EU row with Bern: short-term gain, long-term pain for Swiss stock exchange

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EU row with Bern: short-term gain, long-term pain for Swiss stock exchange
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A trade dispute between Bern and Brussels has boosted revenue and volumes for Sw...

LONDON - A trade dispute between Bern and Brussels has boosted revenue and volumes for Swiss stock exchange SIX, but may eventually hurt investment in Switzerland’s financial markets, SIX’s Chief Executive Officer Jos Dijsselhof said on Thursday.

Investors in the EU and Switzerland lost direct access to each others’ stock exchanges from July 1 as the two sides squabbled over a partnership treaty that stalled after years of talks. “I think for a proper investment climate, for investors to have best execution, you need to have multiple places to execute. If you don’t have that in the long run, it’s not good for the market.”For Brussels, Dijsselhof said the dispute had backfired.

Dijsselhof said the exchange was working with major global banks on the best applications for the platform, with Citibank, JP Morgan Chase and Credit Suisse all allocating teams to help develop a use for it.

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