The Regulatory Burden in the Swiss Wealth Management Industry

Advice and monitoring in venture finance

“…All else being equal, a higher Legality index in a country is associated with more certain enforcement of contract terms and a clearer delineation of the rights and responsibilities of the VC and entrepreneur. Better legal systems mitigate information asymmetries associated with decision making pursuant to rights granted via contracts (consistent with La Porta et al 1997Porta et al , 1998; however, see also Drobetz 2002, andBührer et al 2005). Moreover, better legal systems provide a clearer interpretation of incomplete contracts.…”

Provincial preferences in private equity

“…Over the period from 1975 to 1990, the 9 Similarly, prior work on law and finance is consistent with the notion that national differences may impede flows of capital across countries, among other things. For seminal work in this area of law and finance, see La Porta et al (1997Porta et al ( , 1998 see Drobetz (2002), Bührer et al (2005) and Ammann and Seiz (2005) for related work, and see also Leleux and Surlemont (2003) and Armour and Cumming (2006) for an application to private equity. 10 http://www.isteve.com/2001_Canada_Bilingual.htm.…”

Towards an Economic Analysis of Financial Markets Regulation?

“…Terms such as 'over regulation,' 'regulatory pressure' and 'regulatory burden' have been coined on many occasions. The additional costs that have been created for in particular smaller institutes by the implementation of additional regulations has now reached a stage where it is seriously obstructing the ability of these institutes to be competitive (BÜ HRER et al, 2005;HOFFMANN, 2004;GEIGER and HUBLI, 2004). Yet because neither well-founded analytical concepts nor empirically proven cost-benefit data exists in most countries for evaluating the consequences of regulation, there is little clarity as to when one can actually talk about over regulation and what should actually be subsumed under the term of regulatory impacts.…”