Federal Council wishes to boost Switzerland’s appeal as a fund location

Bern, 05.09.2018 – The Federal Council wishes to improve the appeal of Switzerland as an investment fund location. During its meeting on 5 September 2018, it instructed the Federal Department of Finance (FDF) to draw up a proposal for a corresponding legislative revision by mid-2019. The new provisions will facilitate the market launch of innovative products.

As a globally important financial centre, Switzerland could make even greater use of its potential in the area of collective investments. The Federal Council wishes to improve Switzerland’s competitiveness relative to competing foreign financial centres.

With the introduction of a category of funds that are not subject to approval by the Swiss Financial Market Supervisory Authority (FINMA) in the Collective Investment Schemes Act, innovative products could be placed on the market much more quickly and cost-effectively. This new category of funds (Limited Qualified Investment Funds or L-QIF) would be reserved for qualified investors such as pension funds and insurers. The proposal, which will be subject to a consultation procedure, addresses a financial sector concern that is also supported by a recently submitted parliamentary procedural request (Noser motion 18.3505).

Source: Confederazione Svizzera