Nature and purpose of the SNB's assets	Breakdown of assets
The SNB’s assets fulfil important monetary policy functions. They consist mainly of foreign currency assets and, to a lesser extent, financial assets in Swiss francs. Their size and composition is determined by the established monetary order and the requirements of monetary policy.	At the end of 2010, the SNB’s balance sheet total was just under CHF 270 billion, or CHF 63 billion higher than one year earlier (CHF 207 billion). The increase is due to the growth in currency reserves, which rose from CHF 112 billion to CHF 252 billion in the space of a year. This was mainly attributable to foreign exchange purchases.
Currency reserves	Asset management
Under art. 5 para. 2 of the National Bank Act (NBA), the SNB is responsible for managing the currency reserves. Currency reserves consist of foreign exchange reserves and gold. The National Bank holds currency reserves in order to have room for manoeuvre in monetary policy at any time. Currency reserves serve to prevent and overcome potential crises.	Asset management is governed by the primacy of monetary policy and is carried out in accordance with the criteria of security, liquidity and performance. The SNB manages its assets in accordance with the principles of modern investment policy. The foreign exchange reserves are mostly invested in secure and liquid securities.
Investment principles	Investment performance
The SNB’s own Investment Policy Guidelines define the scope for its investments and for the investment and risk management process.	Returns on currency reserves and Swiss franc bonds are published under investment performance and in the Annual Report of the Swiss National Bank.