Financial market infrastructure regulation is based on a number of laws: the Financial Market Infrastructure Act (FMIA), the Banking Act (BA), the Stock Exchange Act (SESTA) and the National Bank Act (NBA). The relevant implementing provisions are set out in the Financial Market Infrastructure Ordinance (FMIO), FINMA’s Financial Market Infrastructure Ordinance (FMIO-FINMA) and the National Bank Ordinance (NBO). FINMA’s supervision of financial market infrastructures (FMI) is largely based on the FMIA in conjunction with the FMIO.
The services provided by FMIs (i.e. trading, clearing, settlement and securities safe keeping) form the essential backbone of an efficient and functional capital market. They also represent an essential link to international capital markets.
In accordance with the FMIA, the following service providers are regarded as FMI:
Independent monitoring organisations established by the trading venue operators are responsible for primary markets supervision. FINMA, with the help of these organisations, ensures that suspicions of market abuse (e.g. insider trading and market manipulation) are investigated. Investigations may lead FINMA to launch enforcement proceedings and can in some cases result in proceedings being initiated by the responsible prosecuting authority.
Foreign financial market infrastructures recognised by FINMA are supervised by the competent foreign supervisory authority. FINMA exchanges information with these authorities if needed.