AFBS Group Legal&Compliance0. Guest

At 10.30,  Philipp Fischer, Avocat, Oberson Abels SA,  will discuss with us the SBA's Cloud Guidelines and its implications on banking secrecy and other relevant leagal issues. Oberson Abels SA has been invited by the SBA to hand in an legal opiniion on banking secrecy and cloud activities.

At 12  we welcome David Ledermann, Partner, Lenz&Staehelin, Geneva, on art lending (See Point 5 on the agenda) as a second guest.

Thomas Albert, BNP Paribas (Suisse) SA will join us for the meeting; he will give an account on Crypto Nation Switzerland (see Point 4 on the agenda).

1. Minutes

The Minutes of the AFBS Group meeting of 30 January 2019 were published on 12 February 2019.

2. SBA Legal Commission and Working Groups

2.1.  SBA Legal Commission and Working Groups

René Schwab will inform on the meetings of the SBA Legal Commission held on 16 April 2019. The Minutes of that meeting is published as Annex A1.

2.2.  esisuisse

Maria-Antonella Bino will inform on developments in esisuisse.

3. Partial Revision Banking Law and new Ordinance Financial market Supervision

There are several legal texts published for comments (see Annex A2). The draft partial revision of the Banking Law is of relevance, as it includes both the proposal to re-design the deposit insurance scheme and an adjustment to the Intermediated Securities Act to introduce the obligation for all custodians of intermediated securities to separate their own and clients' portfolios. The revision also proposes further amendments to regulate the main features of the restructuring procedure for banks by adjusting the FINMA FINMA Banking Insolvency Ordinance. As AFBS has not actively been involved in the pre-drafting working groups, we shall not comment on this part of the draft revision.

AFBS will hand in very short comments. The purpose of these comments is strengthening the financial sector’s position rather than proposing changes or a dissident view.

The documents can be downloaded from:

https://www.sif.admin.ch/sif/de/home/dokumentation/medienmitteilungen/medienmitteilung.msg-id-74246.html (German)

https://www.sif.admin.ch/sif/fr/home/dokumentation/medienmitteilungen/medienmitteilung.msg-id-74246.html (French)

 3.1. Deposit Insurance

The Deposit Insurance Act has been published for comments on 8 March 2019. Esisuisse and the SBA will comment; AFBS has decided to hand in its own comments (using the template made available by the Swiss Federal Department of Finance). Our proposal of draft comments do not differ from the SBA / esisuisse proposals, but help to reinforce the position of the banking sector.

Maria-Antonella Bino will introduce into the revision (see also Annex A3) and our comments, annexed as Annex A4 DE / Annex A4 FR.

3.2. Intermediated Securities Act

The revision rules the separation of intermediated securities to separate their own and clients' portfolios. René Schwarz will introduce into the proposal and our comments. Annex A5 DE Annex A5 FR

3.3. Others

The Federal Council published a new Ordinance on the Financial market Supervision. The documents can be found on 

https://www.sif.admin.ch/sif/de/home/dokumentation/medienmitteilungen/medienmitteilungen.msg-id-74867.html (German)

https://www.sif.admin.ch/sif/fr/home/dokumentation/medienmitteilungen/medienmitteilungen.msg-id-74867.html (French)

A short English summary is annexed as Annex A6.

The draft Ordinance specifies the tasks and responsibilities of FINMA in the international realm, defines its role and activities in the regulation and the cooperation between FINMA and the Swiss Federal Department of Finance.

4. Crypto Nation Switzerland

Thomas Albert (BNP Paribas (Schweiz) SA) has published an article on the Crypto Nation Switzerland, in which he summarises, reviews and assesses the regulatory framework. He will present his arguments and discuss. The Article in uploaded as Annex A7.          

5. Art Lending

HNWI have sometimes proposed to give a valuable piece of art as collateral for a credit. This poses quite different problems for the collateral management: insurance, custody, liquidity, haircut determination, etc.

David Ledermann, Partner, Lenz&Staehelin, Geneva, will give an introduction into the practice of art lending and discuss with us.

6. Miscellaneous

7. Next Meeting

Date and location of the next meeting are to be determined.