The One-Page Portfolio

The portfolio should be decided twice: once in calm conditions, then repeatedly obeyed in difficult ones.

Write an investment policy on one page.

1. Purpose. “This portfolio funds optional work from age forty-five” is stronger than “grow wealth”.

2. Horizon. State the earliest plausible withdrawal, not the most convenient fantasy.

3. Required behaviour. How much will you contribute, how often and from which income source?

4. Strategic allocation. Decide the broad exposures — global equities, bonds or cash, pension assets, property and any satellite positions — before selecting providers.

5. Maximum tolerable loss. Not the loss you claim to accept in a questionnaire, but the decline that would change your sleep, employment choices or willingness to continue.

6. Rebalancing rule. Use a calendar rule, a threshold rule or both. Rebalancing means returning to the intended risk, not predicting the next winner.

7. Prohibited actions. Examples: no leverage; no purchase from a social-media tip; no sale within 72 hours of a market shock; no position above a stated percentage without a written thesis.

8. Review conditions. Review annually or after a life change — not because prices became interesting.

Then choose implementation.

For the core, favour breadth, transparency, liquidity, cost awareness and a structure you understand. “Low fee” alone is insufficient. Compare the fund’s index, domicile, currency exposure, securities-lending policy, tracking difference, size, trading spread, tax treatment and provider. Currency denomination is not the same as economic currency exposure: a fund quoted in CHF can still own companies earning globally.

Avoid the illusion that more funds mean more diversification. Three funds can contain the same large companies. A global holding plus a fashionable technology fund may simply concentrate what was already dominant.

Costs should be evaluated over the whole path: fund expenses, platform fees, foreign-exchange spreads, custody fees, trading costs and taxes. A visible zero can be funded by an invisible spread. Do not publish a universal “best broker”; the correct choice depends on residence, trading frequency, asset location, tax documents, service and protection.

In Switzerland, private capital gains on movable private assets are generally tax-free, but dividends and interest are generally taxable, and cantonal wealth tax applies. If trading becomes sufficiently frequent, leveraged or systematic, classification as professional securities trading can become relevant. The Federal Tax Administration’s safe-harbour-style preliminary criteria are cumulative and include holding sold securities for at least six months, annual transaction volume no more than five times the opening portfolio, capital gains below half of net income, no problematic debt financing and derivatives limited to hedging. Failing one condition does not automatically make you professional; it means the full facts matter.

This is why a written policy has tax value as well as behavioural value. It creates evidence of a long-term investment process — though it is not a legal guarantee.

A simple portfolio is not intellectually modest. It is operationally strong. Complexity must earn its place by solving a named problem.

The Field Note

Write the eight sections on one page. Then open every position and complete this sentence: “This belongs because…” If the answer is performance, popularity or “diversification” without a specific exposure, investigate before adding more.

CHOOSE THE NEXT MOVE

01If you cannot accept the portfolio’s severe drawdown, reduce fragility before changing products and read W09.

02If the policy is stable, integrate it into W18 and review W16 for pension coordination.

Sources & Swiss context

Swiss tax system: https://www.estv.admin.ch/dam/en/sd-web/i8eiHb5Gk0xl/ch-steuersystem.pdf | FTA Circular 36, professional securities trading: https://www.estv.admin.ch/dam/estv/fr/dokumente/dbst/kreisschreiben/dbst-ks-2012-1-036-d-fr.pdf.download.pdf/dbst-ks-2012-1-036-d-fr.pdf

Editorial education, not personalised investment, legal or tax advice. Swiss rules, limits and product terms can change; verify current information before acting.