‘NOWHERE COULD BE SAFER’

What were the characteristics that made Switzerland a safe haven for the rich?

• Secrecy, conservatism, and inflexible institutions

• Transparency, innovation, and flexible institutions

• Openness, progressiveness, and dynamic institutions

• Corruption, inefficiency, and outdated institutions

Why did the Mirlases choose to deposit their savings with Swiss banks?

• They had a recommendation from a friend

• Switzerland had a reputation for safe banking

• They were attracted to the low tax rates in Switzerland

• They wanted to support the Swiss economy

What is the purpose of the Swiss Financial Services Act (FinSA)?

• To regulate the disclosure of retrocessions

• To promote the growth of independent wealth advisers

• To protect clients from financial fraud

• To increase the power of the Swiss regulator, Finma

Why did the Mirlases feel shocked and humiliated?

• They discovered their wealth adviser had been embezzling their money

• They realized their investments had performed poorly

• They were denied access to their bank accounts

• They were accused of money laundering

What action did the Mirlases take against their wealth adviser and the bank?

• They filed a complaint with Finma and opened a case for damages

• They withdrew all their money from the bank

• They hired a private investigator to gather evidence

• They confronted their wealth adviser in person

Who is responsible for supervising wealth advisers in Switzerland?

• Finma professionals

• Self-appointed industry bodies

• The Swiss government

• The clients themselves

What is the main criticism of the current Swiss wealth advisory system?

• Wealth advisers have too much power and control

• Clients are not financially literate enough

• Banks are not held accountable for their actions

• The Swiss government lacks regulatory oversight

What does the senior lawyer suggest is necessary for real change to occur in the Swiss banking industry?

• More stringent regulations and oversight

• Greater financial literacy among clients

• A major scandal or financial crisis

• Increased competition among wealth advisers

What was the outcome of the criminal case against the Mirlases' wealth adviser?

• He was found guilty and sentenced to prison

• He was acquitted of all charges

• The case is still ongoing

• The Mirlases dropped the charges

What does the term 'malfeasance' mean?

• A) Wrongdoing or misconduct by a public official

• B) Counteraccusation; mutual accusations

• C) Extremely compliant and eager to please

• D) Secret schemes or cunning plans to accomplish something