UBS AM and SIX List First SARON-Based ETF

Apr 2, 2025

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On April 2, UBS Asset Management (UBS AM) is introducing the first-ever exchange-traded fund (ETF) based on the Swiss Average Rate Overnight (SARON) with SIX.

Raimund Müller, Head ETF & Index Fund Sales Switzerland and Liechtenstein at UBS Asset Management

The ETF will be listed and traded on SIX Swiss Exchange with SIX also calculating the relevant rates, SARON and the “SARON index” which compounds the daily interest rates.

The launch of the SARON-based ETF marks a significant advancement in the Swiss financial ecosystem. The combined efforts of SIX and UBS underline Switzerland’s commitment to developing efficient and resilient capital markets while solidifying SARON’s position as the leading CHF benchmark rate. As SARON establishes itself as the key CHF reference rate, the ETF offers institutional and retail investors a new tool for accessing CHF money markets, enhancing liquidity and diversification.

This development embodies the spirit of “From Switzerland for Switzerland”, reflecting the growing adoption of SARON as the key Swiss franc benchmark rate, expanding its influence, and strengthens the range of money market products available to investors. This ETF also aligns with the European trend of expanding money market funds, providing CHF investors with a secure and transparent investment vehicle for managing short-term exposure. By replacing traditional rates like LIBOR, SARON offers improved transparency and reliability, reinforcing market confidence and stability.

“We are proud to solidify SARON’s leading Swiss-franc benchmark rate position together with SIX Swiss Exchange.”, says Raimund Müller, Head ETF & Index Fund Sales Switzerland and Liechtenstein at UBS Asset Management. “Investors can efficiently access low-risk short-term cash and liquidity management tools with higher yield opportunities than for traditional bank deposits.”

“We are strengthening SARON’s role in global finance with this SARON-based ETF, ensuring its place in CHF-denominated instruments. Backed by SIX Repo market data, a smooth listing process, high-quality reference data from Ultumus, and our strong distribution and client service, this collaboration made UBS’s ETF launch seamless.” said Christian Bahr, Head of Indices at SIX. “With this development, Switzerland continues to lead in financial innovation, keeping its capital markets competitive and aligned with global best practices.”