Financial advisors must comply with the following action list to be allowed to continue operating under the newly enacted Federal Act on Financial Services (“FINSA”) and Federal Act on Financial Institution (“FINIA”) and their respective ordinances on 1st January 2020...

SWITZERLAND: DEADLINES APPROACHING – SWISS FINANCIAL ADVISORS, BE READY!

Wealth managers and trustees in activity prior to 1st January 2020 must comply with the following action-list to benefit from the grandfathering safe harbour (which will allow them to continue operating) under the newly enacted Federal Act on Financial Services (“FINSA”) and the Federal Act on Financial Institution (“FINIA”) and their respective ordinances.

DEADLINES APPROACHING – FINMA LICENSED FINANCIAL INSTITUTIONS, BE READY!

The authorisation process for portfolio managers and trustees following the entry into force of the Federal law on Swiss Federal Act on Financial Institutions (“FinIA”) on 1 January 2020 will be handled exclusively via FINMA’s new EHP survey and application platform

Significant decrease in corporate tax from 24.2% to 13.99% in Geneva, Switzerland. On 19 May 2019 Swiss voters have accepted the Federal Act on Tax Reform and AHV Financing (social charges) (“FAAF”). At the same time, the canton of Geneva has amended its companies taxation act to implement the FAAF.

The Dubai Free Zone Counsel (the “DFZ Council”) has tentatively agreed at their 12th meeting to permit companies operating in a Free Zone to operate in other Free Zones in Dubai without the need for multiple licenses and separate office spaces. This initiative, along with other initiatives such as the Foreign Investment Law (Federal Law no. 19 of 2018), which allows foreign shareholders to own up to 100% of the shares in companies within the mainland in certain economic sectors, can be seen as a way to encourage foreign investment into Dubai and invite more businesses to open in both the mainland and Free Zones.

A prohibition of competition clause is binding for the employee only when the employment relationship allows the employee to have knowledge of the employer’s clientele and that such knowledge might cause the employer substantial harm (Section 340 para. 2 of the Swiss Code of Obligations).