The Swiss Private Bankers Association says it takes a positive view towards the new law that will establish a financial regulatory body over...

The Swiss Private Bankers Association says it takes a positive view towards the new law that will establish a financial regulatory body overseeing a number of existing agencies.

The new body, to be called the Federal Financial Market Supervisory Authority, would encompass three public entities: the Federal Banking Commission, the Federal Office of Private Insurance and the Money Laundering Control Authority.

FINMA is due to be established in 2008 and a bill to this effect is currently going through the Swiss parliament.

“We have a positive view of the bill (FINMAG),” Michel Derobert, director general of the Swiss Private Bankers Association told WealthBriefing.

“The new law will, however, be a kind of framework law, defining how the new (integrated) financial regulator will function. We agree with what we see in the bill and, especially with the comments presented by the Federal Council to the parliament.”

Mr Derobert said that the main laws applicable to private banking such as the banking law and the anti-money laundering law will remain in force.

“These laws will by-and-large be unaffected by the new law,” he said.

In a recent statement on the SPBA’s website, the new law was also welcomed as it will establish an authority with considerable strength and independence.

“FINMA will be subjected to a high level of monitoring by parliament. It is in the interest of the Swiss financial sector to be able to count on an integrated monitoring authority with a strong structure,” said the SPBA statement.

SPBA also said a unified body will enable Switzerland to negotiate with international bodies with greater authority and clarity.