Swiss accounting landscape and its trend against accounting convergence

Abstract

Switzerland's accounting convergence trend has reached a standstill. Although Swiss-listed companies widely use IFRS, they are predominantly applied voluntarily. The financial reporting of listed companies should follow an accounting standard such as IFRS, in addition to the Swiss Code of Obligations. Nevertheless, the Swiss GAAP FER provide an enticing alternative that similarly adheres to the principle of a true and fair view. Listed companies have consequently shown a tendency to convert from IFRS to FER over the past decade.