Is Switzerland Losing Its Edge Today?

Something surprising is happening in the world’s most discreet financial circles.

Switzerland—the long-reigning sanctuary of wealth—is starting to feel... exposed.

Not because the banks have failed.
Not because the mountains are less beautiful.
But because the rules have changed.

And for many ultra-wealthy families, the Swiss promise of “stability and confidentiality” no longer feels ironclad.

A Quiet Exodus Begins

Over the past 18 months, Dubai has seen a surge of Swiss family offices quietly relocating operations.

These aren’t new players.

These are multi-generational wealth structures—many with deep Swiss roots—now seeking something Switzerland can no longer guarantee: privacy, predictability, and regulatory breathing room.

Here’s why they’re making the move.

1. Switzerland’s New Licensing Rules Are Squeezing Family Offices

Under revised Swiss financial laws, certain family offices now fall under the same category as professional asset managers.

That means:

• They must apply for a financial license.

• Submit to regular audits.

• Comply with stricter reporting and conduct requirements.

Even single-family offices risk regulatory scrutiny if they serve more than one branch of a family or manage pooled assets.

This wasn’t the case before—and for many UHNW families, it feels like the goalposts keep moving.

2. The Rise of the “Transparency Burden”

Switzerland is not immune to the global wave of tax transparency.

Between the OECD’s Common Reporting Standard (CRS), FATF pressures, and local debates on wealth redistribution, clients are starting to feel watched.

The famed discretion of Swiss banking is giving way to mandatory declarations, cross-border disclosures, and growing public scrutiny.

One proposed referendum even aims to introduce a 50% tax on large inheritances and gifts—a headline-grabbing move, even if unlikely to pass.

But for a UHNW family managing generational wealth, it raises an uncomfortable question:
What if Switzerland stops being neutral—on wealth?

3. Dubai Offers a New Definition of “Family Office”

Here’s where Dubai steps in—and rewrites the playbook.

The UAE offers:

• Zero income and inheritance tax.

• Broad definitions of “family” (spanning multi-generational, multi-branch structures).

• No requirement for public disclosure.

• No CRS for UAE-domiciled structures (with the right setup).

Within DIFC alone, over 200 new family offices were established last year, bringing the total to more than 800.

Many came from Europe—not just because of tax savings, but because Dubai’s regulatory framework feels tailored for privacy-focused, mobile, globally exposed families.

4. The Bigger Picture: Wealth Planning Is No Longer About Geography

The shift from Switzerland to Dubai isn’t just about taxes or paperwork.

It’s about control.

When governments become less predictable, when compliance costs rise, and when reporting frameworks threaten to expose sensitive structures—family offices look for jurisdictions that still respect autonomy.

And increasingly, that means platform jurisdictions like Dubai, Singapore, and select Caribbean IFCs—not just the traditional European safe havens.

A Modern Layer of Privacy: Private Placement Life Insurance (PPLI)

In this shifting landscape, one solution is quietly gaining traction: Private Placement Life Insurance (PPLI).

More than just a tax planning tool, advanced PPLI structures can be built with zero surrender value—making them less visible under CRS.

Assets can be contributed in-kind, held privately, and exchanged tax-efficiently—all while remaining under the client’s control via power of attorney.

It’s not a replacement for trusts—but a powerful complement.
A legal layer of privacy, control, and portability—built for a world that demands transparency, yet still respects discretion.

Succession Is the Real Stress Test

It’s worth remembering: 70% of wealthy families lose their wealth by the second generation. 90% by the third.

The biggest threats aren’t market crashes.
They’re family conflict, unclear communication, and structures that don’t evolve with the times.

Modern succession planning is about more than legal documents.
It’s about transferring control, values, and vision—with structures that can protect all three.

Switzerland Isn’t “Over”

To be clear: Switzerland remains a world-class hub for banking, asset management, and cross-border advice.

But for families who prioritize privacy, agility, and global mobility—Dubai is rewriting the rules.

And if you're a family office, trust advisor, or private bank in Asia… this matters.

Because the way your clients structure, protect, and relocate their wealth is shifting. Quietly. Deliberately. Permanently.

It’s where you help them build—and how much control they keep when the world starts watching.

Ready to go deeper?
Subscribe to download the whitepaper: “Why UHNW Families Are Quietly Moving to PPLI”

Or book a private strategy call to see how it might strengthen your ecosystem.