Collateral security

Collateral may take the form of pledges over movable assets, mortgages over real estate, security assignments, bank account pledges or retention of title. Swiss law distinguishes between security in rem and personal security, and often requires possession, registration or precise documentation for validity and priority. In finance transactions, collateral agreements interact with insolvency law, enforcement procedures and financial market regulation. Proper description of secured claims, ranking and realisation mechanisms is central to enforceability.