Swiss National Bank (SNB) president Thomas Jordan has claimed that legal altercations have cast doubts on Swiss cross-border private banking activities, according to Bloomberg.
In a financial markets conference in Bern today, Jordan said that success globally depending on challenging institutions that are too big to fail. Moreover, he suggested that Switzerland’s two big, internationally active banks, UBS and Credit Suisse, to adhere to a capital standard more stringent than that set out in Basel III rules.
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Jordan said: "Great efforts are required to ensure that the Swiss banking centre can remain successful in the global arena in the future. It is the banks themselves which are mainly challenged."
In regards to the new information exchange regulation within the OECD, Jordan said: "Banks need to assume that bank secrecy in cross-border operations will be replaced by the automatic exchange of information. However, for honest tax-paying customers, protection of privacy and the associated legal certainty remains a legitimate concern."
