Following the sale of Credit Suisse, Switzerland’s second-largest bank, the debate about the financial system and Switzerland’s banking system continues. As you know, Credit Suisse was acquired by its big rival UBS in March. (Let’s not forget that UBS was also bailed out by the Swiss government during the 2008 financial crisis).
According to a study released by Deloitte in 2021, Switzerland was managing $2.6 trillion in assets. This makes the country the largest financial center ahead of the UK and the US. But there are other contenders for Switzerland’s throne besides the UK and the US, such as Luxembourg and Singapore, which have grown rapidly in recent years.
In fact, the trend has long been for Switzerland to lose its financial power. Moreover, decisions such as writing off the assets of bondholders in the Credit Suisse case and the tightening of controls on tax evasion cases seriously damaged confidence and reduced interest in Swiss Banking System.
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