6-K
UBS AG (AMUB)
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: November 4, 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
30 September
2025 Pillar
3 Report
of UBS
Group and
significant regulated
subsidiaries
and sub-groups, which appears immediately following this page.
Pillar 3 Report
30 September 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 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
2
Section 1
Introduction and basis for preparation
4
Section 2
Key metrics
6
Section 3
Risk-weighted assets
12
Section 4
Going and gone concern requirements
and eligible capital
13
Section 5
Leverage ratio
15
Section 6
Liquidity and funding
Significant regulated subsidiaries and sub-groups
17
Section 1
Introduction
17
Section 2
UBS AG consolidated
20
Section 3
UBS AG standalone
23
Section 4
UBS Switzerland AG standalone
27
Section 5
UBS Europe SE consolidated
28
Section 6
UBS Americas Holding LLC consolidated
30
Section 7
Credit Suisse International standalone
Appendix
31
Abbreviations frequently used in our financial reports
33
Cautionary statement
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.
30 September 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
in
accordance
with
the
Swiss
Financial
Market
Supervisory
Authority
(FINMA)
Ordinance on the Disclosure Obligations
of Banks and Securities Firms (the DisO-FINMA), the corresponding
explanatory
notes, and the underlying BCBS Basel framework
disclosure requirements.
The revised Capital Adequacy Ordinance
(the
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 revised 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.
›
Refer to “Changes to Pillar 3 disclosure requirements” in the
“Introduction and basis for preparation” section of the 31
March
2025 Pillar 3 Report, available under “Pillar 3 disclosures”
at
ubs.com/investors
, for more information about new and revised
quarterly tables as a result of the implementation
of the final Basel III standards in Switzerland
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
.
Significant regulatory developments, disclosure requirements
and other changes
Developments in Switzerland aimed at strengthening financial
stability
In September
2025, the
Swiss Federal
Council launched
a public
consultation
on proposed
legislative amendments
to
capital requirements
related to foreign
subsidiaries. The proposed
changes would require
the deduction of
investments
in foreign subsidiaries
of systemically important banks
(SIBs) from common
equity tier 1 (CET1) capital.
After the end of
the
public
consultation
in
January
2026,
the
Swiss
Federal
Council
is
expected
to
submit
its
proposal
to
the
Swiss
Parliament in the first
half of 2026.
Subject to the
Parliament’s final decision,
the proposal states
that the amendments
would enter into force in
2028,
at the earliest, starting with
a 65% deduction requirement in the
first year and increasing
to 100% by 5-percentage-point increments each year over seven years. The phase-in is subject to adjustment should the
legislation be delayed.
A public
consultation on other
proposed measures
at the
ordinance level
ended in
September 2025. The
proposals include
provisions to deduct capitalized software and deferred tax
assets (DTAs) on temporary differences from CET1
capital, add
stricter requirements
for prudent
valuation adjustments
(PVAs) of
assets and
liabilities, and
mandate the
suspension of
interest
payments
for
additional
tier 1
capital
instruments
in
the
event
of
a
cumulative
loss
over
four
quarters.
The
proposals also introduce measures that aim to enable
FINMA and other authorities to better assess the situation
of banks
in a liquidity crisis. The entry into force of the above is expected
in January 2027, at the earliest.
A public
consultation
by the
Swiss Federal
Council
is expected
to be
launched
in the
first half
of 2026
on additional
legislative measures,
including incremental
requirements for
the recovery
and resolution
plans of
SIBs, measures
aimed
at
increasing
the
potential
for
obtaining
liquidity
via
the
Swiss
National
Bank,
the
introduction
of
an
enhanced
accountability framework in the form of a
Senior Managers Regime for banks, and the
provision of additional powers for
FINMA. We expect the Swiss Federal Council’s submission of these legislative measures
to the Parliament in the first half
of 2027, with the entry into force expected in 2028 or 2029.
In addition, a public
consultation on amendments
to the Liquidity Ordinance
is expected to be
launched in the first half
of 2026.
The proposals
are expected
to set
minimum requirements
for maintaining
borrowing capacity
for emergency
liquidity assistance.
30 September 2025 Pillar 3 Report |
UBS Group | Introduction and basis for preparation
3
Based on
financial information
published for
the first
quarter of
2025 and
given UBS AG’s
target CET1
capital ratio
of
between 12.5%
and 13%,
UBS AG would
be required
to hold additional
estimated CET1
capital of
around USD 24bn
on a pro-forma basis if all capital
measures were to
be implemented as proposed. This would
include around USD 23bn
related to the full deduction of UBS AG’s investments in foreign subsidiaries,
of which approximately USD 7bn would be
required
at the
start of
the proposed
phase-in period.
These pro
-forma figures
reflect
previously announced
expected
capital repatriations of around USD 5bn
to UBS AG from its subsidiaries.
The incremental
CET1 capital
of around
USD 24bn
required
for
UBS AG,
given
our aim
to maintain
an equity
double
leverage ratio
of around 100%
at UBS Group AG,
would result in
a CET1 capital
ratio at the
UBS Group AG (consolidated)
level
of
around
19%.
At
Group
level,
the
proposed
measures
related
to
DTAs
on
temporary
differences,
capitalized
software and
PVAs
would eliminate
capital recognition
for these
items,
thereby reducing
the CET1 capital
ratio for the
Group from around 19% to
around 17%, underrepresenting UBS’s capital
strength compared with peers.
The additional capital of USD 24bn would be in addition to the incremental
capital that UBS will have to hold as a result
of
the
acquisition
of
the
Credit
Suisse
Group
in
order
to
meet
existing
regulations.
This
includes
around
USD 9bn
to
remove
the
regulatory
concessions
granted
to
Credit Suisse
and
around
USD 6bn
to
meet
the
current
progressive
requirements due to the increased leverage ratio denominator
(LRD) and higher market share of the combined business.
The estimated effect
for the progressive
requirements for
LRD and market share
decreased to USD 6bn, from
USD 9bn,
following
FINMA’s
confirmation
about
the
requirements
that
will apply
to
UBS.
The
phase-in of
the
increased
capital
requirements
relating
to
the
increased
LRD
and
higher
market
share
will
commence
on
1 January
2026
and
will
be
completed by the beginning of 2030, at the latest.
On this basis, UBS would be required to hold around USD 39bn
in additional CET1 capital in total.
FINMA resolution report on UBS
In September 2025, FINMA published
its 2025 resolution report on UBS
related to the 2024 fiscal
year. FINMA concluded
that UBS
remains
resolvable
under UBS’s
existing
preferred
resolution
strategy,
which includes
a recapitalization
via a
bail-in at
the Gro
up holding
company level.
The Swiss
emergency
plan of
UBS is
designed to
ensure the
continuity of
systemically important
functions and critical
operations in
Switzerland in the
case of a
failed attempt to
restructure the
UBS Group.
According
to FINMA,
this plan
was largely
compliant with
the current
regulatory
requirements.
However,
given the
lessons learned
from the
Credit Suisse
crisis, FINMA
has determined
that the
Swiss emergency
plan requires
further
development
to
meet
the
objective
of
maintaining
systemically
important
functions
while
also
safeguarding
financial stability at
the international level.
Moreover,
FINMA assessed that
UBS’s Swiss
emergency plan
requires better
integration
into
UBS’s
global
resolution
plan.
Due
to
the
ongoing
integration
of
Credit
Suisse
into
UBS,
FINMA
has
refrained from assessing UBS’s
recovery plan, which outlines
measures that aim to
restore financial strength if UBS
should
come under severe capital or liquidity stress.
›
Refer to “Recovery and resolution” in the “Regulation
and supervision” section of the UBS Group Annual
Report 2024, available
under “Annual reporting” at
ubs.com/investors
, for more information
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
30 June 2025 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 30 June 2025 Pillar 3 Report,
available under “Pillar 3 disclosures” at
ubs.com/investors
, for more information about
previously published quarterly movement commentary
30 September 2025 Pillar 3 Report |
UBS Group | Key metrics
4
Key metrics
Key metrics for the third 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,
primarily reflecting an increase in our tier 1 capital.
Our leverage ratio increased, driven by an
increase in our tier 1 capital and a decrease in the leverage
ratio denominator (the LRD).
Our common equity
tier 1 (CET1)
capital increased by USD 1.9bn
to USD 74.7bn, mainly driven
by operating profit
before
tax of USD 2.8bn and an
increase in eligible deferred
tax assets on temporary
differences of USD 0.2bn, partly
offset by
dividend accruals
of USD 0.8bn
and current
tax expenses
of USD 0.3bn.
Share repurchases
of USD 1.1bn
made under
our 2025 share
repurchase program
in the
third quarter
of 2025 did
not materially
affect our
CET1 capital
position, as
there was an almost identical reduction in the capital reserve
for expected future share repurchases.
Our tier
1 capital
increased
by USD
3.2bn to
USD 95.0bn,
reflecting
the
aforementioned
USD 1.9bn
increase
in
CET1
capital and a USD 1.3bn increase in additional tier 1 (AT1) capital.
The increase in AT1 capital was driven by the issuance
of new AT1
capital instruments
equivalent to USD 2.8bn, partly
offset by the
call of one
AT1 capital instrument
equivalent
to USD 1.6bn.
The TLAC available as
of 30 September 2025
included CET1 capital,
AT1 capital and non-regulatory
capital elements of
TLAC.
Our available TLAC increased by USD 8.2bn to USD 199.3bn, reflecting the aforementioned increase in tier 1 capital and
a
USD 4.9bn
increase
in
non-regulatory
capital
elements
of
TLAC.
The
increase
in
non-regulatory
capital
elements
of
TLAC
was
mainly
driven
by
new
issuances
totaling
USD 7.9bn
equivalent
of
TLAC-eligible
senior
unsecured
debt
instruments
and
positive
impacts
from
interest
rate
risk
hedge,
foreign
currency
translation
and
other
effects.
These
effects
were
partly
offset
by
the
call
of
one
TLAC-eligible
senior
unsecured
debt
instrument
for
the
equivalent
of
USD 1.5bn,
as
well
as
USD 1.7bn
related
to
the
last
tier 2
instrument
and
one
TLAC-eligible
senior
unsecured
debt
instrument ceasing to be eligible as non-regulatory capital elements of TLAC, as those instruments entered the final year
before maturity.
During the third quarter of 2025, risk-weighted assets (RWA)
increased by USD 0.4bn to USD 504.9bn, mainly driven by
increases of USD 3.6bn from counterparty credit risk RWA and
USD 1.2bn from credit valuation adjustment RWA, partly
offset by
decreases of
USD 2.3bn from
market risk
RWA, USD 0.9bn
from RWA
on securitization
exposures in
banking
book and USD 0.7bn from credit risk RWA. The remaining
variance was spread across other risk types.
The LRD decreased by USD 17.6bn
to USD 1,640.5bn, mainly due to asset
size and other movements of
USD 12.4bn and
currency effects of USD 5.2bn.
The
quarterly
average
liquidity
coverage
ratio
of
the
UBS
Group
remained
broadly
unchanged
at
182.1%,
remaining
above
the
prudential
requirement
communicated
by
FINMA.
Average
high-quality
liquid
assets
(HQLA)
decreased
by
USD 12.2bn to
USD 346.6bn, mainly
reflecting lower
cash due to
higher lending
assets,
partly due
to currency
effects,
and funding for trading assets.
The decreases were partly offset by higher
cash due to an increase in customer deposits,
largely due to currency effects, and higher
proceeds from securities financing transactions.
The effect from the decrease
in HQLA was offset
by a USD 6.5bn decrease in
average net cash outflows
to USD 190.4bn, reflecting lower net outflows
from
derivatives
and
higher
net
inflows
from
securities
financing
transactions,
partly
offset
by
higher
outflows
from
customer deposits.
As of 30 September
2025, the net
stable funding ratio
of the UBS
Group decreased
2.8 percentage points
to 119.7%,
remaining above the prudential requirement communicated by FINMA. Available
stable funding decreased by USD 5.9bn
to USD 898.8bn,
mainly driven
by decreases
in customer
deposits and
debt issued
measured at
amortized cost,
partly
offset by higher
regulatory capital. Required stable
funding increased by
USD 12.1bn to USD 751.0bn, primarily
reflecting
an increase in trading assets.
30 September 2025 Pillar 3 Report |
UBS Group | Key metrics
5
KM1: Key metrics
USD m, except where indicated
30.9.25
30.6.25
31.3.25
31.12.24
30.9.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
74,655
72,709
69,152
71,367
74,213
2
Tier 1
94,950
91,721
87,837
87,739
91,024
3
Total capital
94,950
91,721
87,837
87,739
91,025
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
504,897
504,500
483,276
498,538
519,363
4a
Total risk-weighted assets (pre-floor)
504,897
504,500
483,276
4b
Minimum capital requirement
1
40,392
40,360
38,662
39,883
41,549
Risk-based capital ratios as a percentage of RWA
5
Common equity tier 1 ratio (%)
14.79
14.41
14.31
14.32
14.29
5b
Common equity tier 1 ratio (%) (pre-floor)
14.79
14.41
14.31
6
Tier 1 ratio (%)
18.81
18.18
18.18
17.60
17.53
6b
Tier 1 ratio (%) (pre-floor)
18.81
18.18
18.18
7
Total capital ratio (%)
18.81
18.18
18.18
17.60
17.53
7b
Total capital ratio (%) (pre-floor)
18.81
18.18
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 (%)
0.12
0.13
0.13
0.16
0.17
9a
Additional countercyclical buffer for Swiss mortgage loans
(%)
0.32
0.33
0.31
0.37
0.38
10
Bank G-SIB and / or D-SIB additional requirements (%)
1.50
1.50
1.50
1.00
1.00
11
Total of bank CET1 specific buffer requirements (%)
2
4.12
4.13
4.13
3.66
3.67
12
CET1 available after meeting the bank’s minimum capital requirements (%)
3
10.29
9.91
9.81
9.60
9.53
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
1,640,464
1,658,089
1,561,583
1,519,477
1,608,341
14
Basel III leverage ratio (%) (including the impact of any applicable
temporary
exemption of central bank reserves)
4
5.79
5.53
5.62
5.77
5.66
14b
Basel III leverage ratio (%) (excluding the impact of any applicable temporary
exemption of central bank reserves)
5.79
5.53
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
4
5.77
5.54
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
5.77
5.54
5.60
14e
Minimum capital requirements
5
49,214
49,743
46,848
Liquidity coverage ratio (LCR)
6
15
Total high-quality liquid assets (HQLA)
346,550
358,759
318,735
331,481
360,628
16
Total net cash outflow
190,359
196,846
176,190
176,008
181,051
16a
of which: cash outflows
388,343
385,105
362,013
347,761
342,952
16b
of which: cash inflows
197,984
188,259
185,823
171,753
161,901
17
LCR (%)
182.12
182.31
180.96
188.37
199.25
Net stable funding ratio (NSFR)
18
Total available stable funding
898,762
904,703
861,717
856,804
904,295
19
Total required stable funding
750,960
738,891
693,777
682,508
712,773
20
NSFR (%)
119.68
122.44
124.21
125.54
126.87
1 Calculated as 8% of total RWA,
based on total capital minimum requirements,
excluding CET1 buffer requirements.
2 Excludes non-BCBS capital buffer
requirements for risk-weighted positions that are
directly
or indirectly backed by residential
properties
in Switzerland.
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 tier
2 capital requirement met with CET1 capital.
4 There is currently no
temporary exemption of central bank
reserves for UBS.
5 The higher of capital
requirements based on
8% of RWA or 3% of LRD.
6 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 65
data points
in the
third quarter
of 2025
and 61
data points
in the
second quarter
of 2025.
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
30.9.25
30.6.25
31.3.25
31.12.24
30.9.24
1
Total loss-absorbing capacity (TLAC) available
199,329
191,171
187,168
185,395
194,907
2
Total RWA at the level of the resolution group
504,897
504,500
483,276
498,538
519,363
3
TLAC as a percentage of RWA (%)
39.48
37.89
38.73
37.19
37.53
4
Leverage ratio exposure measure at the level of the resolution group
1,640,464
1,658,089
1,561,583
1,519,477
1,608,341
5
TLAC as a percentage of leverage ratio exposure measure (%)
12.15
11.53
11.99
12.20
12.12
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.
30 September 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 third
quarter of 2025,
RWA increased by USD 0.4bn
to USD 504.9bn, mainly driven
by increases of
USD 3.6bn
from counterparty
credit risk
(CCR) RWA
and USD 1.2bn
from credit valuation
adjustment (CVA)
RWA, partly
offset by
decreases of USD 2.3bn
from market risk
RWA, USD 0.9bn from
RWA on securitization
exposures in banking
book and
USD 0.7bn from credit risk RWA. The remaining variance
was spread across other risk types.
CCR RWA increased by USD 3.6bn, mainly
driven by increases of USD 3.8bn related
to asset size and other movements.
The movements
in RWA
attributable to
currency effects,
as well as
to model
updates and
methodology changes,
were
broadly neutral. The increase in asset size and other movements largely reflects higher trading
volumes in derivatives and
securities financing transactions,
primarily in the Investment Bank.
CVA RWA increased by USD 1.2bn, primarily due to higher trading volumes in
derivatives in the Investment Bank, as well
as derivatives market movements in Personal & Corporate
Banking.
Market risk RWA decreased by USD 2.3bn, due
to asset size and other movements
in the Investment Bank and de-risking
within Non-core and Legacy.
RWA
on
securitization
exposures
in
banking
book
decreased
by
USD 0.9bn,
primarily
driven
by
asset
size
and
other
movements in Personal & Corporate Banking.
Credit
risk
RWA
decreased
by
USD 0.7bn,
mainly
driven
by
decreases
of
USD 1.4bn
related
to
model
updates
and
methodology changes
and USD 0.8bn
from currency
effects,
partly offset
by an increase
of USD 1.5bn
related to
asset
size and other movements.
Model updates and methodology changes
resulted in an RWA
decrease of USD 1.4bn, mainly
due to an RWA decrease
of USD 1.5bn related to
improvements in the model
for concentrated equity lending
in Global
Wealth Management,
and an
RWA decrease
of USD 1.0bn
from an update
in loss giv
en default (LGD
)
models for
cash
and balances
at
central
banks, which
was
partly
offset
by an
RWA increase
of USD
1.1bn following
the
migration
of
exposures from Credit Suisse models.
Asset size and other movements
increased by USD 1.5bn, mainly driven
by higher
RWA from loans and loan commitments in the Investment
Bank and Personal & Corporate Banking.
The flow tables for credit risk, CCR and CVA RWA below provide further details regarding the movements in RWA in the
third 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 third 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 third quarter of 2025
30 September 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
7
OV1: Overview of RWA
Minimum
capital
requirements
1
USD m, except where indicated
30.9.25
30.6.25
30.9.25
1
Credit risk (excluding counterparty credit risk)
257,432
258,111
20,595
2
of which: standardized approach (SA)
61,791
61,170
4,943
2a
of which: non-counterparty-related risk
2
16,178
16,553
1,294
3
of which: foundation internal ratings-based (F-IRB) approach
3
41,364
38,599
3,309
4
of which: supervisory slotting approach
1,533
1,638
123
5
of which: advanced internal ratings-based (A-IRB) approach
152,743
156,704
12,219
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
35,497
31,903
2,840
7
of which: SA for counterparty credit risk (SA-CCR)
7,586
7,708
607
8
of which: internal model method (IMM)
14,941
13,197
1,195
8a
of which: value-at-risk (VaR)
8,253
6,544
660
9
of which: other CCR
4,717
4,454
377
10
Credit valuation adjustment (CVA)
11,140
9,904
891
10a
of which: full basic approach (BA-CVA)
3
5,798
5,566
464
10b
of which: standardized approach (SA-CVA)
3
5,342
4,338
427
11
Equity positions under the simple risk weight approach during the five-year
transitional period
6
12
Equity investments in funds – look-through approach
1,885
2,023
151
13
Equity investments in funds – mandate-based approach
1,011
1,070
81
14
Equity investments in funds – fallback approach
520
610
42
15
Settlement risk
202
243
16
16
Securitization exposures in banking book
5,678
6,529
454
17
of which: securitization internal ratings-based approach (SEC-IRBA)
2,191
3,022
175
18
of which: securitization external ratings-based approach (SEC-ERBA),
including internal assessment approach (IAA)
812
801
65
19
of which: securitization standardized approach (SEC-SA)
2,675
2,706
214
20
Market risk
28,208
30,469
2,257
21
of which: standardized approach (SA)
28,208
30,469
2,257
22
of which: internal models approach (IMA)
23
Capital charge for switch between trading book and banking book
24
Operational risk
136,394
136,394
10,912
25
Amounts below thresholds for deduction (250% risk weight)
7
26,930
27,243
2,154
25a
of which: deferred tax assets
18,932
18,436
1,515
26
Output floor applied (%)
3,8
60
60
27
Floor adjustment (before application of transitional cap)
3,9
28
Floor adjustment (after application of transitional cap)
10
29
Total
504,897
504,500
40,392
1 Calculated based on 8%
of RWA.
2 Non-counterparty-related risk includes
property, equipment, software
and other items.
3 Disclosure is based on
the final Basel III standards
implemented with effect as of
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
five-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 (banking, insurance and 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 The total of our actual Basel III finalized RWA is higher than 60% of our
Basel III finalized RWA calculated using the full standardized approach. 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 modelled and standardized RWA at risk level
The
CMS1
table
compares
RWA
determined
using
models
approved
by
FINMA
with
RWA
determined
under
the
full
standardized approach. 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
modelled 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 set at 60% during 2025, will incrementally increase
to a level of 72.5% by
- As of 30 September
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.
30 September 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 permitted in the regulatory framework.
Modelled approach produces RWA that is more risk
sensitive.
Granular risk-sensitive risk weights differentiation
via individual probability of default (PD) and LGD
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 around 20% under the advanced internal
ratings-based (A-IRB) approach.
Modelled LGD captures transaction quality
features including collateralization. Under the
foundation internal ratings-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 (except
where a claim is subordinated).
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 is higher than
modelled 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)
permits the 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.
Modelled 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.
The standardized approach for CCR (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 modelled 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 modelled 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 CVA risk capital requirement
using both the standardized approach (SA-CVA)
and the full 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 are 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 hierarchy 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 (SEC-SA).
Otherwise, a 1,250% risk weight is applied as a
fallback.
30 September 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 Fundamental Review of the Trading Book (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
30 September 2025,
the output
floor is
set at
USD 446.7bn, representing
60% of
RWA calculated
using the
full
standardized approach. This floor remains USD 58.2bn below
the actual RWA of USD 504.9bn.
During the third
quarter of 2025,
the difference between RWA
calculated using the
full standardized approach
and actual
RWA decreased by
USD 6.6bn, to USD 239.6bn
from USD 246.2bn. This
decrease was primarily
driven by
RWA mitigation
actions undertaken during
the quarter,
as well as asset
size and other
movements. UBS is
making progress with
further
measures to minimize the impact as the output floor
increases to 72.5% of standardized RWA by 2028.
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
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
around
20%
under
the
A-IRB
approach
compared
with
an
average
risk
weight
of
around
35%
under
the
standardized
approach.
For
Lombard
lending
the
average
risk weight
using internal
models
is around
9%.
The
risk weight
under
the
standardized
approach
is around
100%
for
these
exposures,
primarily
due
to
the
differences
in
the
treatment
of
collateral.
Furthermore,
corporate
exposures have higher
risk weights
under the standardized
approach, with
an average
of 82%,
compared with
an average
of 51% 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
internal ratings-based
(IRB) risk
weights mainly
in the
Corporates 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.
30 September 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
10
CMS1: Comparison of modelled and standardized RWA at risk level
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)
30.9.25
1
Credit risk (excluding counterparty credit risk)
195,641
61,791
257,432
379,571
227,743
2
Counterparty credit risk
28,705
6,792
35,497
143,077
85,846
3
Credit valuation adjustment (CVA)
11,140
11,140
17,252
10,351
4
Securitization exposures in banking book
2,191
3,487
5,678
8,944
5,366
5
Market risk
28,208
28,208
28,060
16,836
6
Operational risk
136,394
136,394
136,394
81,836
7
Residual RWA
1
1,971
28,577
30,548
31,169
18,701
8
Total
228,508
276,389
504,897
744,466
446,680
2
30.6.25
1
Credit risk (excluding counterparty credit risk)
196,941
61,170
258,111
383,454
230,072
2
Counterparty credit risk
25,025
6,878
31,903
138,977
83,386
3
Credit valuation adjustment (CVA)
9,904
9,904
16,284
9,770
4
Securitization exposures in banking book
3,022
3,507
6,529
13,325
7,995
5
Market risk
30,469
30,469
30,353
18,212
6
Operational risk
136,394
136,394
136,394
81,836
7
Residual RWA
1
2,096
29,093
31,189
31,931
19,159
8
Total
227,085
277,415
504,500
750,719
450,431
2
1 Includes settlement risk, equity investments in funds and deferred tax assets arising from 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
third
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 1.3bn to USD 195.6bn during the third 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
drove
a
USD 0.9bn
decrease
in
RWA,
mainly
driven
by
decreases
in
liquid
assets
and
loan
commitments in Global Wealth Management.
Movements in asset quality
increased RWA by USD
3.2bn, mainly due to
changes in the portfolio
mix in the Investment
Bank and Personal & Corporate Banking.
Model updates decreased RWA by USD 2.6bn,
related to improvements in the model
for concentrated equity lending in
Global Wealth Management and an update in LGD models for
cash and balances at central banks.
Methodology
and
policy
changes
resulted
in
an
RWA
decrease
of
USD 0.7bn
under
the
IRB
approach,
following
the
migration of exposures from Credit Suisse models
to the standardized approach. This methodology
change resulted in a
net increase of USD 1.1bn in Group RWA.
Currency effects, driven
by the
strengthening of the
US dollar
against other major
currencies, resulted in
an RWA decrease
of USD 0.6bn.
›
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
30 September 2025 Pillar 3 Report |
UBS Group | Risk-weighted assets
11
CR8: RWA flow statements of credit risk exposures under IRB
USD m
For the quarter
ended 30.9.25
1
RWA as of the beginning of the quarter
196,941
2
Asset size
(881)
3
Asset quality
3,225
4
Model updates
(2,553)
5
Methodology and policy
(721)
5a
of which: impact from the implementation of final Basel
III standards
5b
of which: others
(721)
6
Acquisitions and disposals
7
Foreign exchange movements
(606)
8
Other
236
9
RWA as of the end of the quarter
195,641
RWA flow statements of counterparty credit risk exposures
under the internal model method and VaR
The CCR7
table below
presents
a flow
statement explaining
movements in
CCR RWA
determined under
the IMM
for
derivatives and the VaR approach
for SFTs
across movement categories defined by the
BCBS.
CCR RWA on derivatives under the IMM increased by USD 1.7bn to
USD 14.9bn during the third quarter of 2025. Asset
size movements contributed to an RWA increase of USD 0.6bn, primarily
reflecting higher trading volumes in derivatives
in the Investment Bank.
Credit quality movements
contributed to a USD
1.0bn increase in RWA,
mainly due to changes
in the portfolio mix in the Investment Bank. Methodology changes led to a USD 0.3bn increase in
RWA, mainly driven by
the increased use
of the IMM
replacing the standardized
approach for derivative
exposures. This shift
in approach resulted
in a USD 0.1bn decrease in the Group’s RWA.
CCR RWA on SFTs
under the VaR approach increased by
USD 1.7bn to USD 8.3bn during the
third quarter of 2025. Asset
size movements contributed to an RWA increase of USD 0.7bn, primarily driven by higher trading volumes, mainly in the
Investment
Bank,
as
well
as
in
Group
Items.
Credit
quality
movements
contributed
to
a
USD 1.0bn
increase
in
RWA,
mainly due to changes in the portfolio mix in Group Items and
the Investment Bank.
›
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 30.9.25
USD m
Derivatives
SFTs
Total
Subject to IMM
Subject to VaR
1
RWA as of the beginning of the quarter
13,197
6,544
19,741
2
Asset size
560
742
1,302
3
Credit quality of counterparties
987
1,002
1,989
4
Model updates
5
(10)
(5)
5
Methodology and policy
250
250
5a
of which: impact from the implementation of final Basel
III standards
5b
of which: others
250
250
6
Acquisitions and disposals
7
Foreign exchange movements
(59)
(25)
(84)
8
Other
9
RWA as of the end of the quarter
14,941
8,253
23,194
RWA flow statements of CVA risk exposures under
SA-CVA
The CVA4 table below shows the variations in RWA for CVA risk determined under the SA-CVA. The CVA capital charge
covers the
risk of
mark-to-market
losses associated
with the
deterioration of
counterparty
credit quality.
We apply
the
SA-CVA on positions where we generally use the IMM to derive the EAD for derivatives and the full 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 increased by
USD 1.0bn to USD 5.3bn during
the third quarter of
2025, mainly driven by non
-modellable
trades, new exposures in the Swiss portfolio and hedge bucketing
.
CVA4: RWA
flow statements of CVA risk exposures under SA-CVA
USD m
Total RWA
1
RWA as of 30.6.25
4,338
2
RWA as of 30.9.25
5,342
30 September 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
(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 third quarter 2025 report, available under “Quarterly
reporting” at
ubs.com/investors
, for more information about capital management
Swiss SRB going and gone concern requirements and information
As of 30.9.25
RWA
LRD
USD m, except where indicated
in %
in %
Required going concern capital
Total going concern capital
14.97
1
75,601
5.00
1
82,023
Common equity tier 1 capital
10.60
2
53,537
3.50
3
57,416
of which: minimum capital
4.50
22,720
1.50
24,607
of which: buffer capital
5.50
27,769
2.00
32,809
of which: countercyclical buffer
0.44
2,226
Maximum additional tier 1 capital
4.37
2
22,064
1.50
24,607
of which: additional tier 1 capital
3.50
17,671
1.50
24,607
of which: additional tier 1 buffer capital
0.80
4,039
Eligible going concern capital
Total going concern capital
18.81
94,950
5.79
94,950
Common equity tier 1 capital
14.79
74,655
4.55
74,655
Total loss-absorbing additional tier 1 capital
4.02
20,296
1.24
20,296
of which: high-trigger loss-absorbing additional tier 1 capital
4.02
20,296
1.24
20,296
Required gone concern capital
Total gone concern loss-absorbing capacity
4,5,6
10.73
7
54,150
3.75
7
61,517
of which: base requirement including add-ons for market share and LRD
10.73
54,150
3.75
61,517
Eligible gone concern capital
Total gone concern loss-absorbing capacity
20.67
104,379
6.36
104,379
Total tier 2 capital
0.00
0
0.00
0
of which: non-Basel III-compliant tier 2 capital
0.00
0
0.00
0
TLAC-eligible senior unsecured debt
20.67
104,379
6.36
104,379
Total loss-absorbing capacity
Required total loss-absorbing capacity
25.70
129,751
8.75
143,541
Eligible total loss-absorbing capacity
39.48
199,329
12.15
199,329
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
504,897
Leverage ratio denominator
1,640,464
1 Includes applicable add-ons
of 1.67% for risk-weighted assets
(RWA) and 0.50% for
leverage ratio denominator (LRD),
of which 23 basis points
for RWA reflect a
Pillar 2 capital add-on
for the residual exposure
(after collateral mitigation)
to hedge funds,
private equity and
family offices, effective
1 January 2025.
2 Includes the
Pillar 2 add-on
for the residual
exposure (after collateral
mitigation) to hedge
funds, private
equity and family offices of 0.16%
for CET1 capital and 0.07%
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; 4.37% 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.
30 September 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 and additional
tier 1 (AT1)
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 1,640.5
bn and
total
consolidated
assets
as per
the
published financial
statements of
USD 1,632.3bn
was USD 8.2bn,
reflecting
the sum
of lines
2 to
12 in
the following
table.
LR1: Summary comparison of accounting assets vs leverage ratio exposure measure
USD m
30.9.25
30.6.25
1
Total consolidated assets as per published financial statements
1,632,251
1,669,991
2
Adjustment for investments in banking, financial, insurance or
commercial entities that are consolidated for accounting
purposes but outside the
scope of regulatory consolidation
(21,078)
(20,348)
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
(35,526)
(58,682)
9
Adjustment for securities financing transactions (i.e. repos and similar secured
lending)
12,876
11,963
10
Adjustment for off-balance sheet items (i.e. conversion to credit equivalent amounts
of off-balance sheet exposures)
63,381
66,646
11
Adjustments for prudent valuation adjustments and specific and
general provisions which have reduced Tier 1 capital
1
(721)
(592)
12
Other adjustments
(10,719)
(10,888)
12a
of which: asset amounts deducted in determining Tier 1 capital
(11,771)
(11,981)
12b
of which: consolidated entities under the regulatory scope
of consolidation
1,052
1,093
13
Leverage ratio exposure
1,640,464
1,658,089
1 Reflects the shortfall to expected losses on advanced internal ratings-based (IRB) portfolio less general
provisions. Deduction items other than the IRB shortfall are disclosed in row 12a.
30 September 2025 Pillar 3 Report |
UBS Group | Leverage ratio
14
LR2: Leverage ratio common disclosure
USD m, except where indicated
30.9.25
30.6.25
On-balance sheet exposures
1
On-balance sheet items (excluding derivatives and securities financing
transactions (SFTs), but including collateral)
1,313,919
1,321,802
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)
(43,538)
(45,478)
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)
(748)
(651)
6
(Asset amounts deducted in determining Tier 1 capital)
(11,771)
(11,981)
7
Total on-balance sheet exposures (excluding derivatives and SFTs)
1,257,863
1,263,692
Derivative Exposures
8
Replacement cost associated with all derivatives transactions (where
applicable net of eligible cash variation margin and/or with bilateral
netting)
61,594
59,792
9
Add-on amounts for potential future exposure associated
with all derivatives transactions
123,997
114,223
10
(Exempted qualifying central counterparty (QCCP) leg of client-cleared
trade exposures)
(24,834)
(18,849)
11
Adjusted effective notional amount of all written credit
derivatives
1
89,204
65,631
12
(Adjusted effective notional offsets and add-on deductions for
written credit derivatives)
2
(87,827)
(64,009)
13
Total derivative exposures
162,134
156,788
Securities financing transaction exposures
14
Gross SFT assets (with no recognition of netting), after adjusting
for sale accounting transactions
262,189
271,059
15
(Netted amounts of cash payables and cash receivables of gross SFT assets)
(118,005)
(112,117)
16
Counterparty credit risk exposure for SFT assets
12,876
11,963
17
Agent transaction exposures
18
Total securities financing transaction exposures
157,060
170,905
Other off-balance sheet exposures
19
Off-balance sheet exposure at gross notional amount
268,605
291,757
20
(Adjustments for conversion to credit equivalent amounts)
(205,224)
(225,112)
21
(Specific and general provisions associated with off-balance sheet
exposures deducted in determining Tier 1 capital)
27
59
22
Total off-balance sheet items
63,407
66,705
Capital and total exposures (leverage ratio denominator),
phase-in
23
Tier 1 capital
94,950
91,721
24
Total exposures (leverage ratio denominator)
1,640,464
1,658,089
Leverage ratio
25
Basel III leverage ratio (including the impact of any applicable temporary
exemption of central bank reserves)
3
5.79
5.53
25a
Basel III leverage ratio (excluding the impact of any applicable temporary exemption
of central bank reserves)
3
5.79
5.53
26
Leverage ratio minimum requirement
4
3.00
3.00
27
Leverage ratio buffers
4
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
150,094
155,918
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
144,184
158,942
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)
3
1,646,375
1,655,065
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)
3
1,646,375
1,655,065
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)
3
5.77
5.54
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)
3
5.77
5.54
1 Includes protection
sold, including agency
transactions.
2 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.
3 There is currently no temporary
exemption of central bank reserves for
UBS.
4 The buffer is based on
Swiss SRB requirements as per the
Capital
Adequacy Ordinance. These requirements are above BCBS requirements for G-SIBs.
LRD development during the third quarter of 2025
During the
third
quarter
of 2025,
the LRD
decreased
by USD 17.6bn
to USD 1,640.5bn
,
mainly
due to
asset size
and
other movements of USD 12.4bn and currency effects
of USD 5.2bn.
On-balance sheet exposures (excluding derivatives and securities financing transactions) decreased by USD 5.8bn, mainly
due to currency
effects of USD 4.1bn
and asset size
and other movements
of USD 1.8bn. The
asset size movement mainly
reflected a decrease in cash and balances
at central banks in Group Treasury,
partly offset by growth in trading
portfolio
assets
reflecting
market-driven
increases,
as
well
as
higher
inventory
held
to
hedge
client
positions
in
the
Investment
Bank.
Derivative exposures increased by USD 5.3bn, mainly due to asset
size and other movements of USD 5.9bn, partly offset
by currency
effects of
USD 0.5bn. The
asset size
movement primarily
reflected higher
trading volumes,
partly offset
by
the effects of market-driven movements on foreign currency contracts
in the Investment Bank.
30 September 2025 Pillar 3 Report |
UBS Group | Leverage ratio
15
Securities financing
transaction exposures
decreased by
USD 13.8bn, mainly
due to asset
size and other
movements of
USD 13.4bn and currency
effects of USD 0.5bn.
The asset size
movement was mainly
due to roll-offs
of cash reinvestment
trades in Group Treasury.
Off-balance
sheet
items
decreased
by
USD 3.3bn,
mainly
due
to
asset
size
and
other
movements
of
USD 3.1bn
and
currency
effects
of
USD 0.1bn.
The
asset
size
movement
was
mainly
due to
decreases
in
commitments
in
Personal
&
Corporate Banking and Global Wealth Management.
›
Refer to “Leverage ratio denominator” in the
“Risk, capital, liquidity and funding, and balance
sheet” section of the UBS Group
third 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
Third quarter 2025 report section
Disclosure
Third quarter 2025 report page number
Concentration of funding sources
Balance sheet and off-balance sheet
Liabilities, by product and currency
55
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 third quarter of 2025,
our HQLA decreased
by USD 12.2bn
to USD 346.6bn,
mainly reflecting
lower cash due
to higher
lending assets,
partly
due to currency
effects, and funding
for trading assets.
The decreases were partly offset
by higher cash
due to an
increase
in customer deposits, largely due to currency effects,
and higher proceeds from securities
financing transactions.
High-quality liquid assets (HQLA)
Average 3Q25
1
Average 2Q25
1
USD m
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
232,503
232,503
256,189
256,189
Securities (on- and off-balance sheet)
86,366
27,681
114,047
76,108
26,462
102,570
Total HQLA
4
318,869
27,681
346,550
332,297
26,462
358,759
1 Calculated based on an average of
65 data points in the third quarter
of 2025 and 61 data points
in the second quarter of 2025.
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.
30 September 2025 Pillar 3 Report |
UBS Group | Liquidity and funding
16
Liquidity coverage ratio development during the third quarter
of 2025
The quarterly average
LCR of the
UBS Group remained
broadly unchanged at
182.1%, remaining above
the prudential
requirement communicated by the Swiss Financial Market
Supervisory Authority (FINMA).
Average
HQLA decreased
by USD
12.2bn to
USD 346.6bn,
mainly
reflecting
lower
cash due
to higher
lending
assets,
partly due to currency effects, and funding
for trading assets. The decreases
were partly offset by higher cash
due to an
increase in customer deposits, largely due
to currency effects, and higher proceeds from
securities financing transactions.
The effect from the decrease in
HQLA was offset by a USD
6.5bn decrease in average net cash
outflows to USD 190.4bn,
reflecting lower net outflows from derivatives and
higher net inflows from securities financing transactions,
partly offset
by higher outflows from customer deposits.
LIQ1: Liquidity coverage ratio (LCR)
Average 3Q25
1
Average 2Q25
1
USD m
Unweighted
value
Weighted
value
2
Unweighted
value
Weighted
value
2
High-quality liquid assets (HQLA)
1
Total HQLA
351,663
346,550
363,824
358,759
Cash outflows
2
Retail deposits and deposits from small business customers
388,660
45,003
378,633
43,920
3
of which: stable deposits
31,133
1,130
31,060
1,123
4
of which: less stable deposits
357,527
43,873
347,573
42,797
5
Unsecured wholesale funding
304,482
154,199
298,735
151,438
6
of which: operational deposits (all counterparties)
68,313
17,078
67,788
16,947
7
of which: non-operational deposits (all counterparties)
219,859
120,811
215,995
119,540
8
of which: unsecured debt
16,309
16,309
14,952
14,952
9
Secured wholesale funding
102,570
95,185
10
Additional requirements:
162,537
45,424
173,923
51,456
11
of which: outflows related to derivatives and other transactions
78,826
26,754
89,777
30,989
12
of which: outflows related to loss of funding on debt products
3
391
391
535
535
13
of which: committed credit and liquidity facilities
83,320
18,280
83,610
19,932
14
Other contractual funding obligations
30,828
27,086
32,429
30,004
15
Other contingent funding obligations
342,554
14,062
341,262
13,102
16
Total cash outflows
388,343
385,105
Cash inflows
17
Secured lending
346,121
127,808
313,077
116,535
18
Inflows from fully performing exposures
79,194
36,796
79,422
35,964
19
Other cash inflows
33,380
33,380
35,760
35,760
20
Total cash inflows
458,695
197,984
428,260
188,259
Average 3Q25
1
Average 2Q25
1
USD m, except where indicated
Total adjusted
value
4
Total adjusted
value
4
Liquidity coverage ratio (LCR)
21
Total HQLA
346,550
358,759
22
Net cash outflows
190,359
196,846
23
LCR (%)
182.12
182.31
1 Calculated based
on an average
of 65 data
points in the
third quarter of
2025 and 61
data points in
the second quarter
of 2025.
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.
30 September 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 30 September 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 Americas Holding LLC consolidated
Updated Federal Reserve Board stress capital buffer requirements
In August 2025, the Federal Reserve Board reduced the
stress capital buffer (the SCB) of UBS Americas Holding LLC, our
US-based
intermediate
holding
company,
to
5.2%,
from
9.3%,
applicable
from
1 October
2025
under
the
Federal
Reserve
Board’s
SCB
rule,
resulting
in
a
total
common
equity
tier 1
capital
requirement
of
9.7%.
The
SCB
for
UBS
Americas Holding LLC is
derived from the results of
the Federal Reserve Board’s 2025
Dodd
–
Frank Act Stress Test (DFAST)
released in June 2025.
Earlier
in
2025,
the
Federal
Reserve
Board
proposed
measures
to
reduce
the
volatility
of
the
SCB
requirements
by
averaging the capital stress
test results from
the past two years,
with the aim
of making capital
planning more predictable
for banks. In
addition, the Federal
Reserve Board proposed
moving the effective
date for the
annual SCB updates
from
1 October to 1 January
to allow more
time to meet
the new requirements.
We expect the
final rules to
be published in
the first half of 2026.
UBS AG consolidated
Key metrics for the third 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
third quarter
of 2025,
tier 1 capital
increased
by USD 2.9bn
to USD 91.4bn.
Common equity
tier 1 (CET1)
capital increased by
USD 1.6bn to USD 71.5bn,
mainly driven by
operating profit before
tax of USD 1.5bn,
partly offset
by current tax expenses
of USD 0.3bn and
foreign currency translation losses of
USD 0.1bn. Additional tier 1 (AT1) capital
issued by the Group and on
lent to UBS AG increased by
USD 1.3bn to USD 20.0bn, reflecting the
issuance of new AT1
capital
instruments
equivalent
to
USD 2.8bn,
partly
offset
by
the
call
of
one
AT1
capital
instrument
equivalent
to
USD 1.6bn.
During
the
third
quarter
of
2025,
risk-weighted
assets
(RWA)
increased
by
USD 4.1bn
to
USD 502.4bn,
driven
by
a
USD 6.6bn
increase
resulting
from
asset
size
and
other
movements,
partly
offset
by
a
USD 1.5bn
decrease
driven
by
model updates and methodology changes and a USD 1.0bn
decrease from currency effects.
During the third quarter of 2025, the leverage
ratio denominator (the LRD) decreased by USD 17.3bn to USD 1,642.8bn,
mainly
due
to
asset
size
and
other
movements
of
USD 12.1bn
and
currency
effects
of
USD 5.2bn.
The
asset
size
movement was mainly
driven by a
decrease in cash
and balances at
central banks and
roll-offs of cash
reinvestment trades
in Group Treasury,
partly offset by
growth in trading
portfolio assets and
higher derivatives
exposures in the
Investment
Bank.
Correspondingly,
the
CET1
capital
ratio
of
UBS AG
consolidated
increased
to
14.2%
from
14.0%,
reflecting
the
aforementioned increase in CET1 capital, partly
offset by the aforementioned increase in
RWA.
The Basel III leverage ratio
increased to 5.6% from 5.3%, reflecting the aforementioned increase
in tier 1 capital and the aforementioned decrease
in the LRD.
30 September 2025 Pillar 3 Report |
Significant regulated subsidiaries and sub-groups
| UBS AG consolidated
18
The
quarterly
average
liquidity
coverage
ratio
of
UBS AG
consolidated
remained
broadly
unchanged
at
179.0%,
remaining
above
the
prudential
requirement
communicated
by
FINMA.
Average
high-quality
liquid
assets
(HQLA)
decreased
by
USD 12.2bn
to
USD 346.7bn,
mainly
reflecting
lower
cash
due
to
higher
lending
assets,
partly
due
to
currency effects,
and funding
for trading
assets. The
decreases were
partly offset
by higher
cash due
to an
increase in
customer deposits, largely due to currency effects, and higher proceeds from securities financing transactions. The effect
from the decrease in HQLA was offset by a USD 6.3bn decrease in average net cash outflows
to USD 193.8bn, reflecting
lower net outflows from derivatives and higher net inflows
from securities financing transactions, partly offset by
higher
outflows from customer deposits.
As
of
30 September
2025,
the
net
stable
funding
ratio
of
UBS AG
consolidated
decreased
2.3 percentage
points
to
118.6%, remaining
above the
prudential requirement
communicated by
FINMA. Available
stable funding
decreased by
USD 4.9bn to
USD 887.4bn,
mainly driven
by decreases
in customer
deposits and
debt
issued measured
at amortized
cost,
partly
offset
by
higher
regulatory
capital.
Required
stable
funding
increased
by
USD 10.2bn
to
USD 748.3bn,
primarily reflecting an increase in trading assets.
KM1: Key metrics
USD m, except where indicated
30.9.25
30.6.25
31.3.25
31.12.24
30.9.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
71,460
69,829
70,756
73,792
84,423
2
Tier 1
91,425
88,485
89,081
89,623
100,673
3
Total capital
91,425
88,485
89,081
89,623
100,675
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
502,425
498,327
481,539
495,110
515,520
4a
Total risk-weighted assets (pre-floor)
502,425
498,327
481,539
4b
Minimum capital requirement
1
40,194
39,866
38,523
39,609
41,242
Risk-based capital ratios as a percentage of RWA
5
Common equity tier 1 ratio (%)
14.22
14.01
14.69
14.90
16.38
5b
Common equity tier 1 ratio (%) (pre-floor)
14.22
14.01
14.69
6
Tier 1 ratio (%)
18.20
17.76
18.50
18.10
19.53
6b
Tier 1 ratio (%) (pre-floor)
18.20
17.76
18.50
7
Total capital ratio (%)
18.20
17.76
18.50
18.10
19.53
7b
Total capital ratio (%) (pre-floor)
18.20
17.76
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 (%)
0.11
0.13
0.13
0.15
0.17
9a
Additional countercyclical buffer for Swiss mortgage loans
(%)
0.33
0.34
0.31
0.37
0.39
10
Bank G-SIB and / or D-SIB additional requirements (%)
2
11
Total of bank CET1 specific buffer requirements (%)
3
2.61
2.63
2.63
2.65
2.67
12
CET1 available after meeting the bank’s minimum capital requirements (%)
4
9.72
9.51
10.19
10.10
11.53
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
1,642,843
1,660,097
1,565,845
1,523,277
1,611,151
14
Basel III leverage ratio (%) (including the impact of any applicable
temporary
exemption of central bank reserves)
5
5.57
5.33
5.69
5.88
6.25
14b
Basel III leverage ratio (%) (excluding the impact of any applicable temporary
exemption of central bank reserves)
5.57
5.33
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
5
5.55
5.34
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
5.55
5.34
5.67
14e
Minimum capital requirements
6
49,285
49,803
46,975
Liquidity coverage ratio (LCR)
7
15
Total high-quality liquid assets (HQLA)
346,734
358,940
318,893
331,627
360,628
16
Total net cash outflow
193,817
200,107
176,928
178,228
183,725
16a
of which: cash outflows
393,826
390,719
366,165
352,482
347,583
16b
of which: cash inflows
200,009
190,613
189,237
174,254
163,858
17
LCR (%)
178.96
179.45
180.28
186.08
196.34
Net stable funding ratio (NSFR)
18
Total available stable funding
887,444
892,381
853,742
847,008
903,402
19
Total required stable funding
748,303
738,056
695,201
682,504
712,729
20
NSFR (%)
118.59
120.91
122.81
124.10
126.75
1 Calculated as 8% of total RWA, based
on total capital minimum requirements,
excluding CET1 buffer requirements.
2 Swiss SRB going and gone concern
requirements and information for UBS AG
consolidated
are provided below in this section.
3 Excludes non-BCBS capital buffer requirements for risk-weighted positions that are directly or indirectly backed by residential properties in Switzerland.
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 tier 2 capital requirement
met with CET1 capital.
5 There is currently no temporary
exemption of central bank reserves
for UBS.
6 The higher of capital
requirements based on 8% of RWA
or 3% of LRD.
7 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 65
data points in the third quarter
of 2025 and 61 data points
in the second quarter of
- 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.
30 September 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
23 basis
points
in
the
RWA-based
going
concern
capital
requirement as of 30 September 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 30.9.25
RWA
LRD
USD m, except where indicated
in %
in %
Required going concern capital
Total going concern capital
15.00
1
75,347
5.01
1
82,249
Common equity tier 1 capital
10.63
2
53,389
3.51
3
57,607
of which: minimum capital
4.50
22,609
1.50
24,643
of which: buffer capital
5.50
27,633
2.00
32,857
of which: countercyclical buffer
0.44
2,218
Maximum additional tier 1 capital
4.37
2
21,957
1.50
24,643
of which: additional tier 1 capital
3.50
17,585
1.50
24,643
of which: additional tier 1 buffer capital
0.80
4,019
Eligible going concern capital
Total going concern capital
18.20
91,425
5.57
91,425
Common equity tier 1 capital
14.22
71,460
4.35
71,460
Total loss-absorbing additional tier 1 capital
3.97
19,964
1.22
19,964
of which: high-trigger loss-absorbing additional tier 1 capital
3.97
19,964
1.22
19,964
Required gone concern capital
Total gone concern loss-absorbing capacity
4,5,6
10.73
53,885
3.75
61,607
of which: base requirement including add-ons for market share and LRD
10.73
7
53,885
3.75
7
61,607
Eligible gone concern capital
Total gone concern loss-absorbing capacity
19.60
98,452
5.99
98,452
Total tier 2 capital
0.00
0
0.00
0
of which: non-Basel III-compliant tier 2 capital
0.00
0
0.00
0
TLAC-eligible unsecured debt
19.60
98,452
5.99
98,452
Total loss-absorbing capacity
Required total loss-absorbing capacity
25.72
129,232
8.76
143,856
Eligible total loss-absorbing capacity
37.79
189,876
11.56
189,876
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
502,425
Leverage ratio denominator
1,642,843
1 Includes applicable add-ons of 1.70% for risk-weighted assets (RWA) and 0.51% for leverage
ratio denominator (LRD), of which 2 basis points for RWA and 1 basis point
for LRD reflect a Pillar 2 capital add-on of
USD 107m related to the supply chain finance funds matter at Credit Suisse. An additional 23 basis points for RWA reflect a Pillar 2 capital add-on for the residual exposure (after collateral mitigation) to hedge funds,
private equity and family
offices, effective 1
January 2025.
2 Includes the Pillar 2 add-on
for the residual exposure (after
collateral mitigation) to hedge
funds, private equity
and family offices of 0.16%
for CET1
capital and 0.07% 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; 4.37%
includes the
aforementioned Pillar 2 capital add-on.
3 Our CET1 leverage ratio requirement of 3.51% 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 0.01% 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.
30 September 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
30.9.25
30.6.25
Eligible going concern capital
Total going concern capital
91,425
88,485
Total tier 1 capital
91,425
88,485
Common equity tier 1 capital
71,460
69,829
Total loss-absorbing additional tier 1 capital
19,964
18,656
of which: high-trigger loss-absorbing additional tier 1 capital
19,964
18,656
of which: low-trigger loss-absorbing additional tier 1 capital
Eligible gone concern capital
Total gone concern loss-absorbing capacity
98,452
93,502
Total tier 2 capital
0
196
of which: non-Basel III-compliant tier 2 capital
0
196
TLAC-eligible unsecured debt
98,452
93,306
Total loss-absorbing capacity
Total loss-absorbing capacity
189,876
181,987
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
502,425
498,327
Leverage ratio denominator
1,642,843
1,660,097
Capital and loss-absorbing capacity ratios (%)
Going concern capital ratio
18.2
17.8
of which: common equity tier 1 capital ratio
14.2
14.0
Gone concern loss-absorbing capacity ratio
19.6
18.8
Total loss-absorbing capacity ratio
37.8
36.5
Leverage ratios (%)
Going concern leverage ratio
5.6
5.3
of which: common equity tier 1 leverage ratio
4.3
4.2
Gone concern leverage ratio
6.0
5.6
Total loss-absorbing capacity leverage ratio
11.6
11.0
UBS AG standalone
Key metrics for the third 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
third quarter
of 2025,
tier 1 capital
increased
by USD 1.5bn
to USD 93.3bn.
Common equity
tier 1 (CET1)
capital increased by USD
0.2bn to USD 73.4bn,
mainly reflecting operating
profit before tax
of USD 0.9bn, partly offset
by
defined
benefit
plans
effects
of
USD 0.3bn
and
current
tax
expenses
of
USD 0.1bn.
Additional
tier 1
(AT1)
capital
issued by the Group and on
lent to UBS AG increased by
USD 1.3bn to USD 20.0bn, reflecting the
issuance of new AT1
capital
instruments
equivalent
to
USD 2.8bn,
partly
offset
by
the
call
of
one
AT1
capital
instrument
equivalent
to
USD 1.6bn.
Phase-in risk-weighted assets (RWA) increased by USD 1.5bn to USD 517.9bn during the third quarter of 2025, primarily
driven by increases
in credit and counterparty
credit risk RWA and
market risk RWA,
partly offset by a
decrease in RWA
on investments in subsidiaries.
During the third
quarter of 2025,
the leverage ratio
denominator (the LRD)
decreased by USD 11.9bn
to USD 952.1bn,
mainly due to
asset size and
other movements of
USD 8.7bn and currency effects
of USD 3.2bn.
The asset size
movement
was mainly driven by roll-offs of cash reinvestment trades and a decrease in cash and balances at central banks in Group
Treasury, partly offset by growth in trading portfolio assets
and higher derivatives
exposures in the Investment Bank.
Correspondingly,
the
phase-in
CET1
capital
ratio
of
UBS AG
standalone
was
stable
at
14.2%,
reflecting
the
aforementioned increase
in CET1
capital offset
by the
aforementioned increase
in phase-in
RWA. The
Basel III leverage
ratio
increased
to
9.8%
from
9.5%,
reflecting
the
aforementioned
increase
in
tier 1
capital
and
the
aforementioned
decrease in the LRD.
30 September 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
increased
5.4 percentage
points
to
240.9%, remaining above the prudential requirement communicated by FINMA. The movement in the quarterly average
LCR was
primarily driven
by an
USD 8.1bn decrease
in the
average net
cash outflows
to USD 67.6bn,
reflecting lower
outflows from mainly intercompany deposits, lower
net outflows from derivatives and higher net inflows from
securities
financing transactions. The
average high-quality liquid
assets decreased by
USD 14.9bn to USD 162.5bn,
mainly reflecting
lower cash due to higher funding for trading assets.
As of
30 September 2025, the net
stable funding ratio
of UBS AG standalone
decreased 0.5 percentage points to
96.2%,
remaining above the prudential requirement communicated by FINMA.
Available stable funding decreased by USD 2.3bn
to USD 419.0
bn, mainly
driven
by decreases
in customer
deposits and
debt issues
measured at
amortized cost,
partly
offset by higher regulatory capital. Required stable funding was
broadly unchanged at USD 435.6bn.
KM1: Key metrics
USD m, except where indicated
30.9.25
30.6.25
31.3.25
31.12.24
30.9.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
73,384
73,178
70,980
75,051
83,113
2
Tier 1
93,349
91,834
89,305
90,881
99,363
3
Total capital
93,349
91,834
89,305
90,882
99,365
Risk-weighted assets (amounts)
1
4
Total risk-weighted assets (RWA)
517,929
516,479
514,897
507,964
565,180
4a
Total risk-weighted assets (pre-floor)
517,929
516,479
514,897
4b
Minimum capital requirement
2
41,434
41,318
41,192
40,637
45,214
Risk-based capital ratios as a percentage of RWA
1
5
Common equity tier 1 ratio (%)
14.17
14.17
13.79
14.77
14.71
5b
Common equity tier 1 ratio (%) (pre-floor)
14.17
14.17
13.79
6
Tier 1 ratio (%)
18.02
17.78
17.34
17.89
17.58
6b
Tier 1 ratio (%) (pre-floor)
18.02
17.78
17.34
7
Total capital ratio (%)
18.02
17.78
17.34
17.89
17.58
7b
Total capital ratio (%) (pre-floor)
18.02
17.78
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 (%)
0.14
0.15
0.15
0.19
0.19
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 (%)
3
11
Total of bank CET1 specific buffer requirements (%)
4
2.64
2.65
2.65
2.69
2.69
12
CET1 available after meeting the bank’s minimum capital requirements (%)
5
9.67
9.67
9.29
9.89
9.58
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
952,112
964,000
935,496
899,348
944,404
14
Basel III leverage ratio (%) (including the impact of any applicable
temporary
exemption of central bank reserves)
6
9.80
9.53
9.55
10.11
10.52
14b
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves)
9.80
9.53
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
6
9.72
9.56
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
9.72
9.56
9.52
14e
Minimum capital requirements
7
41,434
41,318
41,192
Liquidity coverage ratio (LCR)
8
15
Total high-quality liquid assets (HQLA)
162,513
177,434
150,544
142,661
170,179
16
Total net cash outflow
67,644
75,720
65,962
58,620
60,445
16a
of which: cash outflows
244,306
248,255
238,931
231,213
228,228
16b
of which: cash inflows
176,662
172,535
172,969
172,593
167,783
17
LCR (%)
240.93
235.52
229.18
243.95
282.26
Net stable funding ratio (NSFR)
9
18
Total available stable funding
419,024
421,323
410,507
410,197
446,435
19
Total required stable funding
435,582
435,547
418,661
421,792
444,875
20
NSFR (%)
96.20
96.73
98.05
97.25
100.35
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 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 standalone 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% of RWA or 3% of 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 65 data points in the third quarter of 2025 and 61 data points in the second quarter of 2025. 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 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.
30 September 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 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. 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 30 September
2025 of 21 basis points in the
RWA phase-
in-based going
concern capital
requirement and
19 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 30.9.25
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
14.67
2
75,973
14.65
2
81,078
5.01
2
47,713
Common equity tier 1 capital
10.31
3
53,380
10.30
3
56,966
3.51
33,431
of which: minimum capital
4.50
23,307
4.50
24,898
1.50
14,282
of which: buffer capital
5.50
28,486
5.50
30,430
2.00
19,042
of which: countercyclical buffer
0.14
732
0.14
782
Maximum additional tier 1 capital
4.36
3
22,593
4.36
3
24,113
1.50
14,282
of which: additional tier 1 capital
3.50
18,128
3.50
19,365
1.50
14,282
of which: additional tier 1 buffer capital
0.80
4,143
0.80
4,426
Eligible going concern capital
Total going concern capital
18.02
93,349
16.87
93,349
9.80
93,349
Common equity tier 1 capital
14.17
73,384
13.26
73,384
7.71
73,384
Total loss-absorbing additional tier 1 capital
3.85
19,964
3.61
19,964
2.10
19,964
of which: high-trigger loss-absorbing additional tier 1 capital
3.85
19,964
3.61
19,964
2.10
19,964
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
517,929
553,280
Leverage ratio denominator
952,112
Required gone concern capital
4
Higher of RWA-
or LRD-based
Total gone concern loss-absorbing capacity
78,527
Eligible gone concern capital
Total gone concern loss-absorbing capacity
98,452
Gone concern capital coverage ratio
125.37
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. As per current rules, 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 1.67% for risk-weighted assets (RWA, phase-in), 1.65%
for risk-weighted assets (RWA, fully applied) and 0.51% for leverage
ratio denominator (LRD), of which 2 basis points for RWA
phase-
in, 2 basis points for RWA fully applied and 1 basis point for LRD reflect a Pillar 2 capital add-on of USD 107m related to the supply chain finance funds matter at Credit Suisse.
An additional 21 basis points for RWA
phase-in and 19
basis points for
RWA fully applied
reflect a Pillar
2 capital add-on
for the residual
exposure (after collateral
mitigation) to hedge
fund, private equity
and family offices,
effective 1 January
2025.
3 Includes the Pillar 2 add-on for the residual exposure (after collateral mitigation) to hedge funds, private equity and family offices of 0.14% for CET1 capital and 0.06% for AT1 capital for RWA phase-in and 0.14%
for CET1 capital
and 0.06%
for AT1
capital for RWA
fully applied, effective
1 January
- For
AT1 capital,
under Pillar 1
requirements a maximum
of 4.3% of
AT1 capital
can be used
to meet going
concern
requirements; 4.36% for RWA phase-in and 4.36%
for RWA fully applied include 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.
30 September 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
30.9.25
30.6.25
Eligible going concern capital
Total going concern capital
93,349
91,834
Total tier 1 capital
93,349
91,834
Common equity tier 1 capital
73,384
73,178
Total loss-absorbing additional tier 1 capital
19,964
18,656
of which: high-trigger loss-absorbing additional tier 1 capital
19,964
18,656
of which: low-trigger loss-absorbing additional tier 1 capital
Eligible gone concern capital
Total gone concern loss-absorbing capacity
98,452
93,499
Total tier 2 capital
0
193
of which: non-Basel III-compliant tier 2 capital
0
193
TLAC-eligible unsecured debt
98,452
93,306
Total loss-absorbing capacity
Total loss-absorbing capacity
191,800
185,333
Denominators for going and gone concern ratios
Risk-weighted assets, phase-in
517,929
516,479
of which: investments in Switzerland-domiciled subsidiaries
1
91,436
91,537
of which: investments in foreign-domiciled subsidiaries
1
167,254
170,979
Risk-weighted assets, fully applied as of 1.1.28
553,280
552,495
of which: investments in Switzerland-domiciled subsidiaries
1
97,272
97,379
of which: investments in foreign-domiciled subsidiaries
1
196,770
201,151
Leverage ratio denominator
952,112
964,000
Capital and loss-absorbing capacity ratios (%)
Going concern capital ratio, phase-in
18.0
17.8
of which: common equity tier 1 capital ratio, phase-in
14.2
14.2
Going concern capital ratio, fully applied as of 1.1.28
16.9
16.6
of which: common equity tier 1 capital ratio, fully applied as of 1.1.28
13.3
13.2
Leverage ratios (%)
Going concern leverage ratio
9.8
9.5
of which: common equity tier 1 leverage ratio
7.7
7.6
Capital coverage ratio (%)
Gone concern capital coverage ratio
125.4
118.2
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. As per current rules, 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 third 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 third quarter of 2025, common equity tier 1 capital increased by CHF
0.1bn to CHF 21.5bn, mainly driven by
operating profit almost entirely offset by additional dividend
accruals.
Total risk-weighted
assets
(RWA)
decreased
by
CHF 0.5bn
to
CHF 168.2bn,
due
to
lower
credit risk
RWA
driven
by
a
decrease in exposures,
partly offset by an increase in counterparty
credit risk RWA.
The leverage ratio
denominator (the LRD)
decreased by CHF 1.9bn
to CHF 547.8bn, mainly
due to decreases
in lending
exposures and cash and balances at central banks, partly
offset by an increase in derivatives
transactions.
30 September 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
increased
2.3 percentage
points
to
140.4%, remaining above the prudential requirement communicated by FINMA. The movement in the quarterly average
LCR was driven by a
CHF 4.5bn increase in high-quality
liquid assets to CHF 116.4bn,
primarily due to higher cash
from
funding received from UBS AG and higher customer deposits. The average
net cash outflows increased by CHF 1.9bn to
CHF 83.0bn, mainly due to higher outflows from customer
deposits and intercompany deposits from UBS AG.
As of
30 September 2025,
the net
stable funding
ratio decreased
2.5 percentage points
to 126.0%,
remaining above
the prudential requirement communicated by FINMA. Available stable funding decreased by CHF 3.3bn
to CHF 351.3bn,
mainly
driven
by
a
decrease
in
customer
deposits.
Required
stable
funding
increased
by
CHF 2.9bn
to
CHF 278.8bn,
primarily reflecting higher lending assets and derivatives
instruments.
KM1: Key metrics
CHF m, except where indicated
30.9.25
30.6.25
31.3.25
31.12.24
30.9.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
21,527
21,470
21,596
21,659
22,016
2
Tier 1
29,520
29,463
29,590
29,652
30,009
3
Total capital
29,520
29,463
29,590
29,652
30,009
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
168,223
168,701
174,610
186,265
185,237
4a
Total risk-weighted assets (pre-floor)
154,370
151,470
153,743
168,033
167,384
4b
Minimum capital requirement
1
13,458
13,496
13,969
14,901
14,819
Risk-based capital ratios as a percentage of RWA
5
Common equity tier 1 ratio (%)
12.80
12.73
12.37
11.63
11.89
5b
Common equity tier 1 ratio (%) (pre-floor)
13.95
14.17
14.05
12.89
13.15
6
Tier 1 ratio (%)
17.55
17.46
16.95
15.92
16.20
6b
Tier 1 ratio (%) (pre-floor)
19.12
19.45
19.25
17.65
17.93
7
Total capital ratio (%)
17.55
17.46
16.95
15.92
16.20
7b
Total capital ratio (%) (pre-floor)
19.12
19.45
19.25
17.65
17.93
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
0.07
0.06
0.08
0.08
9a
Additional countercyclical buffer for Swiss mortgage loans
(%)
0.82
0.83
0.80
0.88
0.90
10
Bank G-SIB and / or D-SIB additional requirements (%)
11
Total of bank CET1 specific buffer requirements (%)
2
2.56
2.57
2.56
2.58
2.58
12
CET1 available after meeting the bank’s minimum capital requirements (%)
3
8.30
8.23
7.87
7.13
7.39
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
547,805
549,690
551,716
556,053
567,484
14
Basel III leverage ratio (%) (including the impact of any applicable
temporary
exemption of central bank reserves)
4
5.39
5.36
5.36
5.33
5.29
14b
Basel III leverage ratio (%) (excluding the impact of any applicable temporary
exemption of central bank reserves)
5.39
5.36
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
4
5.39
5.34
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
5.39
5.34
5.34
14e
Minimum capital requirements
5
16,434
16,491
16,551
Liquidity coverage ratio (LCR)
6
15
Total high-quality liquid assets (HQLA)
116,430
111,945
111,231
125,007
126,037
16
Total net cash outflow
83,009
81,142
81,164
87,160
85,964
16a
of which: cash outflows
113,942
110,217
110,357
116,768
114,992
16b
of which: cash inflows
30,933
29,074
29,193
29,608
29,027
17
LCR (%)
140.37
138.05
137.08
143.47
146.68
Net stable funding ratio (NSFR)
7
18
Total available stable funding
351,349
354,633
355,035
359,170
369,168
19
Total required stable funding
278,806
275,862
276,279
271,688
274,029
NSFR (%)
126.02
128.55
128.51
132.20
134.72
1 Calculated as 8% of total RWA, based
on total capital minimum requirements,
excluding CET1 buffer requirements.
2 Excludes non-BCBS capital buffer requirements
for risk-weighted positions that are directly
or indirectly backed by residential propertie
s
in Switzerland.
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 tier
2 capital requirement met with CET1 capital.
4 There is currently no temporary
exemption of central bank reserves
for UBS.
5 The higher of capital requirements
based on
8% of RWA or 3% of LRD.
6 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 65
data points
in the
third quarter
of 2025
and 61
data points
in the
second quarter
of 2025.
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.
7 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.
30 September 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
30 September
2025,
the
going
concern
capital
and
leverage
ratio
requirements
for
UBS
Switzerland AG
standalone were 15.18% (including a countercyclical buffer
of 0.88%) 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 30.9.25
RWA
LRD
CHF m, except where indicated
in %
in %
Required going concern capital
Total going concern capital
15.18
1
25,542
5.00
1
27,390
Common equity tier 1 capital
10.88
18,309
3.50
19,173
of which: minimum capital
4.50
7,570
1.50
8,217
of which: buffer capital
5.50
9,252
2.00
10,956
of which: countercyclical buffer
0.88
1,487
Maximum additional tier 1 capital
4.30
7,234
1.50
8,217
of which: additional tier 1 capital
3.50
5,888
1.50
8,217
of which: additional tier 1 buffer capital
0.80
1,346
Eligible going concern capital
Total going concern capital
17.55
29,520
5.39
29,520
Common equity tier 1 capital
12.80
21,527
3.93
21,527
Total loss-absorbing additional tier 1 capital
4.75
7,993
1.46
7,993
of which: high-trigger loss-absorbing additional tier 1 capital
4.75
7,993
1.46
7,993
Required gone concern capital
2
Total gone concern loss-absorbing capacity
8.87
14,915
3.10
16,982
of which: base requirement including add-ons for market share and LRD
8.87
3
14,915
3.10
3
16,982
Eligible gone concern capital
Total gone concern loss-absorbing capacity
11.38
19,151
3.50
19,151
TLAC-eligible unsecured debt
11.38
19,151
3.50
19,151
Total loss-absorbing capacity
Required total loss-absorbing capacity
24.05
40,457
8.10
44,372
Eligible total loss-absorbing capacity
28.93
48,671
8.88
48,671
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
168,223
Leverage ratio denominator
547,805
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.
30 September 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
30.9.25
30.6.25
Eligible going concern capital
Total going concern capital
29,520
29,463
Total tier 1 capital
29,520
29,463
Common equity tier 1 capital
21,527
21,470
Total loss-absorbing additional tier 1 capital
7,993
7,994
of which: high-trigger loss-absorbing additional tier 1 capital
7,993
7,994
Eligible gone concern capital
Total gone concern loss-absorbing capacity
19,151
19,148
TLAC-eligible unsecured debt
19,151
19,148
Total loss-absorbing capacity
Total loss-absorbing capacity
48,671
48,611
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
168,223
168,701
Leverage ratio denominator
547,805
549,690
Capital and loss-absorbing capacity ratios (%)
Going concern capital ratio
17.5
17.5
of which: common equity tier 1 capital ratio
12.8
12.7
Gone concern loss-absorbing capacity ratio
11.4
11.4
Total loss-absorbing capacity ratio
28.9
28.8
Leverage ratios (%)
Going concern leverage ratio
5.4
5.4
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
30 September 2025 Pillar 3 Report |
Significant regulated subsidiaries and sub-groups
| UBS Europe SE consolidated
27
UBS Europe SE consolidated
Key metrics for the third 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
third
quarter
of
2025,
available
capital
remained
stable.
Risk-weighted
assets
increased
by
EUR 1.3bn
to
EUR 15.9bn, mainly driven by higher over-the-counter derivative exposures and related credit valuation adjustment,
new
Lombard loans,
and new
loan facilities.
The leverage
ratio exposure
decreased by
EUR 5.9bn to
EUR 55.8bn,
primarily
driven by decreases
in cash at central banks and securities financing transaction
exposures.
The average liquidity coverage ratio (the LCR)
remained well above the regulatory requirement of
100%, at 141.5%. The
increase in
the LCR
was driven by
an increase of
EUR 1.3bn in
high-quality liquid assets
(HQLA), partly
offset by
an increase
of EUR 0.7bn
in total
net cash
outflows. Higher
HQLA and
net outflows
are materially
attributed to
higher UBS
Group
euro-clearing
activities.
The
net
stable
funding
ratio
remained
well
above
the
regulatory
requirements
of
100%,
at
135.8%. Available
stable funding
increased by
EUR 1.4bn, mainly
due to
higher funding
with a
residual maturity
of in
excess of one
year. Required stable
funding increased by
EUR 0.5bn, mainly driven
by higher client-driven
activity levels
in the Investment Bank in Asian markets.
KM1: Key metrics
1,2
EUR m, except where indicated
30.9.25
30.6.25
3
31.3.25
31.12.24
30.9.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
2,973
2,995
3,424
3,239
2,701
2
Tier 1
3,573
3,595
4,024
3,839
3,301
3
Total capital
3,573
3,595
4,024
3,839
3,301
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
15,938
14,625
14,387
14,079
12,657
4a
Total risk-weighted assets (RWA) (pre-floor)
15,938
14,625
14,387
4b
Minimum capital requirement
4
1,275
1,170
1,151
1,126
1,013
Risk-based capital ratios as a percentage of RWA
5
CET1 ratio (%)
18.7
20.5
23.8
23.0
21.3
5b
CET1 ratio (%) (pre-floor)
18.7
20.5
23.8
6
Tier 1 ratio (%)
22.4
24.6
28.0
27.3
26.1
6b
Tier 1 ratio (%) (pre-floor)
22.4
24.6
28.0
7
Total capital ratio (%)
22.4
24.6
28.0
27.3
26.1
7b
Total capital ratio (%) (pre-floor)
22.4
24.6
28.0
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
0.7
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
3.2
12
CET1 available after meeting the bank’s minimum capital requirements (%)
5
14.2
16.0
19.3
18.5
16.8
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
55,776
61,706
55,615
55,567
50,053
14
Basel III leverage ratio (%) (including the impact of any applicable
temporary
exemption of central bank reserves)
6,7
6.4
5.8
7.2
6.9
6.6
14b
Basel III leverage ratio (%) (excluding the impact of any applicable
temporary exemption of central bank reserves)
6.4
5.8
7.2
14e
Minimum capital requirements
8
1,673
1,851
1,668
Liquidity coverage ratio (LCR)
9
15
Total high-quality liquid assets (HQLA)
21,360
20,038
18,664
17,285
16,741
16
Total net cash outflow
15,155
14,469
13,355
12,542
11,523
17
LCR (%)
141.5
138.9
140.4
138.9
145.2
Net stable funding ratio (NSFR)
18
Total available stable funding
19,252
17,830
18,580
17,134
14,409
19
Total required stable funding
14,182
13,716
13,222
13,656
11,266
20
NSFR (%)
135.8
130.0
140.5
125.5
127.9
1 Based on applicable EU regulatory rules.
2 Row 9a of the FINMA template
is applicable to the 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 Calculated as 8% of total RWA, based
on total capital minimum
requirements, excluding CET1 buffer requirements.
5 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.
6 Calculated on the basis of tier 1 capital.
7 There is currently no temporary exemption of central bank reserves
for UBS Europe SE.
8 The higher of capital requirements based on 8% of RWA or 3% of LRD.
9 Figures are calculated based on a 12
‑
month average.
30 September 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 third 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 was
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
replaced
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. Based on
the results of
the 2025 CCAR,
the SCB
for UBS Americas
Holding LLC was
adjusted to 5.2%
effective
1 October 2025 and
through 30 September
2026, resulting
in a total
common equity
tier 1 (CET1) capital
requirement
of 9.7%.
During the third quarter of 2025, the CET1 capital ratio increased 0.2 percentage points to 21.1%, and the tier 1 capital
ratio decreased 0.1 percentage points to 24.5%. Both CET1 capital and tier 1 capital increased by USD 1.0bn due to net
profit and
the positive
impact from
a decrease
in deferred
tax assets
deductions,
slightly offset
by preferred
dividends
paid. Risk-weighted
assets (RWA)
increased by
USD 4.2bn to
USD 81.5bn, driven
by a USD 4.4bn
increase in credit
risk
RWA, mainly in derivatives,
securities financing transactions and loans, slightly offset by a USD 0.2bn decrease in market
risk RWA.
Leverage ratio exposure,
calculated on an
average basis,
decreased by USD
4.2bn to
USD 195.0bn and, as
a result, the
tier 1 leverage ratio increased 0.7 percentage points
to 10.2%. Similarly, the
tier 1 supplementary leverage ratio (the SLR)
increased 0.5 percentage
points to
8.7%, primarily
driven by
a USD 1.8bn
decrease in
SLR exposure
in addition
to the
increase in tier 1 capital.
The
average
liquidity
coverage
ratio
increased
0.8 percentage
points
to
128.7%,
as
net
cash
outflows
decreased
by
USD 1.3bn
and
high-quality
liquid
assets
decreased
by
USD 1.5bn.
The
average
net
stable
funding
ratio
decreased
4.2 percentage points
to 128.6%.
This was
due to
a USD 2.7bn
decrease in
available stable
funding and
a USD 0.4bn
increase in required stable funding.
30 September 2025 Pillar 3 Report |
Significant regulated subsidiaries and sub-groups
| UBS Americas Holding LLC consolidated
29
KM1: Key metrics
1
USD m, except where indicated
30.9.25
30.6.25
31.3.25
2
31.12.24
2
30.9.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
17,161
16,152
16,236
16,123
23,303
2
Tier 1
19,984
18,974
19,053
18,941
26,121
3
Total capital
20,185
19,164
19,258
19,181
26,378
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
81,477
77,244
78,830
78,166
84,944
4b
Minimum capital requirement
3
6,518
6,180
6,306
6,253
6,795
Risk-based capital ratios as a percentage of RWA
5
CET1 ratio (%)
21.1
20.9
20.6
20.6
27.4
6
Tier 1 ratio (%)
24.5
24.6
24.2
24.2
30.8
7
Total capital ratio (%)
24.8
24.8
24.4
24.5
31.1
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
9.3
9.3
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
9.3
9.3
9.1
12
CET1 available after meeting the bank’s minimum capital requirements (%)
4
16.6
16.4
16.1
16.1
22.9
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
5
195,030
199,196
204,960
197,487
197,597
14
Basel III leverage ratio (%)
6
10.2
9.5
9.3
9.6
13.2
14a
Total Basel III supplementary leverage ratio exposure measure
5
229,768
231,603
234,346
227,973
227,490
14b
Basel III supplementary leverage ratio (%)
6
8.7
8.2
8.1
8.3
11.5
Liquidity coverage ratio (LCR)
15
Total high-quality liquid assets (HQLA)
5
27,496
28,951
28,182
26,801
32,069
16
Total net cash outflow
5,7
21,365
22,639
21,213
20,064
24,649
17
LCR (%)
128.7
127.9
132.9
133.6
130.1
Net stable funding ratio (NSFR)
18
Total available stable funding
5
102,169
104,867
107,920
109,283
112,554
19
Total required stable funding
5,7
79,425
78,978
80,532
80,456
81,952
20
NSFR (%)
128.6
132.8
134.0
135.8
137.3
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 Comparative information has been aligned with UBS Americas
Holding LLC’s regulatory
resubmissions of the FR
Y-9C
reports for 1Q25 and
4Q24, reflecting a reduction
in RWA and improved
capital ratios.
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 Calculated on the basis of tier 1 capital.
7 Reflected at 85%
of the full amount in accordance with the Federal Reserve tailoring rule.
30 September 2025 Pillar 3 Report |
Significant regulated subsidiaries and sub-groups
| Credit Suisse International standalone
30
Credit Suisse International standalone
Key metrics for the third 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
third quarter
of 2025,
the common
equity tier
1 capital
of Credit
Suisse International
standalone remained
stable at USD 6.8bn. Risk-weighted assets
(RWA) decreased by USD 1.2bn to
USD 5.8bn, mainly driven by a decrease
in
credit risk
RWA. Leverage ratio
exposure decreased by
USD 4.4bn to USD 15.4bn,
as a
result of decreases
in reverse repos,
money market loans and derivatives.
The average liquidity coverage ratio
was 353.1%, compared with 361.4%
in the second quarter of
- The quarterly
variance was driven
by a decrease
of USD 2.1bn in
high-quality liquid assets
reflecting a decrease
in treasury-controlled
assets and a USD 0.5bn 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
310.8%, compared with 266.1%
in the second quarter
of 2025. The movement
in the NSFR,
aligned with the
reduction in balance sheet
exposures, was driven by
a decrease of USD 2.9bn
in available stable
funding,
mainly
reflecting
a
decrease
in
capital
and
long-term
funding.
This
was
partly
offset
by
a
decrease
of
USD 1.5bn
in
required
stable
funding,
mainly
driven
by decrease
s
in
derivative
exposures,
trading
inventory,
unsecured
lending
and
other assets.
KM1: Key metrics
1
USD m, except where indicated
30.9.25
30.6.25
31.3.25
31.12.24
30.9.24
Available capital (amounts)
1
Common Equity Tier 1 (CET1)
6,768
6,734
6,816
6,883
12,945
2
Tier 1
6,768
6,734
6,816
6,883
14,145
3
Total capital
6,768
6,734
6,816
6,883
14,145
Risk-weighted assets (amounts)
4
Total risk-weighted assets (RWA)
5,853
7,046
9,332
10,951
16,983
4b
Minimum capital requirement
2
468
564
747
876
1,359
Risk-based capital ratios as a percentage of RWA
5
CET1 ratio (%)
115.63
95.57
73.04
62.86
76.22
6
Tier 1 ratio (%)
115.63
95.57
73.04
62.86
83.29
7
Total capital ratio (%)
115.63
95.57
73.04
62.86
83.29
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 (%)
0.80
0.57
0.93
0.76
0.73
10
Bank G-SIB and / or D-SIB additional requirements (%)
11
BCBS total of bank CET1 specific buffer requirements (%)
3.30
3.07
3.43
3.26
3.23
12
CET1 available after meeting the bank’s minimum capital requirements (%)
3
107.63
87.57
65.04
54.86
71.72
Basel III leverage ratio
13
Total Basel III leverage ratio exposure measure
15,386
19,754
23,341
32,521
55,245
14
Basel III leverage ratio (%)
4
43.99
34.09
29.20
21.16
25.60
Liquidity coverage ratio (LCR)
5
15
Total high-quality liquid assets (HQLA)
10,319
12,427
14,008
15,031
14,984
16
Total net cash outflow
3,011
3,544
4,070
4,253
4,206
17
LCR (%)
353.10
361.40
361.77
363.29
367.15
Net stable funding ratio (NSFR)
18
Total available stable funding
8,043
10,951
13,990
17,503
21,600
19
Total required stable funding
2,744
4,214
6,145
8,693
12,935
20
NSFR (%)
310.83
266.14
241.78
214.78
182.88
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.
30 September 2025 Pillar 3 Report |
Appendix
31
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
DisO-FINMA
FINMA Ordinance on the
Disclosure Obligations of
Banks and Securities Firms
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
30 September 2025 Pillar 3 Report |
Appendix
32
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.
30 September 2025 Pillar 3 Report |
Appendix
33
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.
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:
November 4, 2025