The blazon of the municipal coat of arms is Per Pile Or and Gules three Pales wavy Argent.

It was first mentioned in 1374 as Swanden when the Lords of Kien sold it to the von Scharnachtal family from Bern.

The von Scharnachtal family held it until 1568, then sold it to the city of Bern.

Beginning in the 19th century, small wood carving shops provided another source of income.

Today, agriculture is a sideline business or hobby and many of the residents work in wood carving, carpentry or at a violin bow factory.

Other residents commute to jobs in Interlaken or at the Ballenberg Open Air Museum.

[4] The village and fields were often damaged when the Schwander and Lammbach rivers flooded.

Beginning in the 1890s flood control projects protected the village from the rivers.

The northern border of the municipality is formed by the peaks of the Brienzer Rothorn and Arnihaaggen.

The three streams Glyssibach, Schwanderbach, and Lammbach flow off the slopes of these mountains through the town and lead soon thereafter to Lake Brienz.

[10] Most of the population (as of 2000[update]) speaks German (581 or 96.0%) as their first language, Serbo-Croatian is the second most common (6 or 1.0%) and Italian is the third (4 or 0.7%).

[9] Of the population in the municipality, 197 or about 32.6% were born in Schwanden bei Brienz and lived there in 2000.

In the tertiary sector; 1 was in wholesale or retail sales or the repair of motor vehicles, 1 was in the information industry, and 2 were technical professionals or scientists.

[10] From the 2000 census[update], 70 or 11.6% were Roman Catholic, while 449 or 74.2% belonged to the Swiss Reformed Church.