Regulatory

Legal Developments in Financial Market Regulation.

  • FINMA Grants Banking Licenses to New Swiss Crypto Banks, Introduces New Strict AML Rules regarding Payments on Blockchain

    On 26 August 2019, the Swiss financial regulator FINMA granted full banking and securities dealer licenses to two new financial institutions focusing on services in the area of crypto currencies and other digital assets. At the same time, FINMA issued new guidance on its interpretation of Swiss anti-money laundering regulation in respect of digital token…

    By

    Daniel Flühmann

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    Rashid Bahar

    Reference:
    Read more: FINMA Grants Banking Licenses to New Swiss Crypto Banks, Introduces New Strict AML Rules regarding Payments on Blockchain
  • Swiss Financial Market Supervisory Authority Publishes New Guidelines for “Stable Coins”

    Against the backdrop of the growing number of projects for so-called “stable coins” since mid-2018, the Swiss Financial Market Supervisory Authority (FINMA) on 11 September 2019 published new guidelines explaining the regulatory qualification of tokens that are linked to underlying assets such as fiat currency, commodities or securities with the goal to minimise fluctuations in…

    By

    Martin Peyer

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    Gadi Winter

    Reference:
    Read more: Swiss Financial Market Supervisory Authority Publishes New Guidelines for “Stable Coins”
  • Swiss Withholding Tax – Quo Vadis?

    On 26 June 2019, the Federal Council approved the objectives and key figures for a withholding tax reform. The Federal Council wants to strengthen the Swiss debt capital market and to extend the safeguard purpose for Swiss individuals. Interest payments to Swiss entities and foreign investors shall be exempt from withholding tax. For Swiss resident…

    By

    Alexandra Hirt

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    Read more: Swiss Withholding Tax – Quo Vadis?
  • Board Composition and Ownership Structure in Switzerland – The Empirical Evidence

    The theory and practice of corporate governance and capital markets suggest that certain organizational structures of listed companies are to be considered superior to others or even best practice. This article critically reviews the mainstream doctrine and reports on the results of my own empirical research on corporate governance of publicly-traded companies with access to…

    By

    Valentin Jentsch

    Reference:
    Read more: Board Composition and Ownership Structure in Switzerland – The Empirical Evidence
  • Digital Assets – Proposed Amendments to the Legal and Regulatory Framework of Distributed Ledger Technology in Switzerland

    Switzerland targets adjustments of the existing legal and regulatory framework of distributed ledger technology (DLT). The Federal Council initiated consultation on proposed amendments to, inter alia, civil law (including securities law), insolvency law, financial market law, and anti-money laundering regulation on 22 March 2019. This article summarizes the key points of the suggested adjustments and…

    By

    Luca Bianchi

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    Fabio Andreotti

    Reference:
    Read more: Digital Assets – Proposed Amendments to the Legal and Regulatory Framework of Distributed Ledger Technology in Switzerland
  • Reporting of Beneficial Ownership in Unlisted Companies according to Article 697j CO – Some Open Points

    On July 1, 2015, new rules regarding reporting of beneficial owners of unlisted companies entered into force in Switzerland (for general remarks on the rules see CapLaw-2015-55). Even four years after their implementation, there are still a number of open questions in practice as regards the application of these rules, both from the perspective of the…

    By

    Alexander Wille

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    Lukas Held

    Reference:
    Read more: Reporting of Beneficial Ownership in Unlisted Companies according to Article 697j CO – Some Open Points
  • Corporate Tax Reform – Capital Contribution Principle for Swiss-listed Companies

    On 28 September 2018 the Swiss Parliament approved the final draft bill regarding the corporate tax reform which includes major changes for Swiss-listed companies in relation to the distribution of dividends paid by repayment of capital contribution reserves. It is proposed that Swiss-listed companies may only pay withholding tax-free capital contribution reserves if in the…

    By

    Elga Reana Tozzi

    Read more: Corporate Tax Reform – Capital Contribution Principle for Swiss-listed Companies
  • Replacement of LIBOR – An Approach for the Swiss retail lending market

    The discontinuation of LIBOR, announced for the end of 2021, is foreseeable. At the same time, for lack of suitable alternatives, LIBOR is still the dominant reference rate in the Swiss retail lending market for floating rate borrowings. As a result, Swiss banks active in the mortgage lending market already now face the challenge to…

    By

    René Bösch

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    Benedikt Maurenbrecher

    Read more: Replacement of LIBOR – An Approach for the Swiss retail lending market
  • The Proposed Strengthening of Group Action in Swiss Civil Procedure

    In Switzerland, plaintiffs are forced to litigate their claims in court individually, even if they are part of a group that is affected by the same underlying damaging event. In the context of the ongoing partial revision of the Civil Procedure Code the Swiss Federal Council is seeking to facilitate actions for damages for large…

    By

    Thomas Werlen

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    Remo Decurtins

    Reference:
    Read more: The Proposed Strengthening of Group Action in Swiss Civil Procedure