Investing in Liechtenstein

Investment options in Liechtenstein include shares, bonds, money-market instruments, investment funds and exchange-traded funds, structured products, derivatives, precious metals, real estate, private or alternative investments and tokenised assets or other crypto-assets. Covered bonds, known locally as Pfandbriefe, can also form part of the fixed-income range. These assets differ in expected return, liquidity, volatility, issuer risk, currency exposure and loss potential. A suitable combination depends on the investment goal, time horizon, ability to bear losses and need for accessible cash. Liechtenstein has no state-defined standard portfolio. Liechtenstein has no own regulated stock exchange under the European regulatory framework. Securities issued by Liechtenstein companies and products or intermediaries connected with Liechtenstein may instead be admitted to European or third-country exchanges, particularly Swiss trading venues. A private investor normally uses a securities custody account with a bank or broker. Other routes include investment advice, discretionary portfolio management, order reception and transmission, order execution, fund subscriptions, structured products, precious-metal accounts, futures, options and other derivatives. The Financial Market Authority Liechtenstein, commonly abbreviated as FMA, supervises licensed banks, securities firms, asset management companies, fund managers and alternative investment fund managers. An asset management company, or Vermögensverwaltungsgesellschaft, may provide portfolio management, investment advice, order reception and transmission, order execution and financial analysis, but it may not accept or hold client money. A securities firm may also conduct activities such as proprietary trading, placing or underwriting instruments and operating a multilateral or organised trading facility under the securities and trading-venue regime in force since 1 February 2025. Check the FMA register before opening an account or transferring money, including the listed Liechtenstein licence, any European Economic Area passporting right and, where relevant, the status of a Swiss provider under the applicable agreement. Funds may be organised as UCITS, also called OGAW, under the European Economic Area framework or as alternative investment funds managed by an AIFM, an alternative investment fund manager. Eligible funds can be marketed across borders through the required notification and passport procedures. Liechtenstein investment companies under the Investment Undertakings Act can serve an individual investor, a family, an interest group or a company group and may contain sub-funds, but these vehicles are intended for domestic use and cannot be marketed across borders as a general substitute for a passported fund. Access depends on residence, tax status, provider acceptance, know-your-customer and anti-money-laundering checks, the origin of the money, the classification as a retail or professional investor, suitability and appropriateness assessments and the authorisation of the product and market. A Liechtenstein address does not automatically provide access to every provider, exchange or product. A bank or depot bank normally holds securities in custody, while settlement may pass through a central securities depository and Swiss or European market infrastructure. A Liechtenstein bank example offers worldwide execution for shares, bonds and money-market instruments, funds, futures, options, derivatives, structured products and precious metals; that product range is not a national standard. Compare the total cost rather than only the visible order fee. Relevant items include brokerage, custody, management or advice fees, foreign-exchange charges, spreads, product costs such as the total expense ratio, third-party charges and applicable taxes. One published LLB single-fee example charges 0.30% per year for securities administration up to CHF 5 million, 0.25% above CHF 5 million and 0.20% above CHF 20 million, with a minimum of CHF 20 per custody account per quarter. The same example adds 0.10% per year for foreign securities outside Liechtenstein and Switzerland, 0.15% for physical custody, 0.40% for a gold, silver, platinum or palladium metal account and CHF 150 per delivered security position; third-party charges and levies are excluded. These figures illustrate one provider's tariff and do not establish a Liechtenstein-wide price. Private individuals in Liechtenstein may face wealth tax and income tax. The national income-tax tariff is progressive across eight brackets up to 8%, and the municipal surcharge ranges from 150% to 250%. Dividends and interest may be subject to foreign withholding tax, with crediting depending on the asset, taxpayer status and applicable double-tax treaty. Securities, crypto-assets and foreign-exchange positions may be valued using rates published or recognised by the Tax Administration. Tax returns are filed annually, commonly through eTax, but the exact treatment differs between assets, holders, residence situations and treaties. Companies generally face 12.5% income tax with a minimum of CHF 1,800; a private asset structure known as a PVS has no income tax but a minimum tax of CHF 1,800. These company rules do not automatically apply to private individuals or foreign taxpayers. Gains from selling domestic real estate can also be subject to real-estate gains tax. A public offer of securities generally requires a prospectus approved by the FMA before the offer and published in legally effective form. The FMA checks completeness, consistency and comprehensibility, not the truth of the investment case, product quality, business model or issuer solvency. The issuer remains responsible for its statements, and a prospectus is generally valid for 12 months. An offer up to EUR 8 million, or the CHF equivalent, during a 12-month period may qualify for a prospectus exemption, but only when the statutory conditions are met; other exemptions can restrict the target group, distribution or secondary trading. Investor protection depends on what has failed and which legal protection applies. The deposit guarantee administered by EAS can cover up to CHF 100,000 per depositor and bank within the applicable participant and claim conditions. Investor compensation can reach a maximum of CHF 30,000 in a qualifying compensation event. These schemes do not protect against a falling market price, an issuer default outside the covered case, a poor investment decision, crypto-asset losses or ordinary market risk. A complaint should first use the relevant dispute-resolution body before ordinary civil proceedings where the applicable procedure requires that step. Crypto-assets require a separate regulatory check. MiCAR, the European crypto-asset regime, has applied since 2025, while the TVTG remains relevant for activities outside MiCAR. The first Liechtenstein crypto-asset service providers authorised under MiCAR appeared in December 2025. The transition ended on 1 July 2026, and TVTG registrations for activities requiring MiCAR authorisation ceased to apply from 2 July 2026. Check the provider's CASP authorisation and the European Securities and Markets Authority register. A TVTG information document or an FMA notification is not approval of the product; it does not confirm the accuracy of the information or the soundness of the business model. The main risks include market volatility, interest-rate and duration risk, share-price and issuer-credit risk, currency movements in CHF, EUR, USD or other currencies, concentration, illiquidity and wide spreads, counterparty and custody-chain risk, fund net-asset-value and redemption risk, leverage and margin calls, derivative losses, structural and complexity risk, legal, tax and regulatory change, cybercrime and fraud, unauthorised providers, token-key and blockchain failures and stablecoin depegging. A total loss is possible for some investments. Inflation can reduce purchasing power, and cross-border insolvency or enforcement can complicate recovery. Keep the prospectus, key information document, risk notices, custody statements, orders, fee records and tax documents, and provide complete information about identity, tax status and the source of funds to the provider.