Swiss Financial Market Supervisory Authority
(FINMA)Regulatory Snapshot
The Swiss Financial Market Supervisory Authority is Switzerland's independent financial markets regulator. Established in 2009 by merging three predecessor agencies, FINMA oversees banks, insurance companies, stock exchanges, securities dealers, and collective investment schemes. FINMA is widely recognised as the most respected regulatory body in continental Europe, and its requirement that forex brokers register as banks places it among the strictest regulators globally.
About FINMA
FINMA is the integrated financial market supervisory authority of Switzerland, established on 1 January 2009 through the merger of the Federal Banking Commission, the Federal Office of Private Insurance, and the Swiss Anti-Money Laundering Control Authority. This consolidation created a powerful, unified regulator with broad oversight capabilities across all financial sectors.
Regulatory Framework
What sets FINMA apart from most global regulators is its requirement that forex brokers operating in Switzerland must be registered as banks. This banking licence requirement imposes significantly higher capital reserves and operational standards compared to standard forex broker licensing in other jurisdictions. FINMA has been granted exclusive powers by the Swiss Government to act as the regulatory watchdog for all types of financial firms, including stock exchanges, forex brokers, banks, insurance companies, securities dealers, and fund managers.
Investor Protection
Switzerland's depositor protection scheme, administered by esisuisse, provides coverage of up to CHF 100,000 per client in the event of a bank failure. Combined with Switzerland's renowned banking secrecy standards and strict capital adequacy requirements, FINMA-regulated brokers offer some of the highest levels of client protection available globally.
Global Reputation
FINMA's stringent standards have made it a preferred regulator among institutional traders and high-net-worth individuals. The association with Swiss precision, stability, and financial expertise reinforces trust in FINMA-authorised firms, making it one of the most prestigious regulatory licences a financial services firm can hold.
- Depositor protection up to CHF 100,000 through esisuisse
- Forex brokers must be registered as banks — imposing higher capital requirements
- Swiss banking secrecy and confidentiality standards
- Strict capital adequacy and solvency requirements
| Instrument | Retail | Professional |
|---|---|---|
| Major Forex | 1:100 | 1:100 |
| Minor Forex | 1:100 | 1:100 |
| Gold | 1:100 | 1:100 |
| Indices | 1:100 | 1:100 |
| Shares CFDs | 1:20 | 1:20 |
| Crypto | 1:2 | 1:2 |
Restricted Countries
Switzerland is not part of EU but has bilateral agreements. FINMA requires banking licence for forex brokers.
Body: Swiss Banking Ombudsman
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