Swiss Private Banking

Traditional, Competent and International.

"The secret of money is to hang on to it long enough to hear what it has to say"

Swiss Banks have a centuries-old tradition of asset management and over time have developed a fine-tuned sensitivity for the markets and the needs of their clients. Swiss banks currently hold around 3.400 billion Swiss francs in assets under management. Well over half of this money belongs to people who do not live in Switzerland. This gives us more than 30% of the global market for cross-boarder asset management - no other country looks after foreign assets on that sort of scale. The attributes to this clear international leadership is the professional services, a solid foundation, privacy and an international outlook. These are the crucial drivers of success for Swiss private banking. And it goes without saying that good economic and political operating conditions in Switzerland have a part to play.

Switzerland is currently in negotiations with the European Union (EU) about an interest taxation agreement. Three years ago, the EU decided to introduce an automatic exchange of information on cross-boarder interest payments to private individuals. At the same time, it demanded equivalent solutions from countries outside the EU. Switzerland's response was to propose the introduction of a type of source tax, whereby financial institutions would pay a certain proportion of interest income to their clients' countries of origin - but without giving the names of the clients concerned. The EU has now basically recognised source tax as of equal value to its own system. As such, the integrity of Swiss bank client confidentiality is preserved.

Swiss banking secrecy or client confidentiality is so important to the Swiss financial industry. Bank client confidentiality protects the relationship of trust between bank and client. Our clients - not just from abroad but from Switzerland too - value our Swiss bankers legendary discretion. In a recent survey, 80% of Swiss people said that they were in favour of retaining bank client confidentiality regulations.

Future outlook. Since we live in an age of globalisation, the performances and professional advisory services are becoming more and more important and demanding. Therefore, we will be looking to serve our clients in the countries that they live in e.g. Asia, Pacific region - onshore banking. Therefore it is a vitally important factor that the focus of Aquila Partners Group is to be there where the client is as part of our services. This action will enable Swiss banks and financial institutions with an international presence to tap into new client segments. All in all, the future looks even brighter as long as the main attributes remain in place.

This vital piece of information is brought to you by Ms Daisy Rafoi, Partner, AIZ Aquila Invest Zurich Ltd (Member of the Aquila Partners Group) based on some of the extracts retrieved from the Swiss Banking Commission.