Starting from Monday, most of the Swiss stocks cannot be traded in the EU area. The falling negotiations between the European Union and Switzerland have triggered the equity trading between the blocks.

This means that Swiss stocks will be redirected in the most stocks via Zurich in order to avoid the total blocking. It is expected that those Swiss companies, which have dual listings in the EU-area and Switzerland, might see some price differences.

The Swiss financial markets and China have made earlier agreements to enlarge the collaboration between the countries. Switzerland and China have made free trade agreement in 2013 and currency agreement between the Swiss National Bank and the People’s Bank of China in 2014.

Now the SIX Stock Exchange and Shanghai Stock Exchange have agreed about  the cooperation between the two financial centers and to assess the feasibility of listing securities (such as e.g. Depository Receipts) on respective markets in the near future. This would allow companies listed at either exchange to tap into each other’s liquidity pools.

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