Swiss National Bank (OTCMKT:SWZNF, SW:SNBN) (German: Schweizerische Nationalbank; French: Banque Nationale Suisse; Italian: Banca Nazionale Svizzera) was founded in 1907 and is headquartered in Zurich, Switzerland, with 691 full-time employees. The Swiss Central Bank is responsible for Swiss monetary policy and the issuance of Swiss francs. The shares of the Swiss National Bank have been listed on the Swiss Stock Exchange since 1907.
Swiss National Bank (SWZNF):
The Swiss National Bank (Swiss National Bank, abbreviated as SNB) is the central bank of Switzerland and a joint stock bank created in accordance with the 1905 Federal Constitution. The capital is 50 million Swiss francs and the paid-in capital is 25 million Swiss francs. Most of the shares are held by the cantonal government and cantonal banks, and the remaining shares are held by private individuals. In 1907 it started operations in Bern, Basel, Geneva, Zurich and St. Gallen. Most candidates for the board of directors are appointed by the federal government and are accountable to the Bundestag.
The Swiss National Bank is a specially managed joint-stock company. As of 2015, about 60% of the shares were held by public institutions, such as the state (45%) or state bank (15%). The remaining shares are listed and traded on the exchange, mainly owned by individual investors (40%). The Swiss Confederation does not have its shares.
Among banks, it is mainly a “bank of the bank”, and for different federal representative offices, it is a federal bank. The Swiss National Bank has great independence in formulating monetary and exchange rate policies. Unlike most central banks in other countries, the Swiss National Bank does not use specific money market interest rates to guide currency conditions. Until the autumn of 1999, the central bank had been using foreign exchange swaps and repurchase agreements as the main tools to influence money supply and interest rates.
The governing bodies of the Swiss National Bank are the general meeting of shareholders, the board of directors of the bank, the management committee and the audit committee. In order to supervise and control the National Bank, a standing committee is established by the chairman, vice-chairmen and committee members of the bank’s board of directors, which meets once a year to manage daily work. The head office is located in Berne, and the business divisions are located in Berne and Zurich. The first department is responsible for currency, statistics, internal audit, law, and employee personnel, and jointly implements monetary policy with other departments, based in Zurich; the second department is based in Berne, responsible for issuing banknotes, managing cash, bonds, and trading precious metals. Handle business relations with federal authorities and ministries, and handle business in the Bern region. The third department is located in Zurich and is responsible for discounting, lending, foreign exchange, exchange transfer, bill exchange and business in the Zurich area. There are also secretarial offices with branches in 8 cities and branches in 3 cities and towns.
Swiss National Bank (SWZNF) history encyclopedia:
- After the Federal Constitution was promulgated in 1848, only the Federation had the right to issue currency, but banknotes continued to be issued by private banks and state banks.
- Until 1891, the sole issue of banknotes was transferred from the state to the federal.
- In 1905, Congress passed a bill that limited companies could establish issuing banks.
- On June 20, 1907, the Swiss National Bank was established. The Confederation delegates the monopoly of currency and banknote issuance to the Swiss National Bank. The federation also has the right to issue currency, and the federation has this monopoly power and the Swiss National Bank has great independence in formulating monetary and exchange rate policies.
- In 1981, the Swiss National Bank participated in research on banknote design by Orell Füssli and the well-known optical research organization Landis and Gyr.
- In 1994, Swiss National Bank was described as a company limited by shares under federal management and supervision.
- In May 2004, with the implementation of Article 99 of the Federal Constitution, the National Bank achieved formal independence.
- On January 15, 2015, the Swiss National Bank announced that it would abandon the EUR/CHF 1.2000 lower limit and lower interest rates, unexpectedly abolishing the long-implemented EUR/CHF lower limit. The EUR/CHF plunged about 30%, ending the calm situation in the Swiss foreign exchange market that had lasted for more than three years. The Swiss National Bank has been intervening in the market since September 2011 to prevent the Swiss franc from revaluing too much, buying billions of euros to prevent the euro from falling below 1.20 Swiss francs. This has directly caused many foreign exchange dealers to close down, such as the industry leader- FXCM .