Fund savings plans usually make a lot of sense on paper. Here you can make the risk variable, determine the monthly investments and thus have full control. However, in reality it looks different. Because of course, you never know how the financial market and the global economy will develop over the years.
If you invest in the fund savings plans, you also assume that fundamentally not much will change in today’s financial system in the next few years.
There are, of course, a few tips and tricks to successfully design fund saving on the basis of this assumption. First, it is important that you regularly – if possible monthly – put a fixed amount in the fund savings plan. This is a good way of making good use of the cost-average effect. In the end, in some months you buy more shares, in some less.
That then depends on the prices of the shares. In the long term, however, you buy at a cheaper rate than if you rely on purchasing a certain number of shares per month. So, yes: fund saving can be profitable.
There is the possibility that you can lose everything with funds. However, the value of a fund share would only be € 0 if all of the fund’s assets fell to € 0. However, such an event is very unlikely to occur.
For example, for an equity fund that invests in American tech companies, this would mean Apple, Amazon, Facebook, Alphabet, and all other tech companies would have to file for bankruptcy, and the stocks of these companies would be worthless. The probability of such an event tends towards zero.
Funds have done very well over the past few decades. For example, funds that track the MSCI World Index have performed well over the past few decades, generating an average annual return of over 9%.
To minimize the risk of loss, investors should ensure that they invest in a broadly diversified fund . Broadly diversified funds invest in a large number of stocks or also invest in bonds, commodities and other asset classes . This can minimize the risk of losses.
Another precautionary measure to reduce risk could be that investors only invest in funds with a large fund size . This ensures that investors can sell their shares quickly if losses arise.
There are also funds that promise a capital guarantee. With this capital guarantee, investors are guaranteed that they will not suffer any losses. However, this guarantee means that the funds are severely restricted in their activities and in most cases only invest a small part of the money in high-yield asset classes such as stocks. However, such funds are only suitable for very risk-averse investors, if at all .
If you should decide on funds for fund saving, you should not ignore the following criteria:
Some funds are less risky than others. For example, a low-risk fund savings plan is ideal as a retirement provision or for saving children. Money market fonts and pension funds are best suited here . Also balanced funds are very popular here as they have a relatively calculable risk high return opportunities.
The costs and fees involved in setting up a fund savings plan can ultimately reduce the return significantly. To prevent this, it is best to opt for an online broker to choose the funds yourself and manage them. This eliminates any personnel and administrative costs as with the classic house bank.
In order to keep the risk to a minimum, it is advisable to diversify your own portfolio as broadly as possible. This means that you should choose different securities from different industries and countries. For sustainable funds, eco funds that offer shares from companies that sustainably focus on the environment are best suited.
There are two types of funds: income distributing funds and accumulation funds . In the case of a profit-distributing fund, profits are usually transferred to your own account at the end of the year . In the case of accumulation funds, however, profits are reinvested, so reinvestment is not necessary. As a result, these funds are top-rated for long-term savings.
There are many different approaches to investing in fund savings plans. Do you want high returns, sustainable companies or more regional projects? We have now focused on the best fund savings plans with high returns. But, first, let’s take a look at the fund savings test winners.
The MSCI World covers the global stock market, and dividends are reinvested. That means double the return for the investors. In addition, this ETF covers the 1,600 largest and most promising stocks in the industrialized world. Accordingly, investors will not find any companies from China, India or Brazil here.
Because the MSCI World lists these countries as emerging markets. The composition of the MSCI World is not fixed. Four times a year, the fund managers check which companies have done well and which have to leave the fund. The fund managers try to guarantee that the investors will always generate satisfactory profits. It is not for nothing that MSCI World is one of the most famous funds in the world.
Anyone who invests in the MSCI World should know that the investment is not made in euros, but in US dollars. Currency fluctuations and thus narrower returns can certainly occur here. The risk of writing big losses here is small. However, investors should be aware of this risk.
The MSCI EMU is a good addition to the MSCI World. Two hundred forty stocks from ten euro countries are listed here. In this way, a small European swing can be brought into the portfolio.
Many experts describe the MSCI World as the best fund savings plan because it has the broadest diversification.
With the Stoxx Europe 600, too, the investment is made in the US dollar. As with the MSCI World, the same applies here that the currency conversion can lead to narrower returns.
Otherwise, the Stoxx Europe 600 is extremely stable. This fund is extremely diversified. Because 600 of the largest companies from 18 European countries are represented here . Large companies from Switzerland and Sweden are also represented here. The companies do not necessarily have to come from the euro area. Accordingly, there is a lower risk, more stability.
The MSCI All Countries World is also based on the global stock market of the world economy. The MSCI All Countries World even bundles more than 2,500 shares. However, the focus is not on the industrialized world but on companies in emerging countries such as China, Brazil and India.
Of course, there is also the European version of the MSCI fund. Approximately 450 companies from 15 European countries are represented in MSCI Europe. Accordingly, these large companies from Europe represent around 85 per cent of the total market. There are not such a big price fluctuations here, which is especially easy on the nerves of beginners.
In return, there are not quite as groundbreaking returns here as perhaps with the MSCI World. Small and medium-sized companies have no place in MSCI Europe. Accordingly, you will only find the large companies here, which are of course, much less volatile. This fund is correspondingly stable.
If you want to focus not only on returns but also on sustainability, iShares has several appropriately designed ETFs on offer. For example, in the five years from 2014 to 2017, iShares’ sustainable ETFs still had a 7.7 per cent return per year. This means that sustainable funds can keep up with other funds with high returns.
Some well-known funds are easy to invest in. These include, for example, the DKB Fondssparplan, the Basler Aktienfonds, the Riester Fondssparplan and the Deka Fonds. But there are of course, many other offers outside of this ready-made ETF savings plan world.
Couldn’t you put together the right fund yourself? Of course, you could. However, you need extensive knowledge of the stock market, the various stocks, worthwhile fund combinations, and the like.
This is certainly not knowing what to collect overnight. Rather, it is about years of expertise that you get when you deal in detail with the matter. Once you have acquired this knowledge, you can, of course, also put together your funds.
You may even save a little money here. After all, there is no payment for the fund manager – after all, you are now the fund manager yourself.
Deka is responsible for the fund business of the savings banks. Since the Sparkasse is one of the most popular banks, many of Sparkasse’s customers invest in Deka funds. However, our experience with Deka funds can be described as negative.
Deka offers its customers a selection of different funds. There are, among other things, equity funds, mixed funds, guarantee funds and a few other types of funds. Managers actively manage these funds, and it is advertised that these managers can potentially generate higher returns than the market as a whole through their expertise.
The major disadvantage of Deka funds, however, are the high fees associated with the funds. For custody account management alone, Deka charges € 19.50 per year for funds. Investors also expect high fees for the individual funds.
Deka also charges issuing surcharges for Deka funds. When purchasing the Deka ETF, which, for example, tracks the MSCI USA, an issue surcharge of 2% is due when purchasing via Deka.
Customers can save these front-end loads when buying directly on the stock exchange.
Depending on the fund, there are also high management fees and, in the case of actively managed funds, possibly performance-related fees.
With other providers, investors can often save these fees. However, fees can play a big role in investing. For example, if an investor invests € 10,000 in a fund with a front-end load of 2% , only € 9,800 will be invested in the fund. The € 200 will be paid directly to Deka. This means that they are initially in the red and only after an increase of over 2% in the value of the fund units have they returned to a value of € 10,000 .
Our experience with Deka funds was therefore rather negative. Many of the savings banks’ customers invest in Deka funds because their advisers recommend investing in them. However, if you take a closer look at the fees of the Deka funds, you will notice that there are much cheaper alternatives. The alternatives also perform at least as well as the Deka funds and are therefore recommended.
In the area of online brokers, there are providers from whom investors can buy funds on favourable terms and thus build up an asset position. For example, a broker where investors can buy stocks and ETFs free of commission is Capixal.
With a Riester fund savings plan , savers can invest part of their Riester contributions in shares . The special feature of Riester fund savings plans is that the providers of the fund savings plans must guarantee that customers will not make any losses until they retire .
However, because there are fluctuations in the equity markets, the equity component of the respective funds varies depending on the remaining term and the interest rate level on the markets.
In the Riester fund savings plans area, there are both actively managed funds and passively managed ETFs. In the case of actively managed funds, the fund is actively managed by a fund manager.
With his expertise, he tries to achieve higher returns than the market. However, higher fees are charged for this active management than for a fund savings plan with ETFs. With the ETF Riester fund savings plans, savers invest in passive funds that track a specific index. These often have significantly more attractive fee structures than actively managed funds.
The big advantage of the Riester fund savings plans is the state subsidy. This can amount to up to € 950 per year . With this allowance, the state helps savers build up wealth for their old age.
However, there are also some disadvantages with Riester fund savings plans.
A disadvantage of these funds is that very large portions of the funds have to be invested in bonds due to the capital guarantee. This reduces the equity quota, and consequently, the chances of returns are also lower. In addition, a notice period of three months applies to Riester funds . In contrast, normal fund savings plans can be sold on a daily basis and ETFs at any time.
The earmarking is one aspect of the Riester fund savings plans that can be seen as both an advantage and a disadvantage. This means that savers cannot have their savings paid out beforehand in order to use them for other purposes. In this use case, savers would have to repay the state allowances in full.
We can therefore state that Riester fund savings plans can only be recommended with restrictions. For savers who want to invest their money for a specific purpose and want a capital guarantee, the Riester fund savings plans are quite suitable. Investors should pay attention to fees when choosing the right fund and possibly consider a passively managed fund because these have significantly lower fees.
Due to the capital guarantee, the differences between the respective funds are small, because the statutory provisions more or less stipulate the equity component.
For investors who are looking for higher return opportunities and who want more flexibility, Riester fund savings plans are not the best solution. It is more worthwhile for these investors to invest part of their assets in broadly diversified ETFs and hold a fixed-term or overnight position. This gives them greater potential for returns and also has more flexibility and can use the investments for purposes other than retirement planning.
Due to their proximity to the Volksbanks, Union Investment’s fund savings plans are some of the most popular fund savings plans in SouthAfrica. In our opinion, however, a fund savings plan with Union Investment is not recommended.
At Union Investment, the custody fee is € 13.50 for investors who only hold Union Investment funds in their custody account and € 37.89 if funds from other providers are kept in the custody account. Nowadays, these fees are exorbitantly high. With many other providers, the deposit fees for a fund savings plan are € 0 . Union Investment fund savings plans are therefore not recommended in this regard.
In the area of funds, there are 157 funds available to investors at Union Investment. In addition to the in-house funds, third-party funds can also be purchased through Union Investment. The range of funds at Union Investment is in the midfield. Some providers offer a significantly larger selection, but providers also offer investors a smaller selection.
An important aspect when choosing the fund savings plan are the fees. These fees are often higher with Union Investment funds than with other providers. For Union Investment funds, sales charges of up to 5% are required. This means that with an investment of € 10,000, only € 9,500 are invested and € 500 goes directly to Union Investment.
These costs are far too high compared to other providers, as many providers offer funds without front-end loads.
In summary, we can say that our experience with the Union Investment fund savings plans was rather negative. At Union Investment, investors benefit from having a contact person in a local branch bank. However, this service cannot compensate for the many negative aspects. For us, the fees for the custody account and for the funds are far too high. Investors should therefore not opt for Union Investment and choose another provider of a fund savings plan.
Investors can set up a fund savings plan at Comdirect. The custody fee at the Comdirect is normally € 23.40 per year . However, this fee does not apply if at least one savings plan is executed per quarter.
At Comdirect, investors can choose from over 500 funds and over 600 ETFs . For each execution of the savings plan, a fee of 1.50% of the savings amount is required. As a result, the savings plans can be set up from as little as € 25 per savings plan execution. For a savings plan with a monthly investment of 25 €, therefore, be € 0.38 per savings plan execution due to fees.
Comdirect also offers investors 25 funds with no issue surcharge and also has several ETFs on offer for which the order fee is waived.
The savings plans can be run monthly, bi-monthly or quarterly .
Because of these characteristics, fund savings at Comdirect can be described as good. In addition, Comdirect offers investors a wide range of funds and ETFs for the savings plan. There are no front-end loads for some of these funds and ETFs, and the custody account is also free of charge with regular savings plan execution.
Nevertheless, there are some providers who can offer investors better conditions when investing. For example, a provider like Capixal can make regular investments for less than € 25 , and trading in stocks and ETFs is also commission-free .
The ING Diba offers investors the opportunity for a savings fund. At ING Diba, investors can choose from 640 funds and over 800 ETFs in which they can invest. The savings plans start with a savings rate of 1 euro .
ING Diba does not charge a fund saving custody account fee and offers investors some funds without a front-end load. Many funds and ETFs also do not charge an execution fee.
At ING Diba , the fund savings plans can be carried out monthly, bi-monthly or quarterly. In addition, investors can choose between two execution days per month for execution.
These conditions make ING Diba a good provider for fund savings. One point of criticism of ING Diba’s fund saving is that the selection of fee-free funds could be greater. The larger one would make it easier for investors to find the right fund. Nevertheless, the range of funds is sufficient for most investors, and ING Diba’s fund savings plans can be described as good.
The DKB also offers its customers fund savings plans. At the DKB, investors can choose from over 1,800 fund savings plans. At the DKB, no fees are due for the clearing account or the custody account if investors set up a savings plan.
Investors can set up savings plans at DKB from € 50 per savings plan execution . A fixed sum of € 1.50 per execution of the savings plan is due for the execution of the savings plan . However, at the DKB, there are regular promotional offers with funds for which no order fee is charged.
The fund savings plan can be implemented at the DKB either monthly, bi-monthly or quarterly . The fund savings plans of the DKB can be described as good. There is a large selection of funds available to investors and, as part of the special offers, some funds do not incur any fees for executing savings plans. The deposit and the clearing account are also free of charge at the DKB.
However, investors should note that most funds have front-end loads and ongoing costs. When concluding the fund savings plan through the DKB, investors should therefore ensure that although only 1.50 € are charged for normal savings plan executions, these are not yet the full costs associated with a fund savings plan.
The Volksbanks offer their customer’s fund savings plans . Investors can save funds from Union Investment, but they can also invest in funds from other providers.
The Volksbanken charge a custody fee of € 13.50 per year if investors only hold Union Investment funds in their custody account, or € 37.89 per year if funds from other providers are held in their custody account.
In this area, Volksbank already differs from other providers. With other providers, the deposit fees are often € 0 per year. In this respect, the Volksbanks’ custody account is significantly more expensive than the competitor’s custody accounts.
The savings plans can be set up from a savings rate of € 25 . An issue surcharge is also required for Union Investment funds. For some funds, this is 5%. In contrast to other providers, this is significantly more expensive because they often have funds without a front-end load.
The great advantage of the Volksbanks is that there are contacts on site thanks to the large branch network. Nevertheless, in our opinion, fund savings plans are not recommended.
In addition to the high custody fees, the issue surcharges for the funds are also very high compared to other providers.
For example, there are no custody fees with a provider like Capixal, and stocks and ETFs can be traded there free of commission. It is therefore worthwhile for investors to choose a provider other than the Volksbanken.
This means that investors can save themselves high fees and benefit from fund developments by holding a custody account with another provider.
At Onvista, investors can set up a fund savings plan. Investors can choose from more than 70 funds . However, the number of funds is significantly lower compared to other providers.
For most investors, however, the number of funds is enough to find the right one.
With Onvista, there are no custody fees and no account management fees. In addition, with Onvista, investors can start saving with funds from a savings rate of € 50 per execution. This differs from other providers because investors can invest in a fund savings plan with some other providers for as little as € 1 .
The savings plan versions cost a flat rate of 1 € with Onvista. This is a very attractive price, which makes Onvista one of the cheapest providers in this area. The savings plans can be run monthly, bi-monthly or quarterly. Two dates are available each month for the execution.
Onvista’s fund savings plans can be described as good. The fee structure is one of the biggest advantages of this provider. Investors should nevertheless note that the range of funds at Onvista is significantly lower than at other providers.
Employees and the self-employed are often offered Rürup pensions or fund savings plans by brokers. Therefore, it is worthwhile to look at the Rürup fund savings plans and see whether they can represent a good retirement provision.
With Rürup fund savings plans, investors should be allowed to make provisions for old age .
The great advantage of such fund savings plans is that the expenses for the Rürup fund savings plan can be largely deducted from tax during the savings phase. The payments are then taxed at retirement age.
In Rürup fund savings plans, buffs should note, however, that this can not be terminated and there is no right to a prior payment, and these contracts also can not be inherited.
The providers of such Rürup fund savings plans work with guarantee factors per € 10,000. For example, with a savings amount of € 100,000 and a guaranteed factor of 20, this means that an investor would receive € 200 per month. Unfortunately, the providers’ guarantee factors are often too low, and it may therefore take a long time for investors to receive their full deposit amount.
Therefore, Rürup fund savings plans are often not really worthwhile.
Investors should, therefore, always pay attention to the pension factor with a Rürup fund savings plan and decide for themselves whether the Rürup pension is attractive to them. It can often be worthwhile to pay into the statutory pension insurance and operate an alternative old-age provision through ineligible asset classes.
However, the decision as to whether a Rürup provision with a fund savings plan is attractive is often a very individual consideration. Therefore, investors should still pay attention to the pension factor and consider the age at which this investment would be worthwhile.
Employees receive capital-forming benefits up to a maximum of € 40 per month from their employer. Investors can invest this amount in a building society loan agreement, a bank savings plan, and a fund. The capital-forming benefits are intended to support employees in building up their assets.
Since building loan and savings contracts and bank savings plans only offer very little potential for returns, it is worth looking at vl fund savings plans.
In SouthAfrica, investors have to look for a fund that is approved for capital-building services, as not all funds are approved for this type of investment.
In VL fund savings plans, a distinction must be made between actively managed and passive funds. The actively managed funds often incur high fees. The total exposure in this area can often be more than 2%. These fees are payable regardless of the performance of the units.
However, investors also can invest in an ETF that is approved for capital building services. For this, investors have to open an additional deposit with a provider. Employees can then use this custody account to set up an ETF savings plan for capital-building benefits. In contrast to actively managed funds, the fees are significantly lower, and the performance is often identical to that of the more expensive funds. The fees for such ETFs are often less than 0.5% of the value of the shares per annum.
In principle, it is advisable to set up a fund savings plan for capital-building benefits. The maximum of 40 € per month is free money, and it would make no sense to invest this money. When choosing the right system, employees can choose between different offers.
Investors should note that fund savings plans are generally riskier than bank savings plans or building society contracts. In return, however, the return opportunities are higher. Employees can benefit from developments on the stock markets, for example, through an ETF savings plan, and build up an additional asset position with the employer’s help. Therefore, a vl fund savings plan is definitely recommended.
Fund savings plans are very popular with investors. Nevertheless, there are also voices that speak out against fund savings plans. So let’s take a closer look at the advantages and disadvantages of fund savings plans.
One of the greatest advantages of the fund savings plans is the aspect of continuous and automated wealth accumulation. With some providers, a fund savings plan can already be set up with a savings rate of € 1 . Fund shares are then bought at regular intervals. This enables investors to use the so-called cost average effect.
Put simply, this means that investors will pay the average price for a fund unit over the long term and market timing is therefore not a significant factor.
With a fund savings plan, investors can also invest in several asset classes at the same time. For example, when investing in a mixed fund, investors buy shares in a fund that consists of stocks, bonds, and possibly other asset classes. This means that investors no longer have to put their portfolios together individually.
Thanks to the large selection of funds, investors are also very likely to find the right fund. The choice of the right fund depends on the individual risk tolerance and the investor’s investment goals.
However, the opponents of fund savings plans repeatedly point out the disadvantages of fund savings plans.
The biggest disadvantage of the fund savings plans is the often high costs. For the funds, high sales charges, management fees and possible performance-related premiums are often charged for the fund manager.
This can mean that the fund actually performs well, but investors cannot fully benefit from this development because the fees significantly reduce the return. In addition, some banks and brokers charge custody and account management fees.
In addition to the often high costs, actively managed funds often do not do better than the overall market. The idea behind the active management of a fund is that the fund manager achieves a higher return than the reference market through his expertise. However, the past has shown that fund managers often fail to beat the market over the long term. If this is the case, the question of the legitimacy of the high costs naturally arises.
In summary, we can say that a fund savings plan fulfils some aspects of long-term wealth accumulation. Automated and regular investing is generally a good idea. However, investors should be aware that funds often incur high fees that reduce returns and that fund managers often do not perform better than the market as a whole.
Therefore, it may be worthwhile for investors to take a closer look at alternatives such as ETF savings plans. These combine the return opportunities of the stock markets with low fees. With providers like Capixal, for example, investors can trade stocks and ETFs free of commission.
In principle, distributions and profits from fund business are subject to the withholding tax at the investor level. This amounts to 25% of the profit plus solidarity surcharge and, if applicable, church tax. Investors, therefore, do not have to declare profits from the fund business in their tax returns because the withholding tax is paid directly to the tax office by the bank or broker.
In fund taxation, there was a new regulation in 2018 that confused many investors. As part of this reform, funds are already taxed at a flat rate via the flat-rate withholding tax.
This reduces the distributable profits of the fund. However, to put investors in a significantly worse position, there are partial exemptions for investors.
This means that not the entire distribution of the fund is taxed. The amount of the partial exemption depends on the type of fund. For example, this partial exemption is 30% for an equity fund and 15% for a mixed fund. This means that only 70% of the distributions are taxed at the withholding tax rate of 25% plus solidarity surcharge and, if applicable, church tax.
For the investor, this new regulation does not mean a higher tax burden than the previous regulation.
An important aspect of the taxation of income from funds is the exemption order. Therefore, investors should ensure that they submit this exemption application. This means that the income of € 801 for a single and € 1602 for a couple is tax-free.
Once you have finally decided that fund saving is exactly the right investment, you can start planning right away. There are some helpers on the Internet for this, such as the ETF savings plan calculator. With such a calculation for your own ETF savings plan, you can work out pretty precisely where your investment will be in the next ten years.
Provided everything goes according to plan. This calculation can also be carried out with our fund savings test winners to receive corresponding forecasts.
The calculation can be done in different ways. For example, would you like to invest a fixed monthly amount and know where you will be in ten years? Or do you have a fixed return target that should be a reality in ten years and would like to apply this to the individual months?
Assuming a monthly fixed amount of 100 euros to invest and to start with a one-off payment of 1,000 euros, the whole thing might look like this: With an annual price increase of about 17.831 per cent and a subscription fee of 2.250 per cent, you would after ten years of operation with a profit of 21,999.57 euros. This is of course, only very roughly calculated. After all, you can also take individual factors into account in your calculation.
Fund savings plan costs arise from front-end loads that are due at every instalment. There are also regular administration and management fees (TER). In addition, there are custody fees and, if applicable, fees from the issuing bank.
The advantage for the investor lies in the performance of the fund, through which he generates his income. As performance increases, so does the value of the deposits. By saving monthly, the value of the deposits increases and further income can be achieved.
To compare the fees when buying funds, let’s take the following example:
With these assumptions, the following fees at Comdirect , Capixal & Libertex are made up:
| providers | Comdirect | Capixal | Libertex |
| Deposit | for free | free | for free |
| Purchase fees | 3.90 € | free | 0.022% |
| Holding fees | for free | free | for free |
| Sales charges | 3.90 € | spreads | 0.022% |
| Total fees | € 7.80 | Reasonable | € 4.40 |
With a fund savings plan , investors regularly buy shares in a fund for a set amount of savings. There are fund savings plans for actively managed funds and for passively managed ETFs .
The greatest advantage of fund savings plans is that investors can automatically invest a specified amount in a fund. With this approach, investors automatically build up an asset position and can benefit from the fund’s performance.
The way a fund savings plan works are very simple and are illustrated by an example. Let’s assume that an investor wants to invest € 100 in a fund every month. With a fund savings plan, shares in a fund are bought every month for this € 100.
Let us assume that the investor launched the fund savings plan in January 2021 and that the fund is trading at € 25 in January 2021 . The investor therefore purchased 4 fund units in January . In February, the price of the fund rises to € 30 . In February, the investor automatically buys 3.33 fund units (= 100: 30) . After two months, the investor therefore has 7.33 fund units.
The investor regularly buys fund units through this regular investment and is less exposed to short-term issues. With this approach, the investor pays the average price for the fund and builds up a long-term asset position.
Fund saving is a good option for investors who want to build up a long-term asset position. In our experience, however, there are some aspects that investors need to consider when saving funds for them to be safe and successful.
In a low-interest-rate environment, funds are desirable for investors because there are even higher potential returns in this area. Fund saving is also suitable for investors who are not very willing to take risks. There is a very large selection in the area of funds so that every type of investment can find the right fund.
For investors with a low-risk tolerance, funds with a high proportion of bonds can be attractive. With these mixed funds, investors invest in a fund made up of bonds and stocks that are less risky but still offers opportunities for returns.
Fund saving is also a good option for investors with a greater willingness to automatically take risks to build up long-term assets. For more risk-averse investors, funds with a higher equity component are worthwhile because they offer higher potential returns.
In our experience, investors need to look carefully at the fees charged by each fund. For example, for actively managed funds, investors often have to pay a high management fee. This can result in the fund performing well but profits being detracted from the high fees.
Since many active fund managers fail to outperform the overall market, investing in a broadly diversified ETF with lower fees can be worthwhile. Choosing the right broker can also play a big role in the area of returns. The brokers charge a fee for each savings plan execution.
This fee plays an important role, especially with regular savings instalments, because it is charged every time you run. While traditional house banks often charge very high fees for the investment, some new brokers have a much more attractive fee structure. One of these online brokers is Capixal.
At Capixal, for example, investors can invest in stocks and ETFs free of commission.
Our experience has shown that it is worthwhile for most investors to invest in an ETF as part of a fund savings plan and set up the savings plan with a broker with an attractive fee structure. This enables investors to benefit from developments in the stock market and save high fees for executing savings plans.
Fund savings plans have several advantages. The greatest advantage of a fund savings plan is effective risk diversification. Therefore, it can be assumed that the capital employed is exposed to a lower risk than, for example, when investing in individual assets. In addition, if you choose a good fund, you invest in different countries and companies.
Another advantage is, of course, that you can save long-term with funds. Fund savings plans are in principle intended for a long-term investment, so you can save a small fortune even with smaller amounts per month over a longer period.
In addition, you get access to the securities market with a fund savings plan and can adjust your own fund savings plan regularly or terminate it free of charge.
Of course, you can also set up a fund savings plan to save for your own children. Due to the flexibility and adapted savings options as well as a booming stock market, fund savings plans are a worthwhile investment that is also ideal for your own children.
As with children, fund savings plans are ideal for retirement provision. After all, fund savings plans are intended as a long-term investment, which can be between 15 and 20 years . This gives you the opportunity to save a pension for a long time with a monthly amount.
With the current low-interest rates, you can make high-yield provisions with fund savings plans. As a result, you get an above-average return with a manageable risk .
The Sparkasse offers fund savings plans starting at 25 euros per month in order to take advantage of long-term opportunities on the capital markets to build up wealth. First and foremost, for most savers, their own bank is the first point of contact when it comes to setting up a fund savings plan.
However, you have to reckon with much higher fees at the Sparkasse than, for example, with an online broker. This is due to the fact that you also pay the personnel and administrative costs, which of course, do not apply to an online broker. As a rule, with a fund savings plan, you should make sure to pay the lowest possible fees so that the return is not reduced in the end.
At Postbank, you have the option of either setting up a fund savings plan online or in the branch . In general, you can pay into a fund savings plan from 50 euros per month at Postbank. However, if you do this online, you have to factor in a 1.50% commission fee.
In general, Postbank also has the same advantages regarding fund savings as with Sparkasse. But here, too, the following applies: The fees are higher than with any other online broker because you cover other costs. One advantage of the Sparkasse and Postbank is, of course, that you have personal advice on site. Nevertheless, we recommend setting up a fund savings plan with an online broker.
We recommend our test winner Capixal, where you can buy funds cheaply, easily and quickly and also set up this as a long-term investment. With Capixal, you also have the great advantage that there are no hidden fees, and you don’t have to pay for personnel or administrative costs.
Select broke
valuation
| 5.0 | 4.9 | 4.8 | 4.6 |
Mobile app rating
| 9/10 | 9/10 | 9/10 | 7/10 |
account
Min. Trade
| 25 € | N / A | 1 € | 1 € |
lever
| 1:30 | 1: 200 | 1:30 | 1:50 |
Margin trading
number of stocks
| 2,000+ | 2425 | 10,000+ | 420 |
Number of ETFs
| 150 | 250+ | 600+ | 279 |
fees
Cost per trade
| € 0 | € 0 | € 3.95 | € 3.95 |
costs per month
| € 0 | € 0 | € 0 | € 0 |
ETFs
| 0 € | 0.01-2% | 3.90 € | 0 € |
Funds
| from 0.09% | 0.01-2% | € 9.90 | from € 0.50 |
CFDs
| from 0.09% | 0.01-2% | 4.90 € | 4.95 € |
Savings plans
| – | N / A | 0 € | 0 € |
Crypto
| from 0.45% | N / A | – | – |
Bonds
| from 0.09% | N / A | 3.90 € | 4.95 € |
Trading fees
| Spreads | Spreads | Fixed fees | Fixed fee |
Withdrawal Fees
| 5 € | 0 € | 0 € | no |
Inactivity Fees
| 10 € | N / A | – | no |
Deposit fees
| 0 € | 0 € | 0 € | no |
Overnight CFD position
| var. | N / A | – | – |
Almost all of the online broker and trading platforms presented by us in this article have this valuable tool: the fund savings plan calculator or simply: the fund calculator. With a fund calculator, you can easily and conveniently calculate your personal fund savings plan.
With our fund calculator, you can specify how regularly you want to deposit which amounts, you can plan a dynamic increase in your deposits and include both the investment period and the annual performance in your calculation:
Start-up capital (€): Savings rate (€): Savings length (years):
6th
Return:
MSCI World: (7.7%)
DAX: (6.08%)
S&P 500: (7.95%)
Individual return:
After 6 years, your investment will be worth this much:€ 16,950
Investment growth over time
202120222023202420252026€0€5,000€10,000€15,000€20,000
| genre | Starting Amount | Total Contributions | Total Interest Earned |
| 2021 | € 5K | € 1.2K | 436 |
| 2022 | € 5K | € 2.4K | 1.005 |
| 2023 | € 5K | € 3.6K | 1.709 |
| 2024 | € 5K | € 4.8K | 2.560 |
| 2025 | € 5K | € 6K | 3,570 |
| 2026 | € 5K | € 7.2K | 4,750 |
Investment balance for 2026
29.5%28%42.5%
| Task | Hours per day |
| Starting investment | € 5K |
| Total Contributions | € 7.2K |
| Total Interest Earned | € 4.75K |
Start-up capital:€ 5,000Total savings:€ 7,200Interest earned:€ 4,750
| year | Seed capital | Annual savings rate | Total savings | Total interest income | Interest earned | final amount |
| 2021 | € 5,000 | € 1,200 | € 1,200 | € 436 | € 436 | € 6,636 |
| 2022 | € 5,000 | € 1,200 | € 2,400 | € 569 | € 1.005 | € 8.405 |
| 2023 | € 5,000 | € 1,200 | € 3,600 | € 704 | € 1.709 | € 10.309 |
| 2024 | € 5,000 | € 1,200 | € 4,800 | € 851 | € 2,560 | € 12,360 |
| 2025 | € 5,000 | € 1,200 | € 6,000 | € 1,010 | € 3,570 | € 14,570 |
| 2026 | € 5,000 | € 1,200 | € 7,200 | € 1,180 | € 4,750 | € 16,950 |
In our fund comparison, we looked at five different fund savings plans with high returns. At the same time, we clarified the conditions under which an actual profit increase with the fund savings test winners is even possible. If there is no fundamental change in the financial world in the next few years, you will be well served with the tips from our fund comparison.
If you intend to invest in the fund savings test winner, you need a reputable provider. We have already discussed how you can recognize this. A license and regulation by an official authority are part of the foundation.
In addition, as an investor, you always have the opportunity to set up your own fund savings plans. This requires extensive knowledge of the stock market. Perhaps starting with a managed fund is a good idea to dig into the matter. You can then take the plunge and put together your own savings plans. This should then be quite possible with the calculators for saving funds.
Even if fund savings are about long-term returns, you shouldn’t be afraid to take a look at the fund savings plan from time to time and make any corrections. For example, could you increase the monthly investment, add another fund to the portfolio or give the portfolio a more sustainable direction?
It is not wrong to regularly deal with your own fund savings plan and compare it with new ideas and developments. So you don’t have to worry that promising projects will pass you by. In general, it doesn’t have to end after a fund. However, those who regularly let a breath of fresh air through their portfolio have greater chances of profit.
The main aim is to diversify the investment as broadly as possible. So, for example, if it was a fund focusing on large companies in the US last month, the next project could focus on sustainable companies in India.
Here at Securedbrokers, we have provided you with valuable tips on a wide variety of funds. The easiest way to get hold of your first own fund is to use an online broker.
Some attractive funds are described in the article. In addition, we have summarized particularly promising funds under the item The best fund savings plans.
Most funds automatically employ a fund manager. He is responsible for the composition and structure of the fund.
Learning by Doing! Most reputable online brokers offer demo accounts with sample deposits. Here you can find out without any risk how trading with funds works and develop your strategies.
Investing is speculative. Your capital is at risk when investing. This website is not intended for use in any jurisdiction where the trading or investments described are prohibited and should only be used by persons and in a manner permitted by law. Your investment may not be eligible for investor protection in your country or state of residence. Therefore, conduct your own due diligence. This website is available to you free of charge, however we may receive commissions from the companies we offer on this website
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