The Swiss National Bank have been buying vast amounts of euros (& selling francs) to maintain the currency capping of the strong Swiss franc. Such has been the level of their buying since September 2011 that about half the SNBs currency reserves are now in euros.
This places Switzerland at risk if (when) the EZ debt crisis re-intensifies and the euro tanks. In this case, the flood of investors/traders/other central banks selling euros and buying safer francs would overwhelm the SNB to the point that they would be forced to either give up their fight to maintain the franc cap (1.20 per euro) or continue to buy an unwanted & depreciating currency.
Either way the SNB will likely be exposed as impotent in their fight against the market. And when you consider that UBS & Credit Suisse (the tow giants of Swiss banking) have lent massive amounts to EZ nations & have been buying huge amounts of PIIGS debt, Switzerland faces real financial risks in the near future - despite not being a member of the common currency.
