FINMA position paper on legal and reputational risks in cross-border financial services

On 22 October 2010, the Swiss Financial Market Supervisory Authority (“FINMA”) released its position paper on legal and reputational risks in cross-border financial services. The position paper outlines the legal and reputational risks arising from the breach or circumvention of foreign rules and regulations that apply to certain activities (e.g. the supply of services or sale of products) in the financial services area and provides guidance on how FINMA expects supervised financial institutions to deal with such risks.