22 December 2011

Dangerous Swiss Cheese

Swiss authorities and banks have thoroughly capitulated in their battle to preserve the interests of their banking clients. In an age where the appetite of politicians and pressure groups to lay their hands to the citizen's savings seems to know no boundaries it was maybe too much to ask for a more resolute defense of citizen's rights for privacy. All the countries that want a piece of the action - and Pakistan of all countries is the latest arrival - and claim their share of the funds their citizens have entrusted to the once safe haven of Switzerland - had it in their remit to construct a wall around their countries and prevent citizens from sending their money abroad. That way it would have become obvious what their understanding of civil liberties really was. The much larger danger lurking ahead is an even larger crisis engulfing the Eurozone and its banks and the risk that this would lead to capital controls and even confiscation of all savings and investments in a desperate attempt to shore up tottering welfare states. We can only advice all readers to diversify their asset in terms of geographical location and asset classes. Transactions that leave an audit trail should be kept to an absolute minimum.