Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), has officially withdrawn from Switzerland’s financial markets. The announcement confirms that PIF ends Swiss investments, citing the 2023 Credit Suisse rescue and poor regulatory practices as key reasons.
Importantly, this move came during the FII PRIORITY Europe Summit in Albania. PIF Governor Yasir Al-Rumayyan openly criticized Swiss regulators for how they handled UBS Group’s rushed acquisition of Credit Suisse.
Additionally, Al-Rumayyan emphasized that such a precedent endangers investor trust. “We’re not going to invest in the financial markets in Switzerland,” he stated, warning of the dangers of overnight policy shifts.
Notably, major Gulf investors, including the Saudi National Bank and Qatar Investment Authority, lost confidence after the deal. Combined, these entities held around 20 percent of Credit Suisse shares.
Moreover, the decision that PIF ends Swiss investments reflects broader regional frustration. Legal analysts have also warned that bypassing shareholder rights undermines Switzerland’s reputation as a secure financial hub.
Despite this exit, PIF remains committed to its European expansion strategy. It recently announced a plan to double investments in Europe to $170 billion by 2030.
As part of this redirection, PIF will open a new office in Paris. The fund will now target economies that prioritize investor protection and legal transparency.
Al-Rumayyan’s remarks received notable attention during a panel discussion. Noel Quinn, the new chairman of Zurich-based Julius Baer, admitted concern. “As the chairman of a Swiss bank as of 10 days ago, that concerns me,” he said.
In conclusion, PIF ends Swiss investments to safeguard its capital and align with partners that offer regulatory clarity. The Credit Suisse fallout served as a turning point, pushing PIF to re-evaluate risk and trust in global markets.
