Today I am concluding my series of posts about money in Switzerland, and I would like to summarize all the most important topics that I have covered in these 8 posts. I continued my survey on the streets of Zurich and asked a passer-by who comes from a financial background 5 simple questions about finance in Switzerland. Want to know how he answered the questions? Watch my video!
https://youtu.be/_WR8eQNh9v4
I leave the most interesting facts we found out in my investigation below and hope you will need them when you decide to become an investor in Switzerland!
Short answer: “Postfinance, the financial services arm of the Swiss Post, has been designated too big to fail by the Swiss National Bank (SNB). It thus joins UBS, Credit Suisse, Raiffeisen, and Zurich Cantonal Bank. This means that the bank is so important to the wider economic system in Switzerland that its demise would cause unacceptable economic damage.” (Swiss info)
“Negative interest has been imposed across Europe to stop investors flooding into stable national currencies, such as the Swiss franc, and causing them to appreciate. A strongly valued national currency harms the activities of exporters and domestic tourism industries. In 2015, the Swiss National Bank introduced negative interest rates. The SNB had lowered its key policy interest rate to -0.75% in order to avoid a further appreciation of the Swiss franc, as per a report in Swiss info.”
“Switzerland has become one of the world’s most popular safe-haven investment destinations, but that popularity can sometimes lead to its currency and securities being overvalued during times of crisis. Investors can choose to invest through ETFs, ADRs, or individual company stock.”
“Esisuisse is the deposit insurance scheme that guarantees client money held with Swiss branches of banks and securities firms. If a deposit is no longer available in the event of a bankruptcy, all clients have their savings repaid by the liquidator up to a maximum of CHF 100 000. This limit applies per client and bank.”
“Banking secrecy is a conditional agreement between a bank and its clients that all foregoing activities remain secure, confidential, and private. Most often associated with banking in Switzerland.”
I hope to see you again on my blog and wish you prosperity and a lot of money!
Why has Switzerland become an island of financial paradise?
How to open an account in a Swiss bank? Part 1
How to open an account in a Swiss bank? Part 2
What the Swiss know about money: Where does the money come from?–Street Survey.
Which Swiss Bank is the best one?
The Secret of Negative Interest: Why do millionaires keep their money in the Swiss Banks?
Which Swiss Bank is the best? – Street Survey.
