6-K 1 edgar1q25ubspillar.htm edgar1q25ubspillar
 
 
 
 
 
 
 
 
 
 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_________________
FORM 6-K
REPORT OF FOREIGN PRIVATE
 
ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
Date: May 8, 2025
UBS Group AG
(Registrant's Name)
Bahnhofstrasse 45, 8001 Zurich, Switzerland
(Address of principal executive office)
Commission File Number: 1-36764
UBS AG
(Registrant's Name)
Bahnhofstrasse 45, 8001 Zurich, Switzerland
Aeschenvorstadt 1, 4051 Basel, Switzerland
 
(Address of principal executive offices)
Commission File Number: 1-15060
Indicate by check mark whether the registrants file or will file annual
 
reports under cover of Form 20-F or Form
40-
F.
Form 20-F
 
☒
 
Form 40-F
 
☐
 
This Form 6-K
 
consists of the
 
31 March 2025
 
Pillar 3 Report
 
of UBS Group and
 
significant regulated subsidiaries
and sub-groups, which appears immediately following this page.
 
edgarq25ubsgrouppillap3i0
 
 
Pillar 3 Report
 
31 March 2025
 
UBS Group and significant regulated subsidiaries
 
 
and sub-groups
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Terms used in this report, unless the context requires
 
otherwise
“UBS”, “UBS Group”, “UBS Group
 
AG consolidated”, “Group”, “the
 
Group”, “we”, “us” and
 
“our”
UBS Group AG and its consolidated subsidiaries
“UBS AG” and “UBS
 
AG consolidated”
UBS AG and its consolidated subsidiaries
“Credit Suisse AG”
 
Credit Suisse AG and its consolidated subsidiaries
 
before the merger
with UBS AG
“Credit Suisse Group“ and “Credit Suisse”
Pre-acquisition Credit Suisse Group
“UBS Group AG” and “UBS
 
Group AG standalone”
 
UBS Group AG on a standalone basis
“UBS AG standalone”
 
UBS AG on a standalone basis
“UBS Switzerland AG” and “UBS
 
Switzerland AG standalone”
UBS Switzerland AG on a standalone basis
“UBS Europe SE consolidated”
 
UBS Europe SE and its consolidated subsidiaries
“UBS Americas Holding LLC” and
 
“UBS Americas Holding LLC consolidated”
UBS Americas Holding LLC and its consolidated subsidiaries
“Credit Suisse International standalone”
Credit Suisse International on a standalone basis
“1m”
One million, i.e. 1,000,000
“1bn”
One billion, i.e. 1,000,000,000
“1trn”
One trillion, i.e. 1,000,000,000,000
In this report, unless the context requires otherwise,
 
references to any gender shall apply to all genders.
 
 
 
 
Table of contents
UBS Group
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
Significant regulated subsidiaries and sub-groups
Section 1
Section 2
Section 3
Section 4
Section 5
Section 6
Section 7
Appendix
Contacts
Switchboards
For all general inquiries:
ubs.com/contact
 
Zurich +41-44-234-1111
London +44-207-567-8000
New York +1-212-821-3000
Hong Kong SAR +852-2971-8888
Singapore +65-6495-8000
Investor Relations
UBS’s Investor Relations team
manages relationships with
institutional investors, research
analysts and credit rating agencies.
ubs.com/investors
Zurich +41-44-234-4100
New York +1-212-882-5734
Media Relations
UBS’s Media Relations team
 
manages relationships with global
media and journalists.
ubs.com/media
Zurich +41-44-234-8500
mediarelations@ubs.com
London +44-20-7567-4714
 
ubs-media-relations@ubs.com
New York +1-212-882-5858
 
mediarelations@ubs.com
Hong Kong SAR +852-2971-8200
sh-mediarelations-ap@ubs.com
Office of the Group Company
Secretary
The Group Company Secretary
handles inquiries directed to the
Chairman or to other members
of the Board of Directors.
UBS Group AG, Office of the
 
Group Company Secretary
PO Box, CH-8098 Zurich, Switzerland
sh-company-secretary@ubs.com
Zurich +41-44-235-6652
Shareholder Services
UBS’s Shareholder Services team,
 
a unit of the Group Company
Secretary’s office, manages
relationships with shareholders and
the registration of UBS Group AG
registered shares.
UBS Group AG, Shareholder Services
PO Box, CH-8098 Zurich, Switzerland
sh-shareholder-services@ubs.com
Zurich +41-44-235-6652
US Transfer Agent
For global registered share-related
inquiries in the US.
Computershare Trust Company NA
PO Box 43006
Providence, RI, 02940-3006, USA
Shareholder online inquiries:
www.computershare.com/us/
investor-inquiries
Shareholder website:
computershare.com/investor
Calls from the US
 
+1-866-305-9566
Calls from outside the US
 
+1-781-575-2623
TDD for hearing impaired
+1-800-231-5469
TDD for foreign shareholders
+1-201-680-6610
Imprint
Publisher: UBS Group AG, Zurich, Switzerland | ubs.com
Language: English
© UBS 2025. The key symbol and UBS are among
 
the registered and
unregistered trademarks of UBS. All rights reserved.
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Introduction and basis for
 
preparation
 
2
UBS Group
Introduction and basis for preparation
Scope of Basel III Pillar 3 disclosures
The
 
Basel
 
Committee
 
on
 
Banking
 
Supervision
 
(the
 
BCBS)
 
final
 
Basel III
 
capital
 
adequacy
 
framework
 
consists
 
of
 
three
complementary pillars. Pillar 1 provides a framework for measuring minimum capital requirements
 
for the credit, market
and operational risks faced by banks. Pillar 2 addresses the principles of the supervisory review
 
process, emphasizing the
need
 
for
 
a
 
qualitative
 
approach
 
to supervising
 
banks. Pillar
 
3 requires
 
banks
 
to publish
 
a
 
range
 
of
 
disclosures,
 
mainly
covering risk, capital, leverage, liquidity and remuneration.
This
 
report
 
provides
 
Pillar 3
 
disclosures
 
for
 
the
 
UBS
 
Group
 
and
 
prudential
 
key
 
figures
 
and
 
regulatory
 
information
 
for
UBS AG consolidated and standalone,
 
UBS Switzerland AG standalone,
 
UBS Europe SE consolidated,
 
and UBS Americas
Holding LLC consolidated, as well as Credit Suisse
 
International standalone,
 
in the respective sections under “Significant
regulated subsidiaries and sub-groups”.
This
 
Pillar
3
 
report
 
has
 
been
 
prepared
 
for
 
the
 
first
 
time
 
in
 
accordance
 
with
 
the
 
Swiss
 
Financial
 
Market
 
Supervisory
Authority
 
(FINMA)
 
Ordinance
 
on
 
the
 
Disclosure
 
Obligations
 
of
 
Banks
 
and
 
Securities
 
Firms
 
(DisO-FINMA),
 
the
corresponding explanatory
 
notes, and the
 
underlying BCBS
 
Basel framework
 
disclosure requirements.
 
The revised
 
CAO
that
 
incorporates
 
the
 
final
 
Basel III
 
standards
 
into
 
Swiss
 
law
 
and
 
the
 
five
 
new
 
FINMA
 
ordinances
 
(including
 
the
 
DisO-
FINMA) that contain the implementing
 
provisions for the rev
 
ised CAO, entered into force
 
on 1 January 2025. The DisO-
FINMA replaces
 
FINMA Circular
 
2016/1 “Disclosure
 
– banks”
 
and incorporates
 
in particular
 
new and
 
revised disclosure
tables on risks and capital requirements.
As UBS
 
is a
 
systemically relevant
 
bank (an
 
SRB) under
 
Swiss banking
 
law,
 
UBS Group
 
AG and
 
UBS AG are
 
required
 
to
comply with regulations based on the final Basel
 
III framework as applicable to Swiss SRBs on a consolidated
 
basis.
 
Local
 
regulators
 
may
 
also
 
require
 
the
 
publication
 
of
 
Pillar 3
 
information
 
at
 
a
 
subsidiary
 
or
 
sub-group
 
level.
 
Where
applicable, these local disclosures
 
are provided under “Holding
 
company and significant
 
regulated subsidiaries and sub-
groups” at
ubs.com/investors
.
Changes to Pillar 3 disclosure requirements
The
 
DisO-FINMA
 
includes
 
new
 
and
 
amended
 
quarterly
 
tables
 
as
 
a
 
result
 
of
 
the
 
implementation
 
of
 
the
 
final
 
Basel III
standards in Switzerland.
New quarterly tables
The following new tables are required
 
on a quarterly basis.
–
CMS1: Comparison of modelled and standardized RWA
 
at risk level
–
CVA4: RWA flow statements of CVA risk exposures under
 
SA-CVA
The new
 
“MR2: Market
 
risk for
 
banks using
 
the IMA”
 
quarterly table
 
is not
 
applicable to
 
UBS, as
 
the internal
 
models
approach (the IMA) for market risk is currently not applied
 
by UBS.
Amended quarterly tables
The following quarterly tables have been amended.
–
KM1: Key
 
metrics. The
 
KM1 disclosures
 
tables for
 
UBS Group
 
AG consolidated,
 
UBS AG consolidated,
 
and UBS
 
AG
standalone now include
 
pre-output floor risk-weighted
 
assets (RWA) and
 
capital ratios. The
 
output floor,
 
which is being
phased in until
 
2028, is currently
 
not binding for
 
these scopes. For UBS
 
Switzerland AG, the output floor
 
is fully phased
in
 
and
 
binding.
 
Additionally,
 
the
 
KM1
 
table
 
includes
 
leverage
 
ratio
 
information
 
incorporating
 
the
 
mean
 
value
 
for
securities financing transactions (SFT) assets.
–
OV1: Overview of RWA.
 
The OV1 disclosure
 
table now includes new
 
rows for the level
 
and the impact of
 
the output
floor, which is currently not binding at the level of UBS
 
Group AG consolidated.
–
LR1: Summary
 
comparison
 
of accounting
 
assets vs
 
leverage ratio
 
exposure measure.
 
Under the
 
new regulation,
 
the
disclosure requires
 
banks to
 
carve out
 
the expected
 
losses on
 
advanced internal-ratings
 
based portfolio
 
less general
provisions (IRB shortfall) information on a separate
 
line. All other changes to the disclosure are not applicable to
 
UBS.
–
LR2: Leverage ratio common disclosure. The new regulation requires banks to disclose the
 
leverage ratio reflecting the
daily average of SFTs.
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Introduction and basis for
 
preparation
 
3
Significant regulatory developments, disclosure requirements
 
and other changes
Developments in Switzerland aimed at strengthening financial
 
stability
Based
 
on
 
its
 
report
 
on
 
banking
 
stability
 
from
 
April
 
2024,
 
the
 
Swiss
 
Federal
 
Council
 
is
 
expected
 
to
 
launch
 
a
 
public
consultation
 
on
 
the
 
implementation
 
of
 
its
 
proposed
 
measures
 
at
 
the
 
ordinance
 
level
 
and
 
present
 
its
 
proposals
 
for
legislative
 
amendments
 
to
 
the
 
Swiss
 
Parliament
 
in
 
June
 
2025.
 
The
 
capital
 
treatment
 
of
 
foreign
 
participations
 
will
 
be
regulated at the
 
legislative level, rather than
 
at the ordinance
 
level; therefore
 
the respective measures
 
will be presented
to
 
the
 
Parliament.
 
Certain
 
proposals
 
that
 
are
 
under
 
consideration,
 
in
 
particular
 
the
 
capital
 
treatment
 
of
 
foreign
participations,
 
if
 
adopted,
 
could
 
require
 
UBS
 
Group
 
AG
 
and
 
UBS
 
AG
 
to
 
hold
 
a
 
significantly
 
higher
 
level
 
of
 
capital.
However,
 
the
 
ultimate
 
impact
 
of
 
the
 
proposals
 
on
 
UBS
 
cannot
 
yet
 
be
 
assessed,
 
due
 
to
 
the
 
broad
 
range
 
of
 
possible
outcomes at the end of the regulatory process.
Developments related to the implementation of the final
 
Basel III standards
In Switzerland,
 
the
 
amendments
 
to the
 
CAO that
 
incorporate
 
the
 
final
 
Basel III standards
 
into
 
Swiss
 
law
 
entered
 
into
force on 1 January 2025. The adoption of the final
 
Basel III standards led to an USD 8.6bn reduction
 
in the UBS Group’s
RWA. A
 
USD 6.5bn increase
 
in market
 
risk RWA
 
resulting from
 
the implementation
 
of the
 
Fundamental Review
 
of the
Trading
 
Book
 
(the
 
FRTB)
 
framework
 
was
 
more
 
than
 
offset
 
by
 
a
 
USD 9.0bn
 
reduction
 
in
 
operational
 
risk
 
RWA
 
and
 
a
USD 6.1bn reduction in
 
credit and counterparty
 
credit risk RWA.
 
The output floor,
 
which is being phased
 
in until 2028,
is currently not binding for the UBS Group.
 
In January 2025, the UK Prudential Regulation Authority (the PRA) announced that it has postponed the implementation
of the final Basel III standard by one year, to 1 January 2027, citing the need for greater
 
clarity on US plans. The PRA left
open the possibility of further postponement. The
 
date for the full phase-in
 
of the output floor continues
 
to be 1 January
2030. With UBS’s
 
entities not being
 
subject to the
 
corresponding UK regulation,
 
the overall impact
 
on UBS is
 
expected
to be limited.
In the EU, the final Basel III requirements became applicable as of 1 January 2025, except for the FRTB requirements, the
implementation of which has been delayed until at least 1 January 2026. In March 2025, the European Commission (the
EC) launched a consultation to determine the approach for implementing the FRTB requirements, as recent international
developments indicate
 
further delays
 
in the
 
FRTB implementation,
 
particularly in
 
the US
 
and the
 
UK. UBS
 
Europe SE
 
is
subject
 
to
 
Basel III
 
regulations
 
in
 
the
 
EU.
 
The
 
impact
 
on
 
UBS
 
can
 
only
 
be
 
determined
 
once
 
the
 
EC
 
publishes
 
its
 
final
decision.
In the
 
US, banking
 
agencies,
 
including the
 
Federal
 
Reserve
 
Board, have
 
been discussing
 
amendments
 
to their
 
original
proposals
 
regarding
 
the
 
implementation
 
of
 
the
 
final
 
Basel III
 
standards.
 
The
 
timing
 
and
 
the
 
content
 
of
 
a
 
re-proposal
remain
 
uncertain.
 
UBS
 
Americas
 
Holding
 
LLC
 
is
 
subject
 
to
 
the
 
US
 
requirements.
 
The
 
impact
 
on
 
UBS
 
can
 
only
 
be
determined once the US publishes its final rules.
Other developments
Capital returns
On 10
 
April
 
2025, the
 
shareholders
 
approved
 
a
 
dividend
 
of
 
USD 0.90
 
per
 
share
 
at
 
the
 
Annual General
 
Meeting.
 
The
dividend was paid on 17 April 2025 to shareholders
 
of record on 16 April 2025.
In
 
line
 
with
 
our
 
plan
 
to
 
repurchase
 
USD 1bn
 
of
 
shares
 
in
 
the
 
first
 
half
 
of
 
2025,
 
we
 
completed
 
share
 
repurchases
 
of
USD 0.5bn
 
during
 
the
 
first
 
quarter
 
of 2025.
 
We
 
plan
 
to repurchase
 
an additional
 
USD 0.5bn
 
of
 
shares
 
in the
 
second
quarter
 
of
 
2025,
 
and
 
USD 2bn
 
of
 
shares
 
in
 
the
 
second
 
half
 
of
 
2025.
 
We
 
are
 
maintaining
 
our
 
ambition
 
for
 
share
repurchases in 2026 to
 
exceed full-year 2022
 
levels of USD 5.6bn. Our
 
share repurchases will
 
be subject to maintaining
our common equity tier 1 capital ratio target of around 14%,
 
achieving our financial targets and the absence of material
and immediate changes to the current capital regime
 
in Switzerland.
 
Frequency and comparability of Pillar 3 disclosures
 
The
 
DisO-FINMA
 
specifies
 
the
 
reporting
 
frequency
 
for
 
each
 
disclosure.
 
In
 
line
 
with
 
these
 
FINMA-specified
 
disclosure
requirements,
 
including
 
with
 
regard
 
to
 
comparative
 
periods,
 
we
 
provide
 
quantitative
 
comparative
 
information
 
as
 
of
31 December 2024, prepared
 
in accordance with
 
FINMA Circular
 
2016/1 “Disclosure
 
– banks”, for
 
disclosures required
on a
 
quarterly basis.
 
Where specifically
 
required by
 
FINMA and / or
 
the BCBS,
 
we disclose
 
comparative information
 
for
additional reporting dates.
 
›
Refer to the 31 December 2024 Pillar 3 Report,
 
available under “Pillar 3 disclosures” at
ubs.com/investors
, for more information
about previously published quarterly movement commentary
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Key metrics
 
4
Key metrics
Key metrics for the first quarter of 2025
The KM1
 
and KM2
 
tables below
 
are based
 
on the
 
Swiss Financial
 
Market Supervisory
 
Authority (FINMA)
 
Ordinance on
the Disclosure Obligations
 
of Banks and
 
Securities Firms
 
(DisO-FINMA) rules.
 
The KM2 table
 
includes a reference
 
to the
total loss-absorbing capacity (TLAC) term sheet, published by the
 
Financial Stability Board (the FSB). The FSB provides this
term sheet at
fsb.org/2015/11/total-loss-absorbing-capacity-tlac-principles-and-term-sheet
.
Our capital ratio
 
increased,
 
reflecting a decrease
 
in our risk-weighted
 
assets (RWA) and
 
an increase in
 
our tier 1 capital.
Our
 
leverage
 
ratio
 
decreased,
 
reflecting
 
an
 
increase
 
in
 
the
 
leverage
 
ratio
 
denominator
 
(the
 
LRD),
 
partly
 
offset
 
by
 
an
increase in tier 1 capital.
Our common equity
 
tier 1 (CET1) capital
 
decreased by USD 2.2bn
 
to USD 69.2bn, mainly
 
as operating profit
 
before tax
of USD 2.1bn and
 
foreign currency translation gains
 
of USD 0.8bn were
 
more than offset by
 
a net share
 
repurchase effect
of
 
USD 3.0bn,
 
dividend
 
accruals
 
of
 
USD 0.8bn,
 
current
 
tax
 
expenses
 
of
 
USD 0.5bn
 
and
 
a
 
negative
 
effect
 
from
compensation-
 
and own-share-related capital components
 
of USD 0.5bn. The net share
 
repurchase effect of USD 3.0bn
reflects actual
 
share repurchases
 
of USD 0.5bn
 
made under
 
our 2024
 
share repurchase
 
program in
 
the first
 
quarter of
2025 and a USD 2.5bn capital reserve for expected
 
future share repurchases.
Our tier 1
 
capital
 
increased
 
by USD 0.1bn
 
to USD 87.8bn,
 
with a
 
USD 2.3bn
 
increase
 
in additional
 
tier 1 (AT1)
 
capital
more than
 
offsetting the
 
aforementioned
 
USD 2.2bn decrease
 
in CET1
 
capital. The
 
increase in
 
AT1 capital
 
was mainly
driven by
 
the issuance
 
of new
 
AT1 capital
 
instruments equivalent
 
to USD 3.0bn
 
and positive
 
impacts from
 
interest rate
risk hedge, foreign
 
currency translation and
 
other effects, partly
 
offset by the
 
call of AT1
 
capital instruments equivalent
to USD 1.3bn.
The TLAC available as
 
of 31 March 2025 included CET1
 
capital, AT1 capital and
 
non-regulatory capital elements of TLAC.
 
Our available TLAC increased by USD 1.8bn to USD 187.2bn, reflecting the aforementioned increase in tier 1 capital and
a
 
USD 1.7bn
 
increase
 
in
 
non-regulatory
 
capital
 
elements
 
of
 
TLAC.
 
The
 
increase
 
in
 
non-regulatory
 
capital
 
elements
 
of
TLAC was
 
driven by
 
new issuances
 
of TLAC-eligible
 
senior
 
unsecured debt
 
instruments
 
totaling USD
 
3.0bn equivalent
and positive impacts
 
from interest rate
 
risk hedge, foreign
 
currency translation and
 
other effects. These effects
 
were partly
offset by
 
the call
 
of USD 3.7bn
 
equivalent of
 
TLAC-eligible senior
 
unsecured debt
 
instruments and
 
a USD 0.2bn
 
TLAC-
eligible senior unsecured debt instrument ceasing to
 
be eligible as gone concern
 
capital as it entered the final
 
year before
maturity.
 
During the
 
first quarter
 
of 2025,
 
RWA decreased
 
by USD 15.3bn
 
to USD 483.3bn,
 
driven by
 
an USD 11.4bn
 
decrease
resulting from
 
asset size
 
and other
 
movements, an
 
USD 8.6bn reduction
 
as a
 
result of
 
the implementation
 
of the
 
final
Basel III
 
standards,
 
and
 
a
 
USD 1.1bn
 
reduction
 
resulting
 
from model
 
updates
 
and other
 
methodology
 
changes.
 
These
decreases were partly offset by a USD 5.9bn increase in currency
 
effects.
The
 
LRD
 
increased
 
by
 
USD 42.1bn
 
to
 
USD 1,561.6bn,
 
driven
 
by
 
an
 
increase
 
of
 
USD 28.8bn
 
as
 
a
 
result
 
of
 
the
implementation of the
 
final Basel III standards
 
and currency effects
 
of USD 26.5bn, partly
 
offset by asset
 
size and other
movements of USD 13.2bn.
 
The quarterly average
 
liquidity coverage ratio
 
(the LCR) of
 
the UBS Group
 
decreased 7.4 percentage
 
points to 181.0%,
remaining above the prudential requirement communicated by FINMA. The movement in the quarterly average
 
LCR was
primarily driven by
 
a decrease in
 
high-quality liquid assets
 
of USD 12.7bn to
 
USD 318.7bn, mainly reflecting
 
lower cash
available due to
 
a decrease
 
in customer
 
deposits, funding
 
of additional
 
trading assets
 
and lower
 
debt issued
 
measured
at amortized
 
cost, partly
 
offset by
 
higher cash
 
available from
 
lower lending
 
assets and
 
higher proceeds
 
from securities
financing transactions. The average
 
net cash outflows remained largely
 
unchanged at USD 176.2bn, as
 
higher outflows
from debt issued at amortized cost and customer deposits were substantially
 
offset by higher net inflows from securities
financing transactions.
As
 
of
 
31 March
 
2025,
 
the
 
net
 
stable
 
funding
 
ratio
 
of
 
the
 
UBS
 
Group
 
decreased
 
1.3 percentage
 
points
 
to
 
124.2%,
remaining
 
above
 
the
 
prudential
 
requirement
 
communicated
 
by
 
FINMA.
 
Available
 
stable
 
funding
 
(ASF)
 
increased
 
by
USD 4.9bn
 
to
 
USD 861.7bn,
 
mainly
 
driven
 
by
 
a
 
shift
 
in
 
client
 
deposit
 
composition
 
resulting
 
in
 
a
 
more
 
beneficial
 
ASF
treatment.
 
Required stable funding increased by USD 11.3bn to USD 693.8bn, primarily
 
reflecting higher lending assets,
largely due to currency effects, partly offset by lower derivative
 
balances.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Key metrics
 
5
KM1: Key metrics
USD m, except where indicated
31.3.25
31.12.24
30.9.24
30.6.24
31.3.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
69,152
71,367
74,213
76,104
77,663
2
Tier 1
87,837
87,739
91,024
91,804
92,983
3
Total capital
87,837
87,739
91,025
91,804
92,984
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
483,276
498,538
519,363
511,376
526,437
4a
Total risk-weighted assets (pre-floor)
1
483,276
4b
Minimum capital requirement
2
38,662
39,883
41,549
40,910
42,115
Risk-based capital ratios as a percentage of RWA
5
Common equity tier 1 ratio (%)
14.31
14.32
14.29
14.88
14.75
5b
Common equity tier 1 ratio (%) (pre-floor)
1
14.31
6
Tier 1 ratio (%)
18.18
17.60
17.53
17.95
17.66
6b
Tier 1 ratio (%) (pre-floor)
1
18.18
7
Total capital ratio (%)
18.18
17.60
17.53
17.95
17.66
7b
Total capital ratio (%) (pre-floor)
1
18.18
Additional CET1 buffer requirements as a percentage of RWA
8
Capital conservation buffer requirement (%)
2.50
2.50
2.50
2.50
2.50
9
Countercyclical buffer requirement (%)
0.13
0.16
0.17
0.16
0.15
9a
Additional countercyclical buffer for Swiss mortgage loans
 
(%)
0.31
0.37
0.38
0.33
0.32
10
Bank G-SIB and / or D-SIB additional requirements (%)
1.50
3
1.00
1.00
1.00
1.00
11
Total of bank CET1 specific buffer requirements (%)
4
4.13
3.66
3.67
3.66
3.65
12
CET1 available after meeting the bank’s minimum capital requirements (%)
5
9.81
9.60
9.53
9.95
9.66
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
1,561,583
1,519,477
1,608,341
1,564,201
1,599,646
14
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves)
6
5.62
5.77
5.66
5.87
5.81
14b
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves)
1
5.62
14c
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves) incorporating mean values for SFT
assets
1, 6
5.60
14d
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves) incorporating mean values for
SFT assets
1
5.60
14e
Minimum capital requirements
1, 7
46,848
Liquidity coverage ratio (LCR)
8
15
Total high-quality liquid assets (HQLA)
 
318,735
331,481
360,628
378,235
422,617
16
Total net cash outflow
176,190
176,008
181,051
178,452
192,106
16a
of which: cash outflows
362,013
347,761
342,952
342,383
348,693
16b
of which: cash inflows
185,823
171,753
161,901
163,931
156,588
17
LCR (%)
180.96
188.37
199.25
211.99
220.21
Net stable funding ratio (NSFR)
18
Total available stable funding
861,717
856,804
904,295
882,282
887,037
19
Total required stable funding
693,777
682,508
712,773
689,025
701,560
20
NSFR (%)
124.21
125.54
126.87
128.05
126.44
1 First-time disclosure, based on the final Basel III standards implemented on 1
 
January 2025.
 
2 Calculated as 8% of total RWA, based on total capital minimum requirements,
 
excluding CET1 buffer requirements.
 
3 The G-SIB
 
additional CET1 capital buffer requirement
 
increased to 1.5%, effective 1
 
January 2025. The increase
 
follows the acquisition of Credit
 
Suisse Group in June 2023.
 
4 Excludes non-BCBS capital buffer
requirements for risk-weighted positions
 
that are directly or
 
indirectly backed by
 
residential properties in Switzerland.
 
5 Represents the CET1 ratio
 
that is available to
 
meet buffer requirements.
 
Calculated as the
CET1 ratio minus the BCBS CET1 capital
 
requirement and, where applicable, minus the BCBS
 
tier 2 capital requirement met with CET1 capital.
 
6 There is currently no temporary exemption
 
of central bank reserves
for UBS.
 
7 The higher of capital requirements based on
 
8% RWA or 3% LRD.
 
8 Calculated after the application of haircuts and inflow
 
and outflow rates, as well as,
 
where applicable, caps on Level 2 assets
 
and
cash inflows. Calculated based on an
 
average of 62 data points in
 
the first quarter of 2025 and 64
 
data points in the fourth quarter
 
of 2024. For the prior
 
-quarter data points, refer to the
 
respective Pillar 3 Report,
available under “Pillar 3 disclosures” at ubs.com/investors, for more information.
KM2: Key metrics – TLAC requirements (at resolution group level)
1
USD m, except where indicated
31.3.25
31.12.24
30.9.24
30.6.24
31.3.24
1
Total loss-absorbing capacity (TLAC) available
 
187,168
 
185,395
 
194,907
 
197,690
 
196,970
2
Total RWA at the level of the resolution group
 
483,276
 
498,538
 
519,363
 
511,376
 
526,437
3
TLAC as a percentage of RWA (%)
 
38.73
 
37.19
 
37.53
 
38.66
 
37.42
4
Leverage ratio exposure measure at the level of the resolution group
 
1,561,583
 
1,519,477
 
1,608,341
 
1,564,201
 
1,599,646
5
TLAC as a percentage of leverage ratio exposure measure (%)
 
11.99
 
12.20
 
12.12
 
12.64
 
12.31
6a
Does the subordination exemption in the antepenultimate
 
paragraph of
Section 11 of the FSB TLAC Term Sheet apply?
No
6b
Does the subordination exemption in the penultimate paragraph of
Section 11 of the FSB TLAC Term Sheet apply?
No
6c
If the capped subordination exemption applies, the amount of funding
issued that ranks pari passu with excluded liabilities and that is
recognized as external TLAC, divided by funding issued that ranks pari
passu with excluded liabilities and that would be recognized
 
as external
TLAC if no cap was applied (%)
N/A – Refer to our response to 6b.
1 Resolution group level is defined as the UBS Group AG consolidated level.
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
 
6
Risk-weighted assets
Overview of RWA and capital requirements
The
 
OV1
 
table
 
below
 
provides
 
an
 
overview
 
of
 
our
 
risk-weighted
 
assets
 
(RWA)
 
and
 
the
 
related
 
minimum
 
capital
requirements by
 
risk type.
 
The table
 
presented is
 
based on
 
the respective
 
Swiss Financial
 
Market Supervisory
 
Authority
(FINMA) template and empty rows indicate current non-applicability
 
to UBS.
During the
 
first quarter
 
of 2025,
 
RWA decreased
 
by USD 15.3bn
 
to USD 483.3bn,
 
driven by
 
an USD 11.4bn
 
decrease
resulting from
 
asset size
 
and other
 
movements, an
 
USD 8.6bn reduction
 
as a
 
result of
 
the implementation
 
of the
 
final
Basel III
 
standards,
 
and
 
a
 
USD 1.1bn
 
reduction
 
resulting
 
from model
 
updates
 
and other
 
methodology
 
changes.
 
These
decreases were partly offset by a USD 5.9bn increase in currency
 
effects.
 
Credit risk RWA increased by USD 3.6bn, driven by a
 
USD 4.8bn increase in currency effects and a USD 2.2bn increase as
a result of the
 
implementation of the final Basel III standards,
 
partly offset by decreases
 
of USD 2.0bn resulting from asset
size and other movements,
 
as well as model updates and other methodology changes
 
of USD 1.4bn.
 
–
The USD 2.2bn increase in row 1, ”Credit risk (excluding counterparty credit risk)”, resulting from the implementation
of
 
the
 
final
 
Basel III
 
standards
 
was
 
primarily
 
caused
 
by
 
the
 
shift
 
of
 
equity
 
exposures
 
from
 
the
 
simple
 
risk
 
weight
approach, disclosed in row 11,
 
“Equity positions under the simple risk weight approach”, under Basel III to row 1. The
impact of this shift on row 1
 
was USD 3.6bn. This is lower than the USD 5.5bn reported
 
in row 11 as on 31 December
2024, mainly due to risk weight changes and
 
the removal of a 1.06 multiplier on
 
risk weights calculated using internal
ratings-based
 
(IRB)
 
models.
 
Excluding
 
this
 
change,
 
the
 
remaining
 
credit
 
risk
 
RWA
 
decreased
 
as
 
a
 
result
 
of
 
the
implementation
 
of
 
the
 
final
 
Basel III
 
standards,
 
primarily
 
due
 
to
 
the
 
removal
 
of
 
a
 
1.06
 
multiplier
 
on
 
risk
 
weights
calculated
 
using
 
IRB
 
models,
 
which
 
more
 
than
 
offset
 
other
 
changes,
 
including
 
the
 
establishing
 
of
 
floors
 
and
 
the
introduction of regulatory-mandated loss-given-default parameters
 
for financial institutions and
 
large corporate clients
under the foundation internal ratings-based (F-IRB) approach
 
.
–
The
 
USD 2.0bn
 
decrease
 
in
 
asset
 
size
 
and
 
other
 
movements
 
was
 
mainly
 
driven
 
by
 
our
 
actions
 
to
 
actively
 
unwind
exposures
 
in Non-core
 
and
 
Legacy, in
 
addition
 
to the
 
natural
 
roll-off,
 
and lower
 
RWA from
 
loans
 
in Global
 
Wealth
Management, partly offset by higher RWA from loans and loan
 
commitments in the Investment Bank.
–
The USD 1.4bn decrease
 
from model updates
 
and other methodology
 
changes not related
 
to the implementation
 
of
the
 
final Basel
 
III standards
 
was
 
predominantly
 
attributable
 
to the
 
establishment
 
of a
 
new
 
model for
 
private-equity
subscription loans.
Counterparty
 
credit
 
risk
 
(CCR)
 
RWA
 
decreased
 
by
 
USD 7.0bn,
 
driven
 
by
 
a
 
USD 4.5bn
 
decrease
 
as
 
a
 
result
 
of
 
the
implementation
 
of
 
the
 
final
 
Basel III
 
standards,
 
as
 
well
 
as
 
a
 
USD 3.1bn
 
decrease
 
resulting
 
from
 
asset
 
size
 
and
 
other
movements, partly offset by a USD 0.6bn increase in currency
 
effects.
–
The USD 4.5bn
 
decrease resulting
 
from the
 
implementation of
 
the final
 
Basel III standards
 
was mainly
 
driven by
 
the
removal
 
of
 
a
 
1.06
 
multiplier
 
on
 
risk
 
weights
 
calculated
 
using
 
IRB
 
models,
 
as
 
well
 
as
 
the
 
application
 
of
 
the
 
F-IRB
approach for exposures to financial institutions and large
 
corporate clients.
–
The USD 3.1bn
 
decrease from
 
asset size
 
and other
 
movements was
 
mainly driven
 
by lower
 
RWA from
 
derivatives in
the Investment Bank.
For changes to
 
row 11, “Equity
 
positions under the
 
simple risk weight
 
approach during the
 
5-year transitional period”,
refer to the aforementioned credit risk RWA comment.
Market risk RWA increased by USD 4.2bn, driven by the implementation of the
 
Fundamental Review of the Trading Book
(the FRTB) framework,
 
which increased RWA
 
by USD 6.5bn. This
 
increase was partly
 
offset by an
 
asset size decrease
 
of
USD 2.3bn, largely due to derisking within Non-core and
 
Legacy.
 
Operational risk
 
RWA decreased
 
by USD 9.0bn
 
to USD 136.4bn,
 
as a
 
result of
 
the implementation
 
of the
 
standardized
approach for determining regulatory capital under the
 
final Basel III standards.
The flow tables for
 
credit risk, CCR
 
and credit valuation
 
adjustment (CVA) RWA
 
below provide further
 
details regarding
the movements in RWA in the first quarter of 2025.
›
Refer to the “Introduction and basis for preparation” section
 
of this report for more information about the regulatory standards
applied
›
Refer to the “Capital management”
 
section of the UBS Group first quarter 2025
 
report, available under
 
“
Quarterly reporting” at
ubs.com/investors
, for more information about capital management and
 
RWA, including details regarding movements in RWA
during the first quarter of 2025
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
 
7
OV1: Overview of RWA
Minimum
capital
requirements
1
USD m
31.3.25
31.12.24
31.3.25
1
Credit risk (excluding counterparty credit risk)
 
239,547
 
235,955
 
19,164
2
of which: standardized approach (SA)
 
57,511
 
51,817
 
4,601
2a
of which: non-counterparty-related risk
2
 
15,712
 
15,667
 
1,257
3
of which: foundation internal ratings-based (F-IRB) approach
3
 
38,171
 
3,054
4
of which: supervisory slotting approach
 
1,632
 
1,745
 
131
5
of which: advanced internal ratings-based (A-IRB) approach
 
142,233
 
182,393
 
11,379
5a
of which: adjustments related to the Swiss sectoral real estate floor
 
for exposures secured by real estate in Switzerland
3, 4
6
Counterparty credit risk
5
 
30,135
 
37,182
 
2,411
7
of which: SA for counterparty credit risk (SA-CCR)
 
7,155
 
8,315
 
572
8
of which: internal model method (IMM)
 
12,684
 
16,397
 
1,015
8a
of which: value-at-risk (VaR)
 
6,358
 
8,107
 
509
9
of which: other CCR
 
3,937
 
4,364
 
315
10
Credit valuation adjustment (CVA)
 
9,322
 
8,735
 
746
10a
of which: full basic approach (BA-CVA)
3
 
5,066
 
405
10b
of which: standardized approach (SA-CVA)
3
 
4,256
 
340
11
Equity positions under the simple risk weight approach during the 5-year
 
transitional period
6
 
5,544
12
Equity investments in funds – look-through approach
 
2,046
 
2,400
 
164
13
Equity investments in funds – mandate-based approach
 
1,121
 
789
 
90
14
Equity investments in funds – fallback approach
 
456
 
452
 
37
15
Settlement risk
 
343
 
184
 
27
16
Securitization exposures in banking book
 
6,739
 
7,433
 
539
17
of which: securitization internal ratings-based approach (SEC-IRBA)
 
3,550
 
3,547
 
284
18
of which: securitization external ratings-based approach (SEC-ERBA),
 
including internal assessment approach (IAA)
 
971
 
977
 
78
19
of which: securitization standardized approach (SEC-SA)
 
2,219
 
2,909
 
177
20
Market risk
 
31,352
 
27,189
 
2,508
21
of which: standardized approach (SA)
 
31,352
 
337
 
2,508
22
of which: internal models approach (IMA)
 
26,852
23
Capital charge for switch between trading book and banking book
24
Operational risk
 
136,394
 
145,426
 
10,912
25
Amounts below thresholds for deduction (250% risk weight)
7
 
25,820
 
27,249
 
2,066
25a
 
of which: deferred tax assets
 
 
17,553
 
18,066
 
1,404
26
Output floor applied (%)
3,8
 
60
 
5
27
Floor adjustment (before application of transitional cap)
3,9
28
Floor adjustment (after application of transitional cap)
10
29
Total
 
483,276
 
498,538
 
38,662
1 Calculated based on 8% of RWA.
 
2 Non-counterparty-related risk includes property, equipment, software and other items.
 
3 First-time disclosure, based on the final Basel III standards implemented on 1 January
2025.
 
4 The Swiss sectoral real
 
estate floor is not applicable at the
 
level of UBS Group AG consolidated.
 
5 Excludes settlement risk, which is separately
 
reported in line 15 “Settlement risk”.
 
Includes RWA with
central counterparties. The
 
split between the sub-components of counterparty
 
credit risk refers to the
 
calculation of the exposure measure.
 
6 The simple risk-weight approach is
 
no longer applicable at UBS,
 
and
equity positions in the banking book
 
are included in row 2. The
 
5-year transitional period is
 
effective as of 1 January
 
2025, but is not applicable to
 
UBS.
 
7 Includes Items subject to threshold
 
deduction treatment
that do not exceed their respective threshold and are risk weighted
 
at 250%. Items subject to threshold deduction treatment include significant investments in common shares of
 
non-consolidated financial institutions
(banks, insurance and other financial entities) and deferred tax assets arising from temporary differences.
 
8 The overall output floor of 72.5% is subject to a phase-in until 1 January 2028. As of 1 January 2025, the
applicable overall output
 
floor at the
 
level of UBS
 
Group AG consolidated
 
is 60%. In
 
2026 and 2027,
 
the output floor
 
will increase
 
by 5% per
 
year,
 
to 65% and
 
70%, respectively.
 
9 FINMA has
 
not opted to
implement a transitional cap
 
that would limit the
 
increase in RWA to
 
25% of a bank’s
 
RWA before the application
 
of the output floor.
 
10 Of our Basel
 
finalized RWA under the
 
standardized approach, 60%
 
are
below our actual Basel III finalized RWA. Therefore, the overall
 
output floor is not binding, and our RWA before and after the effects of the overall output floor are equal.
 
Comparison of modeled and standardized RWA at risk level
In this Pillar 3 report, we are introducing the ”CMS1: Comparison of modelled and standardized RWA at risk level” table
for the
 
first time.
 
The CMS1
 
table compares
 
RWA determined
 
using models
 
that UBS
 
has FINMA
 
approval to
 
use with
RWA determined under the
 
full standardized approach as
 
defined by FINMA.
 
The table also provides
 
the full standardized
approach for RWA
 
that are
 
the base of
 
the phased-in overall
 
output floor. The
 
purpose of the
 
overall output floor
 
is to
ensure
 
that
 
banks’
 
capital
 
requirements
 
based
 
on
 
modeled
 
approaches
 
where
 
permitted
 
do
 
not
 
fall
 
below
 
a
 
certain
percentage
 
of
 
capital
 
requirements
 
based
 
on
 
the
 
full
 
standardized
 
approach,
 
thereby
 
reducing
 
excessive
 
variability
 
of
RWA
 
and
 
enhancing
 
the
 
comparability
 
of
 
risk-based
 
capital
 
ratios
 
across
 
banks.
 
The
 
impact
 
of
 
the
 
output
 
floor,
 
if
applicable, will be disclosed in the “OV1: Overview of RWA”
 
table in rows 27 and 28. The applicable threshold pursuant
to the reporting date is
 
disclosed in row 26 of
 
the OV1 table, and in
 
column e in the CMS1
 
table below. The output floor,
which is at 60% as of 1 March 2025, will incrementally increase to a level of 72.5% by 2028.
 
As of 31 March 2025, the
floor is
 
not binding
 
at the
 
level of
 
UBS Group,
 
i.e. the
 
total of
 
our actual
 
RWA shown
 
in column
 
c in
 
the CMS1
 
table
below is greater
 
than 60% of
 
the RWA calculated
 
under the full
 
standardized approach shown in
 
column e, and
 
therefore
no adjustment is required. UBS
 
is undertaking mitigating actions with
 
respect to RWA under the
 
standardized approach
to minimize a future floor adjustment required as the level
 
of the output floor increases.
 
›
Refer to “Overview of RWA and capital requirements” in this section for information
 
about the OV1 table
 
The table
 
below provides
 
a summary
 
of the
 
key conceptual
 
differences between
 
the internal
 
model approach
 
and the
standardized approach.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
 
8
Key differences between the internal model approach and the standardized approach
Internal model approach
Standardized approach
Key impact
Risk weighting
Reliance on internal ratings where each
counterparty/transaction receives a rating.
Reliance on external credit assessment institutions
where allowed in the regulatory framework.
 
Modelled approach produces RWA that is more
risk-sensitive.
Granular risk-sensitive risk weights differentiation
via individual probability of defaults (PDs) and
loss given defaults (LGDs) for mortgages.
Less granular risk weights based on loan-to-value
(LTV)
 
bands for mortgages.
The Group’s residential mortgage portfolio is
focused on the Swiss market, and the Group has
robust review processes in place concerning
borrowers’ ability to repay. This results in the
Group’s residential mortgage portfolio having a low
average LTV and results in an average risk-weight
of 19% under the A-IRB approach.
Modeled LGD captures transaction quality
features incl. collateralization. Under the
foundation internal rating-based (F-IRB)
approach, the LGD values are calculated based
on the rules set by regulatory authorities. This is
applicable for banks and large corporates.
No differentiation for transaction features.
Impact relevant across all asset classes.
Credit risk mitigation
 
Credit risk mitigation recognized via risk-sensitive
LGD or exposure at default (EAD).
 
Limited recognition of credit risk mitigation.
Standardized approach RWA higher than modeled
RWA for most transaction types.
 
Wider variety of eligible collateral.
Restricted list of eligible collateral.
Limited recognition of collateral results in higher
RWA for Lombard lending and securities financing
transactions (SFTs).
Repo value-at-risk (VaR)
 
allows use of VaR
models to estimate exposure and collateral for
SFTs. Approach permits full diversification and
netting across all collateral types.
Conservative and crude regulatory haircuts with
limited risk-sensitivity.
The effects
 
of guarantees and credit derivatives
are considered through either adjusting PD
and / or LGD estimates. UBS applies the F-IRB
approach for guarantee recognition.
In case of eligible guarantees and credit derivatives,
substitution is applied and the risk weight
applicable to the protection provider can be
 
assigned to the protected portion of the underlying
exposure.
CCF
A credit conversion factor (CCF) is applied to
model expected future drawdowns over the 12-
month period, irrespective of the actual maturity
of a particular transaction. The CCF includes
downturn adjustments and is the result of
analysis of internal data and expert opinion.
Credit exposure equivalents are determined by
applying CCF to off-balance sheet items. The CCFs
vary based on product type, maturity and the
underlying contractual agreements.
Modeled CCFs can be more tailored and
differentiated.
EAD for derivatives
Internal model method (IMM) facilitates the use
of a Monte Carlo simulation to estimate
exposure.
SA-CCR is calculated as the replacement costs plus
regulatory add-ons that take into account potential
future market moves at predetermined fixed rates.
For large,
 
diversified derivatives portfolios,
standardized EAD is higher than modeled EAD.
Application of multiplier on IMM exposure
estimate.
Differentiates add-ons by five exposure types and
three maturity buckets only.
Variability in holding period applied to
collateralized transactions, reflecting liquidity
risks.
Limited netting can be recognized.
EAD for SFTs
 
The repo VaR approach is a model based on a
Monte Carlo simulation and historical calibration
to estimate exposure, computed as quantile
exposure.
The comprehensive approach considers the adjusted
exposure after applicable supervisory haircuts on
both the exposure and the collateral received to
take account of possible future fluctuations in the
value of either the exposure or the collateral.
For large, diversified SFT portfolios, standardized
EAD is higher than modeled EAD.
Maturity in risk weight
Regulatory RWA function considers maturity: the
longer the maturity, the higher the risk weight.
No differentiation for maturity of transactions,
except for interbank exposures.
Model approach produces lower RWA for high-
quality, short-term transactions.
Credit valuation
adjustment
Not applicable under the final Basel III standards.
UBS calculates the credit valuation adjustment
(CVA) risk capital requirement using both the
standardized approach (SA-CVA) and the basic
approach (BA-CVA) in line with the final Basel III
standards. The SA-CVA uses sensitivities to market
risk factors (e.g. interest rates and credit spreads)
and uses those sensitivities with regulatory-
prescribed risk weights and correlations to arrive at
a capital charge. The BA-CVA approach is simpler
and less risk-sensitive.
Where the BA-CVA and the SA-CVA is applied
under the output floor calculation, the application
of internal ratings is not permitted.
Securitization exposures
in the banking book
The regulatory capital requirements are
calculated using a waterfall logic of approaches.
First, the securitization internal ratings-based
approach (SEC-IRBA) is applied, if possible. If this
approach cannot be applied, one of the
standardized approaches is applied.
 
If the SEC-IRBA cannot be applied, the regulatory
capital requirements are calculated using the
following hierarchy of approaches:
 
the securitization
external ratings-based approach or the
securitization standardized approach. Otherwise, a
1,250% risk weight is applied as a fallback.
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
 
9
Key differences between the internal model approach and the standardized approach (continued)
Internal model approach
Standardized approach
Key impact
Market risk
UBS does not apply the internal model approach
for market risk.
UBS currently applies the standardized approach of
the FRTB framework, in which minimum market risk
capital requirements are computed on the basis of
three components: the sensitivities-based method
(the SBM), the default risk charge (the DRC) and
the residual risk add-on (the RRAO). The SBM
captures delta, vega and curvature risk of the
underlying trading positions, the DRC uses the
jump-to-default risk in positions subject to equity
and credit risk, and positions that may not be
adequately capitalized by the SBM and the DRC
additionally attract an RRAO charge.
Where the standardized approach is applied under
the output floor calculation, the application of
internal ratings is not permitted.
The new FRTB framework replaced the VaR-
 
and
stressed VaR-based Basel 2.5 market risk
framework.
Operational risk
Not applicable under the final Basel III standards.
The standardized approach is based on the business
indicator component, derived from financial
statement metrics, as well as the internal loss
multiplier, derived from average historical
operational losses. The new framework replaced the
advanced measurement approach.
As
 
of
 
31 March
 
2025,
 
the
 
output
 
floor
 
is
 
set
 
at
 
USD 439.8bn,
 
representing
 
60%
 
of
 
RWA
 
calculated
 
using
 
the
 
full
standardized
 
approach
 
effective
 
for
 
the
 
full
 
year
 
2025.
 
This
 
floor
 
remains
 
USD 43.5bn
 
below
 
the
 
actual
 
RWA
 
of
USD 483.3bn.
 
The
 
difference
 
of
 
USD 249.7bn
 
between
 
the
 
RWA
 
calculated
 
using
 
the
 
full
 
standardized
 
approach
 
of
USD 733.0bn and
 
actual RWA
 
of USD 483.3bn
 
is primarily driven
 
by USD 126.4bn
 
from credit risk
 
RWA, USD 108.8bn
from
 
CCR
 
RWA,
 
USD 8.5bn
 
from
 
securitization
 
RWA
 
and
 
USD 5.7bn
 
from
 
CVA
 
RWA.
 
UBS
 
is
 
undertaking
 
mitigating
actions with the aim of reducing the full standardized approach RWA
 
.
 
Credit risk
 
RWA under
 
the full
 
standardized approach
 
are higher
 
than actual
 
RWA. Under
 
the standardized
 
approach,
fixed
 
risk
 
weights
 
are
 
applied
 
to
 
residential
 
mortgage
 
exposures,
 
depending
 
on
 
the
 
loan-to-value
 
(LTV).
 
The
 
internal
model-based approach considers borrowers’ ability to service debt more accurately, including mortgage affordability and
calibration based
 
on historic
 
data. The
 
Group’s residential
 
mortgage portfolio
 
is focused
 
on the
 
Swiss market,
 
and the
Group has robust review processes
 
in place concerning borrowers’
 
ability to repay. This results
 
in the Group’s residential
mortgage
 
portfolio
 
having
 
a
 
low
 
average
 
LTV
 
and
 
results
 
in
 
an
 
average
 
risk
 
weight
 
of
 
19%
 
under
 
the
 
advanced
 
IRB
approach. For Lombard lending the average risk weight using internal models is around
 
10%. The risk weight under the
standardized approach is higher
 
for these exposures
 
primarily due to
 
the differences in
 
the treatment of
 
collateral. Further
corporate
 
exposures
 
have
 
higher
 
risk
 
weights
 
under
 
the
 
standardized
 
approach
 
compared
 
with
 
an
 
average
 
52%
 
risk
weight under the internal model approach.
CCR RWA
 
under the full
 
standardized approach are
 
higher than actual
 
RWA, primarily reflecting
 
higher risk weights
 
under
the standardized approach compared with
 
the IRB risk weights
 
mainly in the corporate asset
 
class, especially on managed
funds.
 
In
 
addition
 
to
 
risk
 
weights,
 
exposures
 
calculated
 
under
 
the
 
standardized
 
approach
 
are
 
higher,
 
because
 
the
standardized approach does not fully recognize the benefits
 
of netting, portfolio diversification and collateral.
 
CVA RWA
 
calculated
 
using
 
the
 
full standardized
 
approach
 
are
 
higher than
 
actual
 
RWA, as
 
the
 
application
 
of internal
ratings is not permitted under the standardized approach
 
for output floor calculations.
Securitization RWA calculated
 
using the full
 
standardized approach are
 
higher than actual
 
RWA, due to
 
more conservative
assumptions
 
and
 
less
 
granular
 
risk
 
assessments
 
permitted
 
under
 
the
 
SEC-SA
 
when
 
compared
 
with
 
the
 
SEC-IRBA
framework.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
 
10
CMS1: Comparison of modelled and standardized RWA at risk level
31.3.25
a
b
c
d
e
USD m
RWA for modelled
approaches that UBS has
FINMA approval to use
RWA for portfolios
where standardized
approaches are used
Total Actual RWA
(i.e. RWA which banks
report as current
requirements)
RWA calculated using
full standardized
approach
(i.e. used in the base
of the output floor)
Output floor base
(60% of RWA
calculated using full
standardized
approach)
1
Credit risk (excluding counterparty credit risk)
 
182,036
 
57,511
 
239,547
 
365,925
 
219,555
2
Counterparty credit risk
 
24,141
 
5,994
 
30,135
 
138,962
 
83,377
3
Credit valuation adjustment (CVA)
 
9,322
 
9,322
 
15,012
 
9,007
4
Securitization exposures in banking book
 
3,550
 
3,189
 
6,739
 
15,211
 
9,126
5
Market risk
 
31,352
 
31,352
 
31,208
 
18,725
6
Operational risk
 
136,394
 
136,394
 
136,394
 
81,836
7
Residual RWA
1
 
2,213
 
27,573
 
29,787
 
30,307
 
18,184
8
Total
 
211,940
 
271,336
 
483,276
 
733,019
 
439,811
2
1 Includes settlement risk, equity investment in
 
funds and deferred tax assets recognized for
 
temporary differences.
 
2 Conceptually, the output floor
 
is applied at the total RWA level,
 
rather than at individual risk-
type levels.
 
RWA flow statements of credit risk exposures under
 
the internal ratings-based approach
The
 
CR8
 
table
 
below
 
provides
 
a
 
breakdown
 
of
 
the
 
credit
 
risk
 
RWA
 
movements
 
in
 
the
 
first
 
quarter
 
of
 
2025
 
across
movement categories defined by the Basel Committee on Banking
 
Supervision (the BCBS).
Credit risk RWA under the IRB
 
approach decreased by USD 2.1bn
 
to USD 182.0bn during the
 
first quarter of 2025. This
balance reflects credit risk
 
under the IRB approach
 
,
 
including the F-IRB approach
 
under the final
 
Basel III standards from
1 January 2025 onward, as well as credit risk under the
 
supervisory slotting approach.
Movements in
 
asset size
 
increased RWA
 
by USD 1.8bn,
 
mainly due
 
to increases
 
in loans
 
and loan
 
commitments in
 
the
Investment Bank
 
and Personal
 
& Corporate
 
Banking. These
 
increases were
 
partly offset
 
by reductions
 
in Non-core
 
and
Legacy,
 
driven by our actions to actively unwind the portfolio, in addition
 
to the natural roll-off.
Movements in asset quality, including changes
 
in risk density across the overall portfolio,
 
decreased RWA by USD 4.8bn,
mainly from improved risk density in the Investment Bank,
 
as well as from improvements in lending exposures related
 
to
risk density
 
in
 
Global Wealth
 
Management
 
and Personal
 
&
 
Corporate
 
Banking.
 
Such
 
reductions
 
were
 
partly
 
offset
 
by
increases in Group Items due to changes in risk density.
Model updates
 
decreased RWA
 
by USD 0.5bn,
 
primarily from
 
changes related
 
to the
 
recalibration of
 
certain multipliers
as a result of improvements to models.
Methodology and policy changes resulted
 
in an RWA decrease of USD 2.5bn, mainly
 
driven by a USD 4.6bn decrease as
a result
 
of the
 
implementation of
 
the final
 
Basel III standards,
 
primarily due
 
to the
 
removal of
 
a 1.06
 
multiplier on
 
risk
weights calculated using IRB models, which more than offset
 
other changes, including the establishing of floors and the
introduction of regulatory
 
-mandated loss-given-default
 
parameters for
 
financial institutions and
 
large corporate
 
clients.
These reductions were partly
 
offset by increases from other
 
methodology changes not related
 
to the implementation of
the final Basel III standards,
 
primarily related to an increase in RWA of USD 2.1bn from
 
private-equity subscription loans,
shifting from the
 
standardized approach for
 
credit risk
 
to the F-IRB
 
approach. This shift
 
in approaches reduced
 
the Group’s
RWA by USD 1.3bn.
The first quarter
 
of 2025 included
 
the sale of
 
Select Portfolio Servicing,
 
which resulted
 
in a credit
 
risk RWA decrease
 
of
USD 0.1bn. The completion of the transaction reduced the
 
Group’s RWA by around USD 1.3bn.
Currency effects, driven
 
by the weakening
 
of the US
 
dollar against other
 
major currencies, resulted
 
in an RWA
 
increase
of USD 3.9bn.
›
Refer to “Definitions of credit risk and counterparty credit risk
 
RWA movement table components for CR8 and CCR7” in the
“Credit risk” section of the 31 December 2024 Pillar
 
3 Report, available under “Pillar 3 disclosures” at
ubs.com/investors
, for
definitions of credit risk RWA movement table components
 
CR8: RWA flow statements of credit risk exposures under IRB
USD m
For the quarter
ended 31.3.25
1
RWA as of the beginning of the quarter
 
184,138
2
Asset size
 
1,840
3
Asset quality
 
(4,832)
4
Model updates
 
(468)
5
Methodology and policy
 
(2,499)
5a
of which: Impact from the implementation of final Basel III
 
standards
 
(4,599)
5b
of which: others
 
2,100
6
Acquisitions and disposals
 
(79)
7
Foreign exchange movements
 
3,936
8
Other
9
RWA as of the end of the quarter
 
182,036
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
 
11
RWA flow statements of counterparty credit risk exposures
 
under the internal model method and VaR
The CCR7 table below presents a flow statement
 
explaining changes in CCR RWA determined
 
under the internal model
method (the IMM) for derivatives and the value-at-risk (VaR
 
)
 
approach for securities financing transactions
 
(SFTs).
CCR RWA on derivatives under the IMM decreased
 
by USD 3.7bn to USD 12.7bn during the first
 
quarter of 2025. Asset
size movements contributed to an RWA decrease of USD 2.2bn, mainly in the Investment Bank. Methodology and policy
changes
 
resulted
 
in
 
a
 
decrease
 
of
 
USD 1.5bn,
 
from
 
the
 
implementation
 
of
 
the
 
final
 
Basel III
 
standards,
 
driven
 
by
 
the
removal of a 1.06 multiplier on risk weights calculated using IRB models, as well as the application of the F-IRB approach
for exposures
 
to financial
 
institutions and
 
large corporate
 
clients. Model
 
updates resulted
 
in a
 
decrease of
 
USD 0.3bn.
Foreign exchange movements resulted in an RWA increase
 
of USD 0.3bn.
CCR RWA on SFTs under
 
the VaR approach decreased by USD 1.7bn to
 
USD 6.4bn during the first quarter of 2025.
 
Asset
size
 
movements
 
contributed
 
to
 
an
 
RWA
 
decrease
 
of
 
USD 1.3bn,
 
mainly
 
in
 
Group
 
Treasury.
 
Methodology
 
and
 
policy
changes resulted in
 
a decrease of
 
USD 1.9bn, mainly from
 
the implementation of
 
the final Basel III
 
standards,
 
driven by
the
 
removal
 
of
 
a
 
1.06
 
multiplier
 
on
 
risk
 
weights
 
calculated
 
using
 
IRB
 
models,
 
as
 
well
 
as
 
the
 
application
 
of
 
the
 
F-IRB
approach for exposures to financial institutions and large corporate clients.
 
Model updates increased RWA by USD 0.9bn
as a
 
result of an
 
update to the
 
repo VaR model
 
related to the
 
treatment of collateral.
 
Asset quality movements
 
contributed
to a USD 0.5bn increase in RWA, primarily due to an increase
 
in risk density in Group Treasury.
 
›
Refer to “Definitions of credit risk and counterparty credit risk
 
RWA movement table components for CR8 and CCR7” in
 
the
“Credit risk” section of the 31 December 2024 Pillar
 
3 Report, available under “Pillar 3 disclosures” at
ubs.com/investors
, for
definitions of CCR RWA movement table components
 
CCR7: RWA flow statements of CCR exposures under the internal model method (IMM) and value-at-risk (VaR)
 
For the quarter ended 31.3.25
USD m
Derivatives
SFTs
Total
Subject to IMM
Subject to VaR
1
RWA as of the beginning of the quarter
 
16,397
 
8,107
 
24,504
2
Asset size
 
(2,165)
 
(1,346)
 
(3,510)
3
Credit quality of counterparties
 
(36)
 
520
 
484
4
Model updates
 
(295)
 
866
 
571
5
Methodology and policy
 
 
(1,492)
 
(1,897)
 
(3,389)
5a
of which: impact from the implementation of final Basel
 
III standards
 
(1,492)
 
(1,897)
 
(3,389)
5b
of which: others
6
Acquisitions and disposals
7
Foreign exchange movements
 
275
 
108
 
383
8
Other
9
RWA as of the end of the quarter
 
12,684
 
6,358
 
19,042
RWA flow statements of CVA risk exposures under
 
SA-CVA
In this 31 March 2025 Pillar 3 report, we have
 
introduced the ”CVA4: RWA flow statements of CVA
 
risk exposures under
SA-CVA” table for the first time,
 
as part of the final Basel III standards
 
.
 
The CVA4 table shows the variations
 
in RWA for
CVA
 
risk
 
determined
 
under
 
the
 
standardized
 
approach
 
for
 
calculating
 
CVA
 
capital
 
requirements
 
(SA-CVA).
 
The
 
CVA
capital charge
 
covers the
 
risk of
 
mark-to-market losses
 
associated with
 
the deterioration
 
of counterparty
 
credit quality.
UBS
 
applies
 
SA-CVA
 
on
 
positions
 
where
 
we
 
use
 
the
 
internal
 
model
 
method
 
to
 
derive
 
the
 
exposure
 
at
 
default
 
for
derivatives,
 
and the basic approach, BA-CVA, for all other positions.
›
Refer to “Overview of RWA and capital requirements” in this section for the
 
materiality of BA-CVA and SA-CVA RWA and capital
requirements
SA-CVA RWA was USD 4.3bn as of 31 March 2025. As UBS has introduced
 
the SA-CVA approach from 1 January 2025,
no comparative-period information for 31 December 2024 is
 
available.
 
CVA4: RWA
 
flow statements of CVA risk exposures under SA-CVA
USD m
Total RWA
1
RWA as of 31.12.24
2
RWA as of 31.3.25
 
4,256
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Going and gone concern requirements
 
and eligible capital
 
12
Going and gone concern requirements and eligible
capital
The
 
table
 
below
 
provides
 
details
 
of
 
the
 
Swiss
 
systemically
 
relevant
 
bank
 
(the
 
SRB)
 
going
 
and
 
gone
 
concern
 
capital
requirements as required
 
by the Swiss Financial Market Supervisory Authority (FINMA
 
).
›
Refer to the “Capital management” section of the
 
UBS Group first quarter 2025 report, available under
 
”Quarterly reporting” at
ubs.com/investors
, for more information about capital management
Effective 1 January 2025, a
 
Pillar 2 capital
 
add-on for uncollateralized exposures
 
to hedge funds,
 
private equity and
 
family
offices
 
has
 
been
 
introduced.
 
This
 
resulted
 
in
 
an
 
increase
 
of
 
16 basis
 
points
 
in
 
the
 
RWA-based
 
going
 
concern
 
capital
requirement as of 31 March 2025.
Swiss SRB going and gone concern requirements and information
As of 31.3.25
RWA
LRD
USD m, except where indicated
in %
in %
Required going concern capital
Total going concern capital
 
14.91
1
 
72,044
 
5.00
1
 
78,079
Common equity tier 1 capital
 
10.56
2
 
51,026
 
3.50
3
 
54,655
of which: minimum capital
 
4.50
 
21,747
 
1.50
 
23,424
of which: buffer capital
 
5.50
 
26,580
 
2.00
 
31,232
of which: countercyclical buffer
 
0.44
 
2,145
Maximum additional tier 1 capital
 
4.35
2
 
21,019
 
1.50
 
23,424
of which: additional tier 1 capital
 
3.50
 
16,915
 
1.50
 
23,424
of which: additional tier 1 buffer capital
 
0.80
 
3,866
Eligible going concern capital
Total going concern capital
 
18.18
 
87,837
 
5.62
 
87,837
Common equity tier 1 capital
 
14.31
 
69,152
 
4.43
 
69,152
Total loss-absorbing additional tier 1 capital
 
3.87
 
18,684
 
1.20
 
18,684
of which: high-trigger loss-absorbing additional tier 1 capital
 
3.87
 
18,684
 
1.20
 
18,684
Required gone concern capital
Total gone concern loss-absorbing capacity
4,5,6
 
10.73
7
 
51,831
 
3.75
7
 
58,559
of which: base requirement including add-ons for market share and
 
LRD
 
10.73
 
51,831
 
3.75
 
58,559
Eligible gone concern capital
Total gone concern loss-absorbing capacity
 
20.55
 
99,331
 
6.36
 
99,331
Total tier 2 capital
 
0.04
 
205
 
0.01
 
205
of which: non-Basel III-compliant tier 2 capital
 
0.04
 
205
 
0.01
 
205
TLAC-eligible senior unsecured debt
 
20.51
 
99,126
 
6.35
 
99,126
Total loss-absorbing capacity
Required total loss-absorbing capacity
 
25.63
 
123,876
 
8.75
 
136,639
Eligible total loss-absorbing capacity
 
38.73
 
187,168
 
11.99
 
187,168
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
 
483,276
Leverage ratio denominator
 
1,561,583
1 Includes applicable
 
add-ons of
 
1.60% for
 
risk-weighted assets
 
(RWA) and
 
0.50% for leverage
 
ratio denominator
 
(LRD), of
 
which 16
 
basis points
 
for RWA
 
reflect the Pillar
 
2 capital
 
add-on for
 
uncollateralized
exposures to hedge funds, private equity and family offices, effective 1 January 2025.
 
2 Includes the Pillar 2 add-on for uncollateralized exposures to hedge funds, private equity and family offices of 0.11% for CET1
capital and 0.05% for
 
AT1 capital, effective
 
1 January 2025. For
 
AT1 capital, under
 
Pillar 1 requirements,
 
a maximum of 4.3%
 
of AT1 capital
 
can be used to
 
meet going concern requirements;
 
4.35% includes the
aforementioned Pillar 2
 
capital add-on.
 
3 Our CET1 leverage
 
ratio requirement of
 
3.50% consists of
 
a 1.5% base
 
requirement, a 1.5%
 
base buffer capital
 
requirement, a 0.25% LRD
 
add-on requirement and
 
a
0.25% market share add-on requirement
 
based on our Swiss credit business.
 
4 A maximum of 25% of the gone
 
concern requirements can be met with
 
instruments that have a remaining maturity of
 
between one
and two years. Once at least
 
75% of the minimum gone concern requirement has been met with
 
instruments that have a remaining maturity of greater
 
than two years, all instruments that have a
 
remaining maturity
of between one and two years remain eligible to be included in the total gone concern capital.
 
5 From 1 January 2023, the resolvability discount on the
 
gone concern capital requirements for systemically important
banks (SIBs) has been replaced with reduced base gone concern capital requirements equivalent to 75% of the total going concern requirements (excluding countercyclical buffer requirements and the Pillar 2 add-on).
 
6 As of July
 
2024, the Swiss
 
Financial Market Supervisory
 
Authority (FINMA) has
 
the authority to impose
 
a surcharge of up
 
to 25% of
 
the total going
 
concern capital requirements (excluding
 
countercyclical buffer
requirements and the Pillar 2 add-on) should obstacles to an SIB’s resolvability be identified
 
in future resolvability assessments.
 
7 Includes applicable add-ons of 1.08% for RWA and 0.38% for LRD.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Leverage ratio
 
13
Leverage ratio
Basel III leverage ratio
The Basel Committee on Banking Supervision (the BCBS)
 
leverage ratio, as summarized in the “KM1: Key metrics“
 
table
in
 
section
 
2
 
of
 
this
 
report,
 
is
 
calculated
 
by
 
dividing
 
the
 
period-end
 
tier 1
 
capital
 
by
 
the
 
period-end
 
leverage
 
ratio
denominator (the LRD).
The LRD consists of on-balance sheet assets and off-balance sheet items based on IFRS Accounting Standards. Derivative
exposures are
 
adjusted for
 
a number of
 
items, including
 
replacement values
 
and eligible
 
cash variation
 
margin netting,
potential future
 
exposure and
 
net notional
 
amounts for
 
written credit
 
derivatives. The
 
LRD also
 
includes an
 
additional
charge for counterparty credit risk related to securities financing transactions
 
(SFTs).
On-balance
 
sheet
 
items
 
(excluding
 
derivatives
 
and
 
securities
 
financing
 
transactions
 
(SFTs),
 
but
 
including
 
collateral),
 
as
disclosed in the
 
LR2 table,
 
differ from IFRS
 
Accounting Standards
 
total assets
 
due to
 
adjustments to the
 
former for
 
the
application of the regulatory scope of consolidation and due to the carrying amounts for derivative financial instruments
and SFTs, which
 
are removed
 
and replaced
 
with exposures,
 
as per
 
the leverage
 
ratio rules, in
 
separate line
 
items in
 
the
LR2 table.
Difference between the Swiss systemically relevant bank
 
and BCBS leverage ratio
The LRD is
 
the same under
 
Swiss systemically relevant
 
bank (SRB) and
 
BCBS rules. However,
 
there is a
 
difference in
 
the
capital
 
numerator
 
between
 
the
 
two
 
frameworks.
 
Under
 
BCBS
 
rules
 
only
 
common
 
equity
 
tier 1
 
(CET1)
 
and
 
additional
tier 1
 
capital
 
are
 
included in
 
the
 
numerator.
 
Under Swiss
 
SRB rules
 
UBS
 
is required
 
to meet
 
going and
 
gone
 
concern
leverage ratio requirements. Therefore, depending on the
 
requirement, the numerator includes tier 1 capital
 
instruments,
tier 2 capital instruments and / or total loss-absorbing capacity
 
-eligible senior unsecured debt.
The
 
difference
 
between
 
the total
 
leverage
 
ratio
 
exposures
 
of
 
USD 1,561.6bn
 
and total
 
consolidated
 
assets
 
as per
 
the
published financial
 
statements of
 
USD 1,543.4bn was
 
USD 18.2bn, reflecting
 
the sum
 
of lines 2
 
to 12 in
 
the following
table.
 
LR1: Summary comparison of accounting assets vs leverage ratio exposure measure
1
USD m
31.3.25
31.12.24
1
Total consolidated assets as per published financial statements
 
1,543,363
 
1,565,028
2
Adjustment for investments in banking, financial, insurance or
 
commercial entities that are consolidated for accounting
 
purposes but outside the
scope of regulatory consolidation
 
 
(18,302)
 
(17,750)
3
Adjustment for securitized exposures that meet the operational
 
requirements for the recognition of risk transference
4
Adjustments for temporary exemption of central bank reserves (if applicable)
5
Adjustment for fiduciary assets recognized on the balance
 
sheet pursuant to the operative accounting framework but excluded
 
from the leverage
ratio exposure measure
 
6
Adjustments for regular-way purchases and sales of financial assets subject to trade date
 
accounting
7
Adjustments for eligible cash pooling transactions
8
Adjustments for derivative financial instruments
 
(27,249)
 
(97,478)
9
Adjustment for securities financing transactions, (i.e. repos and similar secured lending)
 
10,547
 
10,246
10
Adjustment for off-balance sheet items (i.e. conversion to credit equivalent amounts
 
of off-balance sheet exposures)
 
64,103
 
69,788
11
Adjustments for prudent valuation adjustments and specific and
 
general provisions which have reduced Tier 1 capital
2
 
(578)
12
Other adjustments
 
(10,301)
 
(10,356)
12a
of which: asset amounts deducted in determining Tier 1 capital
 
(11,336)
 
(11,586)
12b
of which: consolidated entities under the regulatory scope
 
of consolidation
 
1,035
 
1,230
13
Leverage ratio exposure
 
1,561,583
 
1,519,477
1 The comparative-period information has been amended to reflect the LR1 disclosure format effective from 1 January 2025 under the final Basel III standards. Refer to the 31 December 2024 Pillar 3 report, available
under “Pillar 3 disclosures” at ubs.com/investors, for more information about previously published LR1 disclosures.
 
2 Reflects the shortfall to expected losses on advanced internal ratings-based portfolio less general
provisions. Deduction items other than the IRB shortfall are disclosed in row 12a.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Leverage ratio
 
14
LR2: Leverage ratio common disclosure
1
USD m, except where indicated
31.3.25
31.12.24
On-balance sheet exposures
1
On-balance sheet items (excluding derivatives and securities financing
 
transactions (SFTs), but including collateral)
 
 
1,233,897
 
1,196,136
2
Gross-up for derivatives collateral provided where deducted from balance
 
sheet assets pursuant to the operative accounting framework
3
(Deductions of receivable assets for cash variation margin provided
 
in derivatives transactions)
 
(38,997)
 
(43,952)
4
(Adjustment for securities received under securities financing
 
transactions that are recognised as an asset)
5
(Specific and general provisions associated with on-balance sheet exposures
 
that are deducted from Tier 1 capital)
 
(630)
6
(Asset amounts deducted in determining Tier 1 capital)
 
 
(11,336)
 
(11,586)
7
Total on-balance sheet exposures (excluding derivatives and SFTs)
 
1,182,933
 
1,140,598
Derivative Exposures
8
Replacement cost associated with all derivatives transactions (where
 
applicable net of eligible cash variation margin and/or with
 
bilateral
netting)
 
55,440
 
48,149
9
Add-on amounts for potential future exposure associated
 
with all derivatives transactions
 
 
108,400
 
102,062
10
(Exempted qualifying central counterparty (QCCP ) leg of client-cleared
 
trade exposures)
 
 
(15,524)
 
(19,136)
11
Adjusted effective notional amount of all written credit
 
derivatives
2
 
84,284
 
63,230
12
(Adjusted effective notional offsets and add-on deductions for
 
written credit derivatives )
3
 
(82,835)
 
(62,278)
13
Total derivative exposures
 
149,765
 
132,027
Securities financing transaction exposures
14
Gross SFT assets (with no recognition of netting), after adjusting
 
for sale accounting transactions
 
 
260,304
 
267,231
15
(Netted amounts of cash payables and cash receivables of gross SFT assets)
 
 
(106,121)
 
(100,411)
16
Counterparty credit risk exposure for SFT assets
 
10,547
 
10,245
17
Agent transaction exposures
18
Total securities financing transaction exposures
 
164,730
 
177,065
Other off-balance sheet exposures
19
Off-balance sheet exposure at gross notional amount
 
 
278,126
 
276,719
20
(Adjustments for conversion to credit equivalent amounts)
 
(214,022)
 
(206,931)
21
(Specific and general provisions associated with off-balance sheet
 
exposures deducted in determining Tier 1 capital)
 
52
22
Total off-balance sheet items
 
64,156
 
69,788
Capital and total exposures (leverage ratio denominator),
 
phase-in
23
Tier 1 capital
 
87,837
 
87,739
24
Total exposures (leverage ratio denominator)
 
1,561,583
 
1,519,477
Leverage ratio
25
 
Basel III leverage ratio (including the impact of any applicable temporary
 
exemption of central bank reserves)
4
 
5.62
 
5.77
25a
Basel III leverage ratio (excluding the impact of any applicable temporary exemption
 
of central bank reserves)
4
 
5.62
 
5.77
26
Leverage ratio minimum requirement
5
 
3.00
 
3.00
27
Leverage ratio buffers
5
 
2.00
 
2.00
Disclosure of mean values
28
Mean value of gross SFT assets, after adjustment for sale accounting transactions
 
and netted of amounts of associated cash payables and cash
receivables
 
159,968
29
Quarter-end value of gross SFT assets, after adjustment for sale accounting transactions and netted
 
of amounts of associated cash payables and
cash receivables
 
154,183
30
 
Total exposures (including the impact of any applicable temporary exemption
 
of central bank reserves) incorporating mean values from row 28
of gross SFT assets (after adjustment for sale accounting
 
transactions and netted of amounts of associated cash payables and cash
 
receivables)
4
 
1,567,368
30a
 
Total exposures (excluding the impact of any applicable temporary exemption
 
of central bank reserves) incorporating mean values from row
28 of gross SFT assets (after adjustment for sale accounting
 
transactions and netted of amounts of associated cash payables and cash
receivables)
4
 
1,567,368
31
Basel III leverage ratio (including the impact of any applicable temporary
 
exemption of central bank reserves) incorporating mean values from
row 28 of gross SFT assets (after adjustment for sale accounting
 
transactions and netted of amounts of associated cash payables
 
and cash
receivables)
4
 
5.60
31a
 
Basel III leverage ratio (excluding the impact of any applicable temporary exemption
 
of central bank reserves) incorporating mean values
from row 28 of gross SFT assets (after adjustment for
 
sale accounting transactions and netted of amounts of associated
 
cash payables and
cash receivables)
4
 
5.60
1 The comparative-period information has been
 
amended to reflect the LR2 disclosure format effective from
 
1 January 2025 under the final Basel
 
III standards. Specifically, collateral
 
for derivative positions has been
included in row
 
1 of the
 
LR2 table and
 
has been adjusted
 
as applicable under
 
leverage ratio rules
 
in the subsequent
 
rows. Refer
 
to the 31
 
December 2024 Pillar
 
3 report, available
 
under “Pillar 3
 
disclosures” at
ubs.com/investors, for more information about
 
previously published LR2 disclosures.
 
2 Includes protection sold, including agency transactions.
 
3 Protection sold can be offset with protection bought on
 
the same
underlying reference entity, provided that the conditions according to the Basel III leverage ratio framework and disclosure requirements are met.
 
4 There is currently no temporary exemption of central bank reserves
for UBS.
 
5 The buffer is based on Swiss SRB requirements as per the Capital Adequacy Ordinance.
 
These
 
requirements are above BCBS requirements for G-SIBs.
During
 
the
 
first
 
quarter
 
of
 
2025,
 
the
 
LRD
 
increased
 
by
 
USD 42.1bn
 
to
 
USD 1,561.6bn,
 
driven
 
by
 
an
 
increase
 
of
USD 28.8bn as a result
 
of the implementation of
 
the final Basel III standards
 
and currency effects
 
of USD 26.5bn, partly
offset by asset size and other movements of USD
 
13.2bn.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Leverage ratio
 
15
The
 
impact
 
from
 
the
 
implementation
 
of
 
the
 
final
 
Basel III
 
standards
 
on
 
the
 
LRD
 
was
 
an
 
increase
 
of
 
USD 28.8bn.
 
In
Switzerland, the amendments to the Capital Adequacy Ordinance that incorporate the final Basel III standards into Swiss
law entered
 
into force
 
on 1
 
January
 
2025. The
 
increase
 
was mainly
 
in
 
derivatives, as
 
a result
 
of the
 
change from
 
the
current
 
exposure
 
method
 
to
 
the
 
standardized
 
approach
 
for
 
counterparty
 
credit
 
risk,
 
including
 
the
 
application
 
of
 
the
prescribed 1.4× multiplier to address risks, for example
 
wrong-way risk, that are not directly captured in the
 
framework.
This was partly offset by
 
decreases in off-balance sheet positions resulting from a
 
change to credit conversion factors and
on-balance sheet exposures due to an alignment of the consolidation
 
scope between RWA and LRD.
On-balance sheet exposures (excluding
 
derivatives and securities financing
 
transactions) increased by USD 42.3bn, mainly
due to asset size and other movements of USD 23.0bn and currency effects of
 
USD 21.2bn, partly offset by a USD 1.9bn
impact from the implementation of
 
the final Basel III standards.
 
The asset size movement mainly
 
reflected increases in the
high-quality liquid asset portfolio
 
and cash and balances at
 
central banks in Group Treasury.
 
In addition, there were also
increases in trading portfolio assets, reflecting an increase
 
in inventory held in the Investment Bank.
Derivative exposures increased by USD 17.7bn, mainly due to a USD 37.5bn impact from
 
the implementation of the final
Basel III standards
 
and currency
 
effects of
 
USD 1.5bn, partly
 
offset by
 
asset size
 
and other
 
movements of
 
USD 21.2bn.
The asset size movement was mainly due to mark-to-market movements in foreign currency contracts and lower trading
volumes in the Investment Bank.
Securities financing
 
transaction exposures
 
decreased by
 
USD 12.3bn, mainly
 
due to asset
 
size and other
 
movements of
USD 14.7bn and a
 
USD 0.2bn impact from
 
the implementation
 
of the final
 
Basel III standards,
 
partly offset by
 
currency
effects of USD 2.6bn. The asset size movement is mainly
 
due to roll-offs of cash reinvestment trades in Group Treasury
 
.
Off-balance sheet
 
items decreased
 
by USD 5.6bn,
 
mainly due
 
to a
 
USD 6.5bn impact
 
from the
 
implementation of
 
the
final Basel III standards and
 
asset size and other
 
movements of USD 0.2bn, partly offset
 
by currency effects of
 
USD 1.1bn.
›
Refer to “Leverage ratio denominator” in the
 
“Risk, capital, liquidity and funding, and balance
 
sheet” section of the UBS Group
first quarter 2025 report,
 
available under “Quarterly reporting” at
ubs.com/investors
, for more information
Liquidity and funding
Liquidity coverage ratio
We monitor the liquidity coverage
 
ratio (the LCR) in all significant currencies
 
in order to manage any currency
 
mismatch
between high-quality liquid assets (HQLA) and the net expected
 
cash outflows in times of stress.
Pillar 3 disclosure requirement
First quarter 2025 report section
Disclosure
First quarter 2025 report page number
Concentration of funding sources
Balance sheet and off-balance sheet
Liabilities, by product and currency
49
High-quality liquid assets
HQLA must be
 
easily and immediately convertible
 
into cash at little
 
or no loss
 
of value, especially during
 
a period of stress.
HQLA are
 
assets that
 
are
 
of low
 
risk and
 
are
 
unencumbered.
 
Other characteristics
 
of HQLA
 
are
 
ease and
 
certainty
 
of
valuation, low
 
correlation with
 
risky assets,
 
listing of
 
the assets
 
on a developed
 
and recognized
 
exchange, existence
 
of
an active and sizable
 
market for the
 
assets, and low volatility.
 
Our HQLA predominantly
 
consist of assets that
 
qualify as
Level 1 in the LCR framework, including cash, central bank reserves and government bonds. In the first quarter
 
of 2025,
our average
 
HQLA decreased
 
by USD 12.7bn to
 
USD 318.7bn, mainly
 
reflecting lower
 
cash available due
 
to a decrease
in customer deposits,
 
funding of additional
 
trading assets and
 
lower debt issued
 
measured at amortized cost,
 
partly offset
by higher cash available from lower lending assets
 
and higher proceeds from securities
 
financing transactions.
High-quality liquid assets (HQLA)
Average 1Q25
1
Average 4Q24
1
USD bn, except where indicated
Level 1
weighted
liquidity
value
2
Level 2
weighted
liquidity
value
2
Total
weighted
liquidity
value
2
Level 1
weighted
liquidity
value
2
Level 2
weighted
liquidity
value
2
Total
weighted
liquidity
value
2
Cash balances
3
 
225.4
 
225.4
 
231.5
 
231.5
Securities (on- and off-balance sheet)
 
69.4
 
23.9
 
93.3
 
75.8
 
24.2
 
100.0
Total HQLA
4
 
294.8
 
23.9
 
318.7
 
307.3
 
24.2
 
331.5
1 Calculated based on an average of 62 data points in the first quarter of 2025 and 64 data points
 
in the fourth quarter of 2024.
 
2 Calculated after the application of haircuts and, where applicable, caps on Level 2
assets.
 
3 Includes cash and balances with central banks and other eligible balances as prescribed by FINMA.
 
4 Calculated in accordance with FINMA requirements.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
UBS Group | Liquidity and funding
 
16
Liquidity coverage ratio development during the first quarter
 
of 2025
 
The quarterly average
 
LCR of
 
the UBS
 
Group decreased 7.4 percentage points
 
to 181.0%,
 
remaining above the
 
prudential
requirement communicated by the Swiss Financial Market Supervisory Authority
 
(FINMA). The movement in the
 
quarterly
average LCR
 
was primarily
 
driven by
 
a decrease
 
in HQLA
 
of USD 12.7bn
 
to USD 318.7bn,
 
mainly reflecting
 
lower cash
available due to
 
a decrease
 
in customer deposits,
 
funding of additional
 
trading assets
 
and lower
 
debt issued measured
at amortized
 
cost, partly
 
offset by
 
higher cash
 
available from
 
lower lending
 
assets and
 
higher proceeds
 
from securities
financing transactions. The average
 
net cash outflows remained
 
largely unchanged at USD 176.2bn,
 
as higher outflows
from debt issued at amortized cost and customer deposits were
 
substantially offset by higher net inflows from securities
financing transactions.
LIQ1: Liquidity coverage ratio (LCR)
Average 1Q25
1
Average 4Q24
1
USD bn, except where indicated
Unweighted
value
Weighted
value
2
Unweighted
value
Weighted
value
2
High-quality liquid assets (HQLA)
1
Total HQLA
 
323.3
 
318.7
 
336.0
 
331.5
Cash outflows
2
Retail deposits and deposits from small business customers
 
350.5
 
40.4
 
350.0
 
40.2
3
of which: stable deposits
 
30.9
 
1.1
 
31.2
 
1.1
4
of which: less stable deposits
 
319.5
 
39.3
 
318.9
 
39.1
5
Unsecured wholesale funding
 
283.7
 
145.1
 
279.9
 
139.4
6
of which: operational deposits (all counterparties)
 
61.9
 
15.4
 
66.5
 
16.5
7
of which: non-operational deposits (all counterparties)
 
205.9
 
113.7
 
200.6
 
110.1
8
of which: unsecured debt
 
15.9
 
15.9
 
12.8
 
12.8
9
Secured wholesale funding
 
88.5
 
86.2
10
Additional requirements:
 
166.3
 
46.7
 
172.9
 
45.6
11
of which: outflows related to derivatives and other transactions
 
81.7
 
26.6
 
85.1
 
25.5
12
of which: outflows related to loss of funding on debt products
3
 
0.2
 
0.2
 
0.4
 
0.4
13
of which: committed credit and liquidity facilities
 
84.4
 
19.9
 
87.4
 
19.7
14
Other contractual funding obligations
 
29.4
 
27.5
 
25.6
 
23.7
15
Other contingent funding obligations
 
336.2
 
13.8
 
361.4
 
12.7
16
Total cash outflows
 
362.0
 
347.8
Cash inflows
17
Secured lending
 
294.1
 
114.9
 
276.1
 
105.4
18
Inflows from fully performing exposures
 
78.1
 
35.8
 
80.2
 
36.6
19
Other cash inflows
 
35.2
 
35.2
 
29.7
 
29.7
20
Total cash inflows
 
407.3
 
185.8
 
386.1
 
171.8
Average 1Q25
1
Average 4Q24
1
USD bn, except where indicated
Total adjusted
value
4
Total adjusted
value
4
Liquidity coverage ratio (LCR)
21
Total HQLA
 
318.7
 
331.5
22
Net cash outflows
 
176.2
 
176.0
23
LCR (%)
 
181.0
 
188.4
1 Calculated based
 
on an average
 
of 62 data
 
points in
 
the first quarter
 
of 2025
 
and 64 data
 
points in the
 
fourth quarter of
 
2024.
 
2 Calculated after
 
the application of
 
haircuts and inflow
 
and outflow
 
rates.
 
3 Includes outflows related to loss of
 
funding on asset-backed securities,
 
covered bonds, other structured
 
financing instruments, asset-backed
 
commercial papers, structured entities
 
(conduits), securities investment
vehicles and other such financing facilities.
 
4 Calculated after the application of haircuts and inflow and outflow rates, as well
 
as, where applicable, caps on Level 2 assets and cash inflows.
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | Introduction
 
17
Significant regulated subsidiaries
and sub-groups
Introduction
Scope of disclosures in these sections
The
 
sections
 
below
 
include
 
capital
 
and
 
other
 
regulatory
 
information
 
as
 
of
 
31 March
 
2025
 
for
 
UBS AG
 
consolidated,
UBS AG
 
standalone,
 
UBS Switzerland AG
 
standalone,
 
UBS Europe SE
 
consolidated,
 
UBS Americas Holding LLC
consolidated and Credit Suisse International standalone. Capital information in the following sections is based on Pillar 1
capital requirements.
 
Entities may
 
be subject
 
to significant
 
additional Pillar
 
2 requirements,
 
which represent
 
additional
amounts of capital considered necessary and are agreed with regulators based on the risk profile of the respective entity.
UBS AG consolidated, UBS AG standalone, UBS Switzerland
 
AG standalone and UBS Europe SE consolidated
Implementation of the final Basel III standards
In
 
Switzerland,
 
the
 
amendments
 
to
 
the
 
Capital
 
Adequacy
 
Ordinance
 
(the
 
CAO)
 
that
 
incorporate
 
the
 
final
 
Basel III
standards
 
into Swiss
 
law,
 
including
 
the
 
five
 
new
 
ordinances
 
that
 
contain
 
the
 
implementing
 
provisions
 
for
 
the
 
revised
CAO, entered into force on 1 January
 
2025.
In the EU, the final Basel III requirements became applicable as of 1 January 2025, except for the Fundamental Review of
the Trading Book requirements, the implementation of which
 
has been delayed until at least 1 January 2026.
›
Refer to the “UBS AG consolidated”, “UBS
 
AG standalone”, “UBS Switzerland AG standalone”
 
and “UBS Europe SE consolidated”
sections of this report for more information about the impacts
 
resulting from the adoption of the final Basel III standards
UBS AG consolidated
Key metrics for the first quarter of 2025
The
 
table
 
below
 
is
 
based
 
on
 
the
 
Swiss
 
Financial
 
Market
 
Supervisory
 
Authority
 
(FINMA)
 
Ordinance
 
on
 
the
 
Disclosure
Obligations of Banks and Securities Firms (DisO-FINMA) rules
 
and IFRS Accounting Standards.
During the
 
first quarter
 
of 2025,
 
tier 1
 
capital
 
decreased
 
by USD 0.5bn
 
to USD
 
89.1bn. Common
 
equity tier
 
1 (CET1)
capital decreased by USD 3.0bn to USD 70.8bn, mainly as operating profit before tax of USD 1.3bn and foreign currency
translation gains
 
of USD 0.8bn
 
were more
 
than offset
 
by dividend
 
accruals
 
of USD 4.5bn
 
and current
 
tax expenses
 
of
USD 0.4bn.
 
Additional
 
tier 1
 
(AT1)
 
capital
 
issued
 
by
 
the
 
Group
 
and
 
on
 
lent
 
to
 
UBS AG
 
increased
 
by
 
USD 2.5bn
 
to
USD 18.3bn, reflecting the
 
issuance of new AT1
 
capital instruments equivalent to
 
USD 3.0bn and positive
 
impacts from
interest rate risk hedge, foreign currency translation and other effects, partly offset by the call of AT1 capital instruments
equivalent to USD 1.3bn.
During
 
the
 
first
 
quarter
 
of
 
2025,
 
risk-weighted
 
assets
 
(RWA)
 
decreased
 
by
 
USD 13.6bn
 
to
 
USD 481.5bn,
 
driven
 
by
 
a
USD 9.5bn
 
decrease
 
resulting
 
from
 
asset
 
size
 
and
 
other
 
movements,
 
an
 
USD 8.6bn
 
reduction
 
as
 
a
 
result
 
of
 
the
implementation
 
of
 
the
 
final
 
Basel III
 
standards,
 
and
 
a
 
USD 1.1bn
 
reduction
 
resulting
 
from
 
model
 
updates
 
and
 
other
methodology changes. These decreases were partly offset
 
by a USD 5.7bn increase in currency effects.
During the first quarter
 
of 2025, the leverage
 
ratio denominator (the LRD)
 
increased by USD 42.6bn
 
to USD 1,565.8bn,
driven by an increase of USD 28.8bn as
 
a result of the implementation of the final
 
Basel III standards and currency effects
of USD 26.6bn,
 
partly offset
 
by asset
 
size and
 
other movements
 
of USD 12.8bn.
 
The
 
asset size
 
and other
 
movements
mainly reflected decreases
 
in derivative exposures
 
and securities financing
 
transaction exposures, partly
 
offset by increases
in the
 
high-quality liquid
 
asset (HQLA)
 
portfolio and
 
cash and
 
balances at
 
central banks
 
in Group
 
Treasury and
 
trading
portfolio assets in the Investment Bank.
Correspondingly, the CET1
 
capital ratio of
 
UBS AG consolidated decreased to
 
14.7% from 14.9%,
 
reflecting the decrease
in CET1 capital,
 
partly offset by
 
the decrease in
 
RWA. The Basel III leverage
 
ratio decreased to 5.7%
 
from 5.9%, reflecting
the increase in the LRD and the aforementioned decrease
 
in tier 1 capital.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS AG consolidated
 
18
The
 
quarterly
 
average
 
liquidity
 
coverage
 
ratio
 
(the
 
LCR)
 
of
 
UBS AG
 
consolidated
 
decreased
 
5.8 percentage
 
points
 
to
180.3%.
 
The
 
movement
 
in
 
the
 
quarterly
 
average
 
LCR
 
was
 
primarily
 
driven
 
by a
 
decrease
 
in
 
HQLA
 
of
 
USD 12.7bn
 
to
USD 318.9bn, mainly reflecting
 
lower cash available
 
due to a
 
decrease in customer
 
deposits, funding of
 
additional trading
assets and lower debt issued measured
 
at amortized cost, partly offset by higher
 
cash available from lower lending assets
and higher
 
proceeds from
 
securities financing
 
transactions. The
 
average net
 
cash outflows
 
decreased by
 
USD 1.3bn to
USD 176.9bn, reflecting higher
 
net inflows from
 
securities financing transactions,
 
partly offset by
 
higher outflows from
capital instruments on lent from UBS Group AG and customer
 
deposits.
As of 31 March 2025, the net stable funding ratio of UBS AG consolidated decreased 1.3 percentage points to 122.8%.
Available
 
stable
 
funding
 
(ASF)
 
increased
 
by
 
USD 6.7bn
 
to
 
USD 853.7bn,
 
mainly
 
driven
 
by a
 
shift
 
in
 
the
 
client
 
deposit
composition resulting in a
 
more beneficial ASF
 
treatment and higher regulatory
 
capital. Required stable funding increased
by USD 12.7bn to USD
 
695.2bn, mainly driven
 
by higher lending assets,
 
largely due to
 
currency effects, partly
 
offset by
lower derivative balances.
KM1: Key metrics
USD m, except where indicated
31.3.25
31.12.24
30.9.24
30.6.24
31.3.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
 
70,756
 
73,792
 
84,423
 
83,001
 
43,863
2
Tier 1
 
89,081
 
89,623
 
100,673
 
98,133
 
58,067
3
Total capital
 
89,081
 
89,623
 
100,675
 
98,133
 
58,067
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
 
481,539
 
495,110
 
515,520
 
509,953
 
328,732
4a
Total risk-weighted assets (pre-floor)
1
 
481,539
4b
Minimum capital requirement
2
 
38,523
 
39,609
 
41,242
 
40,796
 
26,299
Risk-based capital ratios as a percentage of RWA
5
Common equity tier 1 ratio (%)
 
14.69
 
14.90
 
16.38
 
16.28
 
13.34
5b
Common equity tier 1 ratio (%) (pre-floor)
1
 
14.69
6
Tier 1 ratio (%)
 
18.50
 
18.10
 
19.53
 
19.24
 
17.66
6b
Tier 1 ratio (%) (pre-floor)
1
 
18.50
7
Total capital ratio (%)
 
18.50
 
18.10
 
19.53
 
19.24
 
17.66
7b
Total capital ratio (%) (pre-floor)
1
 
18.50
Additional CET1 buffer requirements as a percentage of RWA
8
Capital conservation buffer requirement (%)
 
2.50
 
2.50
 
2.50
 
2.50
 
2.50
9
Countercyclical buffer requirement (%)
 
0.13
 
0.15
 
0.17
 
0.16
 
0.14
9a
Additional countercyclical buffer for Swiss mortgage loans
 
(%)
 
0.31
 
0.37
 
0.39
 
0.33
 
0.30
10
Bank G-SIB and / or D-SIB additional requirements (%)
3
11
Total of bank CET1 specific buffer requirements (%)
4
 
2.63
 
2.65
 
2.67
 
2.66
 
2.64
12
CET1 available after meeting the bank’s minimum capital requirements (%)
5
 
10.19
 
10.10
 
11.53
 
11.24
 
8.84
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
 
1,565,845
 
1,523,277
 
1,611,151
 
1,564,001
 
1,078,591
14
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves)
6
 
5.69
 
5.88
 
6.25
 
6.27
 
5.38
14b
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves)
1
 
5.69
14c
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves) incorporating mean values for SFT
assets
1, 6
 
5.67
14d
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves) incorporating mean values for
SFT assets
1
 
5.67
14e
Minimum capital requirements
1, 7
 
46,975
Liquidity coverage ratio (LCR)
8
15
Total high-quality liquid assets (HQLA)
 
 
318,893
 
331,627
 
360,628
 
280,303
 
251,041
16
Total net cash outflow
 
176,928
 
178,228
 
183,725
 
143,576
 
131,296
16a
of which: cash outflows
 
366,165
 
352,482
 
347,583
 
298,083
 
268,701
16b
of which: cash inflows
 
189,237
 
174,254
 
163,858
 
154,507
 
137,405
17
LCR (%)
180.28
186.08
196.34
194.12
191.38
Net stable funding ratio (NSFR)
18
Total available stable funding
853,742
847,008
903,402
882,760
589,263
19
Total required stable funding
695,201
682,504
712,729
691,477
484,727
20
NSFR (%)
122.81
124.10
126.75
127.66
121.57
1 First-time disclosure, based on the final Basel III standards implemented on 1
 
January 2025.
 
2 Calculated as 8% of total RWA, based on total capital minimum requirements,
 
excluding CET1 buffer requirements.
 
3 Swiss SRB going and gone concern requirements and information for UBS AG consolidated are provided below in this section.
 
4 Excludes non-BCBS capital buffer requirements for risk-weighted positions that are
directly or indirectly backed by residential properties in Switzerland.
 
5 Represents the CET1 ratio that is available to meet buffer requirements. Calculated as the CET1 ratio minus the BCBS CET1 capital requirement
and, where applicable, minus the BCBS tier 2 capital requirement met with CET1 capital.
 
6 There is currently no temporary exemption of central bank
 
reserves for UBS.
 
7 The higher of capital requirements based
on 8% RWA or
 
3% LRD.
 
8 Calculated after the application of
 
haircuts and inflow and outflow
 
rates, as well
 
as, where applicable,
 
caps on Level 2 assets
 
and cash inflows. Calculated
 
based on an average
 
of 62
data points in
 
the first quarter of
 
2025 and 64 data
 
points in the fourth
 
quarter of 2024.
 
For the prior-quarter data points, refer to
 
the respective Pillar 3
 
Report, available under “Pillar
 
3 disclosures” at ubs.com/investors,
for more information.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS AG consolidated
 
19
Swiss systemically relevant bank going and gone concern
 
requirements and information
 
The tables below
 
provide details of
 
the Swiss systemically
 
relevant bank RWA-
 
and LRD-based going
 
and gone concern
requirements and
 
information as required
 
by FINMA;
 
details regarding
 
eligible gone concern
 
instruments are also
 
provided
below.
Effective 1 January 2025, a
 
Pillar 2 capital add-on for
 
uncollateralized exposures to hedge
 
funds, private equity
 
and family
offices
 
has
 
been
 
introduced.
 
This
 
resulted
 
in
 
an
 
increase
 
of
 
16 basis
 
points
 
in
 
the
 
RWA-based
 
going
 
concern
 
capital
requirement as of 31 March 2025.
UBS
 
AG’s
 
outstanding
 
non-Basel III-compliant
 
tier 2
 
capital
 
instruments
 
and
 
total
 
loss-absorbing
 
capacity-eligible
unsecured debt instruments are eligible to meet gone concern
 
requirements until one year before maturity.
More information
 
about the
 
going and
 
gone concern
 
requirements
 
is provided
 
in the
 
“Total
 
loss-absorbing
 
capacity”
section of the UBS AG Annual Report 2024, available under
 
“Annual reporting” at
ubs.com/investors.
 
Swiss SRB going and gone concern requirements and information
As of 31.3.25
RWA
LRD
USD m, except where indicated
in %
in %
Required going concern capital
Total going concern capital
 
14.96
1
 
72,036
 
5.02
1
 
78,554
Common equity tier 1 capital
 
10.61
2
 
51,092
 
3.52
3
 
55,067
of which: minimum capital
 
4.50
 
21,669
 
1.50
 
23,488
of which: buffer capital
 
5.50
 
26,485
 
2.00
 
31,317
of which: countercyclical buffer
 
0.44
 
2,123
Maximum additional tier 1 capital
 
4.35
2
 
20,944
 
1.50
 
23,488
of which: additional tier 1 capital
 
3.50
 
16,854
 
1.50
 
23,488
of which: additional tier 1 buffer capital
 
0.80
 
3,852
Eligible going concern capital
Total going concern capital
 
18.50
 
89,081
 
5.69
 
89,081
Common equity tier 1 capital
 
14.69
 
70,756
 
4.52
 
70,756
Total loss-absorbing additional tier 1 capital
 
3.81
 
18,325
 
1.17
 
18,325
of which: high-trigger loss-absorbing additional tier 1 capital
 
3.81
 
18,325
 
1.17
 
18,325
Required gone concern capital
Total gone concern loss-absorbing capacity
4,5,6
 
10.73
 
51,645
 
3.75
 
58,719
of which: base requirement including add-ons for market share and LRD
 
10.73
7
 
51,645
 
3.75
7
 
58,719
Eligible gone concern capital
Total gone concern loss-absorbing capacity
 
19.46
 
93,705
 
5.98
 
93,705
Total tier 2 capital
 
0.04
 
205
 
0.01
 
205
of which: non-Basel III-compliant tier 2 capital
 
0.04
 
205
 
0.01
 
205
TLAC-eligible unsecured debt
 
19.42
 
93,499
 
5.97
 
93,499
Total loss-absorbing capacity
Required total loss-absorbing capacity
 
25.68
 
123,681
 
8.77
 
137,273
Eligible total loss-absorbing capacity
 
37.96
 
182,786
 
11.67
 
182,786
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
 
481,539
Leverage ratio denominator
 
1,565,845
1 Includes applicable add-ons of 1.66% for risk-weighted assets (RWA) and 0.52% for leverage ratio denominator (LRD), of which 5 basis points for RWA and 2 basis points for LRD reflect a Pillar 2 capital add-on of
USD 262m related to the supply chain
 
finance funds matter at Credit
 
Suisse. An additional 16
 
basis points for RWA reflect
 
a Pillar 2 capital add-on
 
for uncollateralized exposures to hedge
 
funds, private equity
 
and
family offices, effective 1 January 2025.
 
2 Includes the Pillar 2 add-on for uncollateralized exposures to hedge funds, private equity and family
 
offices of 0.11% for CET1 capital and 0.05% for AT1 capital, effective
1 January 2025. For AT1 capital, under Pillar 1 requirements, a maximum of 4.3% of AT1 capital can be used to meet going concern requirements; 4.35% includes the aforementioned Pillar 2 capital add-on.
 
3 The
CET1 leverage ratio requirement of 3.52% consists of a 1.5%
 
base requirement, a 1.5% base buffer capital requirement, a 0.25% LRD add-on
 
requirement, a 0.25% market share add-on requirement
 
based on our
Swiss credit business and a 0.02% Pillar 2 capital add-on related to the supply chain finance funds matter at Credit Suisse.
 
4 A maximum of 25% of the gone concern requirements can be met with instruments that
have a remaining maturity of between one and two
 
years. Once at least 75% of the
 
minimum gone concern requirement has been met with
 
instruments that have a remaining maturity of greater
 
than two years, all
instruments that have a remaining
 
maturity of between one and
 
two years remain eligible to
 
be included in the total
 
gone concern capital.
 
5 From 1 January
 
2023, the resolvability discount
 
on the gone concern
capital requirements for systemically
 
important banks (SIBs) has
 
been replaced with reduced
 
base gone concern capital requirements
 
equivalent to 75% of the
 
total going concern requirements
 
(excluding countercyclical
buffer requirements and
 
the Pillar 2
 
add-ons).
 
6 As of
 
July 2024, FINMA
 
has the authority
 
to impose a
 
surcharge of up
 
to 25% of
 
the total going
 
concern capital requirements
 
(excluding countercyclical
 
buffer
requirements and the Pillar 2 add-ons) should obstacles to an SIB’s resolvability be identified
 
in future resolvability assessments.
 
7 Includes applicable add-ons of 1.08% for RWA and 0.38% for LRD.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS AG consolidated
 
20
Swiss SRB going and gone concern information
USD m, except where indicated
31.3.25
31.12.24
Eligible going concern capital
Total going concern capital
 
89,081
 
89,623
Total tier 1 capital
 
89,081
 
89,623
Common equity tier 1 capital
 
70,756
 
73,792
Total loss-absorbing additional tier 1 capital
 
18,325
 
15,830
of which: high-trigger loss-absorbing additional tier 1 capital
 
18,325
 
14,585
of which: low-trigger loss-absorbing additional tier 1 capital
 
1,245
Eligible gone concern capital
Total gone concern loss-absorbing capacity
 
93,705
 
92,177
Total tier 2 capital
 
205
 
207
of which: non-Basel III-compliant tier 2 capital
 
205
 
207
TLAC-eligible unsecured debt
 
93,499
 
91,970
Total loss-absorbing capacity
Total loss-absorbing capacity
 
182,786
 
181,800
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
 
481,539
 
495,110
Leverage ratio denominator
 
1,565,845
 
1,523,277
Capital and loss-absorbing capacity ratios (%)
Going concern capital ratio
 
18.5
 
18.1
of which: common equity tier 1 capital ratio
 
14.7
 
14.9
Gone concern loss-absorbing capacity ratio
 
19.5
 
18.6
Total loss-absorbing capacity ratio
 
38.0
 
36.7
Leverage ratios (%)
Going concern leverage ratio
 
5.7
 
5.9
of which: common equity tier 1 leverage ratio
 
4.5
 
4.8
Gone concern leverage ratio
 
6.0
 
6.1
Total loss-absorbing capacity leverage ratio
 
11.7
 
11.9
UBS AG standalone
Key metrics for the first quarter of 2025
The
 
table
 
below
 
is
 
based
 
on
 
the
 
Swiss
 
Financial
 
Market
 
Supervisory
 
Authority
 
(FINMA)
 
Ordinance
 
on
 
the
 
Disclosure
Obligations of Banks and Securities Firms (DisO-FINMA) rules
 
and IFRS Accounting Standards.
During the
 
first quarter
 
of 2025,
 
tier 1
 
capital
 
decreased
 
by USD 1.6bn
 
to USD
 
89.3bn. Common
 
equity tier
 
1 (CET1)
capital decreased by USD 4.1bn to
 
USD 71.0bn, mainly as operating profit before
 
tax of USD 0.4bn was more
 
than offset
by USD 4.5bn
 
of additional
 
accruals for
 
capital returns
 
to UBS
 
Group AG.
 
Additional
 
tier 1 (AT1)
 
capital
 
issued by
 
the
Group
 
and
 
on
 
lent
 
to
 
UBS AG
 
increased
 
by
 
USD 2.5bn
 
to
 
USD 18.3bn,
 
reflecting
 
the
 
issuance
 
of
 
new
 
AT1
 
capital
instruments
 
equivalent to USD 3.0bn and positive impacts from interest rate risk hedge, foreign currency translation and
other effects, partly offset by the call of AT1 capital instruments
 
equivalent to USD 1.3bn.
Phase-in
 
risk-weighted
 
assets
 
(RWA)
 
increased
 
by
 
USD 6.9bn
 
to
 
USD 514.9bn
 
during
 
the
 
first
 
quarter
 
of
 
2025.
 
This
included a USD 16.1bn
 
increase in RWA
 
on investments in Swiss
 
and foreign-domiciled subsidiaries,
 
predominantly due
to the phased increase of risk weights in accordance with the relevant FINMA decree. This increase was partly offset by a
USD 3.1bn decrease
 
in RWA
 
from the
 
implementation
 
of the
 
final
 
Basel III standards
 
and a
 
USD 6.1bn
 
decrease
 
from
asset size and other movements.
 
During the
 
first quarter
 
of 2025,
 
the leverage
 
ratio denominator
 
(the LRD)
 
increased by
 
USD 36.1bn to
 
USD 935.5bn,
driven by an increase of USD 31.3bn as
 
a result of the implementation of the final
 
Basel III standards and currency effects
of USD 13.2bn, partly offset by an
 
USD 8.4bn decrease due to asset
 
size and other movements. The
 
asset size movement
was mainly driven by decrease
 
s
 
in derivative exposures, securities
 
financing transaction exposures and
 
off-balance sheet
items, partly
 
offset by
 
increases in
 
cash and
 
balances at
 
central banks,
 
trading assets
 
and the
 
high-quality liquid
 
asset
(HQLA)
 
portfolio.
Correspondingly, the phase-in CET1 capital ratio of
 
UBS AG standalone decreased to 13.8% from 14.8%,
 
reflecting the
decrease in
 
CET1 capital
 
and the
 
increase in
 
phase-in RWA.
 
The firm’s
 
Basel III leverage
 
ratio decreased
 
to 9.5%
 
from
10.1%, reflecting the increase in the LRD and the aforementioned
 
decrease in tier 1 capital.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS AG standalone
 
21
The
 
quarterly
 
average
 
liquidity
 
coverage
 
ratio
 
(the
 
LCR)
 
of
 
UBS AG
 
standalone
 
decreased
 
14.8 percentage
 
points
 
to
229.2%, remaining above the prudential requirement communicated by FINMA. The movement in the quarterly average
LCR was
 
primarily driven
 
by an
 
increase in
 
net cash
 
outflows by
 
USD 7.3bn to
 
USD 66.0bn, reflecting
 
higher outflows
from
 
capital
 
instruments
 
on
 
lent
 
from
 
UBS
 
Group
 
AG
 
and
 
customer
 
deposits,
 
and
 
lower
 
inflows
 
from
 
intercompany
funding to
 
subsidiaries, partly offset
 
by higher net
 
inflows from securities
 
financing transactions. The
 
effect of the
 
increase
in average net cash outflows was partly
 
offset by an increase in the
 
average HQLA of USD 7.9bn to USD 150.5bn, mainly
reflecting
 
higher
 
cash
 
available
 
from
 
an
 
average
 
lower
 
funding
 
provided
 
to
 
subsidiaries,
 
partly
 
offset
 
by
 
lower
 
cash
available from debt issued measured at amortized cost.
As
 
of
 
31 March
 
2025,
 
the
 
net
 
stable
 
funding
 
ratio
 
increased
 
0.8 percentage
 
points
 
to
 
98.1%,
 
remaining
 
above
 
the
prudential
 
requirement
 
communicated
 
by
 
FINMA.
 
Available
 
stable
 
funding
 
remained
 
largely
 
stable
 
at
 
USD 410.5bn.
Required
 
stable
 
funding
 
decreased
 
by
 
USD 3.1bn
 
to
 
USD 418.7bn,
 
mainly
 
driven
 
by
 
lower
 
derivative
 
balances,
 
partly
offset by higher intercompany funding.
KM1: Key metrics
USD m, except where indicated
31.3.25
31.12.24
30.9.24
30.6.24
31.3.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
 
70,980
 
75,051
 
83,113
 
82,329
 
51,971
2
Tier 1
 
89,305
 
90,881
 
99,363
 
97,461
 
66,175
3
Total capital
 
89,305
 
90,882
 
99,365
 
97,461
 
66,175
Risk-weighted assets (amounts)
1
4
Total risk-weighted assets (RWA)
 
514,897
 
507,964
 
565,180
 
554,478
 
356,821
4a
Total risk-weighted assets (pre-floor)
2
 
514,897
4b
Minimum capital requirement
3
 
41,192
 
40,637
 
45,214
 
44,358
 
28,546
Risk-based capital ratios as a percentage of RWA
1
5
Common equity tier 1 ratio (%)
 
13.79
 
14.77
 
14.71
 
14.85
 
14.56
5b
Common equity tier 1 ratio (%) (pre-floor)
2
 
13.79
6
Tier 1 ratio (%)
 
17.34
 
17.89
 
17.58
 
17.58
 
18.55
6b
Tier 1 ratio (%) (pre-floor)
2
 
17.34
7
Total capital ratio (%)
 
17.34
 
17.89
 
17.58
 
17.58
 
18.55
7b
Total capital ratio (%) (pre-floor)
2
 
17.34
Additional CET1 buffer requirements as a percentage of RWA
8
Capital conservation buffer requirement (%)
 
2.50
 
2.50
 
2.50
 
2.50
 
2.50
9
Countercyclical buffer requirement (%)
 
0.15
 
0.19
 
0.19
 
0.18
 
0.12
9a
Additional countercyclical buffer for Swiss mortgage loans
 
(%)
 
0.00
 
0.00
 
0.00
 
0.00
 
0.00
10
Bank G-SIB and / or D-SIB additional requirements (%)
4
11
Total of bank CET1 specific buffer requirements (%)
5
 
2.65
 
2.69
 
2.69
 
2.68
 
2.62
12
CET1 available after meeting the bank’s minimum capital requirements (%)
6
 
9.29
 
9.89
 
9.58
 
9.58
 
10.06
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
 
935,496
 
899,348
 
944,404
 
921,796
 
641,315
14
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves)
7
 
9.55
 
10.11
 
10.52
 
10.57
 
10.32
14b
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves)
2
 
9.55
14c
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves) incorporating mean values for SFT
assets
2, 7
 
9.52
14d
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves) incorporating mean values for
SFT assets
2
 
9.52
14e
Minimum capital requirements
2, 8
 
41,192
Liquidity coverage ratio (LCR)
9
15
Total high-quality liquid assets (HQLA)
 
 
150,544
 
142,661
 
170,179
 
137,003
 
123,742
16
Total net cash outflow
 
65,962
 
58,620
 
60,445
 
50,458
 
46,115
16a
of which: cash outflows
 
238,931
 
231,213
 
228,228
 
197,846
 
174,814
16b
of which: cash inflows
 
172,969
 
172,593
 
167,783
 
147,387
 
128,700
17
LCR (%)
229.18
 
243.95
 
282.26
 
269.55
 
268.69
Net stable funding ratio (NSFR)
10
18
Total available stable funding
410,507
410,197
446,435
448,005
274,568
19
Total required stable funding
418,661
421,792
444,875
437,275
288,322
20
NSFR (%)
98.05
97.25
100.35
102.45
95.23
1 Based on phase-in rules for RWA. Refer to “Swiss systemically relevant bank going and gone concern
 
requirements and information” below for more information.
 
2 First-time disclosure, based on the final Basel III
standards implemented on 1 January 2025.
 
3 Calculated as 8% of total RWA, based on
 
total capital minimum requirements, excluding CET1 buffer requirements.
 
4 Swiss SRB going and gone concern requirements
and information for UBS AG standalone are provided below in this section.
 
5 Excludes non-BCBS capital buffer requirements for risk-weighted positions that are directly or indirectly backed
 
by residential properties
in Switzerland.
 
6 Represents the CET1 ratio that is available to meet buffer requirements. Calculated as the CET1 ratio minus the BCBS CET1 capital requirement and, where applicable, minus the BCBS tier 2 capital
requirement met with CET1 capital.
 
7 There is currently
 
no temporary exemption of
 
central bank reserves
 
for UBS.
 
8 The higher of
 
capital requirements based on
 
8% RWA or 3%
 
LRD.
 
9 Calculated after the
application of haircuts and inflow and outflow rates,
 
as well as, where applicable, caps on
 
Level 2 assets and cash inflows. Calculated based
 
on an average of 62 data points in the first quarter
 
of 2025 and 64 data
points in the fourth quarter of 2024. For the prior-quarter data points,
 
refer to the respective Pillar 3 Report, available under “Pillar 3 disclosures” at ubs.com/investors,
 
for more information.
 
10 In accordance with
Art. 17h para. 3
 
and 4 of the Liquidity
 
Ordinance, UBS AG
 
standalone is required to maintain
 
a minimum NSFR of
 
at least 80% without
 
taking into account excess
 
funding of UBS Switzerland
 
AG and 100% after
taking into account such excess funding.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS AG standalone
 
22
Swiss systemically relevant bank going and gone concern
 
requirements and information
 
The
 
tables
 
below
 
provide
 
details
 
of
 
the
 
Swiss
 
systemically
 
relevant
 
bank
 
(SRB)
 
RWA-
 
and
 
LRD-based
 
going
 
and
 
gone
concern requirements
 
and
 
information
 
as required
 
by FINMA;
 
details
 
regarding
 
eligible
 
gone
 
concern instruments
 
are
also provided below.
UBS AG standalone
 
is subject
 
to a
 
gone concern capital
 
requirement based
 
on the sum
 
of: (i) the
 
nominal value
 
of the
gone concern
 
instruments issued
 
by UBS
 
entities and
 
held by
 
the parent
 
firm; (ii) 75%
 
of the
 
capital requirements
 
resulting
from third-party exposure
 
on a standalone
 
basis; and (iii) a
 
buffer requirement equal
 
to 30% of
 
the Group’s gone
 
concern
capital requirement
 
on UBS
 
AG’s consolidated
 
exposure.
 
As of
 
1 January
 
2024, the
 
buffer requirement
 
has been
 
fully
phased
 
in.
 
The
 
gone
 
concern
 
capital
 
requirement
 
is the
 
higher
 
of
 
the
 
RWA-
 
and
 
LRD-based
 
requirements,
 
calculated
separately. The gone concern
 
capital coverage ratio reflects how
 
much gone concern capital
 
is available to meet
 
the gone
concern requirement.
 
UBS AG’s
 
outstanding
 
non-Basel III-compliant
 
tier 2 capital
 
instruments and
 
total loss-absorbing
capacity-eligible
 
unsecured
 
debt
 
instruments
 
are
 
eligible
 
to
 
meet
 
gone
 
concern
 
requirements
 
until
 
one
 
year
 
before
maturity.
Effective 1 January 2025, a
 
Pillar 2 capital add-on for
 
uncollateralized exposures to hedge
 
funds, private equity
 
and family
offices has
 
been introduced.
 
This resulted
 
in an
 
increase as
 
of 31 March
 
2025 of
 
14 basis points
 
in the
 
RWA phase-in-
based
 
going
 
concern
 
capital
 
requirement
 
and
 
13 basis
 
points
 
in
 
the
 
RWA
 
fully
 
applied-based
 
going
 
concern
 
capital
requirement.
More information about
 
the going and
 
gone concern requirements
 
is provided
 
in the “UBS
 
AG standalone”
 
section of
the 31 December 2024 Pillar 3 Report, available under “Pillar
 
3 disclosures” at
ubs.com/investors.
 
Swiss SRB going and gone concern requirements and information
As of 31.3.25
RWA, phase-in
RWA, fully applied as of 1.1.28
1
LRD
USD m, except where indicated
in %
in %
in %
Required going concern capital
Total going concern capital
 
14.64
2
 
75,393
 
14.63
2
 
80,651
 
5.03
2
 
47,037
Common equity tier 1 capital
 
 
10.30
3
 
53,036
 
10.29
3
 
56,729
 
3.53
 
33,004
of which: minimum capital
 
4.50
 
23,170
 
4.50
 
24,807
 
1.50
 
14,032
of which: buffer capital
 
5.50
 
28,319
 
5.50
 
30,320
 
2.00
 
18,710
of which: countercyclical buffer
 
0.15
 
780
 
0.15
 
835
Maximum additional tier 1 capital
 
4.34
3
 
22,357
 
4.34
3
 
23,922
 
1.50
 
14,032
of which: additional tier 1 capital
 
3.50
 
18,021
 
3.50
 
19,295
 
1.50
 
14,032
of which: additional tier 1 buffer capital
 
0.80
 
4,119
 
0.80
 
4,410
Eligible going concern capital
Total going concern capital
 
17.34
 
89,305
 
16.20
 
89,305
 
9.55
 
89,305
Common equity tier 1 capital
 
 
13.79
 
70,980
 
12.88
 
70,980
 
7.59
 
70,980
Total loss-absorbing additional tier 1 capital
 
3.56
 
18,325
 
3.32
 
18,325
 
1.96
 
18,325
of which: high-trigger loss-absorbing additional tier 1 capital
 
 
3.56
 
18,325
 
3.32
 
18,325
 
1.96
 
18,325
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
 
514,897
 
551,278
Leverage ratio denominator
 
935,496
Required gone concern capital
4
Higher of RWA-
 
or LRD-based
Total gone concern loss-absorbing capacity
 
74,884
Eligible gone concern capital
Total gone concern loss-absorbing capacity
 
93,703
Gone concern capital coverage ratio
 
125.13
1 Fully applied
 
relates to participation
 
RWA. Direct
 
and indirect investments
 
including holding
 
of regulatory
 
capital instruments
 
in Switzerland-domiciled
 
subsidiaries and direct
 
and indirect
 
investments including
holding of regulatory capital instruments in foreign-domiciled subsidiaries are risk weighted at 235% and 340%, respectively,
 
for the current year. Risk weights will gradually
 
increase by 5 percentage points per year
for Switzerland-domiciled investments and
 
20 percentage points per year
 
for foreign-domiciled investments until
 
the fully applied risk weights
 
of 250% and 400%,
 
respectively, are applied.
 
2 Includes applicable
add-ons of 1.63% for risk-weighted assets (RWA,
 
phase-in), 1.62% for risk-weighted assets (RWA,
 
fully applied) and 0.53% for leverage
 
ratio denominator (LRD), of which 5
 
basis points for RWA phase-in, 5
 
basis
points for RWA fully applied and 3 basis points for LRD reflect a Pillar 2 capital add-on
 
of USD 262m related to the supply chain finance funds matter at Credit Suisse.
 
An additional 14 basis points for RWA phase-in
and 13 basis points for RWA fully applied
 
reflect a Pillar 2 capital add-on for uncollateralized
 
exposures to hedge fund, private equity and
 
family offices, effective 1 January
 
2025.
 
3 Includes the Pillar 2 add-on for
uncollateralized exposures to hedge funds,
 
private equity and family offices of
 
0.10% for CET1 capital and 0.04%
 
for AT1 capital for RWA
 
phase-in and 0.09% for CET1 capital
 
and 0.04% for AT1 capital
 
for RWA
fully applied, effective 1 January 2025. For AT1
 
capital, under Pillar 1 requirements, a maximum of 4.3%
 
of AT1 capital can be used to meet going concern
 
requirements; 4.34% includes the aforementioned Pillar 2
capital add-on.
 
4 A maximum of 25% of the gone concern requirements
 
can be met with instruments that have a remaining maturity of
 
between one and two years. Once at least 75% of the minimum
 
gone concern
requirement has been met with instruments that
 
have a remaining maturity of greater
 
than two years, all instruments
 
that have a remaining maturity of
 
between one and two years remain eligible
 
to be included in
the total gone concern capital.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS AG standalone
 
23
Swiss SRB going and gone concern information
USD m, except where indicated
31.3.25
31.12.24
Eligible going concern capital
Total going concern capital
 
89,305
 
90,881
Total tier 1 capital
 
89,305
 
90,881
Common equity tier 1 capital
 
70,980
 
75,051
Total loss-absorbing additional tier 1 capital
 
18,325
 
15,830
of which: high-trigger loss-absorbing additional tier 1 capital
 
18,325
 
14,585
of which: low-trigger loss-absorbing additional tier 1 capital
 
1,245
Eligible gone concern capital
Total gone concern loss-absorbing capacity
 
93,703
 
92,174
Total tier 2 capital
 
204
 
204
of which: non-Basel III-compliant tier 2 capital
 
204
 
204
TLAC-eligible unsecured debt
 
93,499
 
91,970
Total loss-absorbing capacity
Total loss-absorbing capacity
 
183,009
 
183,055
Denominators for going and gone concern ratios
Risk-weighted assets, phase-in
 
514,897
 
507,964
of which: investments in Switzerland-domiciled subsidiaries
1
 
86,606
 
83,221
of which: investments in foreign-domiciled subsidiaries
1
 
174,830
 
162,098
Risk-weighted assets, fully applied as of 1.1.28
 
551,278
 
555,726
of which: investments in Switzerland-domiciled subsidiaries
1
 
92,134
 
90,458
of which: investments in foreign-domiciled subsidiaries
1
 
205,683
 
202,623
Leverage ratio denominator
 
935,496
 
899,348
Capital and loss-absorbing capacity ratios (%)
Going concern capital ratio, phase-in
 
17.3
 
17.9
of which: common equity tier 1 capital ratio, phase-in
 
13.8
 
14.8
Going concern capital ratio, fully applied as of 1.1.28
 
16.2
 
16.4
of which: common equity tier 1 capital ratio, fully applied as of 1.1.28
 
12.9
 
13.5
Leverage ratios (%)
Going concern leverage ratio
 
9.5
 
10.1
of which: common equity tier 1 leverage ratio
 
7.6
 
8.3
Capital coverage ratio (%)
Gone concern capital coverage ratio
 
125.1
 
122.3
1 Fully applied relates to participation RWA.
 
Direct and indirect investments including
 
holding of regulatory capital instruments in
 
Switzerland-domiciled subsidiaries and for direct and
 
indirect investments including
holding of regulatory capital instruments in foreign-domiciled subsidiaries are risk-weighted at 235% and 340%, respectively, for the current
 
year. Risk weights will gradually increase by 5
 
percentage points per year
for Switzerland-domiciled investments and 20 percentage points per year for foreign-domiciled investments until the fully applied risk weights of 250% and
 
400%, respectively, are applied.
 
UBS Switzerland AG standalone
Key metrics for the first quarter of 2025
The
 
table
 
below
 
is
 
based
 
on
 
the
 
Swiss
 
Financial
 
Market
 
Supervisory
 
Authority
 
(FINMA)
 
Ordinance
 
on
 
the
 
Disclosure
Obligations of Banks and Securities Firms (DisO-FINMA) rules
 
and IFRS Accounting Standards.
During
 
the
 
first
 
quarter
 
of
 
2025,
 
common
 
equity
 
tier 1
 
capital
 
decreased
 
by
 
CHF 0.1bn
 
to
 
CHF 21.6bn,
 
mainly
 
as
operating profit of CHF 0.8bn was more than offset by
 
additional dividend accruals and other items.
 
Total risk-weighted assets (RWA)
 
decreased by CHF 11.7bn to CHF 174.6bn, including a decrease of CHF 8.2bn from the
implementation of final Basel III standards. The
 
output floor, which is now fully phased
 
in at 72.5% for UBS Switzerland
AG standalone in 2025, remains higher than internal model
 
-based RWA.
The leverage
 
ratio denominator
 
(the LRD)
 
decreased by
 
CHF 4.3bn to
 
CHF 551.7bn,
 
mainly driven
 
by decreases
 
in the
balance
 
sheet,
 
securities
 
financing
 
transactions
 
and
 
credit
 
commitment
 
exposures,
 
partly
 
offset
 
by
 
an
 
increase
 
in
exposures for derivatives mainly as a result of the implementation
 
of the final Basel III standards.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS Switzerland AG standalone
 
24
The
 
quarterly
 
average
 
liquidity
 
coverage
 
ratio
 
(the
 
LCR)
 
of
 
UBS
 
Switzerland AG
 
decreased
 
6.4 percentage
 
points
 
to
137.1%,
 
remaining
 
above
 
the
 
prudential
 
requirement
 
communicated
 
by
 
the
 
FINMA.
 
The
 
movement
 
in
 
the
 
quarterly
average
 
LCR
 
was
 
primarily
 
driven
 
by
 
a
 
decrease
 
in
 
high-quality
 
liquid
 
assets
 
(HQLA)
 
of
 
CHF 13.8bn
 
to
 
CHF 111.2bn,
reflecting lower cash available from funding received from UBS AG. The effect of the decrease in HQLA was partly offset
by a decrease
 
in net cash
 
outflows of
 
CHF 6.0bn to CHF
 
81.2bn, reflecting
 
lower outflows from
 
intercompany funding
from UBS AG, partly offset by higher outflows from customer
 
deposits.
As of
 
31 March
 
2025, the
 
net stable
 
funding ratio
 
decreased
 
3.7 percentage
 
points to
 
128.5%,
 
remaining above
 
the
prudential
 
requirement
 
communicated
 
by
 
FINMA.
 
Available
 
stable
 
funding
 
decreased
 
by
 
CHF 4.1bn
 
to
 
CHF 355.0bn,
mainly
 
driven
 
by
 
lower
 
customer
 
deposits
 
and
 
debt
 
issued.
 
Required
 
stable
 
funding
 
increased
 
by
 
CHF 4.6bn
 
to
CHF 276.3bn, mainly driven by higher lending assets, partly
 
offset by lower derivative balances.
KM1: Key metrics
CHF m, except where indicated
31.3.25
31.12.24
30.9.24
30.6.24
31.3.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
 
21,596
 
21,659
 
22,016
 
12,601
 
12,630
2
Tier 1
 
29,590
 
29,652
 
30,009
 
17,601
 
17,630
3
Total capital
 
29,590
 
29,652
 
30,009
 
17,601
 
17,630
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
 
174,610
 
186,265
 
185,237
 
110,294
 
111,292
4a
Total risk-weighted assets (pre-floor)
 
153,743
 
168,033
 
167,384
 
100,623
 
102,993
4b
Minimum capital requirement
1
 
13,969
 
14,901
 
14,819
 
8,824
 
8,903
Risk-based capital ratios as a percentage of RWA
5
Common equity tier 1 ratio (%)
 
12.37
 
11.63
 
11.89
 
11.43
 
11.35
5b
Common equity tier 1 ratio (%) (pre-floor)
2
 
14.05
 
12.89
 
13.15
 
12.52
 
12.26
6
Tier 1 ratio (%)
 
16.95
 
15.92
 
16.20
 
15.96
 
15.84
6b
Tier 1 ratio (%) (pre-floor)
2
 
19.25
 
17.65
 
17.93
 
17.49
 
17.12
7
Total capital ratio (%)
 
16.95
 
15.92
 
16.20
 
15.96
 
15.84
7b
Total capital ratio (%) (pre-floor)
2
 
19.25
 
17.65
 
17.93
 
17.49
 
17.12
Additional CET1 buffer requirements as a percentage of RWA
8
Capital conservation buffer requirement (%)
 
2.50
 
2.50
 
2.50
 
2.50
 
2.50
9
Countercyclical buffer requirement (%)
 
0.06
 
0.08
 
0.08
 
0.07
 
0.05
9a
Additional countercyclical buffer for Swiss mortgage loans
 
(%)
 
0.80
 
0.88
 
0.90
 
0.81
 
0.81
10
Bank G-SIB and / or D-SIB additional requirements (%)
3
11
Total of bank CET1 specific buffer requirements (%)
4
 
2.56
 
2.58
 
2.58
 
2.57
 
2.55
12
CET1 available after meeting the bank’s minimum capital requirements (%)
5
 
7.87
 
7.13
 
7.39
 
6.93
 
6.85
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
 
551,716
 
556,053
 
567,484
 
337,149
 
337,653
14
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves)
6
 
5.36
 
5.33
 
5.29
 
5.22
 
5.22
14b
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves)
2
 
5.36
14c
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves) incorporating mean values for SFT
assets
2, 6
 
5.34
14d
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves) incorporating mean values for
SFT assets
2
 
5.34
14e
Minimum capital requirements
2, 7
 
16,551
Liquidity coverage ratio (LCR)
8
15
Total high-quality liquid assets (HQLA)
 
 
111,231
 
125,007
 
126,037
 
78,141
 
77,489
16
Total net cash outflow
 
81,164
 
87,160
 
85,964
 
53,601
 
54,396
16a
of which: cash outflows
 
110,357
 
116,768
 
114,992
 
74,884
 
75,050
16b
of which: cash inflows
 
29,193
 
29,608
 
29,027
 
21,283
 
20,654
17
LCR (%)
 
137.08
 
143.47
 
146.68
 
145.89
 
142.47
Net stable funding ratio (NSFR)
9
18
Total available stable funding
355,035
359,170
369,168
224,953
224,591
19
Total required stable funding
276,279
271,688
274,029
165,291
166,818
20
NSFR (%)
128.51
132.20
134.72
136.10
134.63
1 Calculated as 8% of total RWA, based on total capital minimum requirements,
 
excluding CET1 buffer requirements.
 
2 First-time disclosure, based on the final Basel III standards implemented
 
on 1 January 2025.
 
3 Swiss SRB going
 
and gone concern
 
requirements and information
 
for UBS Switzerland
 
AG are provided
 
below.
 
4 Excludes non-BCBS capital
 
buffer requirements for
 
risk-weighted positions that
 
are directly or
indirectly backed by residential properties in Switzerland.
 
5 Represents the CET1 ratio that is available to meet buffer requirements. Calculated as
 
the CET1 ratio minus the BCBS CET1 capital requirement and, where
applicable, minus the BCBS tier 2 capital requirement met with CET1 capital.
 
6 There is currently no temporary exemption of central bank reserves for UBS.
 
7 The higher of capital requirements based on 8% RWA
or 3% LRD.
 
8 Calculated after the application of
 
haircuts and inflow and outflow rates,
 
as well as, where applicable,
 
caps on Level 2 assets and
 
cash inflows. Calculated based on
 
an average of 62 data
 
points in
the first quarter of 2025 and 64 data points in the fourth quarter of 2024. For the prior-quarter data points,
 
refer to the respective Pillar 3 Report, available under “Pillar 3 disclosures” at ubs.com/investors,
 
for more
information.
 
9 UBS Switzerland AG is required to maintain a minimum NSFR
 
of at least 100% on an ongoing basis, as set out
 
in Art. 17h para. 1 of the Liquidity Ordinance.
 
A portion of the excess funding is used
to fulfill the NSFR requirement of UBS AG standalone.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS Switzerland AG standalone
 
25
Swiss systemically relevant bank going and gone concern
 
requirements and information
The
 
tables
 
below
 
provide
 
details
 
of the
 
Swiss
 
systemically
 
relevant
 
bank
 
(SRB)
 
RWA-
 
and
 
LRD-based
 
going
 
and
 
gone
concern requirements
 
and information
 
as required
 
by FINMA
 
;
 
details regarding
 
eligible
 
gone concern
 
instruments
 
are
also provided below.
UBS Switzerland AG is considered an
 
SRB under Swiss banking law
 
and is subject to capital regulations
 
on a standalone
basis.
 
As
 
of
 
31 March
 
2025,
 
the
 
going
 
concern
 
capital
 
and
 
leverage
 
ratio
 
requirements
 
for
 
UBS
 
Switzerland AG
standalone were 15.16% (including a countercyclical buffer
 
of 0.86%) and 5.00%, respectively.
The Swiss SRB
 
framework and
 
going concern requirements
 
applicable to
 
UBS Switzerland AG
 
standalone are
 
the same
as those applicable to
 
UBS Group AG consolidated.
 
The gone concern requirement
 
corresponds to 62% of
 
the Group’s
going concern
 
requirements, excluding
 
the countercyclical
 
buffer requirements
 
and Pillar 2
 
add-ons. Outstanding
 
total
loss-absorbing
 
capacity-eligible
 
unsecured
 
debt
 
instruments
 
are
 
eligible to
 
meet
 
gone concern
 
requirements
 
until one
year before maturity.
The gone concern
 
requirements were 8.87%
 
for the RWA-based
 
requirement and 3.10%
 
for the LRD-based
 
requirement.
›
Refer to “Capital and capital ratios of our
 
significant regulated subsidiaries” in the “Capital,
 
liquidity and funding, and balance
sheet” section of the UBS Group Annual Report 2024,
 
available under “Annual reporting” at
ubs.com/investors
, for more
information about the joint liability of UBS AG and
 
UBS Switzerland AG
Swiss SRB going and gone concern requirements and information
As of 31.3.25
RWA
LRD
CHF m, except where indicated
in %
in %
Required going concern capital
Total going concern capital
 
15.16
1
 
26,475
 
5.00
1
 
27,586
Common equity tier 1 capital
 
 
10.86
 
18,967
 
3.50
 
19,310
of which: minimum capital
 
4.50
 
7,857
 
1.50
 
8,276
of which: buffer capital
 
5.50
 
9,604
 
2.00
 
11,034
of which: countercyclical buffer
 
0.86
 
1,506
Maximum additional tier 1 capital
 
4.30
 
7,508
 
1.50
 
8,276
of which: additional tier 1 capital
 
3.50
 
6,111
 
1.50
 
8,276
of which: additional tier 1 buffer capital
 
0.80
 
1,397
Eligible going concern capital
Total going concern capital
 
16.95
 
29,590
 
5.36
 
29,590
Common equity tier 1 capital
 
 
12.37
 
21,596
 
3.91
 
21,596
Total loss-absorbing additional tier 1 capital
 
4.58
 
7,995
 
1.45
 
7,995
of which: high-trigger loss-absorbing additional tier 1 capital
 
 
4.58
 
7,995
 
1.45
 
7,995
Required gone concern capital
2
Total gone concern loss-absorbing capacity
 
8.87
 
15,481
 
3.10
 
17,103
of which: base requirement including add-ons for market share and
 
LRD
 
8.87
3
 
15,481
 
3.10
3
 
17,103
Eligible gone concern capital
Total gone concern loss-absorbing capacity
 
11.02
 
19,248
 
3.49
 
19,248
TLAC-eligible unsecured debt
 
11.02
 
19,248
 
3.49
 
19,248
Total loss-absorbing capacity
Required total loss-absorbing capacity
 
24.03
 
41,956
 
8.10
 
44,689
Eligible total loss-absorbing capacity
 
27.97
 
48,838
 
8.85
 
48,838
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
 
174,610
Leverage ratio denominator
 
551,716
1 Includes applicable add-ons of 1.44% for risk-weighted assets (RWA) and 0.50% for leverage ratio denominator (LRD).
 
2 A maximum of 25% of the gone concern requirements can be met with instruments that
have a remaining maturity of between one and two years. Once at least 75% of the minimum gone concern requirement has been met with instruments that have a remaining maturity of greater than
 
two years, all
instruments that have a remaining maturity of between one and two years remain eligible to be included in the total gone concern capital.
 
3 Includes applicable add-ons of 0.89% for RWA and 0.31% for LRD.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS Switzerland AG standalone
 
26
Swiss SRB going and gone concern information
CHF m, except where indicated
31.3.25
31.12.24
Eligible going concern capital
Total going concern capital
 
29,590
 
29,652
Total tier 1 capital
 
29,590
 
29,652
Common equity tier 1 capital
 
21,596
 
21,659
Total loss-absorbing additional tier 1 capital
 
7,995
 
7,994
of which: high-trigger loss-absorbing additional tier 1 capital
 
7,995
 
7,994
Eligible gone concern capital
Total gone concern loss-absorbing capacity
 
19,248
 
19,274
TLAC-eligible unsecured debt
 
19,248
 
19,274
Total loss-absorbing capacity
Total loss-absorbing capacity
 
48,838
 
48,926
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
 
174,610
 
186,265
Leverage ratio denominator
 
551,716
 
556,053
Capital and loss-absorbing capacity ratios (%)
Going concern capital ratio
 
16.9
 
15.9
of which: common equity tier 1 capital ratio
 
12.4
 
11.6
Gone concern loss-absorbing capacity ratio
 
11.0
 
10.3
Total loss-absorbing capacity ratio
 
28.0
 
26.3
Leverage ratios (%)
Going concern leverage ratio
 
5.4
 
5.3
of which: common equity tier 1 leverage ratio
 
3.9
 
3.9
Gone concern leverage ratio
 
3.5
 
3.5
Total loss-absorbing capacity leverage ratio
 
8.9
 
8.8
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS Europe SE consolidated
 
27
UBS Europe SE consolidated
Key metrics for the first quarter of 2025
The table below provides information about the regulatory capital components,
 
capital ratios, leverage ratio and liquidity
of UBS Europe SE
 
consolidated based
 
on Basel
 
Committee
 
on Banking
 
Supervision (BCBS)
 
Pillar 1 requirements
 
and in
accordance with EU regulatory rules and IFRS Accounting
 
Standards.
 
During the first
 
quarter of 2025,
 
available capital increased
 
by EUR 0.2bn to
 
EUR 4.0bn, primarily
 
due to the
 
merger of
UBS Europe SE and Credit Suisse
 
(Italy) S.A. In the
 
EU, the final Basel III requirements
 
became applicable as of
 
1 January
2025, except for the
 
Fundamental Review of the
 
Trading Book (the FRTB) requirements, the
 
implementation of which has
been
 
delayed
 
until
 
at
 
least
 
1 January
 
2026.
 
Risk-weighted
 
assets
 
increased
 
by
 
EUR 0.4bn
 
to
 
EUR 14.5bn,
 
including
 
a
EUR 1.3bn increase resulting from the implementation of the final Basel III standards.
 
Leverage ratio exposure was stable
at EUR 55.6bn.
The average liquidity coverage ratio (the LCR)
 
remained well above the regulatory requirement of
 
100%, at 140.4%. The
increase in the
 
LCR was
 
driven by
 
a EUR 1.4bn
 
increase in
 
high-quality liquid
 
assets (HQLA),
 
partly offset
 
by higher
 
net
cash outflows
 
.
 
The
 
increase
 
in HQLA
 
was
 
mainly
 
due to
 
an increase
 
in
 
intercompany
 
funding,
 
partly
 
offset
 
by
 
higher
client-driven activity levels in the Investment Bank
 
in Asian markets. The net stable
 
funding ratio remained well above the
regulatory
 
requirements
 
of
 
100%,
 
at
 
140.5%.
 
Available
 
stable
 
funding
 
increased
 
by
 
EUR 1.4bn,
 
mainly
 
reflecting
 
an
increase in longer-term intercompany funding.
 
Required stable funding decreased by EUR 0.4bn, mainly driven by higher
levels of client-driven activity levels in the Investment Bank
 
in Asian markets.
KM1: Key metrics
1,2
EUR m, except where indicated
31.3.25
31.12.24
3
30.9.24
3
30.6.24
3
31.3.24
3
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
 
3,424
 
3,239
 
2,701
 
2,740
 
2,619
2
Tier 1
 
4,024
 
3,839
 
3,301
 
3,340
 
3,219
3
Total capital
 
4,024
 
3,839
 
3,301
 
3,340
 
3,219
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
 
14,474
 
14,079
 
12,657
 
12,423
 
12,645
4a
Total risk-weighted assets (RWA) (pre-floor)
4
 
14,474
4b
Minimum capital requirement
5
 
1,158
 
1,126
 
1,013
 
994
 
1,012
Risk-based capital ratios as a percentage of RWA
5
CET1 ratio (%)
 
23.7
 
23.0
 
21.3
 
22.1
 
20.7
5b
CET1 ratio (%) (pre-floor)
4
 
23.7
6
Tier 1 ratio (%)
 
27.8
 
27.3
 
26.1
 
26.9
 
25.5
6b
Tier 1 ratio (%) (pre-floor)
4
 
27.8
7
Total capital ratio (%)
 
27.8
 
27.3
 
26.1
 
26.9
 
25.5
7b
Total capital ratio (%) (pre-floor)
4
 
27.8
Additional CET1 buffer requirements as a percentage of RWA
8
Capital conservation buffer requirement (%)
 
2.5
 
2.5
 
2.5
 
2.5
 
2.5
9
Countercyclical buffer requirement (%)
 
0.7
 
0.7
 
0.7
 
0.7
 
0.6
10
Bank G-SIB and / or D-SIB additional requirements (%)
11
Total of bank CET1 specific buffer requirements (%)
 
3.2
 
3.2
 
3.2
 
3.2
 
3.1
12
CET1 available after meeting the bank’s minimum capital requirements (%)
6
 
19.2
 
18.5
 
16.8
 
17.6
 
16.2
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
 
55,593
 
55,676
 
50,053
 
50,630
 
48,797
14
Basel III leverage ratio (%) (including the impact of any applicable
 
temporary
exemption of central bank reserves)
7,8
 
7.2
 
6.9
 
6.6
 
6.6
 
6.6
14b
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves)
4
 
7.2
14e
Minimum capital requirements
4,9
 
1,668
Liquidity coverage ratio (LCR)
10
15
Total high-quality liquid assets (HQLA)
 
 
18,664
 
17,285
 
16,741
 
17,269
 
18,284
16
Total net cash outflow
 
13,355
 
12,542
 
11,523
 
11,658
 
12,406
17
LCR (%)
 
140.4
 
138.9
 
145.2
 
148.3
 
147.9
Net stable funding ratio (NSFR)
18
Total available stable funding
 
18,580
 
17,134
 
14,409
 
14,846
 
13,384
19
Total required stable funding
 
13,222
 
13,656
 
11,266
 
11,410
 
10,874
20
NSFR (%)
 
140.5
 
125.5
 
127.9
 
130.1
 
123.1
1 Based on applicable EU regulatory rules.
 
2 Row 9a of the FINMA template is applicable to FINMA-regulated scope only and
 
rows 14c and 14d have been removed because the EU does not require the disclosure
of mean values for
 
SFTs.
 
3 Comparative figures have been restated
 
to align with the regulatory
 
reports as submitted to the
 
European Central Bank.
 
4 First-time disclosure, based on
 
the final Basel III standards
implemented on 1 January 2025.
 
5 Calculated as 8% of total RWA,
 
based on total capital minimum
 
requirements, excluding CET1 buffer requirements.
 
6 Represents the CET1 ratio that is
 
available for meeting
buffer requirements. Calculated as the
 
CET1 ratio minus 4.5% and
 
after considering, where applicable,
 
CET1 capital that has been used
 
to meet tier 1 and / or total
 
capital ratio requirements under Pillar
 
1.
 
7 On
the basis of tier 1 capital.
 
8 There is currently no temporary exemption of central bank reserves for UBS Europe SE.
 
9 The higher of capital requirements based on 8% RWA or 3% LRD.
 
10 Figures are calculated
based on a 12
‑
month average.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | UBS Americas Holding LLC consolidated
 
28
UBS Americas Holding LLC consolidated
Key metrics for the first quarter of 2025
The table
 
below is
 
based on
 
Basel Committee
 
on Banking
 
Supervision
 
(BCBS) Pillar
 
1 requirements
 
and in
 
accordance
with US Basel III rules and generally accepted accounting
 
principles in the US (US GAAP).
Effective 1 October 2024 and through 30 September 2025,
 
UBS Americas Holding LLC is
 
subject to a stress capital
 
buffer
(an SCB)
 
of 9.3%,
 
in addition
 
to the
 
minimum capital
 
requirements. The
 
SCB was
 
determined by
 
the Federal
 
Reserve
Board following
 
the completion
 
of the
 
2024 Comprehensive
 
Capital Analysis
 
and Review
 
(the CCAR)
 
based on
 
Dodd–
Frank Act Stress
 
Test (DFAST) results
 
and planned future dividends.
 
The SCB, which
 
replaces the static capital
 
conservation
buffer of 2.5%, is subject to change on an annual basis or
 
as otherwise determined by the Federal Reserve Board.
During the first quarter
 
of 2025, common equity
 
tier 1 and tier 1 capital
 
both increased by USD
 
0.1bn, primarily due
 
to
net operating profit, partly
 
offset by an increase
 
in deduction from deferred
 
tax assets arising from
 
temporary differences,
and preferred dividends
 
paid to UBS
 
AG. Risk-weighted
 
assets (RWA) increased
 
by USD 0.8bn to
 
USD 79.3bn, due to
 
a
USD 1.4bn increase in market risk RWA, partly offset by a USD 0.6bn decrease in credit risk RWA. The increase
 
in market
risk RWA was
 
due to higher
 
exposures in value-at-risk
 
/ stressed value-at-risk
 
and specific risk,
 
which both increased
 
by
USD 0.7bn. The decrease in
 
credit risk RWA
 
was mostly due to
 
a USD 1.5bn decrease relating
 
to the wind-down of
 
legacy
Credit Suisse exposures, partly offset by USD 0.9bn increase
 
in derivatives due to higher business
 
volumes. Leverage ratio
exposure, calculated on an average
 
basis, increased USD 7.5bn to USD 205.0bn
 
and as a result, the tier 1
 
leverage ratio
decreased 0.3 percentage
 
points to
 
9.3%. The
 
tier 1 supplementary
 
leverage ratio
 
(the SLR)
 
decreased 0.2 percentage
points to 8.1%, primarily driven by a USD 6.4bn increase
 
in SLR exposure.
The
 
average
 
liquidity
 
coverage
 
ratio
 
decreased
 
0.7 percentage
 
points
 
to
 
132.9%,
 
as
 
net
 
cash
 
outflows
 
increased
 
by
USD 1.1bn
 
and
 
high-quality
 
liquid
 
assets
 
increased
 
by
 
USD 1.4bn.
 
The
 
average
 
net
 
stable
 
funding
 
ratio
 
decreased
1.8 percentage points to 134.0%;
 
this was due to a USD 1.4bn decrease in available
 
stable funding.
KM1: Key metrics
1
USD m, except where indicated
31.3.25
31.12.24
30.9.24
30.6.24
2
31.3.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
 
16,236
 
16,123
 
23,303
 
23,036
 
14,136
2
Tier 1
 
19,053
 
18,941
 
26,121
 
25,846
 
16,975
3
Total capital
 
19,258
 
19,181
 
26,378
 
26,103
 
17,174
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
 
79,345
 
78,585
 
84,944
 
84,289
 
75,897
4b
Minimum capital requirement
3
 
6,348
 
6,287
 
6,795
 
6,743
 
6,072
Risk-based capital ratios as a percentage of RWA
5
CET1 ratio (%)
 
20.5
 
20.5
 
27.4
 
27.3
 
18.6
6
Tier 1 ratio (%)
 
24.0
 
24.1
 
30.8
 
30.7
 
22.4
7
Total capital ratio (%)
 
24.3
 
24.4
 
31.1
 
31.0
 
22.6
Additional CET1 buffer requirements as a percentage of RWA
8
BCBS capital conservation buffer requirement (%)
 
2.5
 
2.5
 
2.5
 
2.5
 
2.5
8a
US stress capital buffer requirement (%)
 
9.3
 
9.3
 
9.1
 
9.1
 
9.1
9
Countercyclical buffer requirement (%)
10
Bank G-SIB and / or D-SIB additional requirements (%)
11
BCBS total of bank CET1 specific buffer requirements (%)
 
2.5
 
2.5
 
2.5
 
2.5
 
2.5
11a
US total bank specific capital buffer requirements (%)
 
9.3
 
9.3
 
9.1
 
9.1
 
9.1
12
CET1 available after meeting the bank’s minimum capital requirements (%)
4
 
16.0
 
16.0
 
22.9
 
22.8
 
14.1
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
5
 
204,960
 
197,487
 
197,597
 
205,699
6
 
183,701
14
Basel III leverage ratio (%)
7
 
9.3
 
9.6
 
13.2
 
12.6
 
9.2
14a
Total Basel III supplementary leverage ratio exposure measure
5
 
234,346
 
227,973
 
227,490
 
232,968
6
 
209,750
14b
Basel III supplementary leverage ratio (%)
7
 
8.1
 
8.3
 
11.5
 
11.1
 
8.1
Liquidity coverage ratio (LCR)
15
Total high-quality liquid assets (HQLA)
5
 
28,182
 
26,801
 
32,069
 
29,749
8
 
28,410
16
Total net cash outflow
5,9
 
21,213
 
20,064
 
24,649
 
20,135
8
 
18,947
17
LCR (%)
 
132.9
 
133.6
 
130.1
 
147.7
8
 
149.9
Net stable funding ratio (NSFR)
18
Total available stable funding
5
 
107,920
 
109,283
 
112,554
 
107,825
8
 
107,370
19
Total required stable funding
5,9
 
80,532
 
80,456
 
81,952
 
79,651
8
 
80,303
20
NSFR (%)
 
134.0
 
135.8
 
137.3
 
135.4
8
 
133.7
1 As the final Basel
 
III standards have not been
 
implemented in the US,
 
rows that are not applicable
 
have been removed from the
 
FINMA template.
 
2 Regulatory information is inclusive of
 
Credit Suisse Holdings
(USA), Inc., following
 
the reparenting
 
of this entity
 
under UBS Americas
 
Holding LLC
 
on 7 June
 
2024. Prior
 
periods have not
 
been restated.
 
3 Calculated as
 
8% of total
 
RWA, based
 
on total minimum
 
capital
requirements, excluding CET1
 
buffer requirements.
 
4 Represents the CET1
 
ratio that is
 
available to meet
 
buffer requirements. Calculated
 
as the CET1
 
ratio minus the
 
BCBS CET1 capital
 
requirement and, where
applicable, minus the BCBS additional tier 1 and tier 2 capital requirements met with CET1 capital.
 
5 Figures are calculated on a quarterly average.
 
6 Leverage exposure for 30 June 2024 has been calculated as
if the reparenting of Credit Suisse Holdings (USA), Inc., occurred on the first day of the calendar quarter.
 
7 On the basis of tier 1 capital.
 
8 The liquidity coverage ratio and net stable funding ratio for 30 June 2024
are calculated on a simple daily average of the quarter which included the business activity of Credit Suisse Holdings (USA), Inc., beginning on 7 June 2024.
 
9 Reflected at 85% of the full amount in accordance with
the Federal Reserve tailoring rule.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 March 2025 Pillar 3 Report |
Significant regulated subsidiaries and
 
sub-groups | Credit Suisse International standalone
 
29
Credit Suisse International standalone
Key metrics for the first quarter of 2025
The table
 
below is
 
based on
 
Basel Committee
 
on Banking
 
Supervision
 
(BCBS) Pillar
 
1 requirements
 
and in
 
accordance
with UK Prudential Regulatory Authority regulations and IFRS
 
Accounting Standards.
 
During the first quarter of 2025, common equity tier 1 capital and total capital were stable at USD 6.8bn. Risk-weighted
assets
 
(RWA)
 
decreased
 
by
 
USD 1.6bn
 
to
 
USD 9.3bn,
 
driven
 
by
 
decreases
 
in
 
credit
 
risk
 
RWA
 
and
 
credit
 
valuation
adjustment
 
RWA
 
due
 
to
 
a
 
reduction
 
in
 
trading
 
activity
 
levels.
 
Leverage
 
ratio
 
exposure
 
decreased
 
by
 
USD 9.2bn
 
to
USD 23.3bn, mainly driven by decreases in reverse repos,
 
trading inventory, cash and derivatives.
The average liquidity coverage ratio was 361.8%, compared with 363.3%
 
in the fourth quarter of 2024. The movement
was driven by
 
a decrease of USD 1.0bn
 
in high-quality liquid assets
 
(HQLA), reflecting the re-balancing
 
of HQLA to release
trapped liquidity held in the entity, and a USD 0.2bn reduction
 
in net cash outflows.
The
 
net
 
stable
 
funding
 
ratio
 
(the
 
NSFR)
 
of
 
Credit
 
Suisse
 
International
 
standalone
 
remained
 
above
 
the
 
regulatory
requirement of
 
100%, at
 
241.8%, compared
 
with 214.8%
 
in the
 
fourth quarter
 
of 2024.
 
The movement
 
in the
 
NSFR
was driven by
 
a decrease of
 
USD 3.5bn in available
 
stable funding,
 
mainly reflecting decreases
 
in capital and
 
long-term
funding. This
 
was partly
 
offset by
 
a decrease
 
of USD 2.5bn
 
in required
 
stable funding,
 
mainly driven
 
by a
 
decrease
 
in
derivative exposures, trading inventory and unsecured
 
lending.
 
KM1: Key metrics
1
USD m, except where indicated
31.3.25
31.12.24
30.9.24
30.6.24
31.3.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
 
6,816
 
6,883
 
12,945
 
12,814
 
12,896
2
Tier 1
 
6,816
 
6,883
 
14,145
 
14,014
 
14,096
3
Total capital
 
6,816
 
6,883
 
14,145
 
14,014
 
14,096
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
 
9,332
 
10,951
 
16,983
 
19,699
 
28,068
4b
Minimum capital requirement
2
 
747
 
876
 
1,359
 
1,576
 
2,245
Risk-based capital ratios as a percentage of RWA
5
CET1 ratio (%)
 
73.04
 
62.86
 
76.22
 
65.05
 
45.95
6
Tier 1 ratio (%)
 
73.04
 
62.86
 
83.29
 
71.14
 
50.22
7
Total capital ratio (%)
 
73.04
 
62.86
 
83.29
 
71.14
 
50.22
Additional CET1 buffer requirements as a percentage of RWA
8
BCBS capital conservation buffer requirement (%)
 
2.50
 
2.50
 
2.50
 
2.50
 
2.50
9
Countercyclical buffer requirement (%)
 
0.93
 
0.76
 
0.73
 
0.58
 
0.61
10
Bank G-SIB and / or D-SIB additional requirements (%)
11
BCBS total of bank CET1 specific buffer requirements (%)
 
3.43
 
3.26
 
3.23
 
3.08
 
3.11
12
CET1 available after meeting the bank’s minimum capital requirements (%)
3
 
65.04
 
54.86
 
71.72
 
60.55
 
41.45
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
 
23,341
 
32,521
 
55,245
 
58,250
 
67,069
14
Basel III leverage ratio (%)
4
 
29.20
 
21.16
 
25.60
 
24.06
 
21.02
Liquidity coverage ratio (LCR)
5
15
Total high-quality liquid assets (HQLA)
 
 
14,008
 
15,031
 
14,984
 
14,578
 
14,589
16
Total net cash outflow
 
4,070
 
4,253
 
4,206
 
4,423
 
4,485
17
LCR (%)
 
361.77
 
363.29
 
367.15
 
345.26
 
340.28
Net stable funding ratio (NSFR)
18
Total available stable funding
 
13,990
 
17,503
 
21,600
 
23,409
 
26,680
19
Total required stable funding
 
6,145
 
8,693
 
12,935
 
16,461
 
20,010
20
NSFR (%)
 
241.78
 
214.78
 
182.88
 
150.84
 
136.72
1 As the final Basel
 
III standards have not
 
been implemented in the
 
UK, rows that are not
 
applicable have been removed
 
from the FINMA template.
 
2 Calculated as 8%
 
of total RWA, based
 
on total minimum
capital requirements, excluding CET1
 
buffer requirements.
 
3 Represents the CET1 ratio
 
that is available to meet buffer
 
requirements. Calculated as the
 
CET1 ratio minus the BCBS CET1
 
capital requirement and,
where applicable, minus the BCBS additional tier 1 and tier 2 capital requirements met with CET1 capital.
 
4 On the basis of tier 1 capital.
 
5 Based on Pillar 1 requirements; calculated using a 12-month average.
 
 
 
31 March 2025 Pillar 3 Report |
Appendix
 
30
Appendix
Abbreviations frequently used in our financial reports
A
ABS
 
asset-backed securities
AG
 
Aktiengesellschaft
AGM
 
Annual General Meeting of
shareholders
AI
 
artificial intelligence
A-IRB
 
advanced internal ratings-
based
ALCO
 
Asset and Liability
Committee
AMA
 
advanced measurement
approach
AML
 
anti-money laundering
AoA
 
Articles of Association
APM
 
alternative performance
measure
ARR
 
alternative reference rate
ARS
 
auction rate securities
ASF
 
available stable funding
AT1
 
additional tier 1
AuM
 
assets under management
B
BCBS
 
Basel Committee on
Banking Supervision
BIS
 
Bank for International
Settlements
BoD
 
Board of Directors
C
CAO
 
Capital Adequacy
Ordinance
CCAR
 
Comprehensive Capital
Analysis and Review
CCF
 
credit conversion factor
CCP
 
central counterparty
CCR
 
counterparty credit risk
CCRC
 
Corporate Culture and
Responsibility Committee
CDS
 
credit default swap
CEO
 
Chief Executive Officer
CET1
 
common equity tier 1
CFO
 
Chief Financial Officer
CGU
 
cash-generating unit
CHF
 
Swiss franc
CIO
 
Chief Investment Office
C&ORC
 
Compliance & Operational
Risk Control
CRM
 
credit risk mitigation
CRO
 
Chief Risk Officer
CST
 
combined stress test
CUSIP
 
Committee on Uniform
Security Identification
Procedures
CVA
 
credit valuation adjustment
D
DBO
 
defined benefit obligation
DCCP
 
Deferred Contingent
Capital Plan
 
DFAST
 
Dodd–Frank Act Stress Test
DM
 
discount margin
DOJ
 
US Department of Justice
DTA
 
deferred tax asset
DVA
 
debit valuation adjustment
E
EAD
 
exposure at default
EB
 
Executive Board
EC
 
European Commission
ECB
 
European Central Bank
ECL
 
expected credit loss
EGM
 
Extraordinary General
Meeting of shareholders
EIR
 
effective interest rate
EL
 
expected loss
EMEA
 
Europe, Middle East and
Africa
EOP
 
Equity Ownership Plan
EPS
 
earnings per share
ESG
 
environmental, social and
governance
ETD
 
exchange-traded derivatives
ETF
 
exchange-traded fund
EU
 
European Union
EUR
 
euro
EURIBOR
 
Euro Interbank Offered Rate
EVE
 
economic value of equity
EY
 
Ernst & Young Ltd
F
FCA
 
UK Financial Conduct
Authority
FDIC
 
Federal Deposit Insurance
Corporation
FINMA
 
Swiss Financial Market
Supervisory Authority
FMIA
 
Swiss Financial Market
Infrastructure Act
FRTB
 
Fundamental Review of the
Trading Book
FSB
 
Financial Stability Board
FTA
 
Swiss Federal Tax
Administration
FVA
 
funding valuation
adjustment
FVOCI
 
fair value through other
comprehensive income
FVTPL
 
fair value through profit or
loss
FX
 
foreign exchange
G
GAAP
 
generally accepted
accounting principles
GBP
 
pound sterling
GCRG
 
Group Compliance,
Regulatory and Governance
GDP
 
gross domestic product
GEB
 
Group Executive Board
GHG
 
greenhouse gas
GIA
 
Group Internal Audit
GRI
 
Global Reporting Initiative
G-SIB
 
global systemically
important bank
H
HQLA
high-quality liquid assets
I
IA
 
Internal Audit
IAS
 
International Accounting
Standards
IASB
 
International Accounting
Standards Board
IBOR
 
interbank offered rate
IFRIC
 
International Financial
Reporting Interpretations
Committee
IFRS
 
accounting standards
Accounting
 
issued by the IASB
Standards
IRB
 
internal ratings-based
IRRBB
 
interest rate risk in the
banking book
ISDA
 
International Swaps and
Derivatives Association
ISIN
 
International Securities
Identification Number
 
 
 
31 March 2025 Pillar 3 Report |
Appendix
 
31
Abbreviations frequently used in our financial reports (continued)
K
KRT
 
Key Risk Taker
L
LAS
 
liquidity-adjusted stress
LCR
 
liquidity coverage ratio
LGD
 
loss given default
LIBOR
 
London Interbank Offered
Rate
LLC
 
limited liability company
LoD
 
lines of defense
LRD
 
leverage ratio denominator
LTIP
 
Long-Term
 
Incentive Plan
LTV
 
loan-to-value
M
M&A
 
mergers and acquisitions
MRT
 
Material Risk Taker
N
NII
 
net interest income
NSFR
 
net stable funding ratio
NYSE
 
New York Stock Exchange
O
OCA
 
own credit adjustment
OCI
 
other comprehensive
income
OECD
 
Organisation for Economic
Co-operation and
Development
OTC
 
over-the-counter
P
PCI
 
purchased credit impaired
PD
 
probability of default
PIT
 
point in time
PPA
 
purchase price allocation
Q
QCCP
 
qualifying central
counterparty
R
RBC
 
risk-based capital
RbM
 
risk-based monitoring
REIT
 
real estate investment trust
RMBS
 
residential mortgage-
backed securities
RniV
 
risks not in VaR
RoCET1
 
return on CET1 capital
RoU
 
right-of-use
rTSR
 
relative total shareholder
return
RWA
 
risk-weighted assets
S
SA
 
standardized approach or
société anonyme
SA-CCR
 
standardized approach for
counterparty credit risk
SAR
 
Special Administrative
Region of the People’s
Republic of China
SDG
 
Sustainable Development
Goal
SEC
 
US Securities and Exchange
Commission
SFT
 
securities financing
transaction
SIBOR
 
Singapore Interbank
Offered Rate
SICR
 
significant increase in credit
risk
SIX
 
SIX Swiss Exchange
SME
 
small and medium-sized
entities
SMF
 
Senior Management
Function
SNB
 
Swiss National Bank
SOR
 
Singapore Swap Offer Rate
SPPI
 
solely payments of principal
and interest
SRB
 
systemically relevant bank
SVaR
 
stressed value-at-risk
T
TBTF
 
too big to fail
TCFD
 
Task
 
Force on Climate-
related Financial Disclosures
TIBOR
 
Tokyo
 
Interbank Offered
Rate
TLAC
 
total loss-absorbing capacity
TTC
 
through the cycle
U
USD
 
US dollar
V
VaR
 
value-at-risk
VAT
value added tax
This is a general list of the abbreviations frequently used in our financial reporting. Not all of
 
the listed abbreviations may
appear in this particular report.
 
 
 
31 March 2025 Pillar 3 Report |
Appendix
 
32
Cautionary statement
 
|
 
This report
 
and the
 
information contained
 
herein are
 
provided solely
 
for information
 
purposes, and
 
are not to
 
be construed
 
as solicitation
of an offer to buy or sell any securities or other financial instruments in Switzerland, the United States or any other jurisdiction. No investment decision relating
to securities of or relating to UBS Group AG, UBS AG or their affiliates should be made on the basis of this report. Refer to UBS’s most recent annual report on
Form 20-
F,
quarterly reports and other information
 
furnished to or filed with
 
the US Securities and Exchange
 
Commission (the SEC) on Form
 
6-K, available at
ubs.com/investors
, for additional information.
Rounding |
 
Numbers presented throughout this report may not add up
 
precisely to the totals provided in the tables and text.
 
Percentages and percent changes
disclosed in text and tables are
 
calculated on the basis of unrounded
 
figures. Absolute changes between reporting periods disclosed in
 
the text, which can be
derived from numbers presented in related tables, are calculated on
 
a rounded basis.
 
Tables |
 
Within tables, blank fields generally indicate non-applicability or that presentation of any content would not be meaningful, or that information is not
available as of the relevant date or for the relevant period. Zero values generally indicate that the respective figure is zero on an actual or rounded basis.
 
Values
that are zero on a rounded basis can be either negative
 
or positive on an actual basis.
Websites |
 
In this report,
 
any website
 
addresses are provided
 
solely for information
 
and are not
 
intended to
 
be active links.
 
UBS does not
 
incorporate
 
the contents
of any such websites into this report.
edgarq25ubsgrouppillap37i0
 
UBS Group AG
PO Box
CH-8098 Zurich
ubs.com
 
 
 
 
 
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
 
registrants have duly caused this
report to be signed on their behalf by the undersigned, thereunto duly
 
authorized.
UBS Group AG
By: _/s/ David Kelly _____________
Name:
 
David Kelly
Title:
 
Managing Director
 
By: _/s/ Ella Copetti-Campi ______________
Name:
 
Ella Copetti-Campi
Title:
 
Executive Director
UBS AG
By: _/s/ David Kelly _____________
Name:
 
David Kelly
Title:
 
Managing Director
 
By: _/s/ Ella Copetti-Campi ______________
Name:
 
Ella Copetti-Campi
Title:
 
Executive Director
Date:
 
May 8, 2025