Switzerland's hidden dangers

With severe funding problems on a market-consistent basis, and a reputation for weak governance, are Swiss pension funds in crisis? Blake Evans-Pritchard reports

Talk of a Swiss occupational pensions crisis is not new. The funds, known as pensionskasse, suffered during the turbulent years in the equity markets at the start of the century - so much so that 40% of occupational pensions did not have sufficient money to fund their liabilities at the end of 2002, according to the Association Suisse des Institutions de Prevoyance (ASIP), the industry association.

According to official balance sheet figures, things are looking rosier now, but there is growing