In October 2026, Le Figaro reported net withdrawals from Livret A and LDDS accounts despite an interest rate increase over the summer. With the Livret A paying 1.7% below inflation, it illustrates a familiar paradox: putting your money in an account considered safe does not necessarily protect its purchasing power.
Wealth management and personal finance sit at this crossroads, between the reassurance of caution and strategies that genuinely preserve the value of savings over the long term.
Negative real returns: the cost of leaving savings untouched
For most French households, the default remains precautionary savings in regulated accounts. The perceived complexity of investments discourages diversification.
The problem is not the savings account itself. It is leaving all your available capital there, beyond the emergency reserve you actually need. When inflation outpaces the interest rate, every month of inaction reduces the real value of your capital.
Separating short-term cash reserves from assets intended to grow is the first key decision. Keeping a few months’ worth of everyday expenses in a savings account provides a safety net. Beyond that, your money sits idle and loses value. Among Investissement Patrimoine’s financial advice, this distinction between precautionary savings and capital to invest is a recurring prerequisite for any wealth strategy.
Asset allocation: balancing real estate, financial investments and alternative assets
Asset allocation determines both a portfolio’s risk level and its return potential. Three broad asset classes feature in every strategy: real estate (directly or through SCPI property funds), financial investments (life insurance, PEA equity savings plans and securities accounts), and diversification assets.
Real estate and SCPI: a tangible foundation
Real estate remains the traditional cornerstone of French household wealth. Direct rental investment gives you full control over the property, but requires time to manage and a substantial initial outlay. SCPI property funds provide access to the real estate market with a lower entry cost and professional management.
The choice between the two depends on how much time you have, your tolerance for rental vacancies and your borrowing capacity. The two approaches are not mutually exclusive.
Life insurance and PEA: understand the tax wrappers before investing
Life insurance and PEA equity savings plans benefit from specific tax treatment. The tax advantages of these wrappers are not set in stone: regulations evolve, and there is no guarantee that current conditions will last.
Building a wealth strategy solely around a tax advantage is risky. The wrapper should match your investment horizon and your goal—retirement, passing on wealth or a medium-term project—not just tax optimisation.
Wealth taxation: the rules change, and your strategy must keep up
Proposals regularly raised in public debate include reassessing the tax regimes for life insurance and PEA plans. These proposals have not yet been enacted into law, but they point to a broader trend.
Anticipating tax changes is part of wealth management. An investment that makes sense today may lose some of its appeal if the tax framework changes. Diversifying not only your assets but also the tax wrappers that hold them can help hedge against regulatory risk.
- Multi-support life insurance: lets you combine euro funds (capital guaranteed) and unit-linked funds (higher return potential, capital not guaranteed), with reduced taxation after eight years.
- PEA: a wrapper for European equities, with capital gains exempt from income tax after five years (excluding social security contributions), but subject to a contribution cap and withdrawal restrictions.
- Direct real estate investment or SCPI property funds: rental income is subject to income tax, with deductions for expenses and depreciation available depending on the chosen tax regime.
Passing on wealth: age makes it an urgent consideration
Insee has documented changes in the average age at which wealth is passed on in France. Heirs are receiving inheritances later and later, changing the equation for both donors and beneficiaries. Giving earlier lets you make use of current tax allowances and gives the transferred capital time to make a tangible difference in beneficiaries’ lives.
Making gifts in advance remains one of the most underused wealth management tools. Tax allowances reset periodically, making it possible to spread gifts over time. Waiting until retirement to consider this means missing out on opportunities to use those allowances.
Passing on wealth is not just a concern for high-net-worth households. If you own real estate or have a life insurance policy, structuring the beneficiary clause or considering a split ownership arrangement can reduce the tax burden on your heirs.
Set your wealth goals: the first filter before choosing any investment
Before choosing a product, start by considering your time horizon and what you want to achieve. Saving for retirement, funding your children’s education, generating additional income or protecting a spouse all call for different investments and different levels of risk.
- Short-term horizon (under three years): regulated savings accounts or euro funds, prioritising liquidity and capital preservation.
- Medium-term horizon (three to eight years): a mix of bond funds, SCPI property funds and lower-risk unit-linked funds, with the balance of risk and return tailored to your goal.
- Long-term horizon (over eight years): greater exposure to equities through a PEA or unit-linked life insurance, as well as rental property, with the capacity to ride out market cycles.
An investment is only as relevant as the goal it serves, not the return it advertises in isolation. A product that performs well over ten years may be unsuitable if you need access to the capital in two. Wealth management starts with this framework, long before you choose a policy or an adviser.
