Switzerland to Remove EU from Stock Exchange Protection List

In a significant move, Switzerland's Federal Council declared on Wednesday that the European Union will no longer be on the stock exchange protection list starting May 1, 2025. This decision marks a pivotal shift in the financial landscape between Switzerland and the EU.

Background and Implications

Originally implemented in 2019, the protective measure was designed to safeguard the Swiss stock exchange infrastructure from the EU's non-recognition of the equivalence of Switzerland's stock exchange regulations. However, following the EU's adjustment of its legal basis in the spring of 2024, the necessity for such protection has diminished. This development is anticipated to have a positive impact on Swiss businesses, offering them a more favorable environment for growth and collaboration.

Future Endeavors

The Federal Council emphasized Switzerland's ongoing commitment to seeking recognition of equivalence and enhancing market access for financial service providers through regulatory dialogue with the EU. This approach underscores Switzerland's dedication to fostering a robust and cooperative financial relationship with the European Union.