We are pleased to present the latest edition of Financial Outlook for October 2025. This edition addresses a historic change in Swiss property taxation and a remarkably strong performance in global stock markets. We hope you find these insights helpful for your year-end planning.
Key Topics of Today
Tax and Financial Planning: The End of Imputed Rent (Imputed Rent).
Capital Markets: A Strong Q3 for Global Stocks and Emerging Technologies.
Imputed rent is history
After decades of debate and numerous attempts, the abolition of imputed rent (imputed rent) was finally approved last weekend. While the actual implementation is not expected until at least 2028, this timeline is strategic. It allows tourism-intensive cantons to introduce specific property taxes on second homes to offset revenue losses.
For homeowners, this creates a crucial time window: You have about two years before the system change to complete planned renovations. In the current system, these costs remain tax-deductible. As we have noted in previous consultations, it is now more important than ever to integrate these maintenance projects into your current financial planning.
"Don't wait until 2028. If your property needs renovations, the next 24 months offer a final chance to take advantage of significant tax deductions before the rules change forever."
A strong quarter for the stock markets
The third quarter of 2025 proved to be exceptionally positive for global financial markets. Stock prices rose, driven by easing trade conflicts, ongoing AI enthusiasm, and expectations of falling U.S. interest rates.
Growth stocks (+8.6%) continued to outperform value stocks (+6.0%), but the real story unfolded in the emerging markets (+11.0%), which outperformed developed nations. China led the recovery, thanks to a trade truce with the U.S. and renewed technology optimism. Key highlights include:
Hang Seng Tech Index: rose by 22.1%.
MSCI Asia excluding Japan: rose by 11.1%.
Taiwan & Japan: gained 14.7% and 11.0% respectively, with Japan benefiting from a weak yen and new trade agreements with the U.S.
"The technology-driven rally in Asia serves as a reminder that diversification beyond local markets is crucial to capture high growth cycles."
Our suggestions: Strategic steps for Q4
To benefit from these changes, we propose the following:
Real estate review: Review your real estate portfolio. Are there renovations you have postponed? Plan them now to maximize tax benefits before 2028.
Rebalance technology engagement: With the massive rise of the Hang Seng Tech Index, it may be time to take profits or rebalance your portfolio to maintain your desired risk profile.
Analyze growth in Asia: If your portfolio is heavily focused on domestic or US stocks, consider whether the current momentum in Taiwan and Japan justifies an increased allocation to Asia.
Schedule a meeting with our advisors
Tax transitions and rapid market gains require expert navigation. Whether you are planning a renovation of your home or adjusting your global investment strategy, we are here to help.
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