Until the credit crisis of 2008 an estimated one third of all hedge fund assets were allocated via Switzerland. But also after the crisis, Switzerland remains one of the most important destinations for hedge funds and alternative investment managers. However, as of March 2015, substantial changes to the rules for distributing investment funds (CISA) to Swiss investors came into force.

The new rules leave no room for manoeuvre: While in the past, foreign funds could be distributed easily via private placement, today all foreign managers wanting to market to any Swiss pension, family office, HNI or independent wealth manager are required to designate a Swiss Representative and a Paying Agent (bank). This representation is now a mandatory compliance function while "reverse solicitation" has become almost impossible to demonstrate in practice and is not an option.

The good news is that the industry has found that compliance with CISA and the process of on boarding a Swiss Rep and Paying Agent is a lot easier and more painless than anticipated. In fact, over 1000 foreign managers have already designated a Swiss Representative. This is almost the double than the approximately 600 firms who so far have qualified as AIFM within the European Union's directive. With Switzerland being outside of the EU, AIFM compliance is not required for domestic distribution.

In March 2013 Swiss authorities tabled amendments governing the distribution of non-registered funds. The category of non-registered funds includes foreign-domiciled hedge funds, private equity, real estate, etc. Essentially the regulation, amongst other things, requires every non–registered fund distributed in Switzerland to appoint a representative who is responsible for ensuring the marketing of the fund is in compliance with the law. The potential target market of professional and experienced investors now referred to as Qualified Investors has also been defined, and it is now a requirement that distributors of the funds are regulated and the fund appoints a paying agent.