SIX Swiss Exchange

The first exchanges in Switzerland were created locally in major Swiss cities throughout Switzerland, with the authorization of the Cantonal authorities. Geneva paved the way in the year 1850, when the Société des agents de change réunis (English: United Brokers Association) was founded. Its trading floor was opened in 1855 and approved by the Grand Council of Geneva in 1856.[6] The Basler Börse followed in 1866 or 1876 (sources disagree) in Basel, as well as another one in Zürich in 1873.[6] The Berne exchange, which still exists today, was founded in 1884. Smaller exchanges were also created in Lausanne in 1873, in St. Gallen in 1887 and in Neuchâtel in 1905.[4][6] The exchanges were subject by the Cantons to a value added tax.[6]

During the First World War, all Swiss exchanges were closed, with the exception of bond trading in the Geneva exchange. The depression of 1920–21 was followed by a bull market in the 1920s, during which a new exchange building (alte Börse, German for "old exchange") was constructed in Zurich at Bleicherweg 5, near Paradeplatz. The building is still standing, but no longer used as an exchange.

After the Great Depression of the 1930s, a federal banking law was introduced. This law is still in effect today and, in its form as of 2020, requires permission by the FINMA to do banking activities, as well as due diligence and banking secrecy. An exchange law was also discussed, but not introduced. Finally, Swiss exchanges were required to unite under a securities exchange association in order to set up a registration office, so that the Swiss National Bank could have the desired influence.

After the Second World War, banking fees for trades on exchanges were unified in a broker conference. In the middle of the 1950s, the revenues of the exchanges reached new highs as in times before or between the wars until 1929. This development continued until the Kennedy Slide of 1962, which was triggered by measures against the economic slowdown, the New York crash, and the Cuba crisis.

Following the deregulation and the termination of the Bretton Woods System (fixed exchange rates) by the United States, in the 1970s, a fundamental transformation of the economy and of the financial landscape started, which is still ongoing today. Fluctuating exchange rates carried new risks for the economy and a need for hedging solutions arose. Finance derivatives were introduced as a response to this need and in 1973, the Chicago Board Options Exchange was created as an exchange that only handles derivatives. With the oil crisis of 1974, the economy went through the biggest after-war recession since 1931. In Switzerland, the oil shock led to such a rush on investment money that it was considered to close the exchanges.

In May 2007, the SWX Group, the SIS Group and Telekurs Group announced their merger to a new holding called Swiss Financial Market Services AG.[7] The merger was official in 2008 and the new company was renamed to SIX Group AG.[8] SWX Swiss Exchange was renamed to SIX Swiss Exchange in the same year.[9][10]

From 1998 to 2012, SIX Swiss Exchange owned 15% of Eurex, the world's second largest futures and derivatives exchange, after the Chicago Mercantile Exchange, along with its German partner Deutsche Börse (85%). Deutsche Börse purchased the 15% ownership from SIX Swiss Exchange in 2012,[11] becoming its sole owner.

SWX Swiss Exchange, as was its new name since 1999,[4] acquired the stock exchange platform Tradepoint, renamed as Virt-x,[12] for the trading of 32 Swiss bluechip stocks, regulated by the British Financial Services Authority.[13] The new platform was opened on June 25, 2001.[14] The main goals were on the one hand to build a pan-European exchange and on the other hand to mitigate the migration of the trading volume on SMI stocks to the London exchange.[15]

The listed companies were offered the choice between two market segments for SMI stocks: The EU-regulated market segment and the UK-exchange-regulated market segment. Both segments were subject to the regulations of the British Financial Services Authority, and the EU segment was in addition subject to EU regulations.[16]

Virt-x was renamed to SWX Europe in 2008.[17] SWX Europe came to a halt in 2009 and the trading was transferred to SIX Swiss Exchange.[18]

On April 30, 2007, SWX Swiss exchange acquired, jointly with Deutsche Börse, the US option exchange ISE. With the acquisition of International Securities Exchange Holding (ISE), one of the largest trading platforms for finance derivatives emerged. The price for ISE was $2.8 billion and it was financed through Eurex,[19] which was then owned 85% by Deutsche Börse and 15% by SWX Swiss Exchange. The revenue of ISE was about $178 million in 2006, and the profit around $55 million. The ISE remains independent and keeps its structure and branding.

On January 1st, 2007, SWX Swiss Exchange and Deutsche Börse jointly started and managed an exchange for structured products, a joint venture called Scoach.

In February 2013, Scoach was split into Scoach Europa AG, fully owned by Deutsche Börse, and Scoach Schweiz AG, fully owned by SIX Swiss Exchange.[20] Scoach Schweiz AG was renamed to SIX Structured Products in November 2013.[21]