Nervous savers scramble to protect assets

Cantonal banks are welcoming more net inflows (Keystone) Smaller banks are experiencing unprecedented demand for new accounts as savers seek to safeguard their assets from the global financial crisis. All Swiss banks guarantee SFr30,000 ($26,600) of their clients' money, prompting many people to spread their assets around different institutions. Officials maintain there is little danger of a Swiss bank collapsing. Nevertheless, savers are taking no chances with their hard-earned money, having witnessed a steady procession of failed banks in other countries. Some 1,700 Swiss savers who took advantage of high interest rates recently offered online by Kaupthing Edge faced an anxious wait after the Icelandic bank was taken into state ownership last week. The majority did not invest more than SFr30,000 and are fully covered by the... [read full story]