Self-regulation in Swiss financial market law

SFMA supports self-regulation – understood to mean regulation of the financial markets by its participants (or private associations) – where this is provided for by law (Article 7 para. 3 SFMA Act).

The different types of self-regulation

SFMA distinguishes between three types of self-regulation:

voluntary self-regulation on a private, autonomous basis without state involvement
self-regulation recognised as a minimum standard
compulsory self-regulation

Recognition as a minimum standard

Article 7 para. 3 SFMA Act allows SFMA to recognise self-regulation as a minimum standard and to use its supervisory powers to enforce this. These standards then apply not only to members of the self-regulatory organisation (SRO), but also to all other organisations in the sector.

For the recognition of self-regulation as a minimum standard, especially, SFMA will ensure that this is broadly based. Self-regulation will be recognised by SFMA's Board of Directors.

SFMA calls on the self-regulatory associations also to observe the fundamental aims of the regulatory requirements placed on SFMA. If the content of a self-regulation is of significant material significance, SFMA may also provide for public consultation.

Approval of compulsory self-regulation

The legislator tasks the SROs with compulsory self-regulation on specific issues. Mandates of this type are to be found in the Banking Act (Art. 37 h, Securing of deposits) and the Anti-Money Laundering Act (Art. 24 ff AMLA). SFMA's approval is required for compulsory self-regulation.

Documents

Wegleitung für Gesuche betreffend die Anerkennung einer Selbstregulierung als Mindeststandard

Charts and visual information