Finma makes dividend payout for banks unattractive view

The UBS and the CS to take this threat to knowledge, are likely to pay out but nevertheless a dividend.

The Finma granted by the banks due to the corona crisis last week, certain facilities in respect of capital requirements, the so-called “Leverage Ratio”,. This means that the banks have to temporarily put their balance sheets with less capital to meet the capital requirements of the Finma to meet.

own funds are not allowed to

be distributed at the same time, the authority had stressed, however, that because of this relief, released, own funds must not be distributed. You will therefore, banks, according to the 25. March the distribution of dividends, decide to the resources released in the scope of the paid cut as dividends.

In the case of Credit Suisse and UBS, it was called at the request of the news Agency Reuters on Wednesday, in equal measure, you have not taken the opinion of Finma, note, comment on this at the time but.

CS and UBS confirm planned distribution

Both banks had only Recently confirmed the planned distribution and in their invitations to the annual General meeting held. The UBS intends to pay to its shareholders of 0.73 dollars per share, provided that this on 29. April the request of the Board of Directors agree. Credit Suisse, the shareholders on 30. Loaded April AGM, proposing rounded of 0.28 Swiss francs per share.

Also shareholders of the third party SLI-Bank value Julius Baer will participate in the profits of 2019: To the payment of the proposed dividend of 1.50 Swiss francs for the banking holding, confirmed a spokesman for AWP.

However, In contrast to other banks, Julius Baer would not be measures are also beneficiaries of the financial market Supervisory authority decided on Relief.

Some banks stop dividend distributions

However, international competitors will react in a different way: Given the impending financial strains of the Corona-crisis and the pressure of the overseer more and more banks are slashing their dividends. At the same time, Calls for cuts in the bonuses for the employees loud.

The British banks Barclays, HSBC, Lloyds, Royal Bank of Scotland, Standard Chartered and the British subsidiary of the Spanish Santander followed the example of their continental European competitors, and stopped their distributions. For 2019, the British banks had the equivalent of more than nine billion euros to pay dividends. The shares of the money houses lost then on Wednesday, more than five percent.

With the concerted action, the UK money houses responded to the call of the British Supervisory authority, the PRA, the dividend payments to suspend. The inspectors also requested that banks and insurance companies should pay their executives in the current year, no bonuses. The Institute were first of all not about how you wish to respond to them.

With the call to stop the dividend payment, the UK authorities have followed the example of the ECB Bank supervision, which had called on the banks in the Euro-Zone last week for the suspension of dividend distributions. Also outside the UK, a debate about the handling of the bonuses has long since broken out. The Italian major Bank Unicredit and Spain’s BBVA said that the Top Management would not leave it for 2020 on its bonuses.

Conservative behavior expected

The European banking authority, the EBA increased the pressure on other institutions to follow the example. They suggested that the money houses a cool-headed handling of bonus payments. The approach should be “conservative” and the current economic Situation reflect, said the authority on Tuesday night. A complete stop of the bonuses, the EBA is not required, however.

The German financial authority, Bafin, had recommended that the banks already a week ago, among other things, dividend payments of bonuses should be carefully weighed. “We advise financial institutions, with existing capital resources very carefully,” said Bafin-Chef Felix Hufeld at the time. (SDA)


The Coronavirus currently holds the world in suspense. Many countries are taking measures such as Closing schools or limiting public events, to prevent the spread. In Switzerland, too, the grass, the Virus magnetized. All of the current information and Figures around the topic there is in the Coronavirus-Ticker.

These tracks is the Corona-crisis leave

The Coronavirus affecting the entire world, affects every area of life. It is clear today that The crisis will have consequences – some good, majority negative.

The Coronavirus is likely to change, the Swiss economy is fundamentally different. Now Secretariat for economic Affairs (Seco) are, according to the state of 757 000 workers employed in short – time work-approximately 15 percent of all purchase! In addition to a recession are also expected an unemployment rate of 2.8 percent and a decline of the GDP to -1.3 percent.

The uncertainties have a large influence on the behavior of the population: Expensive purchases, instead of emergency reserves saved up. With the result that the retail trade will still have a long bite at the late follow. Hoarding or not.

The consumer should get into the habit of shopping more frequently in the network. So Digitec Galaxus announced, for example, recently, a further 200 logistics staff.

Many companies have to currently deal with digital technologies, in order to keep the operation Running. Employees learn by video-conference exchange. For the employer, in the future, a blessing: more home office less office costs and equipment costs.

workers miss at home the Personal of office life, appreciate the flexible working hours and fight with the Hard – and Software: In peak times, the traffic that is currently causing Congestion in the mobile communication. Particularly annoying ists in border regions, where fiber is often copper wire instead of glass in use.

The Virus has the social life to a Standstill brought. Operators of closed Restaurants, Bars and Clubs, will meet in full: While revenues have been removed, must be covered operating expenses, such as Rent a more.

There is a maximum credit for ten percent of the annual turnover, which is likely to be, according to gastro Suisse for a lot of pickling, just a drop on the hot stone. In addition, Many farmers are individual entrepreneurs and only 3320 francs per month.

The industry closures, bankruptcies and redundancies threaten. Dark it also looks at concert and sporting event organizers, where the Rejections pile up. The liability issues are still unclear.

The crisis brings Strengths and weaknesses to the fore, especially when dealing with the epidemic where disease notifications are made in part via Fax.

The Virus is a major influence on the current debate on the planned hospital closures and cost structures in the health system. Also the payment of caregivers (for many too deep) is likely to come to the test.

An important role will also play a possible vaccine against the Coronavirus. Already skeptics fear the scenario of a forced vaccination for all.

In the airline industry is a huge crowding-out raging fight. The International air transport Association IATA anticipates that the revenue from the passenger traffic could drop to 252 billion dollars, or 44 per cent below the value of 2019, if the travel restrictions lasted three months.

Many Airlines will no longer be able to withdraw without any state aid. The Swiss currently has grounded 90 of its 96 planes. Whether the enthusiasm shoots up in old heights? Tend not to: Because many had to cancel your holiday, you will leave for bookings in the future with caution.

In times of Social Distancing is improving in many places, the local Cohesion. Areas such as neighborhood help flourish. The willingness to help will continue after the crisis. Personal contacts will be more important than ever. Gatherings among friends or in the family in the future, more appreciation.