SNB's Martin: Robust Capital Buffers a Competitive Advantage in Downturns

Swiss National Bank Vice Chairman Antoine Martin has stated that banks holding a 'robust' amount of capital are not at a commercial disadvantage to their rivals. Speaking at an event in Basel on August 26, Martin emphasized the importance of having sufficient capital buffers during times of economic instability.

Martin pointed out that banks with higher levels of capital performed well after the global financial crisis as they were able to acquire struggling rival banks. He suggested that this approach would be beneficial for Swiss banks in the event of another downturn, allowing them to 'take market share from foreign banks who are going to be in trouble next time there's a downturn.'

Martin's comments come as Swiss lawmakers prepare to discuss tougher capital requirements for UBS.