Regulatory

With effect from 18 March 2016, FINMA introduced a new circular on video and online identification and amended the circular regarding guidelines on asset management. These changes are a first step to develop technology-neutral regulation and to reduce potential hurdles to technological innovation in the Swiss financial sector. By Katrin Ivell / Benjamin Leisinger (Reference: CapLaw-2016-21)

On 25 November 2015 the Federal Council released the final version of its implementing ordinance (“FMIO”) to the Swiss Financial Markets Infrastructure Act (“FMIA”). The FMIO provides for important clarifications and implementation provisions for, among other things, the new rules on derivatives trading provided for by the FMIA (including clearing, reporting and risk mitigation obligations)….

On 9 November 2015, the Financial Stability Board finalized its Principles on Loss-absorbing and Recapitalisation Capacity of G-SIBs in Resolution, including the Total Loss-absorbing Capacity (TLAC) Term Sheet. It introduces a new international standard for quantitative and qualitative requirements for external and internal TLAC as well as new disclosure requirements. By René Bösch / Benjamin Leisinger (Reference:…

By Jürg Frick / Tobias Aggteleky (Reference: CapLaw-2015-59)

On 1 January 2016, the revised Agreement on the Swiss banks’ code of conduct with regard to the exercise of due diligence (CDB 16) will come into effect. A revision of the former agreement from 2008 has become necessary due to the recently introduced broad revisions to anti-money laundering regulations (see CapLaw-2015-31). The CDB 16…

The topic of retrocessions has been in the focus of banks, asset managers, clients, pension funds, lawyers and the media ever since a verdict was given by the Federal Supreme Court in March 2006 (BGE 132 II 460). In their decision, the Federal Supreme Court decided that the retrocessions received by asset managers from banks belong to the…

On 5 June 2015, the European Commission recognised the Swiss (re)insurance supervision system as being fully equivalent with the Solvency II Directive. The European Commission recognised in particular the equivalence of the Swiss system in three areas, such as reinsurance, solvency calculation and insurance group supervision. By Petra Ginter (Reference: CapLaw-2015-42)

P.R.I.M.E. Finance is an arbitral institution specialized in the settlement of financial disputes that was established in The Hague in 2012. As a relatively novel arbitral institution it is not only facing promising opportunities but also difficult challenges. A hotly debated topic is P.R.I.M.E. Finance’s closed list of arbitrators from which the parties are obliged…

Pursuant to the Swiss Federal Supreme Court’s ruling 4A_138/2014 of 16 October 2014 (BGE 140 III 533), up-stream and cross-stream loans which are not at arm’s length block an intra-group lender’s freely distributable equity and limit dividend distributions in the amount of any such up-stream or cross-stream loan. In the same ruling, the Swiss Federal Supreme Court ended a…