Federal Council brings into force market abuse regulations under stock exchange law

Bern, 10.04.2013 - At its meeting today, the Federal Council brought the revised Stock Exchange Act and the revised Stock Exchange Ordinance into force from 1 May 2013.

The referendum deadline for the revision of the Stock Exchange Act in the area of stock exchange offences and market abuse expired on 17 January 2013 without a referendum being called. Today, the Federal Council adopted the revision to the Stock Exchange Ordinance, which implements the revised Stock Exchange Act. Both legislative instruments will come into effect on 1 May 2013.

With the revision of the Stock Exchange Act, market abuse will be efficiently sanctioned, thereby enhancing the reputation and competitiveness of the Swiss financial centre. Under criminal law, the constituent elements of insider trading in particular will be extended and stated more precisely. It will now be prohibited for anyone to exploit insider information. In addition, insider trading and market manipulation will be prohibited under supervisory law for all market participants. Exceptions to these restrictions will be conclusively defined in the Stock Exchange Ordinance. They concern in particular the repurchase of own financial interests within the scope of public buyback programmes and securities transactions for price stabilisation purposes following a public placement. Moreover, the principle that "nobody can be his or her own insider", which had been recognised but not precisely defined, has been codified in the Stock Exchange Ordinance. The exceptions defined in the Stock Exchange Ordinance are also applicable to the criminal acts of insider trading and price manipulation.

Address for enquiries

Nadia Batzig, Deputy Head of FDF Communications
+41 31 323 11 29, nadia.batzig@gs-efd.admin.ch