Tools

In order to fulfil its statutory mandate of protecting financial market clients and the functioning of the financial markets, FINMA must have the necessary tools and powers at its disposal. This requirement is in line with the demands set out in the Federal Council’s TBTF report, the final report of the PInC on the emergency takeover of CS and the Federal Council’s parameters for amendments to the Banking Act.

Systemically important financial institutions can jeopardise entire economies in the event of a disorderly failure and are therefore regarded as “too big to fail” (TBTF). The Swiss legislator promulgated special rules for the recovery and resolution of such institutions in response to the financial crisis of 2007/2008. Following the UBS takeover of CS, the Federal Council recognises that it needs to revisit these rules and amend the banking legislation.

FINMA follows up information it receives on suspected violations of supervisory law and takes action to restore compliance, making use of coercive administrative measures under supervisory law where necessary.

FINMA’s reporting creates transparency about its enforcement activities. It publishes summaries of selected rulings. It also publishes databases of anonymised enforcement actions that were concluded with a ruling, as well as key court rulings that concern its enforcement decisions.