Supervision FINMA calls for clear strengthening of its competencies
The Swiss Financial Market Supervisory Authority FINMA is once again calling for more powers and wants to make even greater use of its discretionary powers. It needs a clear legal basis so that it can intervene earlier in the event of irregularities.
08.04.2025, 09:53
08.04.2025, 10:13
SDA
Last year, the authority once again concluded more proceedings against financial institutions.
At the annual media conference in Bern on Tuesday, Finma's Chairman of the Board of Directors Marlene Amstad emphasized that it is not generally about more rules. Rather, it is about "greater consequences for violations of the existing rules."
In addition to a clear legal basis for early intervention, the supervisory authority is also calling for the authority to issue fines, the possibility of more active public communication about its supervisory activities and a clear accountability regime for bank and insurance managers. "Anyone who adheres to the rules does not have to fear Finma's authority to impose fines, for example," says Amstad.
38 proceedings concluded
Last year, FINMA concluded 38 enforcement proceedings against financial institutions and natural persons, compared to 27 in the previous year. The public was informed about five completed proceedings and one bankruptcy proceeding. In the area of law enforcement, FINMA conducted 733 investigations.
In addition, the authority carried out a total of 111 inspections at banks, 55 at insurance companies and 20 in the area of asset management last year. In addition, stress tests were carried out on mortgage portfolios and interest rate risks, for example: Where the stress tests led to unsatisfactory results, Finma took measures, it says.
Focus on CS integration
Finma focused on the major bank UBS, with activities being dominated by the integration of Credit Suisse. Around 40 on-site inspections were carried out in Switzerland and abroad. In addition to the regular dialog, an intensive exchange was also maintained with the bank on integration issues.
In terms of non-financial risks, Finma continues to see cyber risks as a major risk for financial institutions. The number of reports of cyber attacks has risen by 30 percent compared to the previous year. The outsourcing of key functions to service providers has also increased significantly - Finma wants to take a closer look at these outsourcing risks.
Finma's operating costs increased significantly, which according to the authority was not least due to additional tasks resulting from the implementation of the new financial market laws Fidleg and Finig. At CHF 154 million, total operating expenses were CHF 12 million higher than in the previous year.
The number of employees was also significantly higher at an average of 634 full-time equivalents, compared to 583 in the previous year. Here too, FINMA refers to the additional tasks and the increased demands on supervisory activities.
