[et_pb_section fb_built=”1″ _builder_version=”4.23.1″ _module_preset=”default” background_color=”RGBA(255,255,255,0)” min_height=”83vh” height_tablet=”83vh” height_phone=”83vh” height_last_edited=”on|phone” custom_padding=”50px|||||” global_colors_info=”{}”][et_pb_row use_custom_gutter=”on” gutter_width=”2″ _builder_version=”4.23.1″ _module_preset=”default” width=”90%” custom_padding=”0px|||||” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.23.1″ _module_preset=”default” background_color=”gcid-4105ce9c-14d4-427e-85a8-fe3ec2a62ee1″ custom_padding=”20px|20px|20px|20px|true|true” global_colors_info=”{%22gcid-4105ce9c-14d4-427e-85a8-fe3ec2a62ee1%22:%91%22background_color%22%93}”][et_pb_text ol_item_indent=”20px” _builder_version=”4.25.1″ _module_preset=”default” ul_line_height=”1.4em” ol_line_height=”1.3em” header_line_height=”1em” global_colors_info=”{}”]<\/p>\n
The Swiss Pfandbrief\u00ae<\/span><\/sup> <\/span> is resistant to crises, because<\/p>\n 1.\u00a0 it has an unique historical track record. Since the enactment of Pfandbrief Law in 1931 there has been no default. And since 1931 up to now there were different considerable\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0financial crises to master. According to a study by the Swiss Financial Market Supervisory Authority FINMA Swiss banks had to cope with losses in the domestic credit business of\u00a0 \u00a0 \u00a0 \u00a0CHF 42 billion between 1991 and 1996, while the Pfandbrief institutes were not touched by this crisis.<\/p>\n 2.\u00a0 it is transparent. Pfandbrief Act consists of only 52 and the Pfandbrief regulation of 25 articles. The 95th annual report of Pfandbriefbank for the business year 2025 comprises 49\u00a0 \u00a0 \u00a0 \u00a0 \u00a0pages. It is still structured in the same way as the first annual report from 1931 but contains more information.<\/p>\n 3.\u00a0 it provides legal certainty. Since 1931 the Pfandbrief Law has only seen a few revisions and marginal ones at that.<\/p>\n 4.\u00a0 it is standardised. Every Swiss Pfandbrief is exactly the same as the next one. Since 1931. The Swiss Pfandbrief\u00ae<\/sup> is a commodity.<\/p>\n 5.\u00a0 it is issued by only two institutes with a restricted business segment.<\/p>\n 6.\u00a0 it is stringently supervised. Swiss Federal Council enacts the valuation regulations, authorises the bylaws and nominates a representative into the board of directors. Up to the\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0business year 2007 the Pfandbrief institutes were not only audited by their auditors, but directly by the FINMA as well. Since the coming into effect of the FINMAG, FINMA\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0delegates its auditing to an audit firm.<\/p>\n 7.\u00a0 the cover pool is of highest quality. The Pfandbrief institutes have a right of lien guaranteed by law. The member bank is obliged by law to increase cover if returns from the\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0mortgages are lower than the expenses on the Pfandbrief loans. In addition the Pfandbrief Law requires the member bank to immediately replace non-performing cover assets, i.e\u00a0 \u00a0 \u00a0 \u00a0mortgages with value adjustments are not eligible for the cover pool of Pfandbriefbank. The cover pool consists of 100 percent residential properties. Single family homes and\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0condominium ownership account for 87 % of the total cover value. In principle, properties are feoffed to a maximum of two thirds of their market value.<\/p>\n 8.\u00a0 there is no maturity mismatch, no interest rate risk and no currency risk in the balance sheet of Pfandbriefbank. The Pfandbrief loans on the assets side and the outstanding\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0Pfandbrief on the liabilities side have the exact same duration. The interest rate on the assets side exceeds the one on the liabilities side by a slim margin of a few basis points.\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0There is no foreign currency. All assets and liabilities are denominated in Swiss Francs only.<\/p>\n Another strength of the Pfandbrief is its repo-eligibility.<\/span><\/sup> <\/span>It is a seal of quality from the Swiss National Bank. For the sake of completeness Moody\u2019s Triple A Rating for Swiss Pfandbrief\u00ae<\/span><\/sup> <\/span>has to be mentioned. Ein solches Rating vereinfacht die Kommunikation. Wer versteht schon den Begriff m\u00fcndelsicher? Dies war der terminus technicus f\u00fcr ein Triple A Papier wie den Swiss Pfandbrief\u00ae<\/span><\/sup> <\/span>before the appearance of rating agencies.<\/p>\n Investors in Swiss Pfandbriefe\u00ae<\/span><\/sup> <\/span>profit from a fourfold security. On the first level there are the assets of the Pfandbriefinstitutes themselves (1), followed by the assets of the member banks the loans are granted to (2), the assets (besides the property) of the house owners (3) and the market value of the property itself (4).<\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":" Creditor Protection Basis for creditor protection The Swiss Pfandbrief\u00ae is resistant to crises, because 1.\u00a0 it has an unique historical track record. Since the enactment of Pfandbrief Law in 1931 there has been no default. And since 1931 up to now there were different considerable\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0financial crises to master. According to a study by the Swiss Financial Market Supervisory Authority FINMA Swiss banks had to cope with losses in the domestic credit business of\u00a0 \u00a0 \u00a0 \u00a0CHF 42 billion between 1991 and 1996, while the Pfandbrief institutes were not touched by this crisis. 2.\u00a0 it is transparent. Pfandbrief Act consists of only 52 and the Pfandbrief regulation of 25 articles. The 95th annual report of Pfandbriefbank for the business year 2025 comprises 49\u00a0 \u00a0 \u00a0 \u00a0 \u00a0pages. It is still structured in the same way as the first annual report from 1931 but contains more information. 3.\u00a0 it provides legal certainty. Since 1931 the Pfandbrief Law has only seen a few revisions and marginal ones at that. 4.\u00a0 it is standardised. Every Swiss Pfandbrief is exactly the same as the next one. Since 1931. The Swiss Pfandbrief\u00ae is a commodity. 5.\u00a0 it is issued […]<\/p>\n","protected":false},"author":4,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"class_list":["post-29129","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/pages\/29129","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/comments?post=29129"}],"version-history":[{"count":27,"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/pages\/29129\/revisions"}],"predecessor-version":[{"id":38756,"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/pages\/29129\/revisions\/38756"}],"wp:attachment":[{"href":"https:\/\/pfandbriefbank.ch\/en\/wp-json\/wp\/v2\/media?parent=29129"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}