Swiss Banking System

The main benefits of Swiss bank accounts include the low levels of financial risk and high levels of privacy they offer. The Swiss economy is one of the most stable in the world and has not been involved in any conflicts in hundreds of years. Banking is seen as emblematic of Switzerland, along with the Swiss Alps, Swiss chocolate, watchmaking and mountaineering. … Starting as a way to protect wealthy European banking interests, Swiss banking secrecy was codified in 1934 with the passage of the landmark federal law, the Federal Act on Banks and Savings Banks. Swiss bank secrecy does not help anymore in connection with tax evasion but it still works for privacy protection and asset protection. Fully anonymous numbered accounts without disclosure obligation on the ultimate beneficial owner and the source of funds do not exist anymore.

The rich and famous put their money into the swiss bank due to some following reasons.

First and foremost reason is security and wealth preservation. Making sure that your wealth is safe and there for the generation after you is in fact one of the most important reasons. According to latest research Swiss Banks are one of the most liquid banks in the world. Furthermore most of the private banks do not get involved into commercial activity such as loans, discretionary investment programs etc.Their sole purpose is safe keeping the wealth of their customers.

The second very important reason is secrecy. Famous for their secrecy laws bankers are legally barred from sharing any information about their clients. This goes as far as even confirming the existence of an account. If a banker breaks privacy this is considered a criminal offense and prosecuted by the state in the court of law. The third reason is the country itself. Switzerland has been neutral on all political conflicts remaining a safe haven in times of war. Currently they still have a special stature within the EU that allows them to keep the Swiss Franc which has virtually zero inflation since it is backed by gold reserves. So is this still the case or is it possible for people without a seven figure bank account balance to enjoy the benefits of the Swiss Bank System? Because of competition it is now possible to open a Bank Account in Switzerland with as little as CHF 1 000 – 5 000 starting balance. This will give you access to their exclusive services such as: private bankers, investment research reserved only for their clients etc.

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