In Switzerland, the regulation of foreign exchange (FX) trading and asset management of FX falls under the supervision of the Swiss Financial Market Supervisory Authority (FINMA). FINMA is responsible for overseeing the activities of banks, securities dealers, insurance companies, and other financial institutions in Switzerland.

FX trading in Switzerland is governed by the Swiss Banking Act and the FINMA Ordinance on Banks and Securities Dealers. These regulations require that financial institutions engaging in FX trading maintain adequate risk management procedures and ensure that their clients are informed of the risks involved in FX trading.

Asset management of FX in Switzerland is subject to the Swiss Collective Investment Schemes Act and the FINMA Collective Investment Schemes Ordinance. These regulations apply to investment funds that invest in FX and require that such funds be authorized and supervised by FINMA.

In addition to these regulations, financial institutions and investment funds in Switzerland may also be subject to the regulations of foreign regulatory bodies if they operate in other countries. Therefore, it is important for financial institutions and investment funds to comply with all applicable regulations in the countries where they operate.

Overall, Switzerland has a strong regulatory framework for FX trading and asset management, which helps to ensure that investors are protected and that the financial system remains stable.

Here are some additional details on the regulation of FX trading and asset management in Switzerland:

FX Trading:

• FINMA requires financial institutions to have adequate risk management procedures in place, which include measures to assess, monitor, and control the risks associated with FX trading. This includes credit risk, market risk, liquidity risk, and operational risk.
• Financial institutions are required to inform their clients of the risks associated with FX trading, including the potential for significant losses.
• Financial institutions must also have adequate internal controls, compliance procedures, and auditing procedures in place to ensure that they are operating in compliance with regulations.

Asset Management:

• Investment funds that invest in FX are subject to the Swiss Collective Investment Schemes Act and the FINMA Collective Investment Schemes Ordinance. These regulations require that such funds be authorized and supervised by FINMA.
• Investment funds are required to provide investors with a prospectus that contains detailed information about the fund's investment strategy, risks, and fees.
• Investment funds are also required to have a custodian bank that holds the fund's assets and ensures that the fund is operating in compliance with regulations.

Switzerland also has a number of industry associations that provide guidance and best practices for FX trading and asset management, such as the Swiss Bankers Association and the Swiss Funds and Asset Management Association.

Overall, Switzerland's strong regulatory framework and industry associations help to ensure that FX trading and asset management activities are conducted in a transparent and responsible manner, which benefits investors and helps to maintain the stability of the financial system.