<p>In today&#8217;s Guidance 03/2021 on LIBOR transition, FINMA highlighted the following points:</p>
<ul>
<li>A number of tools exist for managing the LIBOR transition.</li>
<li>The majority of supervised institutions have adhered to the milestones set-out in FINMA&#8217;s roadmap published in December 2020. However, LIBOR-based contracts without robust fallback clauses with a volume of around CHF 40 billion still remain outstanding.</li>
<li>There is a specific lack of transition in the context of syndicated loans. FINMA supports the recommendations of the National Working Group on Swiss Franc Reference Rates (<strong>NWG</strong>), including the switch from CHF LIBOR to SARON, and the use of the Rate Switch Amendment Agreement published by the NWG and expects them to be implemented as a matter of urgency.</li>
<li>Where the publication of a synthetic LIBOR is expected, this will only apply to contracts that are <em>impossible or impractical</em> to modify on time («tough legacy»).</li>
<li>For USD LIBOR where the short (interim) continuation of LIBOR beyond 2021 has been announced, FINMA reiterated that (i) the global strategy is to stop issuing new USD LIBOR contracts by end-2021 at the latest, and (ii) FINMA&#8217;s milestone «new contracts in general based on ARR» also applies to USD. Supervised institutions should refrain from entering into new contracts linked to USD LIBOR apart from strictly limited, justified and documented exceptions.</li>
<li>All financial market participants must press ahead with their preparations for transitioning from LIBOR as a matter of the highest priority.</li>
</ul>
<p>FINMA pointed out that it will consider the disregard of the required cessation of new LIBOR-based business transactions (except in strictly limited, justified and documented exceptional cases) in the second half of 2021 as a violation of the supervisory requirements with regard to adequate risk management. Where necessary, it will take institution-specific measures to mitigate the risks of inadequate preparation for the LIBOR transition.</p>


FINMA publishes updated guidance on LIBOR transition

<h3>Episode 1: «Inbound Cross-border Fund Offerings»</h3>
<p>In this episode <a href="https://www.homburger.ch/en/team/jurg-frick/">Jürg Frick</a> and <a href="https://www.homburger.ch/en/team/vanessa-isler/">Vanessa Isler</a> discuss what foreign funds and their distributors have to keep in mind when they are looking to approach Swiss investors, with a special focus on when a foreign fund or distributor may be providing a financial service under FinSA.</p>


<h3>Episode 2: «Ansässigkeit»</h3>
<p>The FinSA newly regulates the cross-border provision of financial services in Switzerland. When is a foreign financial services provider considered to be based in Switzerland? Under which circumstances do its client advisors have to be registered in Switzerland? And what sanctions apply in case of non-compliance with these rules?</p>
<p>In this episode, <a href="https://www.homburger.ch/en/team/benedikt-maurenbrecher/">Benedikt Maurenbrecher</a> and <a href="https://www.homburger.ch/en/team/stefan-bindschedler/">Stefan Bindschedler</a> answer these and other questions.</p>


<h3>Episode 3: «Reverse Solicitation»</h3>
<p>Financial services rendered by foreign financial services providers at a Swiss client’s own exclusive initiative are not subject to the Financial Services Act («reverse solicitation»). But what exactly are the conditions for the financial services provider to be able to rely on the exemption? And how does reverse solicitation play out within the context of the offering of financial instruments?</p>
<p>Join <a href="https://www.homburger.ch/en/team/stefan-kramer/">Stefan Kramer</a> and <a href="https://www.homburger.ch/en/team/manuel-baschung/">Manuel Baschung</a> for a primer on these and other questions.</p>


<h3>Episode 4: «On Tour with Investors»</h3>
<p>What has to be done – or avoided – when going on a road show to meet potential or existing shareholders or other investors in Switzerland? <a href="https://www.homburger.ch/en/team/david-borer/">David Bore</a>r and <a href="https://www.homburger.ch/en/team/benjamin-leisinger/">Benjamin Leisinger</a> will explain the «dos &amp; don&#8217;ts» when it comes to road shows under the Financial Services Act, in particular as to the concepts of «advertising», the «provision of financial services» and an «offer».</p>


<h3>Episode 5: «Robo Advisors in Switzerland – Regulatory Framework»</h3>
<p>Robo Advisors increasingly gain traction in Switzerland and have been able to record a substantial growth in their assets under management in recent years.</p>
<p>In view of these developments, <a href="https://www.homburger.ch/en/team/hansjurg-appenzeller/">Hansjürg Appenzeller</a> and <a href="https://www.homburger.ch/en/team/alexander-wherlock/">Alexander Wherlock</a> will be giving a comprehensive overview of the regulatory requirements applicable to Robo Advisors conducting business in Switzerland.</p>


<h3>Episode 6: «Retrozessionen»</h3>
<p>Is FinSA a «game changer» for retrocessions? What is the role of general terms and conditions? And can existing waivers be used going forward? In this episode, <a href="https://www.homburger.ch/en/team/katrin-ivell/">Katrin Ivell</a> and <a href="https://www.homburger.ch/en/team/fabrice-eckert/">Fabrice Eckert</a> provide answers to these and other questions.</p>


<h3>&gt; <a href="https://www.homburger.ch/en/financial-market-regulation-hub/">Visit our Hub with a compilation of our publications and more on financial market regulation.</a></h3>


fidleg_preview_final_02

Update<br>FIDLEG Mini Series<br>Episodes 1–6

Financing and Investment Products

<p>Homburger acted as counsel to Basellandschaftliche Kantonalbank as arranger, agent and lender and Credit Suisse (Switzerland) Ltd. and Berner Kantonalbank AG as lenders in connection with the financing of the acquisition of the Bernese gardening company Bächler + Güttinger AG led by Patrimonium Equity Fund SCSP (advised by Patrimonium Equity Advisors AG) and supported by EGS Beteiligungen AG.</p>
<p>Homburger advised Basellandschaftliche Kantonalbank, Credit Suisse (Switzerland) Ltd. and Berner Kantonalbank AG on all aspects of the financing transaction.</p>
<p>The Homburger team was led by associate David Borer and partner Jürg Frick (both Financing and Investment Products) and included associate Alexander Wherlock (Financing and Investment Products) as well as partner Stefan Oesterhelt (Tax).</p>


Homburger advised Basellandschaftliche Kantonalbank, Credit Suisse (Switzerland) Ltd. and Berner Kantonalbank AG in connection with the financing of the acquisition of Bächler + Güttinger AG

Citi

<p>Homburger acted as counsel to Citi, in its capacity as Coordinator and Bookrunning Mandated Lead Arranger in connection with a Swiss law governed revolving credit facility agreement establishing a CHF 600 m multicurrency revolving credit facility for Hilti Aktiengesellschaft as Borrower and a syndicate of banks. The revolving credit facility agreement was signed on December 20, 2021.</p>
<p>The Homburger team was led by partner Jürg Frick and included associate Alexander Wherlock (both Financing and Investment Products) as well as partner Stefan Oesterhelt (Tax).</p>


Homburger advised Citi in connection with a CHF 600 m multicurrency revolving credit facility financing for Hilti Aktiengesellschaft

Financial Market Regulation

Technology and Digital Economy

Verified

<p>Homburger advises Verified AG on the Swiss regulatory qualification of the Verified Liquidity Token and the Swiss regulatory aspect of the issuance of the Verified Liquidity Token.</p>
<p>Verified AG is a Swiss based FinTech company establishing a decentralized, blockchain powered financial services platform for issuing and investing in tokenized assets.</p>
<p>The Verified Liquidity Token (symbol : VITTA) is a utility token issued by Verified AG that enables greater participation of investors and issuers in decentralized exchanges in order to create trading liquidity.</p>
<p>The Homburger team was led by partner Daniel Haeberli and included associates Alexander Wherlock and Fabrice Eckert (all Financial Market Regulation and Technology and Digital Economy).</p>


Alexander
Wherlock

Homburger advised Basellandschaftliche Kantonalbank, Credit Suisse (Switzerland) Ltd. and Berner Kantonalbank AG in connection with the financing of the acquisition of Bächler + Güttinger AG

Homburger advised Citi in connection with a CHF 600 m multicurrency revolving credit facility financing for Hilti Aktiengesellschaft

Homburger advises Verified AG in connection with the issuance of the Verified Liquidity Token and its DeFi platform

FINMA publishes updated guidance on LIBOR transition

Update
FIDLEG Mini Series
Episodes 1–6

IFZ Fin Tech Study 2021 - The FinTech Environment (Political & Legal)

Use of liquidity pools on DEX and the application of Swiss regulations to liquidity tokens

Blockchain & Cryptocurrency Regulation 2022: Switzerland

Join the Team

Alexander Wherlock

Career

Languages

Bar Registration

Teams

AlexanderWherlock

Homburger advised Basellandschaftliche Kantonalbank, Credit Suisse (Switzerland) Ltd. and Berner Kantonalbank AG in connection with the financing of the acquisition of Bächler + Güttinger AG

Homburger advised Citi in connection with a CHF 600 m multicurrency revolving credit facility financing for Hilti Aktiengesellschaft

Homburger advises Verified AG in connection with the issuance of the Verified Liquidity Token and its DeFi platform

FINMA publishes updated guidance on LIBOR transition

UpdateFIDLEG Mini SeriesEpisodes 1–6

IFZ Fin Tech Study 2021 - The FinTech Environment (Political & Legal)

Use of liquidity pools on DEX and the application of Swiss regulations to liquidity tokens

Blockchain & Cryptocurrency Regulation 2022: Switzerland

Join the Team

Alexander Wherlock

Career

Languages

Bar Registration

Teams

Alexander
Wherlock

Update
FIDLEG Mini Series
Episodes 1–6