April 7 2016
At its annual media conference today, the Swiss Financial Market Supervisory Authority FINMA presented the benefits of risk-oriented supervision and a principle-based approach to regulation. Focusing on increased money laundering risks in the Swiss financial centre, it pointed out the need for more rigorous supervision. It also called for greater efforts on the part of supervised institutions: banks should consistently report suspicious client relationships and transactions.
FINMA’s CEO, Mark Branson, spoke in detail about increased money laundering risks, in particular with regard to client assets from emerging countries. While money laundering is a global problem, Switzerland, as the world’s largest wealth management location, is especially exposed. In addition to more rigorous supervision, this requires supervised institutions to deal with money laundering risks responsibly and consistently. Branson asks the banks to rethink how they report suspicious transactions and client relationships to the criminal prosecution authorities. He believes that a bolder and more systematic approach to the reporting system would make the fight against money laundering more effective and strengthen the financial centre’s reputation.