The Swiss financial centre ought to augment its international competitiveness and credibility in the realm of climate transparency pertaining to financial products. Thus, the Federal Council decided at its meeting on 8 December 2023 to advance the development of the Swiss Climate Scores, which were introduced voluntarily in 2022.

The Swiss Climate Scores, which are supported by Swiss Banking, aim to offer meaningful and comparable information to institutional and private investors regarding the degree to which their financial investments align with global climate objectives. The Federal Council declared, upon the introduction of the Swiss Climate Scores in 2022, that it would conduct periodic reviews, make any necessary adjustments to reflect the most recent developments, and examine the voluntary adoption of the scores by Swiss financial market participants.

Certain elements of the revised Swiss Climate Scores, which shall become effective on 1 January 2025, have been enhanced to facilitate industry adoption and improve investor comprehension. The climate-related investment goal is currently being subject to optional inquiries, in which financial institutions provide justifications for whether a particular financial product is climate aligned or aids in the mitigation of climate change. Moreover, disclosure of renewable energy exposure is now mandatory in conjunction with fossil fuel exposure.

The Federal Council advises Swiss financial market participants to establish meaningful and comparable climate alignment transparency for all financial investments and client portfolios, and to utilise the Swiss Climate Scores where applicable. In 2024, the Federal Department of Finance (FDF) will assess the status of voluntary uptake.