Registration body

Under the Financial Services Act, client advisers of financial service providers which are not subject to prudential supervision must now sign up to an adviser register. The registration body manages the adviser register.

The registration body must be licensed by FINMA before it can begin operations. FINMA may license several registration bodies, each of which manages one adviser register. A registration body must be organised in such a way that it can perform its tasks independently. The persons responsible for the management of the registration body must provide the guarantee of irreproachable business conduct, enjoy a good reputation and hold the necessary specialist qualifications. If more than one registration body is authorised, they must coordinate their practice.

What a registration body does

The registration body manages the adviser register and decides which client advisers to add to and delete from the register. Client advisers entered in the register must notify the registration body immediately of any changes in facts since registration..

Who is required to sign up to the register?

Client advisers of Swiss financial service providers which are not subject to prudential supervision in Switzerland must sign up to an adviser register to carry out their activities. Financial service providers may also be individuals who offer financial services in Switzerland or to clients in Switzerland on a commercial basis. Client advisers of foreign financial service providers also have to sign up to a Swiss adviser register provided that the financial service provider is not subject to prudential supervision in its country of origin, or if the services are also offered to individuals in Switzerland.

Supervision by FINMA and notification of changes

The registration body must notify FINMA in advance of any changes, such as a change to a member of ultimate management or changes to the organisational basis. However, they do not require approval from FINMA.

 

FINMA does not monitor the registration body on an ongoing basis. However, if FINMA becomes aware that the registration body no longer fulfils the requirements and is not managing the adviser register properly, FINMA will instruct the registration body to take the necessary steps to correct the deficiencies. If the registration body is unable to correct the deficiencies within an appropriate period, FINMA may revoke authorisation as a registration body.