WORLD TRADE GATS/SC/83/Suppl.4
26February 1998
ORGANIZATION(98-0706)
Trade inServices
SWITZERLAND
Schedule ofSpecific Commitments
Supplement 4
(This isauthentic inEnglish andFrench only)
_______________
Thistextreplaces theFinancial Services section contained indocument
GATS/SC/83/Suppl.1/Rev.1.GATS/SC/83/Suppl.4
Page2SWITZERLAND
SCHEDULE OFSPECIFIC COMMITMENTS
Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
7. FINANCIAL SERVICES
Commitments onbanking, securities andinsurance services areinaccordance withthe"Understanding onCommitments inFinancial Services" (hereafter
"Understanding") andsubject tolimitations andconditions ascontained inPartI(horizontal commitments) andaslisted below. Itisunderstood that
paragraph B.4ofthe"Understanding" does notimpose anyobligation toallow non-resident financial services suppliers tosolicit business.
Insurance and
Insurance-Related ServicesMonopoly rights asindicated inparagraph
B.1ofthe"Understanding": apublic
monopoly onfireandnatural damage
insurance onbuildings exists inthe
following cantons: Zurich, Berne,
Lucerne, Nidwalden, Glaris, Zoug,
Fribourg, Soleure, Bâle-Ville,
Bâle-Campagne, Shaffhouse, Argovie,
St-Gall, Grisons, Appenzell Rhodes
Extérieures, Thurgovie, Vaud, Neuchâtel,
Jura. Inthecantons ofNidwalden and
Vaud, thepublic monopoly onfireand
natural damage insurance covers also
movable property located inthebuildings.GATS/SC/83/Suppl.4
Page3Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
(1)Transactions asindicated inparagraph B.3
ofthe"Understanding": theunderwriting
ofaircraft liability insurance requires a
commercial presence inSwitzerland.(1)Acquisition ofrealestate byforeigners is
limited asindicated inPartI;however,
foreign orforeign-controlled insurance
companies aregranted authorization to
invest inrealestate, provided thetotal
value ofthebuyer 'sproperty does not
exceed thetechnical reserves required for
thecompany 'sactivities inSwitzerland, as
wellastoacquire property thatserves asa
security formortgage loans incaseof
bankruptcy orliquidation.
(2)Transactions asindicated inparagraph B.4
ofthe"Understanding": theunderwriting
ofaircraft liability insurance requires a
commercial presence inSwitzerland.(2)NoneGATS/SC/83/Suppl.4
Page4Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
(3)Representative offices cannot conduct
business oractasanagent; forinsurance
companies incorporated inSwitzerland,
thelegal form ofajoint-stock company
(Aktiengesellschaft, société anonyme) ora
mutual association (Genossenschaft,
société cooperative) isrequired; for
branches offoreign insurance companies,
thelegal form oftheinsurance company
inthehead office country must be
comparable toaSwiss joint-stock
company ortoaSwiss mutual association;
participation inthebasic health insurance
scheme requires health insurance suppliers
tobeorganized inoneofthefollowing
legal entities: association (Verein,
association), mutual association,
foundation (Stiftung, fondation) or
joint-stock company; participation inthe
statutory pension funds scheme
(Berufsvorsorge/ prévoyance
professionnelle) requires pension funds to
beorganized intheform ofamutual
association orafoundation.(3)Aminimum ofthree years ofexperience
inthedirect insurance business inthehead
office country isrequired; acquisition of
realestate byforeigners islimited as
indicated inPartI;however, foreign or
foreign-controlled insurance companies are
granted authorization toinvest inreal
estate, provided thetotal value ofthe
buyer 'sproperty does notexceed the
technical reserves required forthe
company 'sactivities inSwitzerland, as
wellastoacquire property thatserves asa
security formortgage loans incaseof
bankruptcy orliquidation.
(4)Unbound except asindicated inPartI (4)Unbound except asindicated inPartIGATS/SC/83/Suppl.4
Page5Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
Banking andOther Financial
Services
(excluding insurance)Monopoly rights asindicated inparagraph
B.1ofthe"Understanding": twomortgage
bonds issuance institutes have been
granted anexclusive right fortheissuance
ofspecific mortgage bonds (Pfandbrief,
lettre degage); withregard tothefirst
institute onlySwiss cantonal banks are
accepted asmembers; inthecaseofthe
second institute banks withhead office in
Switzerland whose national mortgage loan
business amounts toatleast 60percentof
thebalance sheet canbemembers; the
issue ofother mortgage-backed bonds is
notaffected bythisregulation.
(1*)Foreign investment funds canonlybe
marketed ordistributed through alicensed
representative agent resident in
Switzerland; Swiss franc denominated
issues canbelead-managed onlybya
bank orasecurities dealer having a
commercial presence (except
representative office) inSwitzerland.(1)Acquisition ofrealestate byforeigners is
limited asindicated inPartI;however,
foreign orforeign-controlled banks are
granted authorization toacquire property
thatserves asasecurity formortgage
loans incaseofbankruptcy orliquidation;
theissue offoreign collective investment
funds issubject tostamp duty.
(2)Swiss franc denominated issues canbe
lead-managed onlybyabank ora
securities dealer having acommercial
presence (except representative office) in
Switzerland.(2)None
*Notonlytransactions indicated inparagraph B.3ofthe"Understanding" butthewhole range ofbanking andother financial services transactions arecovered
(excluding insurance).GATS/SC/83/Suppl.4
Page6Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
(3)Commercial presence offoreign financial
service suppliers issubject tospecific
requirements relating tothename ofthe
firmandtheregulations onfinancial
institutions inthecountry oforigin;
commercial presence maybedenied to
financial service suppliers whose ultimate
shareholders and/or beneficial owners are
persons ofanon-GATS Member;
representative offices canneither conclude
ordealbusiness noractasanagent.(3)Acquisition ofrealestate byforeigners is
limited asindicated inPartI;however,
foreign orforeign-controlled banks are
granted authorization toacquire property
thatserves asasecurity formortgage
loans incaseofbankruptcy orliquidation.
(4)Unbound except asindicated inPartI (4)Unbound except asindicated inPartI