Summary
The Federal Department of Finance (EFD) will submit a report to the Federal Council by the end of 2027 on optimizing Swiss financial market regulation. An external working group led by Monica Mächler is to examine the regulatory supervisory framework for administrative relief and redundancies. The review aims at stability, integrity, customer protection, and competitiveness, without affecting ongoing parliamentary measures for banking stability. The five-member expert group will consult affected industries and authorities and develop action recommendations.
People
- Monica Mächler (Working Group Leader, former FINMA Vice President)
- Rashid Bahar (Professor, University of Geneva)
- Mirjam Eggen (Professor, University of Bern)
Topics
- Financial market regulation
- Regulatory efficiency
- Swiss financial center
- Banking stability
Clarus Lead
The initiative aligns with global modernization trends in the financial sector, also driven by the Financial Stability Board (FSB). For the Swiss financial center, this signals a strategic reorientation: regulatory density is to be weighed against competitiveness – a balancing act that is critical, especially in times of international regulatory convergence. The working group signals that Switzerland not only wants to address stability risks but also ensure innovation capacity and cost efficiency of the financial industry.
Detailed Summary
The EFD is commissioning a highly qualified expert group to analyze the Swiss financial market regulation framework. Besides Monica Mächler, who brings deep regulatory experience as a former leading FINMA official, the group includes four other specialists: Rashid Bahar and Reto Föllmi contribute academic expertise from Geneva and St. Gallen, Mirjam Eggen has experience in acquisition matters, and Hans Kuhn adds a legal perspective. This composition combines regulatory practice, legal science, and capital market law.
In a preparatory phase, the working group will first conduct stakeholder consultations – banks, insurance companies, asset managers, and government authorities will be included. On this basis, it will develop analysis and concrete action recommendations for the EFD. The focus is on risk-appropriate and efficient regulation that eliminates redundancies and reduces administrative burdens without compromising protection standards. The final report with follow-up work recommendations is scheduled for the end of 2027.
Key Findings
- The EFD is launching a structured optimization process for financial market regulation with an 18-month horizon through the end of 2027
- An external expert group led by Monica Mächler is to identify efficiency potential and involve stakeholders
- The review aims to balance stability/customer protection and competitiveness of the financial center
Critical Questions
Evidence/Data Quality: What specific data on administrative burden does the EFD have, and how will cost reduction potential be measured?
Conflicts of Interest: To what extent could the inclusion of industry stakeholders lead to a deregulation bias, and how is the independence of the working group ensured?
Causality/Alternatives: Will the working group also examine scenarios where regulatory tightening (rather than relaxation) better ensures stability?
Feasibility/Risks: How will recommendations be prioritized if they conflict with EU regulatory standards or international FSB requirements?
Delimitation: Why are parliamentary banking stability measures explicitly excluded – is there a coordination risk here?
Time Horizon: Is an 18-month process sufficient for in-depth regulatory analysis, or is there pressure for premature recommendations?
Source Directory
Primary Source: Package Switzerland-EU (Bilateral III) – Optimize Financial Market Regulation – news.admin.ch, 01.07.2026
Verification Status: ✓ 01.07.2026
This text was created with the support of an AI model. Editorial Responsibility: clarus.news | Fact-Check: 01.07.2026