Custodian Bank Safety
The custodian banks carry all accounts in the name of their clients. Securities are traded and held in the bank’s name but for client accounts, segregated from the bank’s own assets. Through the Deposit Protection Scheme, in the unlikely event that a bank or securities dealer is declared bankrupt, cash deposits of up to CHF 100’000 / EUR 100’000 per client enjoy the privileged treatment.
Unlike cash deposits, assets lodged for safekeeping (such as stocks, bonds or physical precious metals) are client property, and in the event of the bankruptcy of a bank or securities dealer are immediately ring-fenced and released to clients separately from the bankruptcy proceedings. They, therefore, do not form part of the bankruptcy estate at any time.
We are a member of Ombud Finance Switzerland, so in the event of any disagreement, you have the possibility of initiating a mediation procedure with the ombudsman's office. You can reach them by phone (+41 22 808 04 51) or over their website.