Leonteq, a financial firm based in Zurich, has had over CHF 9 million of its profits confiscated by the Swiss Financial Market Supervisory Authority (FINMA).
This action was taken after a thorough investigation into the company's operations, indicating a strict regulatory approach in the financial sector.
The news has caused a significant drop in Leonteq's shares.
FINMA's actions are in line with the increased scrutiny on financial institutions, as they prepare to implement a senior manager regime to improve accountability within the industry.
An investigator will be appointed to further examine Leonteq's practices.