Compliance
Compliance Corner: FINMA

The latest compliance news: regulatory developments, punishments, guidance, permissions and new product and service offerings.
FINMA, the Swiss
financial regulator, said yesterday that it has completed its
preparations for two major pieces of legislation designed to
oversee fund managers, trustees, client advisors and other
industry groups. Swiss authorities are rolling out a series of
industry regulations covering sectors including external asset
managers.
The watchdog said it has completed its preparations for putting
the Financial Institutions Act (FinIA) and Financial Services Act
(FinSA) into force.
FINMA announced yesterday that it has licensed a fifth
supervisory organisation and authorised a third registration
body. It has licensed the Schweizerische Aktiengesellschaft für
Aufsicht – to give its full name - as the fifth supervisory
organisation. FINMA also gave the green light to PolyReg
Services, based in Zurich, as a registration body for client
advisors.
The regulator said it has no other pending applicants wishing to
become supervisory organisations (SO).
FINMA has licensed 11 portfolio managers to date; portfolio
managers and trustees must apply for a licence from FINMA by the
end of 2022, which includes proving that they are affiliated to a
supervisory organisation. They can continue to operate until a
licensing decision has been made, provided that they are also
affiliated to a self-regulatory organisation.
Portfolio managers and trustees who start operating in 2020 must
register with FINMA without delay. They must be affiliated to an
SO by 6 July 2021 at the latest and submit a licence
application.
With regard to client advisors, a total of three registration
bodies keep registers of advisors. Client advisors of financial
service providers, which are not subject to prudential
supervision, must register by 20 January 2021.