Switzerland Again Allows Dual Listings In The EU

On 29 January 2025, the Swiss government, i.e. the Federal Council, lifted Swiss protective measures introduced when the European Union ("EU") refused to recognise Swiss stock exchanges as equivalent. With this briefing, we provide an overview of the situation so far, the decision of the Federal Council and the impact on the Swiss financial market and for Swiss issuers.

THE RESTRICTIONS ON DUAL LISTINGS IN SWITZERLAND AND THEIR BACKGROUND

The EU's Markets in Financial Instruments Regulation ("MiFIR") imposes a trading obligation on EU investment firms which only allows them to trade shares on EU-recognised venues or those deemed equivalent. This affected shares of Swiss registered companies ("Swiss Shares"), which EU investment firms could only trade on Swiss exchanges if granted equivalence by the EU. However, in 2019, the European Commission let the stock exchange equivalence for Switzerland expire due to broader political disputes. Consequently, Swiss stock