6-K
UBS Group AG (UBS)
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: February 4, 2026
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
Fourth Quarter 2025
Report of UBS
Group AG, which
appears immediately following
this page.
UBS
Group
Fourth quarter 2025 report
Corporate calendar UBS Group
Information about future publication dates is generally
available at
ubs.com/global/en/investor-relations/events/calendar.html
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ubs.com/contact
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UBS’s Investor Relations team manages
relationships with institutional investors,
research analysts and credit rating agencies.
ubs.com/investors
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relationships with global media and
journalists.
ubs.com/media
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Hong Kong SAR +852-2971-8200
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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
P.O.
Box, CH-8098 Zurich, Switzerland
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
P.O.
Box, CH-8098 Zurich, Switzerland
Zurich +41-44-235-6652
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For global registered share-related
inquiries in the US.
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P.O.
Box 43006
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Shareholder online inquiries:
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investor-inquiries
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Imprint
Publisher: UBS Group AG, Zurich, Switzerland | ubs.com
Language: English
© UBS 2026. The key symbol and UBS are among
the registered and unregistered
trademarks of UBS. All rights reserved.
1.
Key figures
3
UBS Group key figures
2.
Recent developments
4
Recent developments
3.
UBS Group performance, business
divisions and Group Items
8
Group performance
17
Global Wealth Management
21
Personal & Corporate Banking
24
Asset Management
26
Investment Bank
28
Non-core and Legacy
29
Group Items
4.
Risk, capital, liquidity and funding,
and balance sheet
31
Risk management and control
36
Capital management
46
Liquidity and funding management
47
Balance sheet and off-balance sheet
49
Share information and earnings per share
5.
Consolidated
financial information
52
UBS Group AG interim consolidated financial
information (unaudited)
Appendix
65
Alternative performance measures
69
Abbreviations frequently used in
our financial reports
71
Information sources
72
Cautionary statement
UBS Group fourth quarter 2025 report
2
Terms used in this report, unless the context requires otherwise
“UBS”, “UBS Group”, “UBS Group
AG consolidated”, “Group”, “we”,
“us” and “our”
UBS Group AG and its consolidated subsidiaries
“UBS AG” and “UBS
AG consolidated”
UBS AG and its consolidated subsidiaries
“UBS Group AG”
UBS Group AG on a standalone basis
“UBS Switzerland AG”
UBS Switzerland AG on a standalone basis
“Credit Suisse Group” and “Credit Suisse”
Pre-acquisition Credit Suisse Group
“Credit Suisse Group AG”
Pre-acquisition Credit Suisse Group AG on
a standalone basis
“Credit Suisse AG”
Credit Suisse AG and its consolidated subsidiaries
before the merger with UBS AG
“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.
Alternative performance measures
An alternative performance measure (an APM) is a financial measure of historical or
future financial performance,
financial position
or cash
flows other
than a
financial measure
defined or
specified in
the applicable
recognized
accounting standards
or
in other
applicable regulations.
We
report
a
number of
APMs
in
the discussion
of
the
financial and
operating performance
of the
Group, our
business divisions
and Group
Items. We
use APMs
to provide
a
more
complete
picture of
our
operating performance
and
to
reflect
management’s view
of
the
fundamental
drivers
of
our
business
results. A
definition
of
each
APM,
the
method
used
to
calculate
it
and
the
information
content are presented
under “Alternative performance measures”
in the
appendix to this
report. Our APMs
may
qualify
as
non-GAAP
measures
as
defined
by
US
Securities
and
Exchange
Commission
(SEC)
regulations.
Our
underlying results are APMs and are non-GAAP
financial measures.
›
Refer to “Alternative performance measures” in the appendix to this report for additional information
›
Refer to the “Group performance” section of this report for additional information about underlying results
UBS Group fourth quarter 2025 report |
Key figures | UBS Group key figures
3
Key figures
UBS Group key figures
UBS Group key figures
As of or for the quarter ended
As of or for the year ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Group results
Total revenues
12,145
12,760
11,635
49,573
48,611
Credit loss expense / (release)
159
102
229
524
551
Operating expenses
10,286
9,831
10,359
40,197
41,239
Operating profit / (loss) before tax
1,700
2,828
1,047
8,853
6,821
Net profit / (loss) attributable to shareholders
1,199
2,481
770
7,767
5,085
Diluted earnings per share (USD)
1
0.37
0.76
0.23
2.36
1.52
Profitability and growth
2,3
Return on equity (%)
5.3
11.1
3.6
8.8
6.0
Return on tangible equity (%)
5.8
12.0
3.9
9.5
6.5
Underlying return on tangible equity (%)
4
10.5
14.6
6.6
12.1
8.5
Return on common equity tier 1 capital (%)
6.6
13.5
4.2
10.8
6.7
Underlying return on common equity tier 1 capital (%)
4
11.9
16.3
7.2
13.7
8.7
Revenues over leverage ratio denominator, gross (%)
3.0
3.1
3.0
3.1
3.0
Cost / income ratio (%)
84.7
77.0
89.0
81.1
84.8
Underlying cost / income ratio (%)
4
75.2
69.7
81.9
74.4
79.5
Effective tax rate (%)
29.1
12.0
25.6
11.9
24.6
Net profit growth (%)
55.6
74.2
n.m.
52.7
(81.4)
Resources
2
Total assets
1,617,427
1,632,251
1,565,028
1,617,427
1,565,028
Equity attributable to shareholders
90,213
89,899
85,079
90,213
85,079
Common equity tier 1 capital
5
71,262
74,655
71,367
71,262
71,367
Risk-weighted assets
5
493,397
504,897
498,538
493,397
498,538
Common equity tier 1 capital ratio (%)
5
14.4
14.8
14.3
14.4
14.3
Going concern capital ratio (%)
5
18.5
18.8
17.6
18.5
17.6
Total loss-absorbing capacity ratio (%)
5
38.0
39.5
37.2
38.0
37.2
Leverage ratio denominator
5
1,622,438
1,640,464
1,519,477
1,622,438
1,519,477
Common equity tier 1 leverage ratio (%)
5
4.4
4.6
4.7
4.4
4.7
Liquidity coverage ratio (%)
6
182.6
182.1
188.4
182.6
188.4
Net stable funding ratio (%)
116.1
119.7
125.5
116.1
125.5
Other
Invested assets (USD bn)
3,7
7,005
6,910
6,087
7,005
6,087
Internal and external personnel
8
119,589
122,382
128,983
119,589
128,983
Internal personnel (full-time equivalents)
103,177
104,427
108,648
103,177
108,648
Market capitalization
1,9
155,760
136,416
105,719
155,760
105,719
Total book value per share (USD)
1
29.18
28.78
26.80
29.18
26.80
Tangible book value per share (USD)
1
26.93
26.54
24.63
26.93
24.63
Credit-impaired lending assets as a percentage of total lending
assets, gross (%)
3
0.9
0.9
1.0
0.9
1.0
Cost of credit risk (bps)
3
9
6
15
8
9
1 Refer to the
“Share information and
earnings per share”
section of this
report for more
information.
2 Refer to the
“Targets,
capital guidance and
ambitions” section of
the UBS Group
Annual Report 2024,
available under “Annual reporting” at ubs.com/investors, for more information about our previous performance targets
and to the “Recent developments” section of
this report for more information about our updated
targets and ambitions.
3 Refer to “Alternative
performance measures” in the appendix
to this report for the
relevant definition(s) and calculation
method(s).
4 Refer to the “Group
performance” section of this
report for more information about underlying results.
5 Based on the Swiss systemically relevant bank framework.
Refer to the “Capital management” section of this report
for more information.
6 The disclosed
ratios represent quarterly averages for the quarters
presented and are calculated based on an average
of 64 data points in the fourth quarter
of 2025, 65 data points in the third quarter
of 2025 and 64 data points
in the fourth
quarter of 2024.
Refer to
the “Liquidity
and funding management”
section of this
report for
more information.
7 Consists of invested
assets for
Global Wealth
Management, Asset
Management
(including invested assets from associates)
and Personal &
Corporate Banking. Refer to
“Note 31 Invested assets
and net new money” in
the “Consolidated financial statements”
section of the UBS Group
Annual
Report 2024, available under “Annual reporting” at ubs.com/investors, for more information.
8 Represents full-time equivalents for internal personnel and workforce count for external personnel.
9 The calculation
of market capitalization reflects total shares issued multiplied by the share price at the end of the period.
UBS Group fourth quarter 2025 report
|
Recent developments
4
Recent developments
Management report
Integration of Credit Suisse
We continued
to make
excellent progress
on
the integration
of Credit
Suisse, which
we
expect to
substantially
complete by the
end of 2026.
Our efforts continue
to concentrate on
client account migrations,
business clearance
activities and infrastructure decommissioning.
We remain
on track
to complete
the Swiss-booked
client account
migrations by
the end
of the
first quarter
of 2026.
By the end of
the fourth quarter of 2025, 85%
of Swiss-booked accounts had been migrated, and
the migration
of Personal & Corporate client accounts was
substantially complete.
At the end
of the fourth
quarter of 2025,
we had decommissioned
around 73% of
applications in our
Non-core
and Legacy division, and
we had materially completed
the transfer of Credit
Suisse International’s residual
business
and related products to UBS AG London Branch
and UBS Europe SE.
In the
fourth quarter
of 2025,
we realized
an additional
USD 0.7bn in
gross cost
savings. Cumulative
gross cost
savings at the
end of the
fourth quarter
of 2025 amounted
to USD 10.7bn
compared with
the 2022
combined cost
base of
UBS and
Credit Suisse. We
have identified additional
synergies, enabling us
to increase
our ambition
for
annualized exit rate gross cost savings
by the end of
2026 from around USD 13bn to approximately
USD 13.5bn.
We
expect
to
have
incurred
cumulative
integration-related expenses
of
around
USD 15bn
at
the
end
of
2026,
assuming constant foreign-exchange rates.
As
of
31 December
2025,
our
Non-core
and
Legacy
division
has
delivered
a
67%
reduction
in
risk-weighted
assets (RWA) since the
second quarter of
- We
have achieved a
reduction of
credit and
market risk RWA
to
around USD 5bn, and our ambition is to reduce
this further,
to around USD 4bn by the end of 2026.
Targets, ambitions and strategy update
Group targets, ambitions and guidance
We are on track to deliver on our exit rate
targets upon completion of the integration
by the end of 2026:
–
an underlying return on common equity tier 1
capital (RoCET1) of around 15% (exit
rate);
–
an underlying cost / income ratio of less than
70% (exit rate); and
–
gross cost savings
of around USD 13.5bn
(exit rate) compared with
the 2022 combined cost
base of UBS
and
Credit Suisse.
As we
complete the
integration, we
believe our
scale and
client franchises
will position
us to
sustainably deliver
higher returns.
We aim
to deliver
reported RoCET1
of around
18% in
2028 (based
on the
current capital
framework
and assuming a
common equity
tier 1 (CET1) capital
ratio of
around 14%)
and a reported
cost / income ratio of
around 67% in 2028.
Our capital guidance remains unchanged,
and we aim to maintain:
–
a CET1 capital ratio of around 14%;
and
–
a CET1 leverage ratio of greater than 4.0%.
Our business division ambitions are:
–
for Global Wealth
Management, more
than USD 5.5trn
of invested assets
by 2028,
more than USD
200bn of
net
new assets per annum from 2028 and a reported
cost / income ratio of around 68%;
–
for Personal & Corporate Banking,
a reported cost / income ratio of around 48% in 2028 and a reported return
on attributed equity of around 19% over the
medium term;
–
for
Asset
Management,
a
net
new
money
growth
rate
of
around
3%
(through
the
cycle)
and
a
reported
cost / income ratio of around 65% in 2028;
and
–
for
the
Investment Bank,
unchanged
ambitions, with
a
reported
return
on
attributed equity
of
around 15%
(through the cycle).
UBS Group fourth quarter 2025 report
|
Recent developments
5
Capital returns
For the 2025 financial
year, the Board of
Directors plans to propose
a dividend to UBS
Group AG shareholders of
USD 1.10 per share.
Subject to approval
at the Annual
General Meeting, scheduled
for 15 April 2026,
the dividend
will be
paid on
23 April 2026
to shareholders
of record
on 22 April
- The
ex-dividend date
will be
21 April
2026
on
the
SIX
Swiss
Exchange
and
22 April
2026
on
the
New
York
Stock
Exchange.
We
are
committed
to
progressive dividends and plan to accrue for
a mid-teens percent increase in dividend per
share in 2026.
In the fourth quarter of 2025, we completed
our planned share repurchases of USD 3bn.
We intend to repurchase
USD 3bn of
shares in
2026 with
the aim
to do
more.
The amount
of additional repurchases
is subject
to further
clarity around
the future
regulatory regime
in Switzerland,
our financial
performance
and maintaining
a CET1
capital
ratio of around 14%.
Beyond 2026,
we intend
to continue
to pursue
a progressive
dividend complemented by
share repurchases
that
will
be
calibrated
based
on
our
financial
results,
our
capital
ratio
and
the
final
outcome
and
timing
of
the
implementation of the new regulatory regime
in Switzerland.
Regulatory and legal developments
US supervisory changes
US federal
banking agencies
have undertaken
several initiatives
to reform
supervisory standards
with the
stated
objective of
prioritizing material
financial risks.
In October
2025, the
Federal Deposit
Insurance Corporation
(the
FDIC) and the Office of
the Comptroller of the
Currency (the OCC) issued
two proposals. The first
proposal aims to
clarify
supervisory standards
regarding
the
circumstances under
which
a
deficiency
would
rise
to
the
level
of
a
supervisory finding or
enforcement action. The
second proposal would
prohibit examiners from
criticizing or taking
adverse action on
the basis of
reputational risk. In
November 2025, the
Federal Reserve Board
released a statement
of supervisory operating
principles that outlines
objectives for supervision,
expressing its focus
on material financial
risks over
process-based concerns.
The Federal
Reserve Board
has also
finalized a
rule to
amend its
supervisory rating
framework for
large bank
holding companies.
Under the
rule, which
became effective
on 16 January
2026, the
Federal Reserve Board
will take a more
holistic approach in
determining whether it
considers covered companies
to
be well managed. The impact of these will depend
on the implementation by examination
staff at these agencies.
In
addition, in
August 2025,
a
presidential executive
order directed
the US
federal banking
agencies to
identify
supervised
institutions
that
have
previously
engaged
in
or
are
currently
engaged
in
“politicized
or
unlawful
debanking”, which the order defined as restrictions on access to
financial services based on a customer’s political
or religious beliefs or lawful business activities. In
December 2025, the OCC released preliminary findings from its
supervisory review
of debanking
activities at the
nine largest national
banks that
it supervises.
The OCC determined
that
the
banks
had
policies
or
practices
that
limited
access
to
banking
services
for
certain
customers
and
has
recommended documentation of individualized,
objective, risk-based analyses for any decision to restrict
access to
banking services. The full impact of this issue will be
dependent on the outcome of ongoing debanking
reviews of
the OCC and other federal banking agencies.
In January 2026,
the OCC
issued a conditional
approval for
UBS Bank
USA’s application
to become
a national
bank.
Developments in the EU to simplify regulations
regarding environmental, social and governance
matters
In
December
2025,
EU
legislators
reached
a
final
agreement
on
proposals
to
simplify
the
requirements
of
the
Corporate Sustainability
Reporting Directive
(the CSRD)
and the
Corporate Sustainability
Due Diligence
Directive
(the CSDDD) with a view to reducing the reporting and regulatory burden, particularly for smaller companies, and
to enhancing the EU’s competitiveness. The agreement
provides for a significantly reduced scope of application of
both the CSRD
and the CSDDD, while
maintaining their extra-territorial application. Companies within
the scope
of the
CSDDD will
be required
to take
a risk-based
approach when conducting
due diligence
and will
no longer
have to adopt a transition
plan for climate change
mitigation. EU Member
States will have to transpose
the revised
CSRD into national
law within the 12
months following its
entry into force, which
is expected in the
first quarter of
2026.
With
regard to
the CSDDD,
the transposition
deadline has
been
further postponed
until July
2028, with
compliance to be
achieved by July
- UBS AG, having
selected Germany as
its EU home
member state under
the EU Transparency directive,
and UBS Europe SE would
remain within the
scope of the
revised CSRD and become
subject to CSRD
reporting once Germany
has transposed this
directive.
We are
assessing the expected
impact of
scope changes of the revised CSDDD.
UBS Group fourth quarter 2025 report
|
Recent developments
6
On
1 January
2026,
simplification
measures
to
the
reporting
requirements
under
Art. 8
of
the
EU
Taxonomy
Regulation became effective.
Companies have the option of
implementing the changes for
the 2025 financial year
or of
postponing until
the 2026
financial year.
The measures
aim
to reduce
the burden
and costs
of taxonomy
reporting for companies
pending the completion
of the comprehensive
review of the EU
Taxonomy Regulation and
related reporting rules in 2026. UBS is considering
the application of these measures to the
taxonomy reporting of
UBS AG standalone and UBS Europe SE consolidated
for the 2025 financial year.
Other developments
Repurchase of legacy Credit Suisse debt
In November
2025, UBS
repurchased USD 7.7bn aggregate
principal amount
of legacy
Credit Suisse
senior debt
instruments for an aggregate
acquisition cost of around
USD 8.5bn. UBS Group recognized
a net loss in the fourth
quarter of
USD 457m on
the retirement
of these
instruments, including
the release
of purchase
price allocation
adjustments of
USD 427m. The
net loss
is
expected to
be more
than offset
in future
periods by
lower ongoing
interest expense.
Sale of O’Connor business
On
31 December
2025,
UBS
Asset
Management
(Americas)
LLC
completed
the
first
closing
of
its
previously
announced sale
of its
O’Connor single
manager hedge fund,
private credit
and commodities platform
to Cantor
Fitzgerald. In connection with this
closing,
UBS recognized a loss
of USD 29m in the
fourth quarter of 2025. UBS
expects to
complete the
transfer of
the remaining
funds in
the first
quarter of
2026
and does
not expect
to recognize
any material profit or loss upon such completion.
Sale of our interest in Swisscard AECS GmbH
In January 2026, we completed the sale of our 50% interest in Swisscard AECS GmbH (Swisscard), a joint venture
in Switzerland between
UBS and American
Express Swiss Holdings
GmbH (American Express),
to American Express,
and expect
to record
a gain
on sale
in the
first quarter
of 2026.
As previously disclosed,
this gain
is expected
to
largely offset the effects related to the prior
Swisscard transactions recorded in the
fourth quarter of 2024 and the
first quarter of 2025.
Organizational changes
Mike
Dargan stepped
down as
Group
Chief Operations
and
Technology Officer
at
the end
of December
2025.
Effective
1 January
2026,
the
Group
Technology
function
reports
to
Beatriz
Martin
in
her
role
as
Group
Chief
Operating Officer.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items
7
UBS Group performance,
business divisions and Group Items
Management report
Our businesses
We report
five business
divisions, each
of which
qualifies as
an operating
segment pursuant
to IFRS
Accounting
Standards: Global Wealth Management,
Personal & Corporate Banking,
Asset Management, the Investment
Bank,
and Non-core and Legacy. Non-core and Legacy consists of positions and businesses not aligned with our strategy
and policies.
Our Group
functions are
support and
control functions
that provide
services to
the Group.
Virtually all
costs incurred
by our Group functions are
allocated to the business divisions,
leaving a residual amount that
we refer to as Group
Items in our segment reporting.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
8
Group performance
Income statement
For the quarter ended
% change from
For the year ended
USD m
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Net interest income
2,172
1,981
1,838
10
18
7,747
7,108
Other net income from financial instruments measured
at fair value through profit or loss
3,163
3,502
3,144
(10)
1
14,011
14,690
Net fee and commission income
7,223
7,204
6,598
0
9
27,912
26,138
Other income
(412)
73
56
(96)
675
Total revenues
12,145
12,760
11,635
(5)
4
49,573
48,611
Credit loss expense / (release)
159
102
229
56
(31)
524
551
Personnel expenses
6,681
7,172
6,361
(7)
5
27,861
27,318
General and administrative expenses
2,740
1,755
3,004
56
(9)
8,807
10,124
Depreciation, amortization and impairment of non-financial
assets
865
904
994
(4)
(13)
3,529
3,798
Operating expenses
10,286
9,831
10,359
5
(1)
40,197
41,239
Operating profit / (loss) before tax
1,700
2,828
1,047
(40)
62
8,853
6,821
Tax expense / (benefit)
495
341
268
45
85
1,056
1,675
Net profit / (loss)
1,205
2,487
779
(52)
55
7,797
5,146
Net profit / (loss) attributable to non-controlling interests
6
6
9
7
(27)
30
60
Net profit / (loss) attributable to shareholders
1,199
2,481
770
(52)
56
7,767
5,085
Comprehensive income
Total comprehensive income
1,270
2,073
(1,878)
(39)
12,045
3,401
Total comprehensive income attributable to non-controlling interests
(6)
5
(27)
(79)
48
13
Total comprehensive income attributable to shareholders
1,275
2,067
(1,851)
(38)
11,998
3,388
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
9
Selected financial information of the business divisions and Group Items
For the quarter ended 31.12.25
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core and
Legacy
Group Items
Total
Total revenues as reported
6,695
2,286
800
2,946
(8)
(575)
12,145
of which: PPA effects and other integration items
1
135
226
61
2
(404)
2
20
of which: loss related to an investment in an associate
(20)
(54)
(74)
Total revenues (underlying)
6,580
2,114
800
2,885
(10)
(171)
12,199
Credit loss expense / (release)
32
101
1
34
(12)
3
159
Operating expenses as reported
5,373
1,621
588
2,272
459
(27)
10,286
of which: integration-related expenses and PPA effects
3
384
285
57
124
233
34
1,117
Operating expenses (underlying)
4,989
1,336
531
2,148
226
(62)
9,169
Operating profit / (loss) before tax as reported
1,290
565
212
640
(455)
(552)
1,700
Operating profit / (loss) before tax (underlying)
1,558
678
268
703
(224)
(113)
2,871
For the quarter ended 30.9.25
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core and
Legacy
Group Items
Total
Total revenues as reported
6,543
2,321
843
3,244
(40)
(149)
12,760
of which: PPA effects and other integration items
1
171
276
219
4
1
34
701
of which: loss related to an investment in an associate
(38)
(102)
(140)
Total revenues (underlying)
6,410
2,147
843
3,025
(42)
(183)
12,199
Credit loss expense / (release)
7
72
0
17
6
0
102
Operating expenses as reported
5,182
1,619
624
2,327
56
23
9,831
of which: integration-related expenses and PPA effects
3
553
376
64
106
205
20
1,323
Operating expenses (underlying)
4,629
1,242
560
2,221
(149)
4
8,507
Operating profit / (loss) before tax as reported
1,354
631
218
900
(102)
(173)
2,828
Operating profit / (loss) before tax (underlying)
1,774
833
282
787
102
(187)
3,590
For the quarter ended 31.12.24
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core and
Legacy
Group Items
Total
Total revenues as reported
6,121
2,245
766
2,749
(58)
(188)
11,635
of which: PPA effects and other integration items
1
200
258
202
(4)
656
of which: loss related to an investment in an associate
(21)
(59)
(80)
Total revenues (underlying)
5,942
2,047
766
2,547
(58)
(184)
11,059
Credit loss expense / (release)
(14)
175
0
63
6
0
229
Operating expenses as reported
5,268
1,476
639
2,207
858
(88)
10,359
of which: integration-related expenses and PPA effects
3
460
209
96
174
317
(1)
1,255
of which: items related to the Swisscard transactions
5
41
41
Operating expenses (underlying)
4,808
1,226
543
2,032
541
(88)
9,062
Operating profit / (loss) before tax as reported
867
595
128
479
(923)
(100)
1,047
Operating profit / (loss) before tax (underlying)
1,147
646
224
452
(606)
(96)
1,768
1 Includes accretion
of PPA
adjustments on financial
instruments and other
PPA effects,
as well as
temporary and incremental
items directly related
to the integration.
2 Includes a USD
457m net loss
from the
repurchase of legacy Credit Suisse debt instruments, as the repurchase price exceeded the amortized-cost carrying value (the net loss reflects a loss of USD 885m before PPA adjustments,
partly offset by a USD 427m
gain from the release of PPA adjustments).
3 Includes temporary, incremental operating expenses directly related to the integration, as well as amortization
of intangibles resulting from the acquisition of the Credit
Suisse Group.
4 Includes a USD 128m gain from
the sale of a stake
in a subsidiary, Credit
Suisse Securities (China) Limited.
5 Represents the termination fee paid
to American Express related to
the sale of our
50% holding in Swisscard.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
10
Selected financial information of the business divisions and Group Items (continued)
For the year ended 31.12.25
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core and
Legacy
Group Items
Total
Total revenues as reported
25,960
9,154
3,156
12,340
154
(1,190)
49,573
of which: PPA effects and other integration items
1
624
1,016
570
2
4
(323)
3
1,892
of which: loss related to an investment in an associate
(62)
(168)
(230)
of which: items related to the Swisscard transactions
4
64
64
Total revenues (underlying)
25,398
8,242
3,156
11,769
150
(867)
47,848
Credit loss expense / (release)
48
339
1
133
(1)
2
524
Operating expenses as reported
20,705
6,318
2,436
9,387
1,353
(2)
40,197
of which: integration-related expenses and PPA effects
5
1,675
1,093
256
463
882
53
4,422
of which: items related to the Swisscard transactions
6
180
180
Operating expenses (underlying)
19,030
5,045
2,179
8,924
472
(56)
35,595
Operating profit / (loss) before tax as reported
5,207
2,497
719
2,819
(1,199)
(1,190)
8,853
Operating profit / (loss) before tax (underlying)
6,320
2,857
975
2,712
(321)
(813)
11,729
For the year ended 31.12.24
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core and
Legacy
Group Items
Total
Total revenues as reported
24,516
9,334
3,182
10,948
1,605
(975)
48,611
of which: PPA effects and other integration items
1
891
1,038
989
(41)
2,877
of which: loss related to an investment in an associate
(21)
(59)
(80)
Total revenues (underlying)
23,646
8,355
3,182
9,958
1,605
(933)
45,814
Credit loss expense / (release)
(16)
404
(1)
97
69
(2)
551
Operating expenses as reported
20,608
5,741
2,663
8,934
3,512
(220)
41,239
of which: integration-related expenses and PPA effects
5
1,807
749
351
717
1,154
(12)
4,766
of which: items related to the Swisscard transactions
7
41
41
Operating expenses (underlying)
18,802
4,951
2,312
8,217
2,359
(208)
36,432
Operating profit / (loss) before tax as reported
3,924
3,189
520
1,917
(1,976)
(752)
6,821
Operating profit / (loss) before tax (underlying)
4,860
3,000
871
1,644
(822)
(723)
8,831
1 Includes accretion of PPA adjustments
on financial instruments and other PPA
effects, as well as temporary and incremental
items directly related to the integration.
2 Includes a USD
128m gain from the sale of
a stake in a subsidiary,
Credit Suisse Securities (China) Limited.
3 Includes a USD 457m net loss
from the repurchase of legacy Credit
Suisse debt instruments, as
the repurchase price exceeded the amortized
-cost
carrying value (the net loss reflects a loss of USD 885m before PPA adjustments,
partly offset by a USD 427m gain from the release of PPA
adjustments).
4 Represents the gain related to UBS’s share of the income
recorded by Swisscard for the sale of the Credit Suisse card portfolios to UBS.
5 Includes temporary, incremental operating expenses directly related to the integration, as well as amortization of intangibles resulting
from the acquisition of
the Credit Suisse Group.
6 Represents the expense related
to the payment to
Swisscard for the sale
of the Credit Suisse
card portfolios to UBS.
7 Represents the termination
fee paid to
American Express related to the sale of our 50% holding in Swisscard.
Net integration-related expenses, by business division and Group Items
For the quarter ended
For the year ended
USD m
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Global Wealth Management
381
550
458
1,665
1,845
Personal & Corporate Banking
259
350
183
988
654
Asset Management
57
64
96
256
351
Investment Bank
125
(22)
1
174
336
1
717
Non-core and Legacy
231
204
317
877
1,154
Group Items
888
2
0
6
890
2
36
Net integration-related expenses
1,941
1,146
1,233
5,013
4,757
of which: total revenues
3
853
2
(149)
1
6
705
1, 2
104
of which: operating expenses
1,089
1,295
1,227
4,308
4,653
of which: personnel expenses
563
726
599
2,467
2,541
of which: general and administrative expenses
433
472
484
1,498
1,681
of which: depreciation, amortization and impairment of non-financial
assets
92
97
144
343
430
1 Includes a USD 128m gain from the sale of a stake in a subsidiary, Credit Suisse
Securities (China) Limited.
2 Includes an USD 885m loss from the repurchase of legacy Credit Suisse debt instruments, excluding
a
partly offsetting gain of USD 427m from the release of PPA adjustments (a net loss of USD 457m was
recognized on retirement of these instruments in the fourth quarter of 2025).
3 Negative values represent net
income.
Underlying results
In addition to
reporting our
results in accordance
with IFRS Accounting
Standards, we
report underlying results
that
exclude items of profit or loss that management
believes are not representative of
the underlying performance.
In
the
fourth
quarter
of
2025,
underlying
revenues
excluded
purchase
price
allocation
(PPA)
effects
and
other
integration items,
including a
net loss
from the
repurchase
of legacy
Credit Suisse
debt instruments.
PPA effects
mainly consisted
of PPA
adjustments on
financial instruments measured
at amortized
cost, including
off-balance
sheet positions, arising from the acquisition of the Credit Suisse Group. Accretion of PPA adjustments on financial
instruments is accelerated
when the related
financial instrument
is derecognized
before its contractual
maturity. No
adjustment is made for
accretion of PPA on
financial instruments within
Non-core and Legacy, due
to the nature of
its business model.
Underlying revenues also excluded a loss relating
to an investment in an associate.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
11
In
the
fourth
quarter
of
2025,
underlying
expenses
excluded
integration-related
expenses
that
are
temporary,
incremental and directly
related to the
integration of Credit
Suisse into
UBS, including costs
of internal
staff and
contractors
substantially
dedicated
to
integration
activities,
retention
awards,
redundancy
costs,
incremental
expenses from
the shortening
of useful lives
of property,
equipment and software,
and impairment charges
relating
to
these
assets.
Classification
as
integration-related
expenses
does
not
affect
the
timing
of
recognition
and
measurement of those expenses or the presentation
thereof in the income statement.
Results: 4Q25 vs 4Q24
Reported operating
profit before
tax increased
by USD 653m,
or 62%,
to USD 1,700m, reflecting
an increase
in
total
revenues
and
a
decrease
in
operating
expenses,
as
well
as
lower
net
credit
loss
expenses.
Total
revenues
increased by USD 510m, or 4%, to USD 12,145m, which included an increase from foreign currency
effects and a
decrease
of USD
636m in
accretion impacts
resulting from
PPA
adjustments on
financial
instruments and
other
integration items. The increase
in total revenues
was primarily driven
by an increase
of USD 625m in
net fee and
commission income
and an
increase of
USD 352m in
combined net
interest income
and other
net income
from
financial instruments measured at fair value
through profit or loss, partly
offset by a USD 468m
decrease in other
income, largely
reflecting a
net loss
of USD 457m
from the
repurchase
of legacy Credit
Suisse debt
instruments.
Operating expenses
decreased by
USD 73m, or
1%, to
USD 10,286m, which
included a
USD 138m decrease
in
integration-related
expenses
and
an
increase
from
foreign
currency
effects.
The
overall
reduction
in
operating
expenses reflected decreases of USD 264m
in general and administrative expenses and USD 129m
in expenses for
depreciation,
amortization
and
impairment
of
non-financial
assets,
partly
offset
by
a
USD 320m
increase
in
personnel expenses.
Net credit loss expenses were USD 159m, compared with USD 229m
in the fourth quarter of
2024.
›
Refer to “Other developments” in the “Recent developments” section of this report for more information about the
repurchase of legacy Credit Suisse debt
Underlying results 4Q25 vs 4Q24
Underlying revenues for the fourth quarter of 2025 excluded
PPA effects and other integration items of
USD 20m,
including a net loss of USD 457m from the
repurchase
of legacy Credit Suisse debt instruments,
and also excluded
a USD 74m loss relating to
an investment in an associate.
Underlying operating expenses excluded
USD 1,117m
of
integration-related expenses and PPA effects.
On
an
underlying
basis,
profit
before
tax
increased
by
USD 1,103m
to
USD 2,871m,
reflecting
a
USD 1,140m
increase in
total revenues
and a
USD 70m decrease
in net
credit loss
expenses, partly
offset by
a USD 107m
increase
in operating expenses.
Total revenues: 4Q25 vs 4Q24
Net interest income and other net income
from financial instruments measured at
fair value through profit or loss
Total combined
net interest
income and
other net
income from
financial instruments
measured at
fair value
through
profit or
loss increased
by USD 352m
to USD 5,334m
and included
a decrease
of USD 85m
in accretion
impacts
resulting from PPA adjustments on financial
instruments and other PPA effects.
Global Wealth Management
revenues increased by
USD 83m to USD
2,300m, which
included a
USD 62m
decrease
in
accretion
of
PPA
adjustments
on
financial
instruments
and
other
PPA
effects.
Excluding
the
aforementioned
effects, net interest income
increased, largely driven
by the effects of
favorable changes in
deposit mix and positive
foreign currency effects,
partly offset by the impact of
lower central bank interest rates
on deposit revenues. There
was
also
an
increase of
USD 100m
in
transaction-based income
from foreign
exchange and
other
intermediary
activity.
Personal
&
Corporate
Banking
revenues
decreased
by
USD
32m
to
USD
1,540m,
which
included
a
USD
38m
decrease
in
accretion
of
PPA
adjustments
on
financial
instruments
and
other
PPA
effects.
Excluding
the
aforementioned effects, net interest income was
broadly stable, as a
decrease due to the
impact of lower central
bank interest
rates on
deposit revenues
was largely
offset by
positive foreign
currency effects
and impacts
from
deposit pricing measures and lower liquidity
and funding costs.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
12
Investment Bank revenues
increased by USD 183m
to USD 1,738m, including
a USD 5m decrease
in accretion of
PPA adjustments on financial instruments and other PPA effects. The revenues included a gain of USD 102m from
a strategic
equity investment in
Global Markets.
Excluding the aforementioned
effects, the growth
was primarily
due to higher revenues
in Derivatives & Solutions, mainly
driven by Foreign Exchange and
Equity Derivatives from
higher levels of client activity.
Non-core and Legacy revenues
were negative USD 60m, compared with negative USD 153m in the fourth quarter
of 2024, mainly due to
lower liquidity and funding
costs, partly offset by
lower net interest income,
as a result of a
smaller portfolio, and further offset by higher markdowns.
Revenues in Group
Items were
negative USD 181m, compared
with negative USD 202m
in the
fourth quarter of
2024, and
included a USD 20m
increase in
accretion of PPA
adjustments on
financial instruments and
other PPA
effects.
›
Refer to the relevant business division and Group Items commentary in this section for more information about the
specific revenues of each of the business divisions and Group Items
Net interest income and other net income from financial instruments measured at fair value through profit or loss
For the quarter ended
% change from
For the year ended
USD m
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Net interest income from financial instruments measured
at amortized cost and fair value
through other comprehensive income
577
329
(55)
76
1,404
47
Net interest income from financial instruments measured
at fair value through profit or
loss and other
1,594
1,652
1,893
(4)
(16)
6,343
7,061
Other net income from financial instruments measured
at fair value through profit or loss
3,163
3,502
3,144
(10)
1
14,011
14,690
Total
5,334
5,483
4,982
(3)
7
21,758
21,798
Global Wealth Management
2,300
2,192
2,217
5
4
8,854
9,031
of which: net interest income
1,832
1,773
1,849
3
(1)
7,018
7,358
of which: transaction-based income from foreign exchange and other
intermediary
activity
1
468
419
368
12
27
1,836
1,673
Personal & Corporate Banking
1,540
1,626
1,572
(5)
(2)
6,178
6,479
of which: net interest income
1,322
1,395
1,362
(5)
(3)
5,322
5,650
of which: transaction-based income from foreign exchange and other
intermediary
activity
1
218
231
209
(5)
4
856
829
Asset Management
(3)
(9)
(5)
(70)
(49)
(16)
16
Investment Bank
1,738
1,870
1,555
(7)
12
7,536
6,164
Non-core and Legacy
(60)
(43)
(153)
40
(61)
(24)
1,163
Group Items
(181)
(153)
(202)
18
(11)
(771)
(1,054)
1 Mainly includes spread-related income in connection with client-driven transactions, foreign currency
translation effects and income and expenses from precious metals, which are included in the income statement
line Other net income from financial instruments measured
at fair value through profit or loss.
The amounts reported on this line are
one component of Transaction-based
income in the management discussion and
analysis in the “Global Wealth Management” and “Personal & Corporate Banking” sections
of this report.
Net fee and commission income
Net fee and commission income increased
by USD 625m
to USD 7,223m
and included a decrease of USD
131m in
accretion of PPA adjustments on financial instruments and other PPA effects, which was reflected in other fee and
commission income, predominantly in Global
Banking in the Investment Bank.
Fees for
portfolio management,
investment funds
and related
services increased
by USD 441m
to USD 5,106m.
These fees
are largely
recurring and
are mainly
driven by
portfolio management
and asset-based
fund fees
in Global
Wealth Management
and management
fees in
Asset Management.
The year-on-year
increase in
Global Wealth
Management
was
mainly
driven
by
higher
average
levels
of
fee-generating
assets,
primarily
from
mandates,
reflecting
positive
market
performance
and
net
new
fee-generating
asset
inflows
in
2025.
Increases
in
Asset
Management
were
mainly
driven
by
higher
average
levels
of
invested
assets,
primarily
from
positive
market
performance and foreign currency effects,
partly offset by ongoing margin compression.
Net
brokerage
fees
increased
by
USD 253m
to
USD 1,334m,
driven
by
increased
volumes
in
Cash
Equities
in
Execution Services
in the
Investment Bank,
led by the
Asia Pacific region,
and higher
levels of
client activity
in Global
Wealth Management across all regions.
Other income
Other income
was negative
USD 412m, compared
with positive
USD 56m
in the fourth
quarter of 2024.
The fourth
quarter of 2025 included a net loss of USD 457m from
the repurchase of legacy Credit Suisse debt instruments.
In
addition, a
loss of
USD 74m relating
to an
investment in
an associate
was recognized,
compared with
a loss
of
USD 80m in the fourth quarter of 2024.
The fourth quarter of 2025 also included
a net loss in Asset Management
of USD 29m
related to
the sale
of its
O’Connor business.
The losses
were partly
offset by
a release
of USD 42m
related to other financial liabilities in Global Wealth
Management.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
13
Credit loss expense / release: 4Q25 vs 4Q24
Total net
credit loss
expenses in the
fourth quarter of
2025 were
USD 159m, reflecting net
releases of USD 15m
related
to
performing
positions
and
net
expenses
of
USD 174m
on
credit-impaired
positions.
Net
credit
loss
expenses were USD 229m
in the fourth quarter of 2024.
Credit loss expense / (release)
Performing positions
Credit-impaired positions
USD m
Stages 1 and 2
Stage 3
Purchased
Total
For the quarter ended 31.12.25
Global Wealth Management
1
31
0
32
Personal & Corporate Banking
(16)
116
0
101
Asset Management
0
1
0
1
Investment Bank
(2)
36
0
34
Non-core and Legacy
(2)
0
(10)
(12)
Group Items
3
0
0
3
Total
(15)
184
(10)
159
For the quarter ended 30.9.25
Global Wealth Management
(4)
10
1
7
Personal & Corporate Banking
2
69
0
72
Asset Management
0
0
0
0
Investment Bank
6
11
0
17
Non-core and Legacy
0
2
4
6
Group Items
0
0
0
0
Total
5
93
4
102
For the quarter ended 31.12.24
Global Wealth Management
(26)
12
0
(14)
Personal & Corporate Banking
(24)
199
0
175
Asset Management
0
0
0
0
Investment Bank
32
31
0
63
Non-core and Legacy
(2)
5
3
6
Group Items
(1)
0
0
0
Total
(21)
247
3
229
Operating expenses: 4Q25 vs 4Q24
Operating expenses
For the quarter ended
% change from
For the year ended
USD m
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Personnel expenses
6,681
7,172
6,361
(7)
5
27,861
27,318
of which: salaries and variable compensation
5,564
5,906
5,321
(6)
5
23,338
23,047
of which: variable compensation – financial advisors
1
1,492
1,419
1,400
5
7
5,654
5,293
General and administrative expenses
2,740
1,755
3,004
56
(9)
8,807
10,124
of which: net expenses / (releases) for litigation, regulatory
and similar matters
17
(668)
99
(83)
(949)
(128)
Depreciation, amortization and impairment of non-financial
assets
865
904
994
(4)
(13)
3,529
3,798
Total operating expenses
10,286
9,831
10,359
5
(1)
40,197
41,239
1 Financial advisor compensation consists of cash
compensation, determined using a formulaic
approach based on production, and
deferred awards. It also
includes expenses related to compensation commitments
with financial advisors entered into at the time of recruitment that are subject to vesting requirements.
Personnel expenses
Personnel
expenses
increased
by
USD 320m
to
USD 6,681m,
mainly
driven
by
an
increase
in
accruals
for
performance awards, reflecting
business performance,
and an increase in financial
advisor compensation,
resulting
from higher compensable revenues.
Salary expenses were broadly
unchanged, as increases
due to foreign currency
effects were almost entirely offset by the impact
of a smaller workforce.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
14
General and administrative expenses
General
and
administrative
expenses
decreased
by
USD 264m
to
USD 2,740m,
mainly
driven
by
a
USD 134m
decrease in consulting,
legal and audit fees
and an USD 82m
decrease in net
expenses for litigation,
regulatory and
similar
matters.
In
addition,
the
fourth
quarter
of
2024
reflected
a
USD 41m
expense
related
to
the
Swisscard
transactions.
There
were
also
decreases
of
USD 36m
in
marketing
and
communication
costs,
USD 34m
in
outsourcing costs, and USD 33m
in real estate and logistics costs.
The decreases were partly offset by
a USD 139m
increase in technology costs, largely driven by
the recognition of provisions for onerous contracts
related to IT, and
a USD 25m increase in donation expenses,
due to higher contributions to the UBS
Optimus Foundation.
›
Refer to “Other developments” in the “Recent developments” section and “Provisions and contingent liabilities” in
the “Consolidated financial information” section of this report for more information about litigation, regulatory
and similar matters
›
Refer to the “Regulatory and legal developments” and “Risk factors” sections of the UBS Group Annual Report
2024, available under “Annual reporting” at
ubs.com/investors
, for more information about litigation, regulatory
and similar matters
Depreciation, amortization and impairment of
non-financial assets
Depreciation, amortization
and impairment
of non-financial
assets decreased
by USD 129m
to USD 865m,
primarily
reflecting
a
USD 71m
decrease
in
depreciation
of
leased
real
estate
as
a
result
of
higher
levels
of
accelerated
depreciation
in
the
fourth
quarter
of
2024,
driven
by
integration
activities.
In
addition,
there
was
a
USD 47m
decrease in the depreciation
of IT and communication
equipment, mainly driven
by internally generated
capitalized
software,
reflecting a lower cost base of software assets.
Tax: 4Q25 vs 4Q24
The Group had a
net income tax
expense of USD 495m
in the fourth quarter
of 2025, representing
an effective tax
rate of 29.1%, compared with USD 268m in the
fourth quarter of 2024 and an effective
tax rate of 25.6%.
The net current tax expense was USD 276m, which
primarily related to the taxable profits of UBS
Switzerland AG
and other entities.
There was
a net
deferred tax
expense of
USD 219m. This
reflects a
net deferred
tax expense
of USD 287m
that
primarily related
to the
amortization of
deferred tax
assets (DTAs)
previously recognized
in relation
to tax
losses
carried
forward
and
deductible
temporary
differences,
partly
offset
by
a
net
benefit
of
USD 68m
related
to
revaluations of DTAs for certain entities in
connection with our business planning
process.
For the
full year
2026, we
expect a
tax rate
of around
23%, excluding
any potential
effects from
the remeasurement
of DTAs in
connection with
the business planning
process for 2026
and any material
jurisdictional statutory
tax rate
changes that could be enacted.
Total comprehensive income attributable
to shareholders
In the
fourth quarter
of 2025,
total comprehensive
income attributable
to shareholders
was USD 1,275m,
reflecting
a net profit of USD 1,199m and other comprehensive
income (OCI), net of tax, of USD 76m.
Foreign currency translation OCI
was USD 144m, mainly due
to the US
dollar weakening against the
Swiss franc,
and including a
positive effect from
UBS’s share of
a foreign currency
translation loss that
was reclassified from
OCI
to the income statement by an associate of
UBS.
OCI related to own credit on financial liabilities designated at fair value was negative USD 87m, primarily due to a
tightening of our own credit spreads.
›
Refer to “Statement of comprehensive income” in the “Consolidated financial information” section of this report
for more information
›
Refer to “Reconciliation of equity under IFRS Accounting Standards to Swiss SRB common equity tier 1 capital” in
the “Capital management” section of this report for more information about the effects of OCI on common equity
tier 1 capital
›
Refer to “Note 21 Fair value measurement” in the “Consolidated financial statements” section of the UBS Group
Annual Report 2024, available under “Annual reporting” at
ubs.com/investors
, for more information about own
credit on financial liabilities designated at fair value
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
15
Sensitivity to interest rate movements
As of
31 December 2025, it
is estimated
that a
parallel shift
in yield
curves by
+100 basis
points could lead
to a
combined increase in
annual net interest
income from our
banking book of
approximately USD 1.4bn in
the first
year after
such a
shift. Of
this increase,
approximately USD 1.1bn, USD 0.2bn
and USD 0.1bn
would result
from
changes in Swiss franc, US dollar and euro
interest rates, respectively.
A parallel shift in yield
curves by –100 basis points
could lead to a combined
increase in annual net
interest income
of approximately
USD 0.9bn. Of this increase, approximately USD 1.2bn would result from changes in Swiss franc
interest rates,
driven by both
contractual and
assumed flooring
benefits under
negative interest
rates. US dollar
and
euro interest rates would lead to an offsetting
decrease of USD 0.2bn and USD 0.1bn, respectively.
These estimates do not represent net interest income forecasts, as they are based
on a hypothetical scenario of an
immediate
change
in
interest
rates,
equal
across
all
currencies
and
relative
to
implied
forward
rates
as
of
31 December 2025
applied to our banking book. These estimates further
assume no change to balance sheet size
and product mix, stable foreign exchange rates,
and no specific management action.
›
Refer to the “Risk management and control” section of this report for information about interest rate risk in the
banking book
Key figures and personnel
Below is
an overview
of selected
key figures
of the
Group. For
further information
about key
figures related
to
capital management, refer to the “Capital management”
section of this report.
Cost / income ratio: 4Q25 vs 4Q24
The cost / income
ratio was
84.7%, compared
with 89.0%,
as a
result of
higher total
revenues and
lower operating
expenses.
On an underlying basis the cost / income ratio was 75.2%, compared with 81.9%, as a result of higher
total revenues,
partly offset by higher operating expenses.
Personnel: 4Q25 vs 3Q25
The
number
of
internal
and
external
personnel
employed
was
approximately
119,589
(based
on
full-time
equivalents for
internal
personnel and
workforce count
for
external personnel)
as
of
31 December 2025,
a
net
decrease
of
2,793
compared
with
30 September
2025.
The
number
of
internal
personnel
employed
as
of
31 December 2025
was 103,177
(full-time equivalents),
a
net
decrease
of
1,250
compared with
30 September
- The number of
external staff was approximately 16,412
(workforce count) as of
31 December 2025, a net
decrease of approximately 1,542 compared with
30 September 2025.
Equity, CET1 capital and returns
As of or for the quarter ended
As of or for the year ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Net profit
Net profit / (loss) attributable to shareholders
1,199
2,481
770
7,767
5,085
Equity
Equity attributable to shareholders
90,213
89,899
85,079
90,213
85,079
less: goodwill and intangible assets
6,948
6,982
6,887
6,948
6,887
Tangible equity attributable to shareholders
83,265
82,916
78,192
83,265
78,192
less: other CET1 adjustments
12,003
8,262
6,825
12,003
6,825
CET1 capital
71,262
74,655
71,367
71,262
71,367
Returns
Return on equity (%)
5.3
11.1
3.6
8.8
6.0
Return on tangible equity (%)
5.8
12.0
3.9
9.5
6.5
Underlying return on tangible equity (%)
10.5
14.6
6.6
12.1
8.5
Return on CET1 capital (%)
6.6
13.5
4.2
10.8
6.7
Underlying return on CET1 capital (%)
11.9
16.3
7.2
13.7
8.7
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Group performance
16
Common equity tier 1 capital: 4Q25 vs 3Q25
During
the
fourth
quarter
of
2025,
our
common
equity
tier 1
(CET1)
capital
decreased
by
USD 3.4bn
to
USD 71.3bn,
mainly
reflecting
operating
profit
before
tax
of
USD 1.7bn,
which
was
more
than
offset
by
the
recognition of a
new USD 3.0bn capital
reserve for expected
future share repurchases
in 2026, dividend
accruals of
USD 1.1bn,
a
negative
USD 0.3bn
impact
from
compensation-
and
own-share-related
capital
components,
a
USD 0.3bn decrease
in eligible
deferred tax
assets on
temporary differences,
and current
tax expenses
of USD 0.3bn.
Share repurchases
of USD 0.9bn made
under our 2025
share repurchase
program in the
fourth quarter
of 2025 did
not affect our
CET1 capital
position, as there
was an
equal reduction
in the capital
reserve for
expected future
share
repurchases in 2025. The remaining
capital reserve for expected
future share repurchases in
2025 was fully utilized
in the fourth quarter of 2025 with the completion
of our 2025 share repurchase program
on 20 November 2025.
Return on common equity tier 1 capital: 4Q25
vs 4Q24
The annualized
return on
CET1 capital
was 6.6%,
compared with
4.2%. On
an underlying
basis, the
return on
CET1 capital
was 11.9%,
compared with
7.2%. These
increases were
driven by
an increase
in net
profit attributable
to shareholders and a decrease in average
CET1 capital.
Risk-weighted assets: 4Q25 vs 3Q25
During the fourth quarter of 2025, risk-weighted assets (RWA) decreased by
USD 11.5bn to USD 493.4bn, driven
by a
USD 10.8bn decrease
resulting from
asset size
and other
movements and
a USD 1.3bn
decrease driven
by
model updates and methodology changes,
partly offset by a USD 0.6bn increase
from currency effects.
Common equity tier 1 capital ratio: 4Q25 vs 3Q25
Our
CET1 capital
ratio
decreased to
14.4% from
14.8%, reflecting
the aforementioned
USD 3.4bn decrease
in
CET1 capital,
partly offset by the aforementioned USD
11.5bn decrease in RWA.
Leverage ratio denominator: 4Q25 vs 3Q25
During
the
fourth
quarter
of
2025,
the
leverage
ratio
denominator
(the
LRD)
decreased
by
USD 18.0bn
to
USD 1,622.4bn,
driven
by
an
USD 18.9bn
decrease
from
asset
size
and
other
movements,
partly
offset
by
a
USD 0.8bn increase from currency effects.
Common equity tier 1 leverage ratio: 4Q25
vs 3Q25
Our CET1
leverage ratio
decreased to
4.4% from
4.6%,
reflecting the
aforementioned USD
3.4bn decrease
in CET1
capital,
partly offset by the aforementioned USD
18.0bn decrease in the LRD.
Outlook
Entering the
first quarter
of 2026,
the macro
backdrop is
still one
of steady
global growth
and easing
inflation.
Market
conditions
remain
largely
constructive,
with
broader
equity
dispersion
and
rotation
supporting
client
engagement
and
healthy
transactional
and
capital
markets
activity,
and
pipeline.
Demand
remains
focused
on
diversification across
geographies and
asset classes,
as well
as principal
protection. However, continued
elevated
geopolitical and economic policy uncertainties mean sentiment and positioning can shift quickly, leading to spikes
in volatility influencing institutional and
corporate client activity levels.
In the
first quarter, we
expect a
low single-digit percentage
decline in
Global Wealth Management’s
net interest
income (NII), while in Personal & Corporate Banking
NII is expected to remain broadly stable in
US dollar terms.
We remain
on
track to
complete the
integration by
the end
of
the year,
and we
are
confident in
our
ability to
achieve our
financial targets.
As all
of 2026
is required
to deliver
on the
remaining integration
milestones, we
expect
net saves to build progressively,
with a greater proportion weighted to the
second half of the year.
We remain firmly focused on
disciplined execution, bringing the full
power of UBS to
our clients and investing
to
sustain growth momentum, supporting continued
value creation in the years ahead.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Global Wealth Management
17
Global Wealth Management
Global Wealth Management
As of or for the quarter ended
% change from
As of or for the year
ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Results
Net interest income
1,832
1,773
1,849
3
(1)
7,018
7,358
Recurring net fee income
1
3,566
3,475
3,262
3
9
13,671
12,625
Transaction-based income
1,2
1,248
1,296
1,041
(4)
20
5,208
4,503
Other revenues
1,2
49
(1)
(32)
62
31
Total revenues
6,695
6,543
6,121
2
9
25,960
24,516
Credit loss expense / (release)
32
7
(14)
349
48
(16)
Operating expenses
5,373
5,182
5,268
4
2
20,705
20,608
Business division operating profit / (loss) before tax
1,290
1,354
867
(5)
49
5,207
3,924
Underlying results
Total revenues as reported
6,695
6,543
6,121
2
9
25,960
24,516
of which: PPA effects and other integration items
3
135
171
200
(21)
(32)
624
891
of which: PPA effects recognized in net interest income
130
142
192
(8)
(32)
579
910
of which: PPA effects and other integration items recognized in transaction-based income
5
29
8
(83)
(38)
45
(19)
of which: loss related to an investment in an associate
(20)
(38)
(21)
(47)
(4)
(62)
(21)
Total revenues (underlying)
1
6,580
6,410
5,942
3
11
25,398
23,646
Credit loss expense / (release)
32
7
(14)
349
48
(16)
Operating expenses as reported
5,373
5,182
5,268
4
2
20,705
20,608
of which: integration-related expenses and PPA effects
1,4
384
553
460
(31)
(17)
1,675
1,807
Operating expenses (underlying)
1
4,989
4,629
4,808
8
4
19,030
18,802
of which: net expenses / (releases) for litigation, regulatory
and similar matters
(3)
(198)
100
(99)
(173)
147
Business division operating profit / (loss) before tax as reported
1,290
1,354
867
(5)
49
5,207
3,924
Business division operating profit / (loss) before tax (underlying)
1
1,558
1,774
1,147
(12)
36
6,320
4,860
Performance measures and other information
Pre-tax profit growth (year-on-year, %)
1
48.8
24.8
209.8
32.7
13.9
Cost / income ratio (%)
1
80.3
79.2
86.1
79.8
84.1
Average attributed equity (USD bn)
5
34.5
34.5
33.6
0
3
34.2
33.3
Return on attributed equity (%)
1,5
14.9
15.7
10.3
15.2
11.8
Financial advisor compensation
6
1,492
1,419
1,400
5
7
5,654
5,292
Net new fee-generating assets (USD bn)
1
8.7
8.8
13.3
52.2
61.7
Fee-generating assets (USD bn)
1
2,108
2,066
1,816
2
16
2,108
1,816
Net new assets (USD bn)
1
8.5
37.5
17.7
100.8
96.7
Net new assets growth rate (%)
1
0.7
3.3
1.7
2.4
2.5
Invested assets (USD bn)
1
4,753
4,714
4,182
1
14
4,753
4,182
Net new loans (USD bn)
1
4.5
3.5
(0.8)
13.6
(11.8)
Loans, gross (USD bn)
7
327.2
322.0
300.5
2
9
327.2
300.5
Net new deposits (USD bn)
1
0.6
(9.5)
2.7
(9.2)
0.9
Customer deposits (USD bn)
7
479.1
478.2
470.1
0
2
479.1
470.1
Credit-impaired loan portfolio as a percentage of total loan
portfolio, gross (%)
1,8
0.5
0.5
0.4
0.5
0.4
Advisors (full-time equivalents)
9,420
9,499
9,803
(1)
(4)
9,420
9,803
Underlying performance measures
Pre-tax profit growth (year-on-year, %)
1
35.8
38.5
84.0
30.0
30.3
Cost / income ratio (%)
1
75.8
72.2
80.9
74.9
79.5
Return on attributed equity (%)
1,6
18.1
20.6
13.6
18.5
14.6
1 Refer to “Alternative
performance measures” in the appendix
to this report for the definition
and calculation method.
2 From the fourth
quarter of 2025 onward, income
related to certain financial instruments
not directly linked to client activity and measured at fair value that was previously presented as transaction-based income is now presented as other revenues. This change was applied prospectively. The line has been
renamed from “Other
income” to “Other
revenues”.
3
Includes accretion of
PPA adjustments
on financial instruments
and other PPA
effects, as
well as temporary
and incremental items
directly related to
the
integration.
4 Includes temporary, incremental operating
expenses directly related to the integration, as well as amortization of intangibles resulting from
the acquisition of the Credit Suisse Group.
5 Refer to the
“Equity attribution” section of this
report for more information
about the equity attribution
framework.
6 Relates to licensed professionals
with the ability to
provide investment advice to
clients in the Americas.
Consists of cash compensation, determined using a
formulaic approach based on production, and deferred
awards. Also includes expenses related
to compensation commitments with financial advisors entered
into
at the time of recruitment that are subject to vesting requirements. Recruitment loans to financial advisors were USD 1,493m as of 31 December 2025.
7
Loans and Customer deposits in this table include customer
brokerage receivables and
payables, respectively,
which are presented in
separate reporting lines on
the balance sheet.
8 Refer to the “Risk
management and control” section
of this report for
more information
about credit-impaired exposures. Excludes loans to financial advisors.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Global Wealth Management
18
Results: 4Q25 vs 4Q24
Profit
before tax
increased by
USD 423m,
or 49%,
to USD
1,290m, mainly
due to
higher
total
revenues, partly
offset
by
higher
operating
expenses.
Underlying
profit
before
tax
was
USD 1,558m,
an
increase
of
36%,
after
excluding from operating expenses USD 384m of integration-related expenses and purchase price allocation (PPA)
effects and
excluding from total
revenues USD 135m of
PPA effects
and other integration
items and
a USD 20m
loss related to an investment in an associate.
Total revenues
Total
revenues
increased
by
USD 574m,
or
9%,
to
USD 6,695m,
driven
by
higher
recurring
net
fee
income,
transaction-based income and other
revenues, partly offset by lower
net interest income, and included
a USD 65m
decrease in
PPA effects
and other
integration items.
Excluding USD 135m
of PPA
effects and
other integration
items
and
a
USD 20m
loss
related to
an
investment in
an
associate,
underlying
total
revenues
were
USD 6,580m, an
increase of 11%.
Net interest income
decreased by USD 17m,
or 1%, to
USD 1,832m and included
a USD 62m decrease
in accretion
of PPA adjustments on
financial instruments and
other PPA effects. Excluding
PPA effects of USD 130m,
underlying
net interest
income was
USD 1,702m, an
increase of
3%. This
increase was
largely driven
by the
effects of
favorable
changes
in
deposit
mix
and
positive
foreign
currency effects,
partly
offset
by
the
impact
of
lower
central
bank
interest rates on deposit revenues.
Recurring net fee income increased by USD 304m, or 9%, to USD 3,566m,
mainly driven by higher
average levels
of
fee-generating
assets,
primarily
from
mandates,
reflecting
positive
market
performance
and
net
new
fee-
generating asset inflows in 2025.
Transaction-based income
increased by
USD 207m, or
20%, to
USD 1,248m. Excluding
PPA
effects of
USD 5m,
underlying transaction-based
income was
USD 1,243m, an
increase of 20%,
mainly driven by
higher levels of
client
activity across all regions and also driven by contributions
from Structured Solutions, Cash Equities and Investment
Funds revenues.
Other revenues
were positive
USD 49m, compared
with negative
USD 32m, and
included a
release of
USD 42m
related to
other financial
liabilities,
a
USD 34m fair
value
gain driven
from a
strategic partnership
and
a
loss of
USD 20m related to an investment in
an associate. Other revenues in the
fourth quarter of 2024 included a
loss of
USD 21m related to an
investment in an associate. Excluding
the aforementioned loss, underlying other revenues
were USD 69m in the fourth quarter of 2025.
Credit loss expense / release
Net credit
loss expenses
were USD 32m,
mainly reflecting
net expenses
on credit-impaired
positions, compared
with
net credit loss releases of USD 14m in the fourth
quarter of 2024.
Operating expenses
Operating
expenses
increased
by
USD 105m,
or
2%,
to
USD 5,373m
and
included
a
USD 76m
decrease
in
integration-related
expenses.
Excluding
USD 384m
of
integration-related
expenses
and
PPA
effects,
underlying
operating expenses were USD 4,989m, an
increase of 4%, mainly
driven by higher variable compensation largely
related to an increase in financial
advisor compensation, resulting from
higher compensable revenues, partly
offset
by lower expenses related to provisions for litigation,
regulatory and similar matters.
Invested assets: 4Q25 vs 3Q25
Invested
assets
increased
by
USD 39bn
to
USD 4,753bn,
mainly
driven
by
positive
market
performance
of
USD 46.9bn and net new asset inflows of USD 8.5bn,
partly offset by reclassifications
of USD 16.0bn.
Invested assets: 4Q25 vs 4Q24
Invested
assets
increased
by
USD 571bn
to
USD 4,753bn,
mainly
driven
by
positive
market
performance
of
USD 376.7bn, positive foreign currency effects of USD 125.8bn and net new asset inflows of USD
100.8bn, partly
offset by reclassifications
of USD 27.5bn.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Global Wealth Management
19
Loans: 4Q25 vs 3Q25
Loans increased by USD 5.2bn to USD 327.2bn,
mainly driven by positive net new loans of
USD 4.5bn.
›
Refer to the “Risk management and control” section of this report for more information
Customer deposits: 4Q25 vs 3Q25
Customer deposits
increased by
USD 0.9bn to
USD 479.1bn,
mainly driven
by net
new deposit
inflows of
USD 0.6bn
and positive foreign currency effects.
Regional breakdown of performance measures
As of or for the quarter ended 31.12.25
USD m, except where indicated
Americas
1
Asia Pacific
EMEA
Switzerland
Divisional items
2
Global Wealth
Management
Net interest income
547
361
401
399
125
1,832
Recurring net fee income
3
2,189
309
585
472
11
3,566
Transaction-based income
3,4
494
305
255
205
(11)
1,248
Other revenues
3,4
(16)
(3)
0
0
68
49
Total revenues
3,214
972
1,240
1,076
192
6,695
Credit loss expense / (release)
17
4
12
0
0
32
Operating expenses
2,780
631
851
716
394
5,373
Operating profit / (loss) before tax
417
337
378
360
(202)
1,290
of which: PPA effects, integration-related items and other items
5
(268)
(268)
Cost / income ratio (%)
3
86.5
64.9
68.6
66.6
80.3
Net new fee-generating assets (USD bn)
3
1.5
4.9
2.8
(0.4)
(0.1)
8.7
Fee-generating assets (USD bn)
3
1,175
206
458
268
1
2,108
Net new assets (USD bn)
3
(14.1)
6.0
12.4
4.4
(0.3)
8.5
Net new assets growth rate (%)
3
(2.5)
3.0
6.6
2.0
0.7
Invested assets (USD bn)
3
2,283
795
778
891
6
4,753
Net new loans (USD bn)
3
2.3
1.4
(0.5)
1.3
0.1
4.5
Loans, gross (USD bn)
103.6
6
46.4
63.3
113.2
0.8
327.2
Net new deposits (USD bn)
3
3.7
(3.2)
1.3
(0.5)
(0.8)
0.6
Customer deposits (USD bn)
119.6
6
117.0
114.0
124.7
3.8
479.1
Advisors (full-time equivalents)
5,772
910
1,438
1,207
94
9,420
As of or for the quarter ended 31.12.24
USD m, except where indicated
Americas
1
Asia Pacific
EMEA
Switzerland
Divisional items
2
Global Wealth
Management
Net interest income
495
359
416
391
187
1,849
Recurring net fee income
3
2,029
271
522
426
14
3,262
Transaction-based income
3,4
407
230
212
189
4
1,041
Other revenues
3,4
6
(17)
0
(3)
(16)
(32)
Total revenues
2,937
842
1,150
1,004
188
6,121
Credit loss expense / (release)
8
3
(10)
(14)
(1)
(14)
Operating expenses
2,715
568
865
642
479
5,268
Operating profit / (loss) before tax
214
271
296
375
(289)
867
of which: PPA effects, integration-related items and other items
5
(280)
(280)
Cost / income ratio (%)
3
92.4
67.5
75.2
64.0
86.1
Net new fee-generating assets (USD bn)
3
18.1
4.1
(5.3)
(3.5)
(0.1)
13.3
Fee-generating assets (USD bn)
3
1,062
172
364
217
1
1,816
Net new assets (USD bn)
3
13.7
(1.2)
1.4
4.5
(0.7)
17.7
Net new assets growth rate (%)
3
2.6
(0.7)
0.8
2.3
1.7
Invested assets (USD bn)
3
2,109
665
655
749
5
4,182
Net new loans (USD bn)
3
1.1
(0.2)
(0.5)
(1.0)
(0.1)
(0.8)
Loans, gross (USD bn)
97.6
6
41.5
57.4
102.9
1.0
300.5
Net new deposits (USD bn)
3
8.6
(4.5)
1.6
(3.8)
0.8
2.7
Customer deposits (USD bn)
116.3
6
125.3
110.9
115.2
2.3
470.1
Advisors (full-time equivalents)
5,968
924
1,520
1,311
79
9,803
1 Including the following business
units: United States and Canada;
and Latin America.
2 Includes impacts from accretion of
purchase price allocation adjustments on
financial instruments and other PPA
effects,
integration-related expenses,
certain gains
and losses
from investments
in associates
and minor
functions, that
are not
included in
the four
regions individually
presented in
this table.
3 Refer to
“Alternative
performance measures” in the appendix to this report for the definition and calculation method.
4 From the fourth quarter of 2025 onward, income related to certain financial instruments not directly linked to client
activity and measured at
fair value that
was previously presented
as transaction-based income
is now presented
as other revenues.
This change was
applied prospectively.
The line has
been renamed from
“Other
income” to “Other revenues”.
5 Items of profit or loss that management
believes are not representative of the underlying
performance, namely impacts from
accretion of purchase price allocation adjustments
on
financial instruments
and other
PPA effects,
integration-related expenses,
amortization of
intangibles resulting
from the
acquisition of
the Credit
Suisse Group,
and certain
gains and
losses from
investments in
associates.
6 Loans and Customer deposits in this table include customer brokerage receivables
and payables, respectively, which are presented in
separate reporting lines on the balance sheet.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Global Wealth Management
20
Regional comments 4Q25 vs 4Q24, except where
indicated
Americas
Profit
before
tax
increased
by
USD 203m
to
USD 417m.
Total
revenues
increased
by
USD 277m,
or
9%,
to
USD 3,214m, mainly driven by increases of USD 160m in recurring net fee income, USD 87m in transaction-based
income and USD 52m in net interest income. Operating expenses increased by USD 65m, or 2%, to USD 2,780m.
The cost / income ratio decreased to 86.5%
from 92.4%. Loans increased by 2% compared
with the third quarter
of 2025, to USD 103.6bn, mainly driven by positive net new loans
of USD 2.3bn. Customer deposits increased by
3% compared with
the third quarter
of 2025, to
USD 119.6bn, with net new
deposit inflows of
USD 3.7bn. Net
new asset outflows were USD 14.1bn.
Asia Pacific
Profit
before
tax
increased
by
USD 66m
to
USD 337m.
Total
revenues
increased
by
USD 130m,
or
15%,
to
USD 972m, mainly driven by increases
of USD 75m in transaction-based income
and USD 38m in recurring net
fee
income. Operating expenses increased by USD 63m,
or 11%, to USD 631m. The
cost / income ratio decreased to
64.9%
from 67.5%.
Loans
increased
by
3%
compared with
the third
quarter of
2025,
to
USD 46.4bn, mainly
driven
by
positive
net
new
loans
of
USD 1.4bn.
Customer
deposits
decreased
by
3%
compared
with
the
third
quarter
of
2025,
to
USD 117.0bn,
with
net
new
deposit
outflows
of
USD 3.2bn.
Net
new
asset
inflows
were
USD 6.0bn.
EMEA
Profit
before
tax
increased
by
USD 82m
to
USD 378m.
Total
revenues
increased
by
USD 90m,
or
8%,
to
USD 1,240m, mainly
driven by
increases of
USD 63m in
recurring net
fee income
and
USD 43m in
transaction-
based income.
Operating expenses
decreased by
USD 14m, or
2%, to
USD 851m.
The cost / income
ratio decreased
to 68.6% from 75.2%. Loans decreased by 1% compared with the third quarter of 2025,
to USD 63.3bn, mainly
driven
by
negative
net
new loans
of
USD 0.5bn.
Customer
deposits
increased by
1%
compared
with
the
third
quarter of 2025, to USD 114.0bn, mainly driven by net new deposit
inflows of USD 1.3bn. Net new asset inflows
were USD 12.4bn.
Switzerland
Profit
before
tax
decreased
by
USD 15m
to
USD 360m.
Total
revenues
increased
by
USD 72m,
or
7%,
to
USD 1,076m, mainly
driven by
increases of
USD 46m in
recurring net
fee income
and
USD 16m in
transaction-
based income.
Operating expenses
increased by
USD 74m, or
12%, to
USD 716m.
The cost / income
ratio increased
to 66.6% from 64.0%. Loans increased by 3% compared with the
third quarter of 2025, to USD 113.2bn, mainly
driven by positive net new loans of USD 1.3bn. Customer deposits were broadly stable at USD 124.7bn
compared
with
the
third
quarter
of
2025,
with
net
new
deposit
outflows
of
USD 0.5bn.
Net
new
asset
inflows
were
USD 4.4bn.
Divisional items
Operating loss before tax was USD 202m and included
USD 384m of integration-related expenses and
PPA effects
and a
loss of
USD 20m related to
an investment
in an
associate, partly
offset by
the aforementioned
USD 135m
related to PPA effects and other integration items, a release of USD 42m related to other financial liabilities, and a
USD 34m fair value gain driven from a strategic
partnership.
UBS Group fourth quarter 2025 report
|
UBS Group performance, business divisions
and Group Items | Personal & Corporate Banking
21
Personal & Corporate Banking
Personal & Corporate Banking – in Swiss francs
As of or for the quarter ended
% change from
As of or for the year
ended
CHF m, except where indicated
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Results
Net interest income
1,058
1,120
1,204
(6)
(12)
4,403
4,987
Recurring net fee income
1
339
351
357
(3)
(5)
1,405
1,425
Transaction-based income
1,2
451
463
471
(3)
(4)
1,825
1,821
Other revenues
1,2
(18)
(70)
(49)
(74)
(62)
(50)
7
Total revenues
1,830
1,864
1,983
(2)
(8)
7,583
8,241
Credit loss expense / (release)
80
58
155
40
(48)
277
357
Operating expenses
1,297
1,300
1,305
0
(1)
5,235
5,070
Business division operating profit / (loss) before tax
452
507
524
(11)
(14)
2,071
2,814
Underlying results
Total revenues as reported
1,830
1,864
1,983
(2)
(8)
7,583
8,241
of which: PPA effects and other integration items
3
181
222
227
(18)
(20)
841
915
of which: PPA effects recognized in net interest income
159
201
209
(21)
(24)
757
841
of which: PPA effects and other integration items recognized in transaction-based income
22
20
18
8
22
84
74
of which: loss related to an investment in an associate
(43)
(81)
(54)
(47)
(19)
(133)
(54)
of which: items related to the Swisscard transactions
4
58
Total revenues (underlying)
1
1,692
1,724
1,810
(2)
(7)
6,817
7,379
Credit loss expense / (release)
80
58
155
40
(48)
277
357
Operating expenses as reported
1,297
1,300
1,305
0
(1)
5,235
5,070
of which: integration-related expenses and PPA effects
1,5
228
302
185
(24)
24
897
662
of which: items related to the Swisscard transactions
37
6
164
7
37
6
Operating expenses (underlying)
1
1,069
998
1,083
7
(1)
4,175
4,371
of which: net expenses / (releases) for litigation, regulatory
and similar matters
0
(29)
0
(30)
1
Business division operating profit / (loss) before tax as reported
452
507
524
(11)
(14)
2,071
2,814
Business division operating profit / (loss) before tax (underlying)
1
543
668
572
(19)
(5)
2,365
2,651
Performance measures and other information
Pre-tax profit growth (year-on-year, %)
1
(13.7)
(30.3)
(2.4)
(26.4)
11.3
Cost / income ratio (%)
1
70.9
69.7
65.8
69.0
61.5
Average attributed equity (CHF bn)
8
17.6
17.7
18.6
0
(6)
17.8
19.0
Return on attributed equity (%)
1,8
10.3
11.5
11.2
11.6
14.8
Net interest margin (bps)
1
172
181
198
178
201
Loans, gross (CHF bn)
246.0
247.4
242.3
(1)
1
246.0
242.3
Customer deposits (CHF bn)
248.6
246.7
254.1
1
(2)
248.6
254.1
Credit-impaired loan portfolio as a percentage of total loan
portfolio, gross (%)
1,9
1.2
1.2
1.3
1.2
1.3
Underlying performance measures
Pre-tax profit growth (year-on-year, %)
1
(5.1)
1.5
(18.2)
(10.8)
8.1
Cost / income ratio (%)
1
63.2
57.9
59.8
61.2
59.2
Return on attributed equity (%)
1,8
12.3
15.1
12.3
13.3
13.9
1 Refer to “Alternative
performance measures” in the appendix
to this report for the definition
and calculation method.
2 From the fourth
quarter of 2025 onward, income
related to certain financial instruments
not directly linked to client activity and measured at fair value that was previously presented as transaction-based income is now presented as other revenues. This change was applied prospectively. The line has been
renamed from “Other
income” to “Other
revenues”.
3 Includes accretion of
PPA adjustments
on financial instruments
and other PPA
effects, as
well as temporary
and incremental items
directly related to
the
integration.
4 Represents the gain related to UBS’s share of the income recorded by Swisscard for the sale of the Credit Suisse card portfolios to UBS.
5 Includes temporary, incremental operating expenses directly
related to the integration, as well as amortization
of intangibles resulting from the acquisition of the
Credit Suisse Group.
6
Represents the termination fee paid to American Express related
to the sale of our 50%
holding in Swisscard.
7
Represents the expense
related to the
payment to Swisscard
for the sale
of the Credit
Suisse card portfolios
to UBS.
8 Refer to the
“Equity attribution” section
of this report
for more
information about the equity attribution framework.
9 Refer to the “Risk management and control” section of this report for more information about credit-impaired exposures.
UBS Group fourth quarter 2025 report
|
UBS Group performance, business divisions
and Group Items | Personal & Corporate Banking
22
Results
:
4Q25 vs 4Q24
Profit before
tax decreased by
CHF 72m, or
14%, to
CHF 452m, reflecting
lower total
revenues, partly
offset by
lower net credit loss expenses and operating expenses. Underlying profit before tax was CHF 543m, a decrease of
5%. This underlying
profit excludes from
total revenues CHF 181m
of purchase price
allocation (PPA) effects and
other
integration
items
and
a
loss
of
CHF 43m
related
to
an
investment
in
an
associate;
it
also
excludes
from
operating expenses CHF 228m of integration-related
expenses and PPA effects.
Total revenues
Total revenues decreased by CHF 153m, or 8%, to CHF 1,830m, predominantly due to lower net interest income.
Total revenues in the fourth quarter of 2025 included a
loss of CHF 43m related to an investment in
an associate.
Excluding
CHF 181m
of
PPA
effects
and
other
integration
items
and
the
aforementioned loss,
underlying
total
revenues were CHF 1,692m, a decrease of 7%.
Net interest
income decreased
by CHF 146m,
or 12%,
to CHF 1,058m,
mainly reflecting
the impact
of lower
central
bank
interest rates
on
deposit
revenues. This
decrease was
partly
offset by
deposit
pricing measures
and
lower
liquidity and funding costs. Net interest
income also included a CHF 50m decrease
in accretion of PPA adjustments
on financial instruments and
other PPA effects. Excluding
PPA effects of CHF 159m,
underlying net interest income
was CHF 899m, a decrease of 10%.
Recurring net fee income decreased by CHF 18m, or 5%, to CHF 339m, mainly due to the fourth quarter
of 2024
including our share of Swisscard profit.
Transaction-based
income
decreased
by
CHF 20m,
or
4%,
to
CHF 451m,
mostly
due
to
lower
revenues
in
our
Corporate & Institutional
Clients business, including
the impact related
to exits from
certain former Credit
Suisse
business activities.
Excluding CHF 22m
of PPA
effects and
other integration
items, underlying
transaction-based
income was CHF 429m, a decrease of 5%.
Other revenues were negative CHF 18m, compared with negative CHF 49m.
The fourth quarter of 2025
included
a
loss
of
CHF 43m
related
to
an
investment
in
an
associate,
compared
with
a
loss
of
CHF 54m
related
to
an
investment in an associate recognized
in the fourth quarter of
- Excluding this loss, underlying
other revenues
in the fourth quarter of 2025 were positive CHF
25m.
Credit loss expense / release
Net credit
loss expenses
were CHF 80m,
largely reflecting
net expenses
on credit-impaired
positions,
compared with
net credit loss expenses of CHF 155m in the fourth
quarter of 2024.
Operating expenses
Operating expenses
were broadly
stable at
CHF 1,297m and
included a
CHF 46m increase
in integration-related
expenses. The
fourth quarter
of 2024 included
a CHF 37m expense
related to the
Swisscard transactions.
Excluding
CHF 228m of integration-related expenses and PPA effects,
underlying operating expenses were broadly stable
at
CHF 1,069m.
UBS Group fourth quarter 2025 report
|
UBS Group performance, business divisions
and Group Items | Personal & Corporate Banking
23
Personal & Corporate Banking – in US dollars
As of or for the quarter ended
% change from
As of or for the year
ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Results
Net interest income
1,322
1,395
1,362
(5)
(3)
5,322
5,650
Recurring net fee income
1
424
437
404
(3)
5
1,698
1,614
Transaction-based income
1,2
564
577
532
(2)
6
2,207
2,061
Other revenues
1,2
(23)
(88)
(53)
(74)
(58)
(73)
10
Total revenues
2,286
2,321
2,245
(1)
2
9,154
9,334
Credit loss expense / (release)
101
72
175
40
(42)
339
404
Operating expenses
1,621
1,619
1,476
0
10
6,318
5,741
Business division operating profit / (loss) before tax
565
631
595
(10)
(5)
2,497
3,189
Underlying results
Total revenues as reported
2,286
2,321
2,245
(1)
2
9,154
9,334
of which: PPA effects and other integration items
3
226
276
258
(18)
(12)
1,016
1,038
of which: PPA effects recognized in net interest income
199
251
237
(21)
(16)
915
954
of which: PPA effects and other integration items recognized in transaction-based income
27
25
20
9
35
101
84
of which: loss related to an investment in an associate
(54)
(102)
(59)
(47)
(9)
(168)
(59)
of which: items related to the Swisscard transactions
4
64
Total revenues (underlying)
1
2,114
2,147
2,047
(2)
3
8,242
8,355
Credit loss expense / (release)
101
72
175
40
(42)
339
404
Operating expenses as reported
1,621
1,619
1,476
0
10
6,318
5,741
of which: integration-related expenses and PPA effects
1,5
285
376
209
(24)
36
1,093
749
of which: items related to the Swisscard transactions
41
6
180
7
41
6
Operating expenses (underlying)
1
1,336
1,242
1,226
8
9
5,045
4,951
of which: net expenses / (releases) for litigation, regulatory
and similar matters
0
(37)
0
(37)
1
Business division operating profit / (loss) before tax as reported
565
631
595
(10)
(5)
2,497
3,189
Business division operating profit / (loss) before tax (underlying)
1
678
833
646
(19)
5
2,857
3,000
Performance measures and other information
Pre-tax profit growth (year-on-year, %)
1
(5.1)
(25.4)
(1.0)
(21.7)
13.4
Cost / income ratio (%)
1
70.9
69.7
65.7
69.0
61.5
Average attributed equity (USD bn)
8
22.0
22.0
21.3
0
3
21.4
21.6
Return on attributed equity (%)
1,8
10.3
11.5
11.2
11.7
14.8
Net interest margin (bps)
1
170
179
196
178
200
Loans, gross (USD bn)
310.2
310.6
266.9
0
16
310.2
266.9
Customer deposits (USD bn)
313.5
309.8
279.9
1
12
313.5
279.9
Credit-impaired loan portfolio as a percentage of total loan
portfolio, gross (%)
1,9
1.2
1.2
1.3
1.2
1.3
Underlying performance measures
Pre-tax profit growth (year-on-year, %)
1
4.8
8.8
(19.2)
(4.8)
9.3
Cost / income ratio (%)
1
63.2
57.9
59.9
61.2
59.3
Return on attributed equity (%)
1,8
12.3
15.1
12.1
13.4
13.9
1 Refer to “Alternative
performance measures” in the appendix
to this report for the
definition and calculation method.
2
From the fourth quarter
of 2025 onward, income
related to certain financial instruments
not directly linked to client activity and measured at fair value that was previously presented as transaction-based income is now presented as other revenues. This change was applied prospectively. The line has been
renamed from “Other
income” to “Other
revenues”.
3 Includes accretion of
PPA adjustments
on financial instruments
and other PPA
effects, as
well as temporary
and incremental items
directly related to
the
integration.
4
Represents the gain related to UBS’s share of the income recorded by Swisscard for the sale of the Credit Suisse card portfolios to UBS.
5 Includes temporary, incremental operating expenses directly
related to the integration, as well as amortization
of intangibles resulting from the acquisition of the
Credit Suisse Group.
6
Represents the termination fee paid to American Express related
to the sale of our 50%
holding in Swisscard.
7
Represents the expense
related to the
payment to Swisscard
for the sale
of the Credit
Suisse card portfolios
to UBS.
8 Refer to the
“Equity attribution” section
of this report
for more
information about the equity attribution framework.
9 Refer to the “Risk management and control” section of this report for more information about credit-impaired exposures.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Asset Management
24
Asset Management
Asset Management
As of or for the quarter ended
% change from
As of or for the year
ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Results
Net management fees
1
790
2
755
709
5
11
2,991
2,921
Performance fees
39
3
87
44
(55)
(12)
195
149
Net gain / (loss) from disposal
(29)
1
13
(30)
113
Total revenues
800
843
766
(5)
4
3,156
3,182
Credit loss expense / (release)
1
0
0
1
(1)
Operating expenses
588
624
639
(6)
(8)
2,436
2,663
Business division operating profit / (loss) before tax
212
218
128
(3)
66
719
520
Underlying results
Total revenues as reported
800
843
766
(5)
4
3,156
3,182
Total revenues (underlying)
4
800
843
766
(5)
4
3,156
3,182
Credit loss expense / (release)
1
0
0
1
(1)
Operating expenses as reported
588
624
639
(6)
(8)
2,436
2,663
of which: integration-related expenses
4
57
64
96
(12)
(41)
256
351
Operating expenses (underlying)
4
531
560
543
(5)
(2)
2,179
2,312
of which: net expenses / (releases) for litigation, regulatory
and similar matters
0
0
1
0
7
Business division operating profit / (loss) before tax as reported
212
218
128
(3)
66
719
520
Business division operating profit / (loss) before tax (underlying)
4
268
282
224
(5)
20
975
871
Performance measures and other information
Pre-tax profit growth (year-on-year, %)
4
65.6
44.6
5.2
38.3
56.3
Cost / income ratio (%)
4
73.4
74.1
83.3
77.2
83.7
Average attributed equity (USD bn)
5
2.5
2.4
2.8
0
(14)
2.5
2.7
Return on attributed equity (%)
4,5
34.6
35.7
18.0
29.2
19.2
Gross margin on invested assets (bps)
4
15
17
17
16
18
Underlying performance measures
Pre-tax profit growth (year-on-year, %)
4
19.9
19.1
20.3
12.0
62.2
Cost / income ratio (%)
4
66.4
66.5
70.8
69.1
72.7
Return on attributed equity (%)
4,5
43.8
46.2
31.5
39.6
32.1
Information by business line / asset
class
Net new money (USD bn)
4
Equities
6
0.3
4.0
30.5
3.0
20.7
Fixed Income
6
5.2
9.2
4.1
22.7
18.0
of which: money market
2.5
3.2
4.3
12.7
18.5
Multi-asset & Solutions
6
0.0
2.5
(0.5)
1.7
(1.5)
Hedge Fund Businesses
0.0
0.9
(2.8)
1.8
(3.5)
Real Estate & Private Markets
0.7
0.1
(0.9)
0.9
0.1
Total net new money excluding associates
6.2
16.8
30.4
30.1
33.8
of which: net new money excluding money market
3.6
13.6
26.2
17.5
15.4
Associates
7
1.4
1.1
3.0
0.3
10.8
Total net new money
7.6
17.9
33.4
30.4
44.6
Invested assets (USD bn)
4
Equities
6
904
873
755
4
20
904
755
Fixed Income
6
506
499
464
1
9
506
464
of which: money market
176
172
157
2
12
176
157
Multi-asset & Solutions
6
372
360
268
3
39
372
268
Hedge Fund Businesses
62
65
58
(3)
7
62
58
Real Estate & Private Markets
160
158
143
1
12
160
143
Total invested assets excluding associates
2,005
1,954
1,689
3
19
2,005
1,689
of which: passive strategies
1,040
992
807
5
29
1,040
807
Associates
7
93
89
84
4
11
93
84
Total invested assets
2,098
2,043
1,773
3
18
2,098
1,773
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Asset Management
25
Asset Management (continued)
As of or for the quarter ended
% change from
As of or for the year
ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Information by region
Invested assets (USD bn)
4
Americas
489
486
443
1
10
489
443
Asia Pacific
8
256
249
224
3
14
256
224
EMEA (excluding Switzerland)
540
519
435
4
24
540
435
Switzerland
813
789
670
3
21
813
670
Total invested assets
2,098
2,043
1,773
3
18
2,098
1,773
Information by channel
Invested assets (USD bn)
4
Third-party institutional
1,193
1,169
1,008
2
18
1,193
1,008
Third-party wholesale
212
200
169
6
25
212
169
UBS’s wealth management businesses
601
585
512
3
17
601
512
Associates
7
93
89
84
4
11
93
84
Total invested assets
2,098
2,043
1,773
3
18
2,098
1,773
1 Net management fees include transaction
fees, fund administration revenues
(including net interest and trading
income from lending activities and
foreign-exchange hedging as part of the
fund services offering),
distribution fees, incremental fund-related
expenses, gains or losses
from seed money and co-investments,
funding costs, the negative
pass-through impact of third-party performance
fees, and other items
that are
not Asset Management’s
performance fees.
2 Consists of USD 767m reported
within net fee and
commission income for the Group
and USD 23m reported in
net interest income, other
net income from financial
instruments measured at fair value through
profit or loss, and other
income.
3
Reported within net fee and commission
income for the Group.
4
Refer to “Alternative
performance measures” in the appendix
to
this report for the definition and calculation method.
5 Refer to the “Equity attribution” section of this
report for more information about the equity attribution
framework.
6 In the third quarter of 2025, certain
portfolios were reclassified from
Equities and Fixed Income
to Multi-asset &
Solutions, as a
result of aligning Credit
Suisse presentation to that
of UBS. These
changes were applied prospectivel
y.
7 The invested
assets and net new money amounts reported for associates are prepared in accordance with their local regulatory requirements and practices.
8 Includes invested assets from associates.
Results: 4Q25 vs 4Q24
Profit before
tax increased
by USD 84m,
or 66%,
to USD 212m,
reflecting lower
operating expenses
and higher
total
revenues,
which
included
a
net
loss
of
USD 29m
related
to
the
sale
of
our
O’Connor
business
to
Cantor
Fitzgerald. The fourth quarter
of 2024 included
a net gain
of USD 13m on
the sale of
our shareholding in Credit
Suisse
Investment
Partners.
Underlying
profit
before
tax
was
USD 268m,
an
increase
of
20%,
after
excluding
integration-related expenses of USD 57m.
Total revenues
Total revenues
increased by
USD 34m, or
4%, to
USD 800m, mainly due
to higher
net management fees,
partly
offset by lower performance fees, and
included the effects from the aforementioned sales. The
gross margin was
15 basis points.
Net management
fees increased
by USD 81m,
or 11%,
to USD 790m,
mainly driven
by higher
average levels
of
invested
assets,
primarily
from
positive
market
performance
and
foreign
currency
effects,
partly
offset
by
the
ongoing margin compression. The increase
in net management fees
was also due to
higher transaction fees. Net
management
fees
of
USD 790m
included
USD 1,001m
of
fund
fee
and
commission
income
from
investment
management activities, partly offset by related
fee and commission expenses of USD 234m.
Performance fees
decreased by
USD 5m, or 12%,
to USD 39m,
mainly due
to a decrease
in Hedge
Fund Businesses,
partly offset by an increase in the Fixed Income
business.
Operating expenses
Operating expenses
decreased by
USD 51m, or
8%, to
USD 588m and
included a
USD 39m decrease
in integration-
related
expenses.
Excluding
integration-related
expenses
of
USD 57m,
underlying
operating
expenses
were
USD 531m, a decrease of 2%, mainly due to
lower non-personnel costs.
Invested assets: 4Q25 vs 3Q25
Invested
assets
increased
by
USD 55bn,
or
3%,
to
USD 2,098bn,
reflecting
positive
market
performance
of
USD 46bn, net
new money
of USD 8bn
and positive
foreign currency
effects of
USD 5bn, partly
offset by
a reduction
of USD 4bn related to the first stage of the transfer
of our O’Connor business. Excluding money market flows
and
associates, net new money was USD 4bn.
Invested assets: 4Q25 vs 4Q24
Invested
assets
increased
by
USD 325bn,
or
18%,
to
USD 2,098bn,
reflecting
positive
market
performance
of
USD 171bn, positive foreign
currency effects of
USD 131bn and
net new
money of USD 30bn,
partly offset
by a
reduction
of
USD 7bn,
which
included
the
effect
from
the
aforementioned
first
stage
of
the
transfer
of
our
O’Connor business. Excluding money market flows
and associates, net new money was USD 17bn.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Investment Bank
26
Investment Bank
Investment Bank
As of or for the quarter ended
% change from
As of or for the year
ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Results
Advisory
266
324
260
(18)
2
1,003
907
Capital Markets
485
732
612
(34)
(21)
2,195
2,547
Global Banking
751
1,056
872
(29)
(14)
3,198
3,454
Execution Services
608
560
471
9
29
2,186
1,719
Derivatives & Solutions
892
957
683
(7)
31
4,256
3,478
Financing
696
671
723
4
(4)
2,700
2,297
Global Markets
2,196
2,187
1,877
0
17
9,141
7,494
of which: Equities
1,571
1,651
1,448
(5)
8
6,647
5,588
of which: Foreign Exchange, Rates and Credit
625
536
429
17
46
2,494
1,906
Total revenues
2,946
3,244
2,749
(9)
7
12,340
10,948
Credit loss expense / (release)
34
17
63
100
(46)
133
97
Operating expenses
2,272
2,327
2,207
(2)
3
9,387
8,934
Business division operating profit / (loss) before tax
640
900
479
(29)
34
2,819
1,917
Underlying results
Total revenues as reported
2,946
3,244
2,749
(9)
7
12,340
10,948
of which: PPA effects and other integration items
1
61
219
202
(72)
(70)
570
989
of which: PPA effects
62
91
202
(32)
(69)
443
989
of which: PPA effects recognized in the Global Banking revenue line
65
97
197
(33)
(67)
468
972
of which: other integration items
(1)
128
2
128
2
Total revenues (underlying)
3
2,885
3,025
2,547
(5)
13
11,769
9,958
Credit loss expense / (release)
34
17
63
100
(46)
133
97
Operating expenses as reported
2,272
2,327
2,207
(2)
3
9,387
8,934
of which: integration-related expenses
3
124
106
174
17
(29)
463
717
Operating expenses (underlying)
3
2,148
2,221
2,032
(3)
6
8,924
8,217
of which: net expenses / (releases) for litigation, regulatory
and similar matters
(15)
6
12
20
9
Business division operating profit / (loss) before tax as reported
640
900
479
(29)
34
2,819
1,917
Business division operating profit / (loss) before tax (underlying)
3
703
787
452
(11)
56
2,712
1,644
Performance measures and other information
Pre-tax profit growth (year-on-year, %)
3
33.6
122.0
n.m.
47.1
n.m.
Cost / income ratio (%)
3
77.1
71.7
80.3
76.1
81.6
Average attributed equity (USD bn)
4
18.9
18.5
17.3
2
10
18.4
17.1
Return on attributed equity (%)
3,4
13.5
19.4
11.1
15.3
11.2
Underlying performance measures
Pre-tax profit growth (year-on-year, %)
3
55.7
108.9
n.m.
64.9
n.m.
Cost / income ratio (%)
3
74.5
73.4
79.8
75.8
82.5
Return on attributed equity (%)
3,4
14.9
17.0
10.5
14.8
9.6
1 Includes accretion of PPA adjustments on financial instruments and other PPA effects,
as well as temporary and incremental items directly related to the integration.
2 Represents the gain from the sale of a stake
in a subsidiary, Credit Suisse Securities (China) Limited.
3 Refer to “Alternative performance measures”
in the appendix to this report for the definition and calculation method.
4 Refer to the “Equity attribution”
section of this report for more information about the equity attribution framework.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Investment Bank
27
Results: 4Q25 vs 4Q24
Profit before tax increased
by USD 161m, or 34%, to
USD 640m, mainly due to
higher total revenues, partly
offset
by higher
operating expenses. Underlying
profit before
tax was
USD 703m, an
increase of
56%, after
excluding
from total revenues USD 61m of purchase price allocation (PPA) effects and other integration items and excluding
from operating expenses USD 124m of integration-related
expenses.
Total revenues
Total revenues increased by USD 197m, or 7%, to USD 2,946m, mainly due to higher revenues
in Global Markets,
partly
offset
by
a
USD 140m
decrease
in
PPA
effects,
and
included
positive
foreign
currency
effects.
Excluding
USD 61m of PPA effects and
other integration items,
underlying total revenues were USD 2,885m, an
increase of
13%.
Global Banking
Global Banking
revenues decreased
by USD 121m,
or 14%,
to USD 751m,
primarily driven
by a
USD 132m decrease
in accretion
of PPA
adjustments on
financial instruments and
other PPA
effects. Excluding
PPA effects
and other
integration items, underlying Global Banking revenues
were USD 687m, an increase of 2%.
Advisory
revenues
increased
by
USD 6m,
or
2%,
to
USD 266m,
largely
driven
by
an
increase
in
private
funds
closings.
Capital
Markets
revenues
decreased
by
USD 127m,
or
21%,
to
USD 485m
and
included
the
aforementioned
USD 132m decrease in PPA effects. Excluding PPA effects and
other integration items, underlying Capital Markets
revenues increased by USD 6m, or 1%.
Global Markets
Global Markets revenues increased by USD 319m, or 17%, to USD 2,196m, mainly driven by
higher Derivatives &
Solutions and
Execution Services
revenues,
and
included a
gain
of USD 102m
on
a
strategic equity
investment,
which was split equally across product verticals.
Execution Services revenues
increased by USD 137m,
or 29%, to USD 608m,
mainly driven by higher
Cash Equities
revenues, led by the Asia Pacific region, reflecting
higher volumes.
Derivatives &
Solutions revenues
increased by
USD 209m,
or 31%,
to USD 892m,
mainly driven
by Foreign
Exchange
and Equity Derivatives revenues from higher levels
of client activity.
Financing revenues decreased by USD 27m, or
4%, to USD 696m.
Equities
Global Markets
Equities revenues
increased by
USD 123m, or
8%, to
USD 1,571m,
mainly driven
by higher
revenues
in Prime Brokerage, Cash Equities and Equity
Derivatives.
Foreign Exchange, Rates and Credit
Global
Markets
Foreign
Exchange, Rates
and
Credit
revenues
increased
by
USD 196m,
or
46%,
to
USD 625m,
mainly
driven
by
an
increase
in
Foreign
Exchange
revenues
and
by
the
aforementioned
gain
on
a
strategic
investment.
Credit loss expense / release
Net credit
loss expenses
were USD 34m,
mainly reflecting
net expenses
on credit-impaired
positions,
compared with
net credit loss expenses of USD 63m in the
fourth quarter of 2024.
Operating expenses
Operating
expenses
increased
by
USD 65m,
or
3%,
to
USD 2,272m
and
included
a
USD 50m
decrease
in
integration-related expenses. Excluding integration-related
expenses of USD 124m, underlying operating
expenses
were USD 2,148m, an
increase of 6%, mainly
due to adverse foreign
currency effects and
higher technology costs.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Non-core and Legacy
28
Non-core and Legacy
Non-core and Legacy
As of or for the quarter ended
% change from
As of or for the year
ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Results
Total revenues
(8)
(40)
(58)
(81)
(87)
154
1,605
Credit loss expense / (release)
(12)
6
6
(1)
69
Operating expenses
459
56
858
721
(46)
1,353
3,512
Operating profit / (loss) before tax
(455)
(102)
(923)
346
(51)
(1,199)
(1,976)
Underlying results
Total revenues as reported
(8)
(40)
(58)
(81)
(87)
154
1,605
of which: other integration items
2
1
27
4
Total revenues (underlying)
1
(10)
(42)
(58)
(77)
(84)
150
1,605
Credit loss expense / (release)
(12)
6
6
(1)
69
Operating expenses as reported
459
56
858
721
(46)
1,353
3,512
of which: integration-related expenses
1
233
205
317
14
(26)
882
1,154
Operating expenses (underlying)
1
226
(149)
541
(58)
472
2,359
of which: net expenses / (releases) for litigation, regulatory
and similar matters
34
(440)
(20)
(833)
(300)
Operating profit / (loss) before tax as reported
(455)
(102)
(923)
346
(51)
(1,199)
(1,976)
Operating profit / (loss) before tax (underlying)
1
(224)
102
(606)
(63)
(321)
(822)
Performance measures and other information
Average attributed equity (USD bn)
2
4.0
4.5
8.7
(12)
(55)
5.4
9.5
Risk-weighted assets (USD bn)
28.8
30.7
41.4
(6)
(30)
28.8
41.4
Leverage ratio denominator (USD bn)
19.1
25.6
53.5
(25)
(64)
19.1
53.5
1 Refer to “Alternative performance measures” in the appendix to this report for the definition and calculation method.
2
Refer to the “Equity attribution” section of this report for more information about the equity
attribution framework.
Composition of Non-core and Legacy
Total assets
RWA
LRD
USD bn
31.12.25
30.9.25
31.12.25
30.9.25
31.12.25
30.9.25
Exposure category
Equities
0.8
0.9
0.3
0.6
0.3
0.4
Macro
9.2
10.2
1.9
2.7
3.7
3.7
Loans
0.7
0.8
0.8
0.9
0.7
0.9
Securitized products
2.8
3.1
1.5
1.8
2.9
3.4
Credit
0.2
0.3
0.1
0.2
0.1
0.2
High-quality liquid assets
10.6
16.1
10.6
16.1
Operational risk
24.0
24.0
Other
1.1
1.3
0.4
0.6
0.9
0.9
Total
25.4
32.6
28.8
30.7
19.1
25.6
Results: 4Q25 vs 4Q24
Loss before
tax was
USD 455m, compared
with a
loss before
tax of
USD 923m. Underlying
loss before
tax was
USD 224m, after
excluding from
operating expenses
USD 233m of
integration-related expenses
and excluding
from
total revenues USD 2m of other integration items,
compared with an underlying loss before
tax of USD 606m.
Total revenues
Total revenues were
negative USD 8m,
compared with
negative total revenues
of USD 58m, mainly
reflecting lower
liquidity and funding costs, partly
offset by lower net interest income,
as a result of a smaller portfolio,
and further
offset by higher markdowns.
Credit loss expense / release
Net credit loss releases were
USD 12m, compared with net credit
loss expenses of USD 6m in the
fourth quarter of
2024.
UBS Group fourth quarter 2025 report |
UBS Group performance, business divisions
and Group Items | Non-core and Legacy
29
Operating expenses
Operating
expenses
were
USD 459m,
a
decrease
of
USD 399m,
or
46%,
mainly
reflecting
lower
legal
fees,
technology costs, premises and
facilities costs, risk management
costs, and compliance and
regulatory costs,
and
included
an
USD 84m
decrease
in
integration-related
expenses.
Excluding
integration-related
expenses
of
USD 233m, underlying operating expenses were
USD 226m.
Risk-weighted assets and leverage ratio denominator:
4Q25 vs 3Q25
Risk-weighted
assets
(RWA)
decreased
by
USD 1.9bn
to
USD 28.8bn,
mostly
due
to
decreases
in
the
macro,
securitized product and equity
portfolios. The leverage
ratio denominator decreased
by USD 6.5bn to USD 19.1bn,
mainly driven by reductions in
high-quality liquid assets, which decreased by
USD 5.5bn, primarily as a result
of a
reduction in
the overall
Non-core and
Legacy balance sheet,
as well
as reductions in
the securitized product
and
loan portfolios.
Group Items
Group Items
As of or for the quarter ended
% change from
As of or for the year
ended
USD m
31.12.25
30.9.25
31.12.24
3Q25
4Q24
31.12.25
31.12.24
Results
Total revenues
(575)
(149)
(188)
285
205
(1,190)
(975)
Credit loss expense / (release)
3
0
0
2
(2)
Operating expenses
(27)
23
(88)
(69)
(2)
(220)
Operating profit / (loss) before tax
(552)
(173)
(100)
219
453
(1,190)
(752)
Underlying results
Total revenues as reported
(575)
(149)
(188)
285
205
(1,190)
(975)
of which: PPA effects and other integration items
1
(404)
2
34
(4)
(323)
2
(41)
Total revenues (underlying)
3
(171)
(183)
(184)
(7)
(7)
(867)
(933)
Credit loss expense / (release)
3
0
0
2
(2)
Operating expenses as reported
(27)
23
(88)
(69)
(2)
(220)
of which: integration-related expenses
3
34
20
(1)
76
53
(12)
Operating expenses (underlying)
3
(62)
4
(88)
(30)
(56)
(208)
of which: net expenses / (releases) for litigation, regulatory
and similar matters
1
1
6
(23)
(85)
75
9
Operating profit / (loss) before tax as reported
(552)
(173)
(100)
219
453
(1,190)
(752)
Operating profit / (loss) before tax (underlying)
3
(113)
(187)
(96)
(40)
18
(813)
(723)
1
Includes accretion of
PPA adjustments
on financial instruments
and other PPA
effects, as well
as temporary and
incremental items
directly related to
the integration.
2
Includes a USD
457m net loss
from the
repurchase of legacy Credit Suisse debt instruments, as the repurchase price exceeded the amortized-cost carrying value (the net loss reflects a loss of USD
885m before PPA adjustments, partly offset by a USD
427m
gain from the release of PPA adjustments).
3
Refer to “Alternative performance measures” in the appendix
to this report for the definition and calculation method.
Results: 4Q25 vs 4Q24
Loss before
tax was
USD 552m, mainly
driven by
a net
loss of
USD 457m from
the repurchase
of legacy
Credit
Suisse debt instruments,
which included the release of purchase
price allocation (PPA) adjustments of USD 427m.
The change in the result, compared with
a loss of USD 100m in the fourth quarter
of 2024, was largely due to the
aforementioned loss from the debt repurchase.
›
Refer to “Other developments” in the “Recent developments” section of this report for more information about the
repurchase
of legacy Credit Suisse debt
Underlying loss before tax was USD 113m, after excluding from total revenues negative USD 404m of PPA effects
and other integration
items,
which included
the aforementioned net
loss of USD 457m,
and also excluding
from
operating expenses USD 34m
of integration-related expenses. This
compared with an underlying loss
before tax of
USD 96m in the fourth quarter
of 2024. The change in the
underlying result between the quarters
was mainly due
to a
USD 25m increase in
donation expenses
due to
higher contributions
to the
UBS Optimus
Foundation in
the
fourth quarter of 2025.
Income
from
Group
hedging
and
own
debt,
including
hedge
accounting
ineffectiveness,
was
net
USD 4m,
compared with
net income
of USD 10m
in the
fourth quarter
of 2024.
The gains
in the
fourth quarter
of 2025
were driven by mark-to-market effects on own
credit and portfolio-level economic hedges.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet
30
Risk, capital, liquidity and
funding, and balance sheet
Management report
Table of contents
31
Risk management and control
31
Credit risk
32
Market risk
34
Country risk
34
Non-financial risk
36
Capital management
38
Total
loss-absorbing capacity
42
Risk-weighted assets
44
Leverage ratio denominator
45
Equity attribution
46
Liquidity and funding management
46
Strategy, objectives and governance
46
Liquidity coverage ratio
46
Net stable funding ratio
47
Balance sheet and off-balance sheet
47
Balance sheet assets
47
Balance sheet liabilities
48
Equity
49
Off-balance sheet
49
Share information and earnings per share
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Risk management and control
31
Risk management and control
This
section
provides
information
about
key
developments
during
the
reporting
period
and
should
be
read
in
conjunction with
the “Risk
management and
control” section
of the
UBS Group
Annual Report
2024, available
under “Annual
reporting” at
ubs.com/investors
, and
the “Recent
developments” section of
this report
for more
information about the integration of Credit
Suisse.
Credit risk
Overall banking products exposure
Overall banking products exposure increased by USD 3bn compared with 30 September 2025, to USD
1,086bn as
of 31 December
2025, primarily
reflecting increases
in loans
and advances
to customers
and in
guarantees and
irrevocable loan commitments,
partly offset by a decrease in balances at central
banks.
›
Refer to the “Balance sheet and off-balance sheet” section of this report for more information about movements in
balance sheet and off-balance sheet positions
›
Refer to the “Group performance” section of this report for more information about credit loss expense / release
Banking and traded products exposure in the business divisions and Group Items
31.12.25
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core
and Legacy
Group
Items
Total
Banking products exposure, gross
1,2
480,229
462,237
2,060
108,659
8,908
24,207
1,086,300
of which: loans and advances to customers (on-balance sheet)
322,441
310,207
7
21,158
601
1,921
656,336
of which: guarantees and irrevocable loan commitments (off-balance sheet)
20,400
48,469
2
35,901
674
23,777
129,223
Committed unconditionally revocable credit lines
3
69,537
49,495
0
528
4
115
119,679
Traded products exposure, gross
2,4
15,634
1,623
0
35,764
53,021
of which: over-the-counter derivatives
12,268
1,543
0
8,752
22,563
of which: securities financing transactions
54
0
0
18,486
18,540
of which: exchange-traded derivatives
3,313
80
0
8,526
11,919
Total credit-impaired exposure, gross
1
1,748
4,112
0
641
863
0
7,363
of which: stage 3
1,715
3,786
0
604
72
0
6,176
of which: PCI
33
326
0
36
791
0
1,187
Total allowances and provisions for expected credit losses
301
1,969
1
479
299
9
3,058
of which: stage 1
105
346
0
115
1
9
576
of which: stage 2
53
245
1
129
0
0
428
of which: stage 3
135
1,326
0
232
62
0
1,756
of which: PCI
9
51
0
2
236
0
298
30.9.25
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core
and Legacy
Group
Items
Total
Banking products exposure, gross
1,2
479,241
460,735
2,028
106,538
12,780
22,454
1,083,777
of which: loans and advances to customers (on-balance sheet)
317,323
310,641
6
18,523
751
1,809
649,053
of which: guarantees and irrevocable loan commitments (off-balance sheet)
20,191
47,247
3
34,080
1,081
21,979
124,582
Committed unconditionally revocable credit lines
3
76,297
59,538
0
351
4
114
136,304
Traded products exposure, gross
2,4
16,548
2,388
0
37,534
56,470
of which: over-the-counter derivatives
12,728
2,223
0
8,790
23,741
of which: securities financing transactions
98
0
0
21,167
21,265
of which: exchange-traded derivatives
3,722
165
0
7,577
11,465
Total credit-impaired exposure, gross
1
1,766
3,965
0
648
955
0
7,334
of which: stage 3
1,732
3,583
0
598
57
0
5,970
of which: PCI
34
382
0
50
898
0
1,364
Total allowances and provisions for expected credit losses
284
1,883
0
462
370
6
3,005
of which: stage 1
104
350
0
113
2
6
574
of which: stage 2
59
256
0
141
0
0
456
of which: stage 3
112
1,228
0
207
55
0
1,602
of which: PCI
9
49
0
2
313
0
373
1 IFRS 9 gross exposure for
banking products includes the following financial instruments within
the scope of expected credit loss measurement:
balances at central banks, amounts due from banks, loans and advances
to customers, other financial
assets at amortized cost,
guarantees and irrevocable loan
commitments.
2 Internal management view of
credit risk, which differs in
certain respects from IFRS
Accounting Standards.
3 Commitments that can be canceled by UBS at any time but expose UBS to credit risk if the client has the ability to draw the facility before UBS can take action. These commitments are subject to expected credit loss
requirements.
4 As counterparty risk for traded products is managed at the counterparty level, no further split between exposures
in the Investment Bank, Non-core and Legacy, and Group Items is provided.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Risk management and control
32
Loan underwriting
In the
Investment Bank,
mandated loan
underwriting commitments
on a
notional basis
increased by
USD 1.2bn
compared with 30 September
2025, to USD 5.9bn
as of 31 December
2025, driven by
new mandates,
partly offset
by deal
syndications and
cancellations. As of
31 December 2025, USD 0.4bn
of loan
underwriting commitments
had not been distributed as originally planned.
Loan underwriting exposures
in the Investment
Bank are classified
as held for
trading, with
fair values reflecting
the
market conditions
at the
end of
the quarter.
Credit hedges
are in place
to help
protect against
fair value
movements
in the portfolio.
Market risk
Average management value-at-risk (VaR) (1-day, 95% confidence
level) of the UBS Group excluding certain legacy
Credit Suisse components in the
fourth quarter of 2025
was stable at USD 11m, compared
with USD 11m in the
third quarter of 2025.
Average management VaR (1-day, 98% confidence level) of the aforementioned legacy Credit Suisse components
in the fourth
quarter of 2025
decreased to USD 1m
from USD 2m in
the third quarter
of 2025, driven
by continued
strategic migration of positions to UBS and
de-risking within Non-core and Legacy.
Management value-at-risk (1-day, 95% confidence level, 5 years of historical data) of the business divisions and
Group Items excluding certain legacy Credit Suisse components, by general market risk type
1,2
Average by risk type
USD m
Min.
Max.
Period end
Average
Equity
Interest
rates
Credit
spreads
Foreign
exchange
Commodities
Global Wealth Management
1
2
2
2
0
2
2
0
0
Personal & Corporate Banking
0
0
0
0
0
0
0
0
0
Asset Management
0
0
0
0
0
0
0
0
0
Investment Bank
6
17
8
10
3
15
7
5
2
Non-core and Legacy
1
3
2
2
1
1
0
0
0
Group Items
3
5
4
4
1
3
2
0
0
Diversification effect
3,4
(7)
(6)
(1)
(5)
(3)
(1)
0
Total as of 31.12.25
7
19
9
11
3
16
8
5
2
Total as of 30.9.25
8
16
14
11
4
14
8
5
2
Management value-at-risk (1-day, 98% confidence level, 2 years of historical data) of certain legacy Credit
Suisse
components of the business divisions and Group Items, by general market risk type
1,2
Average by risk type
USD m
Min.
Max.
Period end
Average
Equity
Interest
rates
Credit
spreads
Foreign
exchange
Commodities
Global Wealth Management
0
1
0
0
0
0
0
0
0
Personal & Corporate Banking
0
1
0
0
0
0
0
0
0
Asset Management
0
0
0
0
0
0
0
0
0
Investment Bank
1
1
1
1
1
0
0
0
0
Non-core and Legacy
0
1
0
1
0
0
0
0
0
Group Items
0
0
0
0
0
0
0
0
0
Diversification effect
3,4
(1)
(1)
0
0
0
(1)
0
Total as of 31.12.25
1
2
1
1
1
0
0
1
0
Total as of 30.9.25
1
3
2
2
1
1
1
1
0
1 The legacy Credit Suisse
components not included in the
UBS Group management VaR reflect the
portfolio managed on legacy
Credit Suisse infrastructure based on
legacy Credit Suisse management VaR methodology
until full migration
of these positions
to UBS
infrastructure or
the liquidation
of the
positions. This
process is
ongoing, and
the management
VaR of
the legacy
Credit Suisse
components is
expected to
continue
decreasing over time.
2 Statistics at individual levels may not be summed to deduce the corresponding aggregate figures.
The minima and maxima for each level may occur on different days,
and, likewise, the VaR
for each business division or risk type,
being driven by the extreme loss tail of the corresponding
distribution of simulated profits and losses for that
business division or risk type, may well
be driven by different days
in the historical time series, rendering
invalid the simple summation of
figures to arrive at the aggregate
total.
3 The difference between
the sum of the standalone VaR
for the business divisions and Group
Items
and the total VaR.
4 As the minima and maxima for different business divisions and Group Items occur on different days, it is not
meaningful to calculate a portfolio diversification effect.
Economic value of equity and net interest income
sensitivity
The economic value of equity
(EVE) sensitivity in the UBS
Group banking book to a
+1-basis-point parallel shift in
yield
curves
was
negative
USD 43.9m
as
of
31 December
2025,
compared
with
negative
USD 41.3m
as
of
30 September 2025. This excluded
the sensitivity of USD 8.0m from additional tier 1
(AT1) capital instruments (as
per
specific
Swiss
Financial
Market
Supervisory
Authority
(FINMA)
requirements)
in
contrast
to
general
Basel
Committee on
Banking Supervision (BCBS)
guidance. Exposure in
the banking book
of the
UBS Group
increased
during the fourth quarter of 2025, predominantly
driven by net interest income stabilization
initiatives.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Risk management and control
33
The majority of our interest rate risk in
the banking book (IRRBB) as of 31 December 2025
was a reflection of the
net asset
duration that
we ran
to offset
our modeled
sensitivity of
net USD 33.2m
(30 September
2025: USD 32.4m)
assigned
to
our
equity,
goodwill
and
real
estate,
with
the
aim
of
generating
a
stable
net
interest
income
contribution. Of this, USD
19.7m and USD 11.6m
were attributable to the
US dollar and the Swiss
franc portfolios,
respectively,
(30 September 2025: USD 18.8m and USD
11.6m, respectively).
In addition to
the aforementioned
sensitivity, we
calculate the
six interest
rate shock
scenarios prescribed
by FINMA.
The
“Parallel
up”
scenario,
assuming
all
positions
were
measured
at
fair
value,
was
the
most
severe
as
of
31 December 2025
and
would have
resulted in
a
change in
EVE of
negative USD 8.1bn,
or
8.9% of
our
tier 1
capital (30 September
2025: negative
USD 7.7bn, or
8.1%), which
is
well below
the 15%
threshold as
per the
BCBS supervisory outlier test for high levels of
IRRBB.
The immediate effect on our tier 1 capital in the “Parallel up” scenario as of 31 December 2025 would have been
a decrease of approximately
USD 0.8bn, or 0.9%, in our tier 1 capital (30 September 2025: USD 0.9bn, or 0.9%),
reflecting the fact that the vast
majority of our banking book is accrual
accounted or subject to hedge accounting.
The “Parallel up” scenario would subsequently have a positive effect on net interest income, assuming a constant
balance sheet.
As the overall interest rate risk sensitivity shows a greater
impact from slower asset repricing compared with faster
liabilities repricing, the “Parallel
down“ scenario was the
most beneficial as of 31 December
2025 and would have
resulted in a
change in EVE
of positive USD 8.3bn
(30 September 2025: positive USD 7.8bn)
and a small
positive
immediate effect on our tier 1 capital.
›
Refer to “Interest rate risk in the banking book” in the “Risk management and control”
section of the UBS Group
Annual Report 2024, available under “Annual reporting” at
ubs.com/investors
, for more information about the
management of interest rate risk in the banking book
›
Refer to “Sensitivity to interest rate movements” in the “Group performance” section of this report for more
information about the effects of increases in interest rates on the net interest income of our banking book
Interest rate risk – banking book
31.12.25
USD m
Effect on EVE
1
– FINMA
Effect on EVE
1
– BCBS
Scenarios
CHF
EUR
GBP
USD
Other
Total
Additional tier 1
capital instruments
Total
+1 bp
(12.5)
(1.7)
(0.2)
(28.5)
(1.0)
(43.9)
8.0
(35.9)
Parallel up
2
(1,770.1)
(315.7)
(50.4)
(5,698.0)
(239.3)
(8,073.4)
1,492.1
(6,581.3)
Parallel down
2
1,971.6
355.5
46.5
5,622.8
264.8
8,261.3
(1,751.2)
6,510.1
Steepener
3
(889.8)
(20.6)
(10.4)
(1,371.3)
6.8
(2,285.2)
336.0
(1,949.2)
Flattener
4
552.3
(31.4)
1.7
61.1
(58.9)
524.8
2.7
527.5
Short-term up
5
(169.8)
(126.5)
(14.6)
(2,226.1)
(145.6)
(2,682.7)
644.8
(2,037.8)
Short-term down
6
167.9
127.7
9.2
2,308.9
144.6
2,758.2
(671.8)
2,086.5
30.9.25
USD m
Effect on EVE
1
– FINMA
Effect on EVE
1
– BCBS
Scenarios
CHF
EUR
GBP
USD
Other
Total
Additional tier 1
capital instruments
Total
+1 bp
(10.5)
(1.8)
(0.2)
(27.7)
(1.1)
(41.3)
8.4
(32.9)
Parallel up
2
(1,523.0)
(336.8)
(53.7)
(5,524.9)
(250.0)
(7,688.4)
1,574.0
(6,114.5)
Parallel down
2
1,616.3
381.4
56.6
5,508.1
274.0
7,836.5
(1,855.3)
5,981.2
Steepener
3
(827.0)
(5.5)
(8.4)
(1,435.2)
(3.9)
(2,279.9)
376.6
(1,903.4)
Flattener
4
542.3
(50.2)
(1.3)
158.6
(50.5)
598.9
(20.3)
578.7
Short-term up
5
(88.5)
(151.1)
(18.2)
(2,075.9)
(142.9)
(2,476.7)
660.9
(1,815.8)
Short-term down
6
61.5
151.3
18.5
2,183.6
139.5
2,554.4
(688.4)
1,865.9
1 Economic value
of equity.
2 Rates across all
tenors move by ±150
bps for Swiss
franc, ±200 bps for
euro and US
dollar, and
±250 bps for pound
sterling.
3 Short-term rates
decrease and long-term rates
increase.
4 Short-term rates increase and long-term rates decrease.
5 Short-term rates increase more than long-term rates.
6 Short-term rates decrease more than long-term rates.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Risk management and control
34
Country risk
We remain
watchful of
a range
of geopolitical
developments and
political changes
in a
number of
countries, as
well as global trade relations,
particularly tariffs-related policies, and evolving armed conflicts. As of 31 December
2025, our exposure to
Venezuela was immaterial. Our direct
exposure to Israel as
of 31 December 2025 was
less
than USD 0.5bn,
and our direct exposure to Gulf Cooperation
Council countries was less than USD 5bn, while
our
direct exposure to
Egypt and Jordan
was limited, and
we had no
direct exposure to
Iran, Iraq, Lebanon
or Syria. Our
direct exposure to
Russia as
of 31 December
2025 was
less than USD 0.5bn,
and our direct
exposure to
Belarus and
Ukraine remained immaterial.
As of 31 December 2025, our exposure
to emerging-market countries was less
than
10% of our total country exposure and mainly
to countries in Asia.
Uncertainty about economic policy remained elevated. In
the fourth quarter of 2025,
inflation was broadly stable
in
major
Western
economies,
although
concerns
about
the
potential
impact
of
trade
tensions
on
prices
and
economic growth persisted.
Chinese exports finished the year positively,
but domestic economic activity remained
at subdued levels,
forcing the Chinese
government to promise
to implement a
more proactive fiscal
policy in the
first quarter of 2026.
›
Refer to the “Risk management and control” section of the UBS Group Annual Report 2025, which will be available
as of 9 March 2026 under “Annual reporting” at
ubs.com/investors
, for more information
Non-financial risk
Compliance risk
We are committed
to achieving fair
outcomes for
our clients,
upholding market
integrity and
cultivating the
highest
standards of employee
conduct.
To support these
objectives,
we maintain a
Group-wide conduct risk
framework
designed to promote consistent standards
and foster a strong culture of accountability.
We continue to
prioritize areas such
as suitability risk, market
conduct, product governance,
cross-divisional service
offerings, quality of
advice and price
transparency.
These remain key
focus areas for
UBS and
the wider financial
sector. Cross-border risk (including the risk of unintended
permanent establishment) remains an area of regulatory
attention for global financial institutions, including a focus
on market access, such as third-country market access
to the European Economic Area. We maintain
a series of controls designed to address
these risks.
Regulatory
fragmentation
related
to
environmental,
social
and
governance
topics,
and
the
elevated
risk
of
greenwashing arising from our service offering,
disclosures and commitments remain key risks
for 2026.
Financial crime risk
Financial crime, including
money laundering, terrorist
financing, sanctions violations,
fraud, bribery and corruption,
presents a major risk, as technological innovation and geopolitical developments increase the complexity of doing
business and heightened regulatory attention
continues.
An
effective
financial
crime
prevention
program
therefore
remains
essential,
and
we
continue
to
focus
on
enhancements to our global anti-money-laundering, know-your-client and sanctions
programs. Money laundering
and financial
fraud techniques
are becoming
increasingly sophisticated,
and heightened
geopolitical volatility
makes
the sanctions landscape more complex. We continue to take into consideration the risks of
illicit finance proceeds
and sanctions circumvention typologies
stemming from geopolitical developments,
political changes in
a number
of countries and evolving armed conflicts.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Risk management and control
35
Operational risk
There is an increased risk of cyber-related operational
disruption to business activities at our
locations and those of
third-party suppliers due to the increasingly dynamic threat environment. This is intensified by
current geopolitical
factors and
evidenced by
the continuing
high volumes
and increasing
sophistication
of cyberattacks
against financial
institutions globally and on third-party service providers.
We remain
on heightened
alert to
respond to
and mitigate
elevated cyber-
and information-security threats
and
continue to invest
in improving our
technology infrastructure and information-security
governance to strengthen
our prevention,
detection and
response capabilities
against attacks.
In addition,
we operate
a global
framework
designed to drive enhancements in operational resilience
across all business divisions, and we work with the third-
party service providers that are of critical importance to our operations to assess their operational resilience in line
with our standards and to mitigate any identified
risks.
The increasing
interest in
data-driven advisory
processes and
the use
of generative
artificial intelligence
(AI) and
machine
learning
are
introducing
new
questions
related
to
the
fairness
of
AI
algorithms,
data
life-cycle
management,
data
ethics,
data
privacy
and
security,
and
records
management.
We
have
established
an
AI
framework and policy to support the mitigation
of these risks.
Further
progress
has
been
made
with
client
and
data
migration,
and
the
wind-down
of
legacy
Credit
Suisse
businesses and
infrastructure.
The risks
relating to
the operational
complexity and
the effective
management of
businesses in wind-down and application decommissioning continue to be
carefully monitored,
in addition to the
delivery of consolidated financial and regulatory
reporting submissions.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
36
Capital management
The
disclosures
in
this
section
are
provided
for
UBS
Group
AG
on
a
consolidated
basis
and
focus
on
key
developments during
the reporting
period and
information in
accordance with
the Basel III
framework, as
applicable
to Swiss systemically relevant banks (SRBs).
They should be read in conjunction
with “Capital management” 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
,
which
provides
more
information
about
our
capital
management
objectives, planning and activities, as
well as the Swiss SRB total loss-absorbing capacity
(TLAC) framework.
In Switzerland, the
amendments to the Capital
Adequacy Ordinance (the CAO) that
incorporate the final Basel III
standards into
Swiss law,
including the
new ordinances
containing the
implementing provisions
for the
revised CAO,
entered into force on 1 January 2025.
UBS Group
AG
is
a
holding
company
and
conducts
substantially
all
of
its
operations
through
UBS AG
and
subsidiaries thereof.
UBS Group
AG
and UBS AG
contribute a
significant portion
of
their respective
capital
and
provide substantial
liquidity to
such subsidiaries.
Many of
these subsidiaries
are subject
to local
regulations requiring
compliance with minimum capital, liquidity
and similar requirements.
›
Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3
disclosures” at
ubs.com/investors
, for more information about additional regulatory disclosures for UBS Group AG
on a consolidated basis, as well as the significant regulated subsidiaries and sub-groups of UBS Group AG
›
Refer to the
UBS AG Annual
Report 2025,
which will
be available
as of 9 March
2026
under “Quarterly
reporting” at
ubs.com/investors
, for more information
about capital
and other
regulatory
information
for UBS AG
consolidated,
in
accordance
with the Basel
III framework,
as applicable
to Swiss SRBs
We
are
subject
to
the
going
and
gone
concern
requirements
of
the
Swiss
CAO,
which
include
additional
requirements applicable to Swiss
SRBs. The table below provides
the risk-weighted asset (RWA)-
and leverage ratio
denominator (LRD)-based requirements and
information as of 31 December 2025.
Effective 1 January
2025, a Pillar
2 capital add-on
for residual
exposures (after
collateral mitigation)
to hedge funds,
private equity and
family offices has
been introduced. This resulted
in an increase
of 20 basis points
in the RWA-
based going concern capital requirement
as of 31 December 2025.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
37
Swiss SRB going and gone concern requirements and information
As of 31.12.25
RWA
LRD
USD m, except where indicated
in %
in %
Required going concern capital
Total going concern capital
14.99
1
73,955
5.00
1
81,122
Common equity tier 1 capital
10.63
2
52,448
3.50
3
56,785
of which: minimum capital
4.50
22,203
1.50
24,337
of which: buffer capital
5.50
27,137
2.00
32,449
of which: countercyclical buffer
0.49
2,433
Maximum additional tier 1 capital
4.36
2
21,507
1.50
24,337
of which: additional tier 1 capital
3.50
17,269
1.50
24,337
of which: additional tier 1 buffer capital
0.80
3,947
Eligible going concern capital
Total going concern capital
18.48
91,176
5.62
91,176
Common equity tier 1 capital
14.44
71,262
4.39
71,262
Total loss-absorbing additional tier 1 capital
4.04
19,914
1.23
19,914
of which: high-trigger loss-absorbing additional tier 1 capital
4.04
19,914
1.23
19,914
Required gone concern capital
Total gone concern loss-absorbing capacity
4,5,6
10.73
7
52,917
3.75
7
60,841
of which: base requirement including add-ons for market share and LRD
10.73
52,917
3.75
60,841
Eligible gone concern capital
Total gone concern loss-absorbing capacity
19.48
96,130
5.93
96,130
Total tier 2 capital
8
0.01
25
0.00
25
of which: non-Basel III-compliant tier 2 capital
0.00
0
0.00
0
TLAC-eligible senior unsecured debt
19.48
96,105
5.92
96,105
Total loss-absorbing capacity
Required total loss-absorbing capacity
25.71
126,872
8.75
141,963
Eligible total loss-absorbing capacity
37.96
187,307
11.54
187,307
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
493,397
Leverage ratio denominator
1,622,438
1 Includes applicable add-ons
of 1.64% for risk-weighted assets
(RWA) and 0.50% for
leverage ratio denominator (LRD),
of which 20 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 0.14%
for CET1 capital and 0.06%
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; 4.36% 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.
8 Reflects an add-back of 45% of unrealized gains from financial assets measured at fair value through other comprehensive income. Such gains do not qualify as CET1 capital but 45%
of these gains can be recognized as tier 2 capital.
Additional capital requirements for
UBS Group AG consolidated under current
requirements
As a result of the acquisition of
the Credit Suisse Group in 2023,
the capital add-ons applicable to SRBs based on
market
share
and
LRD
for
UBS
Group AG consolidated
will
increase commensurate
with
the
Group’s increased
market share
and higher
LRD after
the acquisition.
Based on
the existing
regulations, we currently
estimate that
this will add around USD 6bn to the Group’s tier 1 capital requirement, when fully phased in. The
phase-in of the
increased capital
requirements commenced
on 1 January
2026, with phase-in
add-ons to
RWA-based requirements
of 0.86% for
increased market
share and 0.79%
for higher LRD
and add-ons to
LRD-based requirements
of 0.30%
for increased market share and 0.28% for higher
LRD.
The phase-in will be completed by the beginning
of 2030.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
38
Total loss-absorbing capacity
The table below provides Swiss SRB going and gone concern information based on the Swiss SRB
framework and
requirements that are discussed under “Capital management” 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
.
Changes
to
the
Swiss
SRB
framework
and
requirements
after
the
publication
of
our
Annual
Report
2024
are
described above.
Swiss SRB going and gone concern information
USD m, except where indicated
31.12.25
30.9.25
31.12.24
Eligible going concern capital
Total going concern capital
91,176
94,950
87,739
Total tier 1 capital
91,176
94,950
87,739
Common equity tier 1 capital
71,262
74,655
71,367
Total loss-absorbing additional tier 1 capital
19,914
20,296
16,372
of which: high-trigger loss-absorbing additional tier 1 capital
19,914
20,296
15,126
of which: low-trigger loss-absorbing additional tier 1 capital
1,245
Eligible gone concern capital
Total gone concern loss-absorbing capacity
96,130
104,379
97,655
Total tier 2 capital
25
1
0
207
of which: non-Basel III-compliant tier 2 capital
0
0
207
TLAC-eligible senior unsecured debt
96,105
104,379
97,449
Total loss-absorbing capacity
Total loss-absorbing capacity
187,307
199,329
185,394
Risk-weighted assets / leverage ratio denominator
Risk-weighted assets
493,397
504,897
498,538
Leverage ratio denominator
1,622,438
1,640,464
1,519,477
Capital and loss-absorbing capacity ratios (%)
Going concern capital ratio
18.5
18.8
17.6
of which: common equity tier 1 capital ratio
14.4
14.8
14.3
Gone concern loss-absorbing capacity ratio
19.5
20.7
19.6
Total loss-absorbing capacity ratio
38.0
39.5
37.2
Leverage ratios (%)
Going concern leverage ratio
5.6
5.8
5.8
of which: common equity tier 1 leverage ratio
4.4
4.6
4.7
Gone concern leverage ratio
5.9
6.4
6.4
Total loss-absorbing capacity leverage ratio
11.5
12.2
12.2
1 Reflects an add-back of
45% of unrealized gains from financial
assets measured at fair value through
other comprehensive income. Such gains do not
qualify as CET1 capital but
45% of these gains can
be recognized
as tier 2 capital.
Total loss-absorbing capacity and movement
Our TLAC decreased by USD 12.0bn to USD
187.3bn in the fourth quarter of 2025.
Going concern capital and movement
Our
going
concern
capital
decreased
by
USD 3.8bn
to
USD 91.2bn.
Our
common
equity
tier 1
(CET1)
capital
decreased by
USD 3.4bn to
USD 71.3bn, mainly
reflecting operating
profit before
tax of
USD 1.7bn, which
was
more than offset
by the recognition of
a new USD 3.0bn capital
reserve for expected future
share repurchases in
2026, dividend accruals
of USD 1.1bn, a
negative USD 0.3bn impact
from compensation-
and own-share-related
capital components,
a USD 0.3bn decrease in
eligible deferred tax assets
on temporary differences,
and current tax
expenses of USD 0.3bn.
Share repurchases
of USD 0.9bn made
under our 2025
share repurchase
program in the
fourth quarter of
2025 did
not affect our
CET1 capital
position, as there
was an
equal reduction
in the capital
reserve for
expected future
share
repurchases in 2025. The remaining
capital reserve for expected
future share repurchases in
2025 was fully utilized
in the fourth quarter of 2025 with the completion
of our 2025 share repurchase program
on 20 November 2025.
›
Refer to the “Share information and earnings per share” section of this report for more information about our
share repurchase programs
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
39
Our loss-absorbing additional
tier 1 (AT1) capital decreased
by USD 0.4bn to
USD 19.9bn,
mainly reflecting the call
of one AT1 capital instrument equivalent to
USD 0.4bn.
Following the approval of a maximum amount of conversion capital by UBS Group AG’s shareholders at the 2024
Annual General
Meeting, AT1
capital instruments
issued from
the beginning
of the
fourth quarter
of 2023
are,
upon the
occurrence of
a trigger event
or a
viability event,
subject to
conversion into
UBS Group AG
ordinary shares
rather than a
write-down. AT1 capital instruments
issued prior to
the fourth quarter of
2023 remain subject to
a
write-down.
Gone concern loss-absorbing capacity and movement
Our
total
gone
concern
loss-absorbing
capacity
decreased
by
USD 8.2bn
to
USD 96.1bn
and
largely
reflected
USD 96.1bn
of
TLAC-eligible
senior
unsecured
debt
instruments.
The
decrease
of
USD 8.2bn
mainly
reflected
USD 5.8bn
of
TLAC-eligible
senior
unsecured
debt
instruments
that
we
repurchased
in
November
2025
under
tender
offers
and
the
redemption
of
TLAC-eligible
senior
unsecured
debt
instruments
for
the
equivalent
of
USD 5.5bn. These
decreases were
partly offset
by new
issuances of
TLAC-eligible senior
unsecured debt
instruments
totaling the equivalent of USD 3.3bn.
›
Refer to “Other developments” in the “Recent developments” section of this report for more information about the
repurchase of legacy Credit Suisse debt
›
Refer to “Bondholder information” at
ubs.com/investors
for more information about the eligibility of capital and
senior unsecured debt instruments and about key features and terms and conditions of capital instruments
Loss-absorbing capacity and leverage ratios
Our
CET1 capital
ratio
decreased to
14.4% from
14.8%,
reflecting
the aforementioned
USD 3.4bn decrease
in
CET1 capital,
partly offset by an USD 11.5bn decrease
in the RWA.
›
Refer to “Risk-weighted assets” in this section for more information about RWA movements
Our CET1
leverage ratio
decreased to
4.4% from
4.6%,
reflecting the
aforementioned
USD 3.4bn decrease
in CET1
capital,
partly offset by an USD 18.0bn decrease in
the LRD.
›
Refer to “Leverage ratio denominator” in this section for more information about LRD movements
Our going
concern capital
ratio decreased
to 18.5%
from 18.8%,
reflecting a
USD 3.8bn decrease
in going
concern
capital,
partly offset by the aforementioned decrease
in the RWA.
Our going concern
leverage
ratio decreased
to 5.6% from
5.8%, reflecting
a USD 3.8bn decrease in going concern
capital,
partly offset by the
aforementioned
decrease in the
LRD.
Our gone
concern loss-absorbing
capacity ratio
decreased to
19.5% from
20.7%, reflecting
an USD 8.2bn
decrease
in gone concern loss-absorbing capacity,
partly offset by the aforementioned decrease in
the RWA.
Our gone concern
leverage ratio
decreased to 5.9%
from 6.4%, reflecting
an USD 8.2bn
decrease in
gone concern
loss-absorbing capacity,
partly offset by the aforementioned decrease
in the LRD.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
40
Swiss SRB total loss-absorbing capacity movement
USD m
Going concern capital
Swiss SRB
Common equity tier 1 capital as of 30.9.25
74,655
Operating profit / (loss) before tax
1,700
Current tax (expense) / benefit
(276)
Foreign currency translation effects, before tax
134
Share repurchase program
(904)
Capital reserve for expected future share repurchases in
2025
904
Capital reserve for expected future share repurchases in
2026
(3,000)
Accruals for expected dividends to shareholders for 2025
(1,109)
Compensation-
and own-share-related capital components
(344)
Eligible deferred tax assets on temporary differences (including
excess over threshold)
(323)
Other
(175)
Common equity tier 1 capital as of 31.12.25
71,262
Loss-absorbing additional tier 1 capital as of 30.9.25
20,296
Call of high-trigger loss-absorbing additional tier 1 capital
(354)
Interest rate risk hedge, foreign currency translation and other effects
(28)
Loss-absorbing additional tier 1 capital as of 31.12.25
19,914
Total going concern capital as of 30.9.25
94,950
Total going concern capital as of 31.12.25
91,176
Gone concern loss-absorbing capacity
Tier 2 capital as of 30.9.25
0
Interest rate risk hedge, foreign currency translation and other effects
25
Tier 2 capital as of 31.12.25
25
TLAC-eligible unsecured debt as of 30.9.25
104,379
Issuance of TLAC-eligible senior unsecured debt
3,302
Call of TLAC-eligible senior unsecured debt
1
(5,506)
Instruments repurchased under the tender offers
(5,824)
Interest rate risk hedge, foreign currency translation and other effects
(246)
TLAC-eligible unsecured debt as of 31.12.25
96,105
Total gone concern loss-absorbing capacity as of 30.9.25
104,379
Total gone concern loss-absorbing capacity as of 31.12.25
96,130
Total loss-absorbing capacity
Total loss-absorbing capacity as of 30.9.25
199,329
Total loss-absorbing capacity as of 31.12.25
187,307
1 Includes one debt instrument (ISIN US902613AU26) that ceased to be eligible as gone concern capital
when we issued a notice of redemption of the instrument in the fourth quarter of 2025.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
41
Reconciliation of equity under IFRS Accounting Standards to Swiss SRB common equity tier 1 capital
USD m
31.12.25
30.9.25
31.12.24
Total equity under IFRS Accounting Standards
90,484
90,204
85,574
Equity attributable to non-controlling interests
(271)
(305)
(494)
Defined benefit plans, net of tax
(957)
(957)
(833)
Deferred tax assets recognized for tax loss carry-forwards
(2,434)
(2,306)
(2,288)
Deferred tax assets for unused tax credits
(827)
(883)
(688)
Deferred tax assets on temporary differences, excess over threshold
(1,242)
(1,081)
(803)
Goodwill, net of tax
1
(5,787)
(5,785)
(5,702)
Intangible assets, net of tax
(683)
(714)
(702)
Compensation-related components (not recognized in net profit)
(2,441)
(2,298)
(2,800)
Expected losses on advanced internal ratings-based portfolio less provisions
(876)
(721)
(568)
Unrealized (gains) / losses from cash flow hedges, net of tax
1,339
1,349
2,585
Own credit related to (gains) / losses on financial liabilities
measured at fair value that existed at the balance sheet
date, net of tax
1,660
1,588
1,178
Own credit related to (gains) / losses on derivative financial instruments
that existed at the balance sheet date
(65)
(73)
(62)
Prudential valuation adjustments
(148)
(177)
(167)
Accruals for dividends to shareholders for 2024
(2,835)
Accruals for expected dividends to shareholders for 2025
(3,449)
(2,340)
Capital reserve for expected future share repurchases in
2025
(904)
Capital reserve for expected future share repurchases in
2026
(3,000)
Other
(40)
58
(25)
Total common equity tier 1 capital
71,262
74,655
71,367
1 Includes goodwill related to significant investments in financial institutions of USD 34m as of 31 December 2025 (USD 34m as of 30 September 2025,
USD 19m as of 31 December 2024) presented on the balance
sheet line Investments in associates.
CET1 capital ratio for UBS AG standalone
On a standalone basis as
of 31 December 2025, UBS
AG’s fully applied CET1
capital ratio is expected
to be around
14.2%. Additional capital information and
final capital figures for
UBS AG standalone will
be published with
our
31 December
2025
Pillar 3
report,
which
will
be
available
as
of
9 March
2026
under
“Pillar 3
disclosures”
at
ubs.com/investors
.
Additional information
Sensitivity to currency movements
Risk-weighted assets
We estimate that a 10% depreciation of the US dollar against other currencies would have increased our RWA by
USD 23bn
and
our
CET1
capital
by
USD 2.7bn
as
of
31
December
2025
(30
September
2025:
USD 24bn
and
USD 2.7bn, respectively)
and decreased
our CET1
capital ratio
by
13 basis points
(30 September
2025: 16 basis
points). Conversely, a 10% appreciation of the US dollar against other currencies would
have decreased our RWA
by USD 21bn
and our
CET1 capital
by USD 2.4bn
(30 September
2025: USD 21bn
and USD 2.4bn,
respectively)
and increased our CET1 capital ratio by 13
basis points (30 September 2025: 16 basis points).
Leverage ratio denominator
We estimate that a
10% depreciation of the
US dollar against other
currencies would have increased our
LRD by
USD 109bn as of 31 December 2025 (30 September 2025: USD
108bn) and decreased our CET1 leverage ratio by
12 basis points
(30 September
2025: 13 basis
points). Conversely,
a 10%
appreciation of
the US
dollar against
other
currencies would have decreased our LRD by USD 98bn (30 September
2025: USD 98bn) and increased our CET1
leverage ratio by 12 basis points (30 September
2025: 13 basis points).
The aforementioned
sensitivities do
not consider
foreign currency
translation effects
related to
defined benefit
plans
other than those related to the currency
translation of the net equity of foreign operations.
›
Refer to “Active management of sensitivity to foreign exchange movements” under “Capital management” 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
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
42
Risk-weighted assets
During
the
fourth
quarter
of
2025,
RWA
decreased
by
USD 11.5bn
to
USD 493.4bn,
driven
by
a
USD 10.8bn
decrease resulting from asset size and
other movements and a USD 1.3bn decrease driven
by model updates and
methodology changes,
partly offset by a USD 0.6bn increase from currency
effects.
Movement in risk-weighted assets, by key driver
USD bn
RWA as of
30.9.25
Currency
effects
Model updates
and methodology
changes
Asset size and
other
1
RWA as of
31.12.25
Credit and counterparty credit risk
2
305.2
0.6
(1.3)
(4.5)
299.9
Non-counterparty-related risk
3
35.1
0.0
(0.9)
34.3
Market risk
28.2
(4.5)
23.8
Operational risk
136.4
(1.0)
135.4
Total
504.9
0.6
(1.3)
(10.8)
493.4
1 Includes the
Pillar 3 categories
“Asset
size”, “Credit
quality of counterparties”,
“Acquisitions
and disposals”
and “Other”.
For more
information, refer
to the 31
December 2025
Pillar 3 Report,
which will
be
available as
of 9
March 2026
under “Pillar 3
disclosures” at
ubs.com/investors.
2 Includes settlement
risk, credit
valuation adjustments,
equity and
investments in
funds exposures
in the
banking book,
and
securitization exposures in the banking book.
3 Non-counterparty-related risk includes deferred tax assets arising from temporary differences,
property, equipment, software and other items.
Credit and counterparty credit risk
Credit and counterparty
credit risk RWA
decreased by USD 5.2bn
to USD 299.9bn as
of 31 December 2025,
driven
by a USD 4.5bn decrease resulting from asset size and other movements and a USD 1.3bn decrease due to model
updates and methodology changes, partly offset
by a USD 0.6bn increase from currency effects.
Asset size and other movements by business
division and Group Items
–
Investment Bank
RWA decreased
by USD 2.7bn,
mainly due
to lower
RWA on
derivatives and
securities financing
transactions,
reflecting risk mitigation, roll-offs and market-driven
movements.
–
Non-core
and
Legacy
RWA
decreased
by
USD 1.0bn,
primarily
driven
by
our
actions
to
actively
unwind
the
portfolio, in addition to the natural roll-off.
–
Global Wealth Management RWA decreased by
USD 0.9bn, mainly due to lower RWA on derivatives.
–
Asset Management RWA decreased by USD 0.1bn.
–
Personal & Corporate Banking RWA decreased
by USD 0.1bn.
–
Group Items RWA increased by USD 0.3bn.
Model updates
and methodology
changes resulted
in an RWA
decrease of
USD 1.3bn, mainly
reflecting lower
RWA
on Lombard lending in
Global Wealth Management, partly offset
by an RWA increase
following the migration of
exposures from Credit Suisse models.
›
Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3
disclosures” at
ubs.com/investors
, for more information
›
Refer to “Credit risk” in the “Risk management and control” section of this report for more information
Market risk
Market risk RWA
decreased by
USD 4.5bn to USD
23.8bn in the
fourth quarter
of 2025, due
to asset size
and other
movements in the Investment Bank’s Global Markets business and, to a lesser extent, from de-risking within Non-
core and Legacy.
›
Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3
disclosures” at
ubs.com/investors
, for more information
›
Refer to “Market risk” in the “Risk management and control” section of this report for more information
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
43
Operational risk
Operational risk RWA decreased by USD 1.0bn to USD 135.4bn.
Operational risk RWA as of 31 December 2025 is
based on
the business
indicator component, which
is derived
from average
financial statement metrics
between
2023 and
2025, and the
internal loss multiplier,
which is
derived from average
operational losses between
2016
and 2025.
›
Refer to “Non-financial risk” in the “Risk management and control” section of the UBS Group Annual Report 2025,
which will be available as of 9 March 2026 under “Annual reporting” at
ubs.com/investors
, for more information
about the standardized approach used to measure Group operational risk exposure and calculate operational risk
regulatory capital
›
Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3
disclosures” at
ubs.com/investors
, for more information
›
Refer to “Provisions and contingent liabilities” in the “Consolidated financial information” section of this report for
more information
Outlook
We
expect
model
updates
and
methodology
changes
will
increase
credit
and
counterparty
credit
risk
RWA
by
around
USD 3bn
during
the
first
quarter
of
2026.
The
extent
and
timing
of
RWA
changes
may
vary
as
model
updates are
completed and
receive regulatory
approval, along
with changes
in the
composition of
the relevant
portfolios.
Risk-weighted assets, by business division and Group Items
USD bn
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Manage-
ment
Investment
Bank
Non-core and
Legacy
Group
Items
Total
RWA
31.12.25
Credit and counterparty credit risk
1
99.3
130.3
6.9
55.1
3.8
4.6
299.9
Non-counterparty-related risk
2
7.2
2.9
0.8
4.6
0.2
18.6
34.3
Market risk
0.5
0.0
22.4
0.9
0.0
23.8
Operational risk
59.4
17.2
6.1
25.4
24.0
3.3
135.4
Total
166.4
150.4
13.8
107.4
28.8
26.5
493.4
30.9.25
Credit and counterparty credit risk
1
102.1
129.3
7.0
58.1
4.8
3.8
305.2
Non-counterparty-related risk
2
7.2
2.9
0.8
4.6
0.2
19.4
35.1
Market risk
0.6
0.0
25.9
1.7
(0.1)
28.2
Operational risk
60.4
18.5
6.5
23.8
24.0
3.2
136.4
Total
170.3
150.8
14.2
112.5
30.7
26.3
504.9
31.12.25 vs 30.9.25
Credit and counterparty credit risk
1
(2.8)
1.0
(0.1)
(3.1)
(1.0)
0.8
(5.2)
Non-counterparty-related risk
2
0.0
0.0
0.0
0.0
0.0
(0.8)
(0.8)
Market risk
(0.1)
0.0
(3.6)
(0.8)
0.0
(4.5)
Operational risk
(1.0)
(1.3)
(0.4)
1.6
(0.1)
0.1
(1.0)
Total
(3.9)
(0.4)
(0.4)
(5.0)
(1.9)
0.2
(11.5)
1 Includes settlement risk, credit valuation adjustments,
equity and investments in funds exposures in the
banking book, and securitization exposures in the
banking book.
2 Non-counterparty-related risk includes
deferred tax assets arising from temporary
differences (31 December 2025: USD 18.1bn; 30 September 2025: USD 18.9bn), as
well as property, equipment, software and other items (31 December 2025: USD 16.1bn;
30 September 2025: USD 16.2bn).
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
44
Leverage ratio denominator
During the fourth
quarter of 2025,
the LRD decreased
by USD 18.0bn to
USD 1,622.4bn,
driven by an
USD 18.9bn
decrease from asset size and other movements,
partly offset by a USD 0.8bn increase from currency
effects.
Movement in leverage ratio denominator, by key driver
USD bn
LRD as of
30.9.25
Currency
effects
Asset size and
other
LRD as of
31.12.25
On-balance sheet exposures (excluding derivatives and securities
financing transactions)
1,257.9
1.3
(1.1)
1,258.1
Derivative exposures
162.1
(0.2)
(10.7)
151.2
Securities financing transaction exposures
157.1
(0.4)
(8.4)
148.2
Off-balance sheet items
63.4
0.1
1.4
64.9
Total exposures
1,640.5
0.8
(18.9)
1,622.4
The LRD movements described below exclude
currency effects.
On-balance sheet exposures (excluding derivatives and securities
financing transactions) decreased by USD 1.1bn,
mainly
reflecting
decreases
in
cash
and
balances
at
central
banks
in
Group
Treasury
and
trading
assets
in
the
Investment
Bank,
driven
by
a
decrease
in
inventory held
to
hedge
client
positions
due
to
lower
levels
of
client
activity. These decreases were partly offset by increases in lending
assets, mainly driven by net new loans in Global
Wealth Management,
and high-quality liquid asset portfolio securities
in Group Treasury.
Derivative exposures
decreased by
USD 10.7bn, primarily
reflecting
roll-offs and
higher
netting,
partly
offset by
market-driven movements.
Securities financing
transaction exposures
decreased by
USD 8.4bn, mainly
due to
roll-offs of
cash reinvestment
trades in Group
Treasury, partly offset by
increases in brokerage receivables
mostly resulting from higher
levels of
client activity in the Investment Bank.
Off-balance sheet exposures increased by
USD 1.4bn, mainly due to increases in commitments.
›
Refer to the “Balance sheet and off-balance sheet” section of this report for more information about balance sheet
movements
Leverage ratio denominator, by business division and Group Items
USD bn
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core and
Legacy
Group Items
Total
31.12.25
On-balance sheet exposures (excluding derivatives and securities
financing transactions)
514.0
441.8
5.0
272.1
12.3
12.9
1,258.1
Derivative exposures
26.7
6.1
0.0
115.2
3.0
0.1
151.2
Securities financing transaction exposures
49.8
36.3
0.1
58.7
3.5
0.0
148.2
Off-balance sheet items
17.6
29.9
0.1
16.8
0.3
0.3
64.9
Total exposures
608.0
514.0
5.2
462.9
19.1
13.3
1,622.4
30.9.25
On-balance sheet exposures (excluding derivatives and securities
financing transactions)
511.1
438.8
4.9
273.3
16.8
12.9
1,257.9
Derivative exposures
31.8
7.0
0.0
120.1
3.3
0.0
162.1
Securities financing transaction exposures
53.4
37.4
0.1
61.1
5.0
0.0
157.1
Off-balance sheet items
17.8
29.3
0.1
15.4
0.5
0.3
63.4
Total exposures
614.2
512.5
5.1
470.0
25.6
13.2
1,640.5
31.12.25 vs 30.9.25
On-balance sheet exposures (excluding derivatives and securities
financing transactions)
2.9
2.9
0.1
(1.2)
(4.5)
0.0
0.2
Derivative exposures
(5.0)
(0.9)
0.0
(4.9)
(0.3)
0.2
(10.9)
Securities financing transaction exposures
(3.7)
(1.1)
0.0
(2.5)
(1.5)
(0.1)
(8.9)
Off-balance sheet items
(0.3)
0.5
0.0
1.5
(0.2)
0.0
1.5
Total exposures
(6.1)
1.5
0.1
(7.1)
(6.5)
0.1
(18.0)
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Capital management
45
Equity attribution
Under our equity attribution
framework, tangible equity
is attributed based on
equally weighted average
RWA and
average LRD, which both include resource allocations from our Group functions to the business divisions. Average
RWA and LRD are converted
to CET1 capital equivalents
using target capital ratios.
If the attributed tangible equity
calculated under the weighted-driver approach is less than
the CET1 capital equivalent of risk-based capital (RBC)
for any business division,
the CET1 capital equivalent of RBC is used as a floor for that
business division.
The floor
was
applicable
for
Non-core
and
Legacy
in
all
of
the
periods
shown
below
and
was
applicable
for
Asset
Management in all such periods except for
the fourth quarter and third quarter of
2025.
In addition to
tangible equity,
we allocate equity
to the business
divisions to
support goodwill
and intangible
assets.
We
also
allocate
to
the
business
divisions
attributed
equity
related
to
CET1
capital
deduction
items
that
are
attributable to divisional activities, such as compensation-related components or expected losses on the advanced
internal ratings-based portfolio less provisions. We attribute all remaining capital deduction items to Group Items.
These
primarily
include
equity
related
to
deferred
tax
assets,
accruals
for
shareholder
returns,
and
unrealized
gains / losses from cash flow hedges.
›
Refer to the “Balance sheet and off-balance sheet” section of this report for more information about movements in
equity attributable to shareholders
Average attributed equity
For the quarter ended
As of or for the year ended
USD bn
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Global Wealth Management
34.5
34.5
33.6
34.2
33.3
Personal & Corporate Banking
22.0
22.0
21.3
21.4
21.6
Asset Management
2.5
2.4
2.8
2.5
2.7
Investment Bank
18.9
18.5
17.3
18.4
17.1
Non-core and Legacy
4.0
4.5
8.7
5.4
9.5
Group Items
1
8.2
7.6
2.3
6.7
1.1
Average equity attributed to business divisions and Group Items
90.1
89.6
86.1
88.5
85.2
1 Includes average attributed equity related to capital deduction items for deferred tax assets, accruals for
shareholder returns and unrealized gains / losses from cash flow hedges.
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Liquidity and funding management
46
Liquidity and funding management
Strategy, objectives and governance
This
section
provides
liquidity
and
funding
management
information
and
should
be
read
in
conjunction
with
“Liquidity and funding
management” 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
,
which
provides
more
information
about
the
Group’s
strategy,
objectives
and
governance
in
connection
with
liquidity
and
funding
management.
Liquidity coverage ratio
The quarterly average
liquidity coverage
ratio (the LCR)
of the UBS
Group remained
broadly unchanged
at 182.6%,
remaining above
the prudential
requirement communicated
by the
Swiss Financial
Market Supervisory
Authority
(FINMA).
Average net cash outflows decreased by USD 8.7bn to USD 181.7bn, reflecting higher net
inflows from securities
financing transactions
and lower net
outflows from
derivatives. The effect
of the decrease
in net cash
outflows was
offset by a
USD 15.0bn decrease in
average high-quality liquid assets,
mainly reflecting lower
cash available,
due
to higher lending assets and brokerage receivables,
and lower amounts due to banks.
›
Refer to the
31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3
disclosures” at
ubs.com/investors
, for more information about the LCR
Liquidity coverage ratio
USD bn, except where indicated
Average 4Q25
1
Average 3Q25
1
High-quality liquid assets
331.6
346.6
Net cash outflows
2
181.7
190.4
Liquidity coverage ratio (%)
3
182.6
182.1
1 Calculated based on an average of 64
data points in the fourth quarter of 2025 and 65
data points in the third quarter of 2025.
2 Represents the net cash outflows expected over a stress period
of 30 calendar
days.
3 Calculated after the application of haircuts and inflow and outflow rates, as well as,
where applicable, caps on Level 2 assets and cash inflows.
Net stable funding ratio
As of
31 December 2025,
the net
stable funding
ratio (the
NSFR) of
the UBS
Group decreased
3.6 percentage
points
to 116.1%, remaining above the prudential
requirement communicated by FINMA.
Available
stable
funding
decreased
by
USD 16.7bn
to
USD 882.0bn,
mainly
driven
by
decreases
in
debt
issued
measured
at
amortized
cost
and
regulatory
capital.
Required
stable
funding
increased
by
USD 8.9bn
to
USD 759.8bn,
mainly
reflecting
higher
lending
assets,
partly
offset
by
lower
derivatives
and
cash
collateral
receivables on derivative instruments.
›
Refer to the 31 December 2025 Pillar 3 Report, which will be available as of 9 March 2026 under “Pillar 3
disclosures” at
ubs.com/investors
, for more information about the NSFR
Net stable funding ratio
USD bn, except where indicated
31.12.25
30.9.25
Available stable funding
882.0
898.8
Required stable funding
759.8
751.0
Net stable funding ratio (%)
116.1
119.7
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Balance sheet and off-balance sheet
47
Balance sheet and off-balance sheet
This
section
provides
balance
sheet
and
off-balance sheet
information
and
should
be
read
in
conjunction
with
“Balance sheet
and off-balance
sheet” 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
, which
provides more
information about the balance sheet and off-balance
sheet positions.
Balances disclosed in this
report represent quarter-end
positions, unless indicated
otherwise. Intra-quarter balances
fluctuate in the ordinary course of business
and may differ from quarter-end positions.
Balance sheet assets (31 December 2025
vs 30 September 2025)
Total assets
were USD 1,617.4bn
as of
31 December 2025,
a decrease
of USD 14.9bn
compared with
30 September
2025.
Securities
financing transactions
at
amortized cost
decreased
by
USD 11.6bn,
mainly
reflecting roll-offs
of
cash
reinvestment trades in Group
Treasury. Cash and balances at
central banks decreased by USD 8.8bn,
mainly due to
outflows from the
repurchase and net redemptions
of long-term debt issued
measured at amortized cost,
higher
lending activities and
purchases of high-quality
liquid asset (HQLA)
portfolio securities,
partly offset by
inflows from
net roll-offs of
securities financing transactions
measured at amortized
cost and issuances
of commercial paper
and
certificates of
deposit.
Derivatives and
cash collateral
receivables on
derivative instruments
decreased by
USD 8.4bn,
mainly
in
the
Investment
Bank,
primarily
reflecting
roll-offs,
partly
offset
by
market-driven
movements.
Trading
assets decreased
by USD 3.8bn,
mainly in
the Investment
Bank, driven
by a
decrease in
inventory held
to hedge
client positions due to lower levels of client activity.
These
decreases
were
partly
offset
by
a
USD 7.6bn
increase
in
Lending
assets,
primarily
in
Global
Wealth
Management,
mainly driven
by net
new loans.
Other financial
assets measured
at fair
value increased
by USD 5.8bn,
mainly
reflecting
purchases
of
HQLA
portfolio
securities.
Brokerage
receivables
increased
by
USD 5.0bn,
predominantly in Financing in the Investment
Bank, mostly resulting from higher levels of client
activity.
Assets
As of
% change from
USD bn
31.12.25
30.9.25
30.9.25
Cash and balances at central banks
209.9
218.7
(4)
Lending
1
673.5
665.9
1
Securities financing transactions at amortized cost
83.7
95.3
(12)
Trading assets
174.7
178.5
(2)
Derivatives and cash collateral receivables on derivative instruments
189.3
197.7
(4)
Brokerage receivables
35.6
30.6
16
Other financial assets measured at amortized cost
71.9
72.7
(1)
Other financial assets measured at fair value
2
121.4
115.6
5
Non-financial assets
57.5
57.2
1
Total assets
1,617.4
1,632.3
(1)
1 Consists of Loans and advances to customers and Amounts due from banks.
2 Consists of Financial assets at fair value not held for trading and Financial assets measured at fair
value through other comprehensive
income.
Balance sheet liabilities (31 December
2025 vs 30 September 2025)
Total
liabilities
were
USD 1,526.9bn
as
of
31 December
2025,
a
decrease
of
USD 15.1bn
compared
with
30 September 2025.
Debt
issued
designated
at
fair
value
and
long-term
debt
issued
measured
at
amortized
cost
decreased
by
USD 9.0bn, mainly due to
the repurchase of legacy
Credit Suisse debt and
net redemptions. Derivatives and cash
collateral
payables
on
derivative
instruments
decreased
by
USD 7.0bn,
predominantly
in
the
Investment
Bank,
reflecting the same drivers as on the asset
side.
These decreases were partly offset by
a USD 5.3bn increase in Customer deposits,
mainly due to net
new deposit
inflows in Personal & Corporate Banking and
Global Wealth Management.
›
Refer to “Bondholder information” at
ubs.com/investors
for more information about capital and senior debt
instruments
›
Refer to the “Consolidated financial information” section of this report for more information
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Balance sheet and off-balance sheet
48
Liabilities and equity
As of
% change from
USD bn
31.12.25
30.9.25
30.9.25
Short-term borrowings
1,2
58.3
57.1
2
Securities financing transactions at amortized cost
16.2
18.7
(13)
Customer deposits
788.4
783.1
1
Debt issued designated at fair value and long-term debt issued measured
at amortized cost
2
294.6
303.6
(3)
Trading liabilities
53.7
53.8
0
Derivatives and cash collateral payables on derivative instruments
190.5
197.5
(4)
Brokerage payables
62.2
62.1
0
Other financial liabilities measured at amortized cost
15.9
17.0
(6)
Other financial liabilities designated at fair value
28.2
30.5
(8)
Non-financial liabilities
19.0
18.8
1
Total liabilities
1,526.9
1,542.0
(1)
Share capital
0.3
0.3
0
Share premium
9.2
8.9
4
Treasury shares
(7.9)
(6.6)
20
Retained earnings
82.7
81.7
1
Other comprehensive income
3
5.8
5.6
4
Total equity attributable to shareholders
90.2
89.9
0
Equity attributable to non-controlling interests
0.3
0.3
(11)
Total equity
90.5
90.2
0
Total liabilities and equity
1,617.4
1,632.3
(1)
1 Consists of short-term debt issued measured at amortized cost and amounts due to banks, which includes amounts due to central banks.
2 The classification of debt issued measured at amortized cost into short-
term and long-term is based
on original contractual
maturity and therefore long-term
debt also includes debt
with a remaining time
to maturity of less
than one year.
This classification does
not consider any
early
redemption features.
3 Excludes other comprehensive income related to defined benefit plans and own credit, which is recorded directly in Retained earnings.
Equity (31 December 2025 vs 30 September
2025)
Equity attributable to shareholders increased
by USD 314m to USD 90,213m as of 31
December 2025.
The
net
increase
of
USD 314m
was
mainly
driven
by
positive
total
comprehensive
income
attributable
to
shareholders
of
USD 1,275m, reflecting
a
net
profit
of
USD 1,199m
and
other
comprehensive
income
(OCI)
of
USD 76m. OCI mainly included OCI related to foreign currency translation of USD 144m and negative OCI related
to own credit
on financial liabilities
designated at fair
value of USD 87m.
In addition, there
was an increase
in share
premium, due to
deferred share-based compensation awards of
USD 186m, which were expensed
in the income
statement, and a tax benefit of USD 122m.
These increases were
partly offset by
net treasury share
activity that reduced
equity by USD 1,269m,
predominantly
due
to
repurchases
of
USD 904m
of
shares
under
our
2025
share
repurchase
program
and
the
purchasing
of
USD 421m of shares in relation to employee
share-based compensation plans.
›
Refer to the “Group performance” and “Consolidated financial information” sections of this report for more
information
›
Refer to “Reconciliation of equity under IFRS Accounting Standards to Swiss SRB common equity tier 1 capital” in
the “Capital management” section of this report for more information about the effects of OCI on common equity
tier 1 capital
›
Refer to the “Share information and earnings per share”
section of this report for more information about our
share repurchase programs
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Balance sheet and off-balance sheet
49
Off-balance sheet (31 December 2025 vs
30 September 2025)
Committed unconditionally revocable credit
lines decreased by USD 16.6bn,
mainly driven by decreases
in facilities
provided
to
clients in
Personal &
Corporate Banking
and
Global
Wealth Management.
Forward starting
reverse
repurchase and
securities borrowing
agreements decreased
by USD 7.8bn,
reflecting a
decrease in
levels of
business
division activity in short-dated securities financing
transactions.
Off-balance sheet
As of
% change from
USD bn
31.12.25
30.9.25
30.9.25
Guarantees
1,2
45.8
42.9
7
Irrevocable loan commitments
1
82.1
79.6
3
Committed unconditionally revocable credit lines
119.7
136.3
(12)
Forward starting reverse repurchase and securities borrowing agreements
10.7
18.5
(42)
1 Guarantees and irrevocable loan commitments are shown net of sub-participations.
2 Includes guarantees measured at fair value through profit or loss.
Share information and earnings per share
UBS Group AG
shares
are
listed
on
the
SIX
Swiss
Exchange
(SIX).
They
are
also
listed
on
the
New
York
Stock
Exchange (the NYSE) as global registered shares. Each share has
a nominal value of USD 0.10. Shares issued were
unchanged in the fourth quarter of 2025 compared
with the third quarter of 2025.
We held
250 million
shares as
of 31 December
2025, of
which 116
million shares
had been
acquired under our
2024 and
2025 share
repurchase programs
for cancellation
purposes. The
remaining
134 million
shares are
primarily
held to
hedge our
share delivery
obligations related
to employee
share-based compensation
and participation
plans.
Treasury shares held increased
by 32 million shares in the
fourth quarter of 2025. This
largely reflected repurchases
of 23.2 million shares under our 2025
program and the purchasing of 11.3 million shares
in relation to employee
share-based compensation plans.
Shares acquired under our 2025
program totaled 53 million
as of 31 December 2025 for
a total acquisition cost
of
USD 2,000m
(CHF 1,602m).
This
program
was
completed
on
20 November
2025,
and
the
53
million
shares
repurchased
under
this
program
will
be
canceled
by
means
of
a
capital
reduction,
subject
to
approval
by
the
shareholders at a future Annual General Meeting
(AGM).
Shares acquired under our 2024
program totaled 64 million
as of 31 December 2025 for
a total acquisition cost
of
USD 2,000m (CHF 1,739m). This program
was completed on 23 May 2025,
and the 64 million shares
repurchased
under this program will be canceled by
means of a capital reduction, subject to
approval by the shareholders at a
future AGM.
We intend
to repurchase
USD 3bn of
shares in
2026 with
the aim
to do
more. The
amount of
additional repurchases
is
subject
to
further
clarity
around
the
future
regulatory
regime
in
Switzerland,
our
financial
performance
and
maintaining a common equity tier 1 capital
ratio of around 14%. Beyond
2026, we intend to
continue to pursue
share repurchases that will be calibrated
based on our financial results, our
capital ratio and the final outcome
and
timing of the implementation of the new regulatory
regime in Switzerland.
›
Refer to the “Equity, CET1 capital and returns” table in the “Group performance” section of this report
for more
information about equity attributable to shareholders and tangible equity attributable to shareholders
UBS Group fourth quarter 2025 report |
Risk, capital, liquidity and funding, and balance
sheet | Share information and earnings per share
50
Share information and earnings per share
As of or for the quarter ended
As of or for the year ended
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Basic and diluted earnings (USD m)
Net profit / (loss) attributable to shareholders for basic
EPS
1,199
2,481
770
7,767
5,085
less: (profit) / loss on own equity derivative contracts
0
0
0
0
0
Net profit / (loss) attributable to shareholders for diluted
EPS
1,199
2,481
770
7,767
5,085
.
Weighted average shares outstanding
Weighted average shares outstanding for basic EPS
1
3,105,654,692
3,144,628,677
3,179,446,604
3,151,644,447
3,198,481,827
Effect of dilutive potential shares resulting from notional
employee shares, in-the-money
options and warrants outstanding
2
139,702,735
132,586,726
156,592,019
138,600,855
152,630,143
Weighted average shares outstanding for diluted EPS
3,245,357,427
3,277,215,403
3,336,038,623
3,290,245,302
3,351,111,970
.
Earnings per share (USD)
Basic
0.39
0.79
0.24
2.46
1.59
Diluted
0.37
0.76
0.23
2.36
1.52
.
Shares outstanding and potentially dilutive instruments
Shares issued
3,341,581,714
3,341,581,714
3,462,087,722
3,341,581,714
3,462,087,722
Treasury shares
3
249,882,523
217,617,094
287,262,471
249,882,523
287,262,471
of which: related to the 2022 share repurchase program
120,506,008
120,506,008
of which: related to the 2024 share repurchase program
63,776,550
63,776,550
32,962,298
63,776,550
32,962,298
of which: related to the 2025 share repurchase program
52,582,575
29,383,799
52,582,575
Shares outstanding
3,091,699,191
3,123,964,620
3,174,825,251
3,091,699,191
3,174,825,251
Potentially dilutive instruments
4
23,971,399
31,302,067
14,127,377
23,971,399
14,124,877
.
Other key figures
Total book value per share (USD)
29.18
28.78
26.80
29.18
26.80
Tangible book value per share (USD)
26.93
26.54
24.63
26.93
24.63
Share price (USD)
5
46.61
40.82
30.54
46.61
30.54
Market capitalization (USD m)
6
155,760
136,416
105,719
155,760
105,719
1 The weighted average shares outstanding for basic earnings per share (EPS) are calculated by taking the number of shares at the beginning of the period, adjusted by the number of shares acquired or issued during
the period, multiplied by a time-weighted factor for the period outstanding. As a
result, balances are affected by the timing of acquisitions and issuances during the period.
2 The weighted average number of shares
for notional employee awards with performance conditions
reflects all potentially dilutive shares that are
expected to vest under the terms of the awards.
3 Based on a settlement date view.
4 Reflects potential
shares that could dilute basic EPS in the future
but were not dilutive for any of the periods
presented. Mainly includes equity-based awards subject to absolute and relative performance conditions and
equity derivative
contracts.
5 Represents the share price as
listed on the SIX Swiss
Exchange, translated to
US dollars using the closing exchange
rate as of the respective
date.
6 The calculation of
market capitalization reflects
total shares issued multiplied by the share price at the end of the period.
Ticker symbols UBS Group AG
Security identification codes
Trading exchange
SIX / NYSE
Bloomberg
Reuters
ISIN
CH0244767585
SIX Swiss Exchange
UBSG
UBSG SW
UBSG.S
Valoren
24 476 758
New York Stock Exchange
UBS
UBS UN
UBS.N
CUSIP
CINS H42097 10 7
UBS Group fourth quarter 2025 report |
Consolidated financial information
51
Consolidated financial
information
Unaudited
Information
in
this
section
is
presented
for
UBS Group AG
and
its
subsidiaries
(together,
the
Group)
on
a
consolidated basis unless otherwise
specified and is presented
in US dollars. In preparing
this financial information,
the same accounting
policies and methods
of computation have
been applied as
in the
UBS Group
consolidated
annual
Financial
Statements
for
the
period
ended
31 December
2024.
The
financial
information
presented
is
unaudited and does
not constitute an
interim financial
report prepared in
accordance with
IAS 34, Interim Financial
Reporting. The UBS
Group Annual Report
2025, which will be
published on 9 March
2026, will incorporate
the full
financial statements prepared in accordance
with IFRS Accounting Standards for the
2025 financial year.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
52
UBS Group AG interim consolidated financial
information (unaudited)
Income statement
For the quarter ended
For the year ended
USD m
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Interest income from financial instruments measured at
amortized cost and fair value through
other comprehensive income
6,772
6,913
7,829
27,948
35,994
Interest expense from financial instruments measured at
amortized cost
(6,195)
(6,584)
(7,884)
(26,544)
(35,947)
Net interest income from financial instruments measured
at fair value through profit or loss and other
1,594
1,652
1,893
6,343
7,061
Net interest income
2,172
1,981
1,838
7,747
7,108
Other net income from financial instruments measured
at fair value through profit or loss
3,163
3,502
3,144
14,011
14,690
Fee and commission income
7,916
7,878
7,269
30,581
28,730
Fee and commission expense
(693)
(674)
(671)
(2,669)
(2,592)
Net fee and commission income
7,223
7,204
6,598
27,912
26,138
Other income
(412)
73
56
(96)
675
Total revenues
12,145
12,760
11,635
49,573
48,611
Credit loss expense / (release)
159
102
229
524
551
Personnel expenses
6,681
7,172
6,361
27,861
27,318
General and administrative expenses
2,740
1,755
3,004
8,807
10,124
Depreciation, amortization and impairment of non-financial
assets
865
904
994
3,529
3,798
Operating expenses
10,286
9,831
10,359
40,197
41,239
Operating profit / (loss) before tax
1,700
2,828
1,047
8,853
6,821
Tax expense / (benefit)
495
341
268
1,056
1,675
Net profit / (loss)
1,205
2,487
779
7,797
5,146
Net profit / (loss) attributable to non-controlling interests
6
6
9
30
60
Net profit / (loss) attributable to shareholders
1,199
2,481
770
7,767
5,085
Earnings per share (USD)
Basic
0.39
0.79
0.24
2.46
1.59
Diluted
0.37
0.76
0.23
2.36
1.52
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
53
Statement of comprehensive income
For the quarter ended
For the year ended
USD m
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Comprehensive income attributable to shareholders
Net profit / (loss)
1,199
2,481
770
7,767
5,085
Other comprehensive income that may be reclassified to the income
statement
Foreign currency translation
Foreign currency translation movements related to net assets of foreign operations, before tax
1
166
(281)
(3,388)
5,623
(4,726)
Effective portion of changes in fair value of hedging instruments
designated as net investment hedges, before tax
2
165
1,565
(2,262)
2,957
Foreign currency translation differences on foreign operations reclassified to the
income statement
(51)
1
20
(48)
24
Effective portion of changes in fair value of hedging instruments
designated as net investment hedges reclassified
to
the income statement
28
(2)
(34)
25
(33)
Income tax relating to foreign currency translations, including the effect of
net investment hedges
0
1
2
(5)
24
Subtotal foreign currency translation, net of tax
144
(116)
(1,835)
3,333
(1,754)
Financial assets measured at fair value through other comprehensive income
Net unrealized gains / (losses), before tax
60
16
(1)
69
1
Net realized (gains) / losses reclassified to the income statement
from equity
0
0
0
0
0
Income tax relating to net unrealized gains / (losses)
3
0
0
3
0
Subtotal financial assets measured at fair value through other comprehensive
income, net of tax
63
16
(1)
72
1
Cash flow hedges of interest rate risk
Effective portion of changes in fair value of derivative instruments designated
as cash flow hedges, before tax
(217)
(65)
(1,366)
464
(1,450)
Net (gains) / losses reclassified to the income statement from
equity
231
286
400
1,134
2,000
Income tax relating to cash flow hedges
(3)
(43)
181
(302)
(69)
Subtotal cash flow hedges, net of tax
10
178
(785)
1,295
481
Cost of hedging
Cost of hedging, before tax
(17)
50
(98)
74
(146)
Income tax relating to cost of hedging
0
0
0
0
0
Subtotal cost of hedging, net of tax
(17)
50
(98)
74
(146)
Total other comprehensive income that may be reclassified to the income statement, net
of tax
201
127
(2,719)
4,774
(1,417)
Other comprehensive income that will not be reclassified to the income
statement
Defined benefit plans
Gains / (losses) on defined benefit plans, before tax
(36)
51
(68)
(16)
(307)
Income tax relating to defined benefit plans
(1)
(26)
22
(28)
45
Subtotal defined benefit plans, net of tax
(38)
26
(46)
(44)
(261)
Own credit on financial liabilities designated at fair value
Gains / (losses) from own credit on financial liabilities designated
at fair value, before tax
(87)
(568)
145
(502)
(10)
Income tax relating to own credit on financial liabilities designated
at fair value
1
1
(2)
2
(9)
Subtotal own credit on financial liabilities designated at
fair value, net of tax
(87)
(567)
144
(499)
(19)
Total other comprehensive income that will not be reclassified to the income statement,
net of tax
(124)
(541)
98
(543)
(280)
Total other comprehensive income
76
(414)
(2,622)
4,231
(1,698)
Total comprehensive income attributable to shareholders
1,275
2,067
(1,851)
11,998
3,388
Comprehensive income attributable to non-controlling
interests
Net profit / (loss)
6
6
9
30
60
Total other comprehensive income that will not be reclassified to the income statement,
net of tax
(12)
(1)
(35)
17
(47)
Total comprehensive income attributable to non-controlling interests
(6)
5
(27)
48
13
Total comprehensive income
Net profit / (loss)
1,205
2,487
779
7,797
5,146
Other comprehensive income
64
(414)
(2,657)
4,248
(1,744)
of which: other comprehensive income that may be reclassified
to the income statement
201
127
(2,719)
4,774
(1,417)
of which: other comprehensive income that will not be reclassified
to the income statement
(136)
(542)
62
(526)
(327)
Total comprehensive income
1,270
2,073
(1,878)
12,045
3,401
1 Includes foreign currency translation differences as incurred by UBS’s associates where UBS has recorded its share in these
differences. The quarter and year ended 31 December 2025 include a USD 93m gain from
UBS’s share of a reclassification of foreign currency translation differences to the income statement
as recorded by an associate of UBS.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
54
Balance sheet
USD m
31.12.25
30.9.25
31.12.24
Assets
Cash and balances at central banks
209,858
218,738
223,329
Amounts due from banks
19,649
19,230
18,903
Receivables from securities financing transactions measured at amortized
cost
83,656
95,343
118,301
Cash collateral receivables on derivative instruments
41,552
43,538
43,959
Loans and advances to customers
653,846
646,651
579,967
Other financial assets measured at amortized cost
71,897
72,703
58,835
Total financial assets measured at amortized cost
1,080,458
1,096,203
1,043,293
Financial assets at fair value held for trading
174,699
178,492
159,065
Derivative financial instruments
147,778
154,113
185,551
Brokerage receivables
35,579
30,633
25,858
Financial assets at fair value not held for trading
107,575
105,827
95,472
Total financial assets measured at fair value through profit or loss
465,631
469,065
465,947
Financial assets measured at fair value through other comprehensive income
13,868
9,801
2,195
Investments in associates
2,332
2,260
2,306
Property, equipment and software
16,057
16,153
15,498
Goodwill and intangible assets
6,948
6,982
6,887
Deferred tax assets
11,525
11,610
11,134
Other non-financial assets
20,609
20,177
17,766
Total assets
1,617,427
1,632,251
1,565,028
Liabilities
Amounts due to banks
24,434
28,182
23,347
Payables from securities financing transactions measured at amortized cost
16,225
18,653
14,833
Cash collateral payables on derivative instruments
34,222
33,943
35,490
Customer deposits
788,367
783,115
745,777
Debt issued measured at amortized cost
214,706
220,386
214,219
Other financial liabilities measured at amortized cost
15,862
16,955
21,033
Total financial liabilities measured at amortized cost
1,093,816
1,101,234
1,054,698
Financial liabilities at fair value held for trading
53,700
53,796
35,247
Derivative financial instruments
156,243
163,508
180,636
Brokerage payables designated at fair value
62,202
62,067
49,023
Debt issued designated at fair value
113,794
112,137
107,909
Other financial liabilities designated at fair value
28,184
30,506
28,699
Total financial liabilities measured at fair value through profit or loss
414,123
422,013
401,514
Provisions and contingent liabilities
5,035
6,162
8,409
Other non-financial liabilities
13,970
12,638
14,834
Total liabilities
1,526,944
1,542,047
1,479,454
Equity
Share capital
334
334
346
Share premium
9,217
8,879
12,012
Treasury shares
(7,891)
(6,592)
(6,402)
Retained earnings
82,740
81,666
78,035
Other comprehensive income recognized directly in equity, net of tax
5,813
5,612
1,088
Equity attributable to shareholders
90,213
89,899
85,079
Equity attributable to non-controlling interests
271
305
494
Total equity
90,484
90,204
85,574
Total liabilities and equity
1,617,427
1,632,251
1,565,028
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
55
Provisions and contingent liabilities
a) Provisions and contingent liabilities
The table below presents an overview of
total provisions and contingent liabilities.
Overview of total provisions and contingent liabilities
USD m
31.12.25
30.9.25
31.12.24
Provisions related to expected credit losses (IFRS 9,
Financial Instruments
)
347
393
320
Provisions related to Credit Suisse loan commitments (IFRS
3,
Business Combinations
)
371
479
997
Provisions related to litigation, regulatory and similar matters
(IAS 37,
Provisions, Contingent Liabilities and Contingent Assets
)
2,200
3,096
3,602
Acquisition-related contingent liabilities resulting from
litigation, regulatory and similar matters (IFRS 3,
Business Combinations
)
531
725
2,122
Restructuring, real-estate and other provisions (IAS 37,
Provisions, Contingent Liabilities and Contingent Assets
)
1,586
1,469
1,368
Total provisions and contingent liabilities
5,035
6,162
8,409
The table below presents additional information for provisions under IAS 37,
Provisions, Contingent Liabilities and
Contingent Assets
.
Additional information for provisions under IAS 37,
Provisions, Contingent Liabilities and Contingent Assets
USD m
Litigation,
regulatory and
similar matters
1
Restructuring
2
Real estate
3
Other
4
Total
Balance as of 31 December 2024
3,602
813
240
315
4,969
Balance as of 30 September 2025
3,096
837
250
381
4,564
Increase in provisions recognized in the income statement
133
347
5
150
635
Release of provisions recognized in the income statement
(72)
(30)
(1)
(24)
(128)
Provisions used in conformity with designated purpose
(1,092)
5
(267)
(10)
(59)
(1,427)
Reclassifications
150
6
0
0
0
150
Foreign currency translation and other movements
(15)
4
1
1
(9)
Balance as of 31 December 2025
2,200
891
245
449
3,785
1 Consists of provisions for losses resulting
from legal, liability and compliance risks.
2 Includes USD 493m of personnel-related
restructuring provisions as of 31 December
2025 (30 September 2025: USD 469m;
31 December 2024: USD 334m), USD 270m
of provisions for onerous
contracts related to real
estate as of 31 December
2025 (30 September 2025:
USD 280m; 31 December 2024:
USD 383m) and USD
128m of
restructuring provisions for onerous
contracts related to
technology as of 31 December
2025 (30 September 2025:
USD 88m; 31 December 2024:
USD 96m).
3 Mainly includes provisions for
reinstatement costs
with respect to leased properties.
4 Mainly includes provisions in relation to employee benefits, VAT,
onerous contracts related to technology, and operational
risks.
5 Primarily includes provisions used regarding
the settlement of the legacy matter related to
UBS’s cross-border business activities
in France as described
in item 1 of section b) of this
disclosure.
6 Includes reclassifications between IFRS 3
contingent liabilities
and IAS 37 provisions.
Information about provisions and contingent liabilities with respect to litigation, regulatory and similar matters, as
a
class,
is
included
in part
b).
There
are
no
material
contingent
liabilities
associated
with
the
other
classes
of
provisions.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
56
Provisions and contingent liabilities
(continued)
b) Litigation, regulatory and similar matters
The Group operates in
a legal and regulatory
environment that exposes it to
significant litigation and similar risks
arising from disputes and regulatory proceedings. As a result, UBS (which
for purposes of this disclosure may refer
to UBS
Group AG
and/or one
or more
of its
subsidiaries, as
applicable) is
involved in
various disputes
and legal
proceedings, including litigation, arbitration,
and regulatory and criminal investigations.
Such matters are subject
to many uncertainties,
and the outcome and the
timing of resolution are
often difficult to
predict,
particularly in
the
earlier
stages
of
a
case.
There
are
also
situations
where
the Group
may
enter into
a
settlement
agreement.
This
may
occur
in
order
to
avoid
the
expense,
management
distraction
or
reputational
implications of
continuing to
contest liability,
even
for those
matters for
which
the Group
believes it
should be
exonerated. The uncertainties inherent in all such matters affect the amount and timing of any potential outflows
for both matters
with respect to
which provisions have
been established and
other contingent liabilities.
The Group
makes
provisions
for
such
matters
brought
against
it
when,
in
the
opinion
of
management
after
seeking legal
advice, it
is more
likely than
not that
the Group
has a
present legal
or constructive obligation
as a
result of
past
events, it
is probable
that an
outflow of
resources will
be required,
and the
amount can
be reliably
estimated. Where
these factors
are
otherwise satisfied,
a
provision may
be
established for
claims that
have
not
yet been
asserted
against the
Group, but
are nevertheless
expected to
be, based
on
the Group’s
experience with
similar asserted
claims.
If
any
of
those
conditions
is
not
met,
such
matters
result
in
contingent
liabilities.
If
the
amount
of
an
obligation cannot
be reliably
estimated, a
liability exists
that is
not recognized
even if
an outflow
of resources
is
probable. Accordingly, no
provision is
established even if
the potential
outflow of resources
with respect
to such
matters could be significant. Developments relating to a matter that occur after the relevant reporting period, but
prior
to
the
issuance
of
financial
statements, which
affect
management’s assessment
of
the
provision
for
such
matter
(because,
for
example,
the
developments provide
evidence of
conditions that
existed
at
the
end
of
the
reporting
period),
are
adjusting
events
after
the
reporting period
under
IAS
10
and
must
be
recognized in
the
financial statements for the reporting period.
Specific litigation, regulatory and other matters are
described below, including all such matters that
management
considers to be material and others that management believes to be of significance to the Group due to potential
financial,
reputational
and
other
effects.
The
amount
of
damages
claimed,
the
size
of
a
transaction
or
other
information is
provided where
available and
appropriate in order
to assist
users in
considering the
magnitude of
potential exposures.
In the case of certain matters below, we state that we have established a provision, and for the other matters, we
make no such statement. When we
make this statement and we expect
disclosure of the amount of a provision
to
prejudice seriously our
position with other
parties in the
matter because it
would reveal what
UBS believes to
be
the
probable
and
reliably estimable
outflow, we
do
not
disclose
that amount.
In
some
cases we
are
subject to
confidentiality obligations
that preclude
such disclosure.
With respect
to the
matters for
which we
do not
state
whether we have
established a provision,
either: (a) we
have not established
a provision; or
(b) we have
established
a provision
but expect
disclosure of
that fact
to prejudice
seriously our
position with
other parties
in the
matter
because it would reveal the fact that
UBS believes an outflow of resources to be probable
and reliably estimable.
With respect to certain litigation, regulatory
and similar matters for which we
have established provisions, we are
able to
estimate the expected
timing of outflows.
However, the aggregate
amount of the
expected outflows for
those matters for which we
are able to estimate expected
timing is immaterial relative to
our current and expected
levels of liquidity over the relevant time periods.
The
aggregate
amount
provisioned
for
litigation,
regulatory
and
similar
matters
as
a
class
is
disclosed
in
the
“Provisions”
table
in
part
a)
above.
UBS
provides
below
an
estimate
of
the
aggregate
liability
for
its
litigation,
regulatory and
similar matters
as a
class of
contingent liabilities.
Estimates of
contingent liabilities
are inherently
imprecise and
uncertain as
these
estimates require UBS
to
make speculative
legal assessments
as
to claims
and
proceedings that involve
unique fact patterns
or novel legal
theories, that have
not yet been
initiated or are
at early
stages of
adjudication, or
as to
which
alleged damages
have
not been
quantified by
the claimants.
Taking into
account these uncertainties
and the other factors
described herein, UBS
estimates the future losses
that could arise
from litigation,
regulatory and
similar matters
disclosed below
for which
an estimate
is possible,
that are
not covered
by existing
provisions (including
acquisition-related contingent
liabilities established
under IFRS
3 in connection
with
the acquisition of Credit Suisse), are in the range
of USD 0bn to USD 1.5bn.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
57
Provisions and contingent liabilities
(continued)
Litigation, regulatory
and similar
matters may
also result
in non-monetary
penalties and
consequences. A
guilty plea
to, or conviction of, a crime could have material consequences for UBS. Resolution of regulatory proceedings may
require UBS to obtain waivers of regulatory disqualifications to maintain certain operations, may entitle regulatory
authorities to limit, suspend or terminate
licenses and regulatory authorizations, and may
permit financial market
utilities to
limit, suspend
or terminate
UBS’s participation
in such
utilities. Failure
to obtain
such waivers,
or any
limitation, suspension
or termination
of licenses,
authorizations or
participations, could
have material
consequences
for UBS.
The
amounts
shown
in
the
table
below
reflect
the
provisions
recorded
under
IFRS
Accounting
Standards.
In
connection with
the acquisition
of Credit
Suisse, UBS
Group AG
additionally has
reflected in
its purchase
accounting
under IFRS
3 a
valuation adjustment
reflecting an
estimate of
outflows relating
to contingent
liabilities for
all present
obligations included in
the scope
of the
acquisition at fair
value upon
closing, even
if it
is not
probable that the
contingent
liability
will
result
in
an
outflow
of
resources,
significantly
decreasing
the
recognition
threshold
for
litigation
liabilities
beyond
those
that
generally apply
under
IFRS
Accounting Standards.
The
IFRS
3
acquisition-
related
contingent
liabilities
of
USD 0.5bn
at
31
December
2025
reflect
a
decrease
of
USD 0.2bn
from
30 September 2025
mainly as a result of reclassifications of
provisions under IAS 37.
Provisions for litigation, regulatory and similar matters, by business division and in Group Items
1
USD m
Global Wealth
Management
Personal &
Corporate
Banking
Asset
Management
Investment
Bank
Non-core
and Legacy
Group Items
UBS Group
Balance as of 31 December 2024
1,271
147
1
266
1,779
139
3,602
Balance as of 30 September 2025
1,201
129
0
298
1,270
198
3,096
Increase in provisions recognized in the income statement
17
2
0
7
107
1
133
Release of provisions recognized in the income statement
(19)
(2)
0
(22)
(29)
0
(72)
Provisions used in conformity with designated purpose
(869)
2
(111)
2
0
0
(108)
(3)
(1,092)
Reclassifications
3
0
0
0
0
150
0
150
Foreign currency translation and other movements
(12)
(2)
0
0
(1)
0
(15)
Balance as of 31 December 2025
317
16
0
283
1,388
196
2,200
1 Provisions, if
any, for
the matters described
in items 2
and 9 of
this disclosure are
recorded in Global
Wealth Management. Provisions,
if any,
for the matters
described in items
4, 5, 6,
7, 8, 11
and 12 of
this
disclosure are recorded in Non-core
and Legacy. Provisions,
if any, for
the matters described in item
1 of this disclosure are
allocated between Global Wealth
Management, Personal &
Corporate Banking and Non-
core and Legacy. Provisions, if any, for the matters described in item 3 of this disclosure
are allocated between the Investment Bank, Non-core and Legacy and Group Items. Provisions, if any, for the matters described
in item 10 of this disclosure
are allocated between the Investment
Bank and Non-core and Legacy.
2 Primarily includes provisions used regarding
the settlement of the legacy
matter related to UBS’s
cross-border
business activities in France as described in item 1 of this disclosure.
3 Includes reclassifications between IFRS 3 contingent liabilities and IAS 37 provisions.
- Inquiries regarding cross-border wealth management
businesses
Tax and
regulatory authorities
in a
number of
countries have
made inquiries,
served requests
for information
or
examined
employees
located
in
their
respective
jurisdictions
relating
to
the
cross-border
wealth
management
services
provided
by
UBS,
Credit
Suisse
and
other
financial
institutions,
including
Credit
Suisse
offices
in
the
Netherlands and Belgium.
In proceedings
in France,
UBS AG
was found
guilty in
lower courts
of unlawful
solicitation of
clients on
French
territory and aggravated
laundering of the
proceeds of
tax fraud in
the period
between 2004
and 2012.
On appeal,
the French
Supreme Court, in
November 2023, upheld
the lower
court’s decision regarding
unlawful solicitation
and aggravated laundering of the proceeds of tax fraud, but overturned the awards of penalties, confiscation
and
civil damages
by the
lower court,
aggregating EUR 1.8bn,
and remanded
the case
to the
Court of
Appeal for
a
retrial regarding these overturned elements. In September 2025, UBS AG resolved the case
and subsequently paid
a fine of EUR 730m and EUR 105m in civil damages
to the French State.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
58
Provisions and contingent liabilities
(continued)
In May 2014, Credit
Suisse AG entered into
settlement agreements with
the SEC, the Federal
Reserve and the
New
York Department of Financial
Services and agreed with
the US Department of
Justice (the DOJ) to
plead guilty to
conspiring
to
aid
and
assist
US
taxpayers
in
filing
false
tax
returns
(the
2014
Plea
Agreement).
Credit
Suisse
continued to report
to and cooperate
with US authorities
in accordance with its
obligations under the
2014 Plea
Agreement, including by
conducting a review
of cross-border services
provided by Credit
Suisse. In this connection,
Credit Suisse provided
information to US
authorities regarding potentially undeclared US
assets held by
clients at
Credit Suisse
since the
2014 Plea
Agreement. In
May 2025,
Credit Suisse
Services AG
entered into
a plea
agreement
(the 2025 Plea Agreement) with
the DOJ under
which it agreed to
plead guilty to one
count of conspiracy to
aid
and assist in the preparation of false income tax returns relating to legacy Credit Suisse accounts booked
in Credit
Suisse’s Swiss
booking center,
thereby settling
the investigation
into Credit
Suisse’s implementation of
the 2014
Plea Agreement.
In addition,
Credit Suisse
Services AG
entered into
a non-prosecution
agreement with
the DOJ
(the 2025 NPA) relating to
legacy Credit Suisse accounts booked in
Credit Suisse’s Singapore booking center. The
2025
Plea
Agreement
and
the
2025
NPA
provide
for
penalties,
restitution
and
forfeiture
of
USD
511m
in
the
aggregate. The 2025
Plea Agreement
and the 2025
NPA include ongoing
obligations of
UBS to furnish
information
and cooperate with DOJ’s
investigations of legacy Credit
Suisse accounts held by US
persons in its Switzerland and
Singapore booking centers and related accounts
in other booking centers.
Our balance
sheet at
31 December 2025
reflected provisions
in an
amount that
UBS believes
to be
appropriate
under the
applicable accounting
standard. As
in the
case of
other matters
for which
we have
established provisions,
the future outflow of resources in respect of such matters
cannot be determined with certainty based on currently
available information
and accordingly
may ultimately
prove to
be substantially
greater (or
may be
less) than
the
provision that we have recognized.
- Madoff
In relation to
the Bernard
L. Madoff Investment
Securities LLC
(BMIS) investment
fraud, UBS AG, UBS
(Luxembourg)
S.A. (now UBS
Europe SE,
Luxembourg branch) and
certain other
UBS subsidiaries were
subject to
inquiries by a
number of
regulators, including
the Swiss
Financial Market
Supervisory Authority
(FINMA) and
the Luxembourg
Commission de
Surveillance
du Secteur
Financier. Those
inquiries concerned
two third-party
funds established
under
Luxembourg law, substantially all assets of which were with
BMIS, as well as certain funds
established in offshore
jurisdictions with either direct or indirect exposure to BMIS. These funds
faced severe losses, and the Luxembourg
funds are
in liquidation.
The documentation
establishing both
funds identifies
UBS entities
in various
roles, including
custodian, administrator,
manager, distributor
and promoter,
and indicates
that UBS
employees served
as board
members.
In 2009 and 2010, the liquidators
of the two Luxembourg funds
filed claims against UBS entities,
non-UBS entities
and
certain
individuals,
including
current
and
former
UBS
employees,
seeking
amounts
totaling
approximately
EUR 2.1bn, which includes
amounts that the
funds may be
held liable to
pay the trustee
for the liquidation
of BMIS
(BMIS Trustee).
A large number of alleged beneficiaries have filed claims
against UBS entities (and non-UBS entities) for purported
losses relating to the Madoff
fraud. The majority of these
cases have been decided
in favor of UBS or dismissed
for
want of prosecution.
In the
US, the
BMIS Trustee
filed claims
against UBS
entities, among
others, in
relation to
the two
Luxembourg
funds and one of
the offshore funds. The
total amount claimed against
all defendants in
these actions was
not less
than USD 2bn. In
2014, the US
Supreme Court rejected
the BMIS Trustee’s
motion for leave
to appeal decisions,
dismissing all
claims against
UBS defendants
except those
for the
recovery of
approximately USD 125m
of payments
alleged to be
fraudulent conveyances
and preference
payments. Similar
claims have
been filed against
Credit Suisse
entities seeking to recover
redemption payments. In
2016, the bankruptcy
court dismissed these
claims against the
UBS entities
and most
of the
Credit Suisse entities.
In 2019, the
Court of Appeals
reversed the dismissal
of the
BMIS
Trustee’s remaining claims. The cases were
remanded to the Bankruptcy Court for further
proceedings.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
59
Provisions and contingent liabilities
(continued)
- Foreign exchange, LIBOR and benchmark rates,
and other trading practices
Foreign-exchange-related regulatory matters:
Beginning in 2013, numerous authorities commenced investigations
concerning possible
manipulation of
foreign exchange
markets and
precious metals
prices. As
a
result
of these
investigations, UBS entered into resolutions with Swiss, US and
UK regulators and the European Commission. UBS
was granted conditional immunity
by the Antitrust Division
of the DOJ
and by authorities
in other jurisdictions
in
connection with potential competition law violations relating to foreign exchange
and precious metals businesses.
In December
2021, the
European Commission
issued a
decision imposing
a fine
of EUR 83.3m
on Credit
Suisse
entities based on findings of anticompetitive practices in the foreign
exchange market. UBS received leniency and
accordingly no fine was assessed.
Credit Suisse appealed the decision to
the European General Court and, in
July
2025, the court issued a judgment reducing
the fine to EUR 28.9m.
The judgment is now final.
Foreign-exchange-related civil litigation:
Putative class actions have been filed since 2013 in US federal courts and
in
other jurisdictions
against UBS,
Credit
Suisse and
other banks
on
behalf of
persons who
engaged in
foreign
currency transactions with any of the defendant banks.
UBS and Credit Suisse have resolved US federal court class
actions relating to foreign currency transactions with the defendant banks and persons who
transacted in foreign
exchange futures
contracts and
options on
such futures.
Certain class
members have
excluded themselves
from
that settlement
and filed
individual actions in
US and
English courts against
UBS, Credit
Suisse and
other banks,
alleging violations of US and European competition laws and unjust enrichment. UBS, Credit Suisse and the other
banks
have
resolved
those individual
matters.
In
addition,
Credit
Suisse
and
UBS,
together
with
other
financial
institutions, were named in
a consolidated putative
class action in
Israel, which made
allegations similar to those
made in
the actions
pursued in
other jurisdictions.
Credit Suisse
and UBS
entered into
agreements to
settle all
claims
in this action in April 2022 and February 2024, respectively. Credit Suisse’s settlement received
court approval and
became final in May 2025. UBS’s settlement
remains subject to court approval.
LIBOR and other benchmark-related regulatory
matters:
Numerous government agencies conducted investigations
regarding potential improper attempts by UBS, among others, to manipulate LIBOR and other benchmark rates at
certain
times.
UBS
and
Credit
Suisse
reached
settlements
or
otherwise
concluded
investigations
relating
to
benchmark interest
rates with
the investigating
authorities. UBS
was granted
conditional leniency
or conditional
immunity from
authorities in
certain jurisdictions, including
the Antitrust
Division of
the DOJ,
in connection with
potential antitrust or competition law
violations related to certain rates. In
December 2025, the Swiss Competition
Commission (WEKO) announced that it
had reached a final resolution with UBS.
LIBOR and
other benchmark-related
civil litigation:
A number
of putative
class actions
and other
actions are
pending
in the federal
courts in New
York against UBS
and numerous other banks
on behalf of
parties who transacted in
certain interest rate benchmark-based derivatives. Also
pending in the US
and in other jurisdictions are
a number
of other
actions asserting losses
related to
various products whose
interest rates were
linked to
LIBOR and other
benchmarks, including
adjustable rate
mortgages, preferred
and debt securities,
bonds pledged
as collateral, loans,
depository
accounts,
investments
and
other
interest-bearing
instruments.
The
complaints
allege
manipulation,
through various
means, of
certain benchmark
interest rates,
including USD LIBOR,
Yen LIBOR,
EURIBOR, CHF LIBOR,
and GBP LIBOR and seek unspecified compensatory
and other damages under various legal
theories.
USD LIBOR class and individual actions in the
US:
Beginning in 2013, putative class actions
were filed in US federal
district courts
(and subsequently
consolidated in
the US
District Court
for the Southern
District of New
York (SDNY))
by plaintiffs who
engaged in over-the-counter
instruments, exchange-traded
Eurodollar futures and
options, bonds
or
loans
that
referenced
USD LIBOR.
The
complaints
allege
violations
of
antitrust
law
and
the
Commodities
Exchange Act, as well as breach of
contract and unjust enrichment. Following
various rulings by the SDNY and the
US
Court
of
Appeals
for
the
Second
Circuit
dismissing
certain
of
the
causes
of
action
and
allowing
others
to
proceed, one class action with respect to transactions in over-the-counter
instruments and several actions brought
by individual
plaintiffs proceeded in
the district
court. In
September 2025, the
district court
granted defendants’
motion for
summary judgment
as to
all remaining
actions. Plaintiffs
have appealed.
UBS and
Credit Suisse
previously
entered into settlement agreements in respect of the class actions relating to exchange-traded
instruments, bonds
and loans. These
settlements have
received final
court approval,
and the actions
have been dismissed
as to UBS
and
Credit Suisse.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
60
Provisions and contingent liabilities
(continued)
Other benchmark
class actions
in the
US:
The Yen
LIBOR/Euroyen TIBOR,
EURIBOR and
GBP LIBOR
actions have
been dismissed.
Plaintiffs have
appealed the
dismissals.
In August
2025, the
Second Circuit
affirmed in
part and
reversed in
part the
district court’s dismissal
of the
complaint in
the EURIBOR action,
returning the
action to the
district court.
In
September 2025,
the Second
Circuit affirmed
the dismissal
of the
complaint in
the GBP
LIBOR
action; the matter has concluded.
In January 2023, defendants
moved to dismiss the
complaint in the CHF
LIBOR action. In 2023,
the court approved
a settlement
by Credit
Suisse of
the claims
against it
in this
matter.
In September
2025, the
court dismissed
the
complaint against the remaining defendants,
including UBS.
Government bonds:
In 2021,
the European
Commission issued
a decision
finding that
UBS and
six other
banks
breached European
Union antitrust
rules between
2007 and
2011 relating
to European
government bonds. The
European Commission
fined UBS
EUR 172m, which
amount was
confirmed on
appeal in
March 2025.
UBS has
appealed to the European Court of Justice.
Credit default
swap auction
litigation –
In June
2021, Credit
Suisse, along
with other
banks and
entities, was
named
in a
putative class action
filed in
federal court in
New Mexico alleging
manipulation of credit default
swap (CDS)
final auction prices.
Defendants filed a
motion to enforce
a previous CDS
class action settlement
in the
SDNY. In
January 2024,
the SDNY
ruled that,
to the
extent claims
in the
New
Mexico action
arise from
conduct prior
to
30 June
2014,
those claims
are
barred
by
the SDNY
settlement.
The
plaintiffs
appealed
and, in
May
2025, the
Second Circuit affirmed the
SDNY decision.
Defendants filed a motion
for judgment on the
pleadings in December
2025.
With respect
to additional
matters and
jurisdictions not
encompassed by
the settlements
and orders
referred to
above,
UBS’s
balance
sheet
at
31
December
2025
reflected
a
provision
in
an
amount
that
UBS
believes
to
be
appropriate under
the applicable
accounting standard.
As in
the case
of other
matters for
which we
have established
provisions, the future outflow
of resources in respect
of such matters
cannot be determined with
certainty based
on currently available information and
accordingly may ultimately prove to
be substantially greater (or may be
less)
than the provision that we have recognized.
- Mortgage-related matters
Government and
regulatory related
matters
:
DOJ RMBS
settlement
– In January
2017, Credit
Suisse Securities
(USA)
LLC (CSS LLC)
and its current
and former
US subsidiaries
and US affiliates
reached a
settlement with
the DOJ
related
to its
legacy
Residential Mortgage-Backed
Securities (RMBS)
business, a
business conducted
through 2007.
The
settlement resolved potential
civil claims
by the
DOJ related
to certain
of those
Credit Suisse
entities’ packaging,
marketing,
structuring,
arrangement,
underwriting,
issuance
and
sale
of
RMBS.
Pursuant
to
the
terms
of
the
settlement a civil monetary penalty
was paid to the
DOJ in January 2017. The
settlement also required the Credit
Suisse entities
to provide
certain levels
of consumer
relief measures,
including affordable
housing payments
and
loan forgiveness, and the DOJ and
Credit Suisse agreed to the appointment
of an independent monitor to oversee
the completion of
the consumer relief
requirements of the
settlement. In August
2025, CSS
LLC entered into
an
agreement with the DOJ to resolve all of Credit Suisse’s outstanding Consumer Relief Obligations under the 2017
settlement by paying USD 300m.
Civil litigation:
Repurchase litigations
– Credit
Suisse affiliates
are defendants
in various
civil litigation
matters related
to their roles as issuer, sponsor, depositor, underwriter and/or servicer of RMBS transactions. These cases currently
include
repurchase
actions
by
RMBS
trusts
and/or
trustees,
in
which
plaintiffs
generally
allege
breached
representations and
warranties
in
respect of
mortgage loans
and
failure
to
repurchase such
mortgage loans
as
required
under
the
applicable
agreements. The
amounts disclosed
below
do
not
reflect
actual
realized
plaintiff
losses to
date. Unless
otherwise stated,
these amounts
reflect
the original
unpaid principal
balance amounts
as
alleged in these actions.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
61
Provisions and contingent liabilities
(continued)
DLJ Mortgage Capital, Inc. (DLJ) is a defendant
in New York State court in five actions:
An action brought by Asset
Backed
Securities
Corporation
Home
Equity
Loan
Trust,
Series
2006-HE7
alleges
damages
of
not
less
than
USD 374m. In December 2023, the trial
court granted in part DLJ’s motion
to dismiss, dismissing with prejudice
all
notice-based claims. On
appeal, the appellate
court modified the
trial court’s dismissal
in April
2025 to reinstate
certain of plaintiff’s notice-based claims and
otherwise dismissed plaintiff’s claims. Plaintiff has sought
leave from
the New York Court
of Appeals to further appeal
the dismissal of certain
of its claims. An
action by Home Equity
Asset Trust,
Series
2006-8, alleges
damages of
not
less than
USD 436m. An
action
by Home
Equity Asset
Trust
2007-1 alleges damages of
not less than USD 420m. In
August 2025, the parties agreed
to a settlement to resolve
this litigation for USD 66.39m. The settlement has
received court approval and is final. An
action by Home Equity
Asset Trust 2007-2
alleges damages of
not less than USD
495m. An action
by CSMC Asset-Backed
Trust 2007-NC1
does not allege a damages amount.
- ATA litigation
Since November 2014, a
series of lawsuits have
been filed against a
number of banks, including
Credit Suisse, in
the US District
Court for the
Eastern District of New
York (EDNY) and the
SDNY alleging claims under
the United
States Anti-Terrorism Act
(ATA) and
the Justice
Against Sponsors
of Terrorism
Act. The
plaintiffs in
each of
these
lawsuits are, or are relatives of, victims of
various terrorist attacks in Iraq and allege
a conspiracy and/or aiding and
abetting based on allegations that various
international financial institutions, including the defendants, agreed to
alter, falsify
or omit
information from payment
messages that involved
Iranian parties for
the express
purpose of
concealing the
Iranian parties’ financial
activities and transactions
from detection
by US
authorities. The lawsuits
allege that
this conduct
has made
it possible
for Iran
to transfer
funds to
Hezbollah and
other terrorist
organizations
actively engaged
in harming
US military
personnel and
civilians. In
January 2023,
the Second
Circuit affirmed
a
September 2019
ruling by
the EDNY
granting defendants’
motion to
dismiss the
first filed
lawsuit. In
October 2023,
the US Supreme Court denied plaintiffs’ petition for a writ
of certiorari, and in September 2025 the EDNY
denied
plaintiffs’ motion
to vacate
the judgment;
the matter
has concluded.
Of the
other seven
cases, four
are stayed,
including one that
was dismissed as
to Credit Suisse
and most
of the bank
defendants prior to
entry of the
stay,
and in three cases defendants moved to dismiss
plaintiffs’
amended complaints.
- Customer account matters
Several
clients
have
claimed
that
a
former
relationship
manager
in
Switzerland
had
exceeded
his
investment
authority
in
the
management of
their
portfolios, resulting
in
excessive
concentrations of
certain
exposures and
investment losses. Credit
Suisse AG has
investigated the claims,
as well as
transactions among the
clients. Credit
Suisse AG filed a criminal complaint against the former relationship manager with
the Geneva Prosecutor’s Office
upon which the
prosecutor initiated
a criminal investigation.
Several clients of
the former relationship
manager also
filed criminal complaints with the
Geneva Prosecutor’s Office. In February 2018,
the former relationship manager
was sentenced to five years
in prison by the Geneva criminal
court for fraud, forgery
and criminal mismanagement
and ordered
to pay
damages of
approximately USD 130m. On
appeal, the Criminal
Court of
Appeals of
Geneva
and, subsequently, the Swiss Federal Supreme
Court upheld the main findings of the
Geneva criminal court.
Civil lawsuits have
been initiated against Credit
Suisse AG and
/ or certain
affiliates in various jurisdictions,
based
on the findings established in the criminal
proceedings against the former relationship
manager.
In Singapore, in a
now-concluded civil lawsuit,
Credit Suisse Trust
Limited was ordered
to pay USD 461m,
including
interest and costs.
In Bermuda, in the civil
lawsuit brought against Credit Suisse Life
(Bermuda) Ltd., the Supreme Court of Bermuda
issued a judgment awarding damages of USD 607.35m to the plaintiff. Credit Suisse Life (Bermuda)
Ltd. appealed
the
decision.
In
June
2023,
the
Bermuda
Court
of
Appeal
confirmed
the
award
and
the
Supreme
Court
of
Bermuda’s
finding
that
Credit
Suisse
Life
(Bermuda)
Ltd.
breached
its
contractual
and
fiduciary
duties,
but
overturned the finding that Credit Suisse Life (Bermuda) Ltd. made fraudulent misrepresentations. In March 2024,
Credit Suisse Life (Bermuda) Ltd. was granted leave to appeal the judgment to the Judicial Committee of the Privy
Council and a hearing on
the appeal was held in
June 2025. The Bermuda Court of Appeal
also ordered that the
current
stay
continue
pending
determination
of
the
appeal
on
the
condition
that
the
damages
awarded,
plus
interest calculated at the Bermuda statutory
rate of 3.5%, remain in
the escrow account. In November
2025, the
Judicial Committee
of the
Privy Council
issued its
final judgment
on the
appeal, denying
Credit Suisse
Life (Bermuda)
Ltd.’s appeal
on liability,
but partially
granting its
appeal concerning
the quantum
of damages
and directing
the
parties to recalculate damages.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
62
Provisions and contingent liabilities
(continued)
In Switzerland, certain civil lawsuits have been commenced against Credit Suisse AG in the
Court of First Instance
of Geneva since March 2023.
- Mozambique matter
Credit
Suisse
was
subject
to
investigations by
regulatory and
enforcement authorities,
as
well
as
civil
litigation,
regarding certain
Credit Suisse
entities’ arrangement
of loan financing
to Mozambique
state enterprises,
Proindicus
S.A. and Empresa Moçambicana de
Atum S.A. (EMATUM), a distribution
to private investors of loan
participation
notes (LPN)
related to
the EMATUM
financing in
September 2013, and
certain Credit
Suisse entities’ subsequent
role in arranging the exchange
of those LPNs for Eurobonds
issued by the Republic of
Mozambique. In 2019,
three
former Credit Suisse employees pleaded guilty in the EDNY to accepting improper personal benefits in connection
with financing transactions carried out with
two Mozambique state enterprises.
In
October 2021,
Credit
Suisse reached
settlements with
the DOJ,
the US
Securities and
Exchange Commission
(SEC), the
UK Financial
Conduct Authority
(FCA) and
FINMA to
resolve inquiries
by these
agencies, including
findings
that Credit
Suisse failed
to appropriately
organize and
conduct its
business with
due skill
and care,
and manage
risks. Credit
Suisse Group
AG entered
into a
three-year Deferred
Prosecution Agreement
(DPA) with
the DOJ
in
connection with the criminal information
charging Credit Suisse Group AG
with conspiracy to commit wire
fraud
and Credit
Suisse Securities
(Europe) Limited
(CSSEL) entered
into a
Plea Agreement
and pleaded
guilty to
one count
of conspiracy to
violate the US
federal wire fraud
statute. Under the
terms of the
DPA, UBS Group
AG (as successor
to Credit Suisse Group
AG) continued compliance enhancement and remediation efforts agreed
by Credit Suisse,
and undertake additional measures as
outlined in the DPA.
In January 2025, as
permitted under the terms of
the
DPA, the DOJ elected to extend the term of
the DPA until January 2026.
- ETN-related litigation
XIV litigation:
Since March 2018, three class action complaints
were filed in the SDNY on behalf of
a putative class
of
purchasers of
VelocityShares Daily
Inverse
VIX Short-Term Exchange
Traded Notes
linked
to
the
S&P
500
VIX
Short-Term Futures
Index (XIV
ETNs). The
complaints have
been consolidated
and asserts
claims against
Credit Suisse
for violations of various anti-fraud and
anti-manipulation provisions of US securities laws arising from
a decline in
the value
of XIV
ETNs in
February 2018. On
appeal from
an order
of the
SDNY dismissing all
claims, the
Second
Circuit issued an order that reinstated a portion of the claims.
In decisions in March 2023 and February 2025, the
court granted class certification for two of the three classes proposed by plaintiffs and denied class certification of
the third proposed class.
- Credit Suisse anti-money laundering matters
In December 2020, the Swiss Office
of the Attorney General brought charges against Credit
Suisse AG and other
parties concerning the diligence and controls applied to a historical relationship with Bulgarian former
clients who
are
alleged to
have laundered
funds through
Credit Suisse
AG accounts.
In
June 2022,
following a
trial, Credit
Suisse AG was convicted in the Swiss Federal Criminal Court of certain historical organizational
inadequacies in its
anti-money-laundering framework
and ordered to pay
a fine of CHF 2m. In
addition, the court seized
certain client
assets in the amount of approximately CHF 12m
and ordered Credit Suisse AG to pay a
compensatory claim in the
amount of approximately
CHF 19m. Credit Suisse
AG appealed the decision
to the Swiss Federal
Court of Appeals.
Following the
merger of
UBS AG
and Credit
Suisse AG,
UBS AG
confirmed the
appeal. In
November 2024,
the
court issued a judgment that
acquitted UBS AG and annulled
the fine and compensatory claim
ordered by the first
instance court.
In February
2025, the
court affirmed
the acquittal
of UBS
AG, and
the Office
of the
Attorney General
has appealed
the judgment
to the
Swiss Federal
Supreme Court.
UBS has
also appealed,
limited to
the issue
whether
a successor
entity by
merger can
be criminally
liable for
acts of
the predecessor
entity. In
July 2025,
the Swiss
Federal
Supreme Court
granted the
appeal filed
by the
Office of
the Attorney
General and
ruled that
the Swiss
Federal
Court of
Appeals released
its judgment
without proper
reasoning. The
case was
remanded to
the Swiss
Federal
Court of Appeals to
deliver a full and
reasoned judgment. Separately, in
November 2025, the Swiss
Office of the
Attorney General filed criminal charges against UBS AG, as the successor to Credit Suisse AG, alleging that Credit
Suisse failed to maintain appropriate controls
to detect and prevent money
laundering in connection with certain
payments from accounts at
Credit Suisse by
parties associated with the
Mozambique transactions between 2013
and 2016.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
63
Provisions and contingent liabilities
(continued)
- Archegos
Credit
Suisse
and
UBS
have
received
requests
for
documents
and
information
in
connection
with
inquiries,
investigations
and/or
actions
relating
to
their
relationships
with
Archegos
Capital
Management
(Archegos),
including from FINMA
(assisted by a
third party appointed
by FINMA), the
DOJ, the SEC,
the US Federal
Reserve,
the
US
Commodity
Futures
Trading
Commission
(CFTC),
the
US
Senate
Banking
Committee,
the
Prudential
Regulation Authority (PRA),
the FCA,
the WEKO,
the Hong
Kong Competition Commission
and other
regulatory
and governmental agencies. UBS is cooperating with the authorities in these matters.
In July 2023, CSI and CSSEL
entered into a settlement agreement with
the PRA providing for the
resolution of the PRA’s investigation. Also
in
July 2023, FINMA
issued a
decree ordering remedial
measures and the
Federal Reserve Board
issued an Order
to
Cease and Desist. Under the terms of the order,
Credit Suisse paid a civil money penalty and agreed to
undertake
certain remedial
measures relating
to counterparty
credit risk
management, liquidity
risk management
and non-
financial risk management, as well as enhancements to board oversight and governance. UBS Group,
as the legal
successor to Credit Suisse Group AG,
is a party to
the FINMA decree and Federal Reserve Board
Cease and Desist
Order.
Civil
actions
relating
to
Credit
Suisse’s
relationship with
Archegos
have
been
filed
against
Credit
Suisse
and/or
certain officers and directors, including
claims for breaches of fiduciary
duties. In one such case, the parties
agreed
in July 2025 to a settlement of USD 115m that remains
subject to court approval. Because the action was
brought
by shareholders
on behalf
of and
for the
benefit of Credit
Suisse, after
deducting any Court-awarded
attorneys’
fees and
expenses and any
applicable taxes, the
cash recovery for
the settlement will
go to
UBS, as
successor to
Credit Suisse,
and will result in a net recovery for UBS.
- Credit Suisse financial disclosures
Credit Suisse
Group AG
and certain
directors, officers and
executives have
been named
in securities
class action
complaints pending
in the
SDNY and
New Jersey
federal court.
These complaints,
filed since
2023 on
behalf of
purchasers of Credit
Suisse shares, additional
tier 1 capital notes,
and other securities,
allege that defendants
made
misleading
statements regarding:
(i) customer outflows
in
late
2022
and
early 2023;
(ii) the adequacy
of Credit
Suisse’s
financial
reporting
controls;
and
(iii) the
adequacy
of
Credit
Suisse’s
risk
management
processes,
and
include allegations relating
to Credit
Suisse Group AG’s merger
with UBS Group AG.
As of
November 2025, the
SDNY certified classes in two cases.
Credit Suisse has received requests for documents and information from regulatory and governmental agencies in
connection with inquiries,
investigations and/or actions
relating to
these matters, as
well as
for other statements
regarding Credit Suisse’s financial condition,
including from the SEC, the DOJ
and FINMA. UBS is cooperating with
the authorities in these matters.
- Merger-related litigation
Certain Credit
Suisse Group AG
affiliates and certain
directors, officers
and executives have
been named in
class
action complaints pending
in the
SDNY. One complaint,
brought on
behalf of Credit
Suisse shareholders, alleges
breaches of fiduciary duty under Swiss law and civil RICO
claims under US federal law. In February 2024,
the court
granted
defendants’
motions
to
dismiss
the
civil
RICO
claims
and
conditionally
dismissed
the
Swiss
law
claims
pending defendants’ acceptance of
jurisdiction in Switzerland. In
March 2024, having received
consents to Swiss
jurisdiction from all defendants served with the complaint, the court
dismissed the Swiss law claims against those
defendants. Plaintiffs have
appealed the dismissal.
Additional complaints, brought on
behalf of holders
of Credit
Suisse additional
tier 1 capital
notes (AT1
noteholders) allege
breaches of
fiduciary duty
under Swiss
law, arising
from a
series of
scandals and
misconduct, which
led to
Credit
Suisse Group
AG’s
merger with
UBS Group
AG,
causing losses to
shareholders and AT1 noteholders. Motions
to dismiss these
complaints were granted in
March
2024 and September 2024
on the basis
that Switzerland is the
most appropriate forum for
litigation. Plaintiffs in
two of these cases appealed the dismissal and in
January 2025 withdrew their appeals.
UBS Group fourth quarter 2025 report |
Consolidated financial information | UBS Group
AG interim consolidated financial information
(unaudited)
64
Currency translation rates
The
following table
shows the
rates of
the main
currencies used
to translate
the financial
information of
UBS’s
operations with a functional currency other
than the US dollar into US dollars.
Currency translation rates
Closing exchange rate
Average rate
1
As of
For the quarter ended
For the year ended
31.12.25
30.9.25
31.12.24
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
1 CHF
1.26
1.26
1.10
1.25
1.25
1.13
1.21
1.13
1 EUR
1.17
1.17
1.04
1.16
1.16
1.06
1.13
1.08
1 GBP
1.35
1.34
1.25
1.33
1.34
1.27
1.32
1.28
100 JPY
0.64
0.68
0.63
0.64
0.67
0.65
0.67
0.66
1 Monthly income statement items of operations with
a functional currency other than the US dollar are translated
into US dollars using month-end rates.
Disclosed average rates for a quarter or
a year represent an
average of three month-end rates or an average
of twelve month-end rates, respectively,
weighted according to the income and expense volumes of
all operations of the Group with the same functional
currency for
each month. Weighted average rates for individual business divisions may deviate from the weighted average
rates for the Group.
UBS Group fourth quarter 2025 report |
Appendix
65
Appendix
Alternative performance measures
An alternative performance measure (an APM) is a financial measure of historical or
future financial performance,
financial position
or cash
flows other
than a
financial measure
defined or
specified in
the applicable
recognized
accounting standards or in
other applicable regulations. A
number of APMs
are reported in
the discussion of
the
financial and operating performance of
the external reports (annual, quarterly
and other reports). APMs
are used
to provide
a more
complete
picture of
operating
performance and
to reflect
management’s
view of
the fundamental
drivers
of
the
business
results. A
definition
of
each
APM,
the
method
used
to
calculate
it
and
the
information
content are presented in alphabetical order
in the table below. These APMs may
qualify as non-GAAP measures as
defined by US Securities and Exchange Commission
(SEC) regulations.
APM label
Calculation
Information content
Cost / income ratio (%)
Calculated as operating expenses divided by
total
revenues.
This measure provides information about the
efficiency of the business by comparing operating
expenses with total revenues.
Cost / income ratio (underlying) (%)
Calculated as underlying operating expenses
(as
defined above) divided by underlying total
revenues
(as defined above).
This measure provides information about the
efficiency of the business by comparing operating
expenses with total revenues, while excluding items
that management believes are not representative of
the underlying performance of the businesses.
Cost of credit risk (bps)
Calculated as total credit loss expense / (release)
(annualized for reporting periods shorter than
12 months) divided by the average balance
of lending
assets for the reporting period, expressed in basis
points. Lending assets include the gross amounts
of
Amounts due from banks and Loans and advances
to
customers.
This measure provides information about the total
credit loss expense / (release) incurred in relation to
the average balance of gross lending assets for the
period.
Credit-impaired lending assets as a
percentage of total lending assets,
gross (%)
Calculated as credit-impaired lending assets divided
by total lending assets. Lending assets includes
the
gross amounts of Amounts due from banks and
Loans and advances to customers. Credit-impaired
lending assets refers to the sum of stage 3 and
purchased credit-impaired positions.
This measure provides information about the
proportion of credit-impaired lending assets in the
overall portfolio of gross lending assets.
Credit-impaired loan portfolio as a
percentage of total loan portfolio,
gross (%)
– Global Wealth Management,
Personal & Corporate Banking
Calculated as credit-impaired loan portfolio divided
by
total gross loan portfolio.
This measure provides information about the
proportion of the credit-impaired loan portfolio in the
total gross loan portfolio.
Fee-generating assets (USD)
– Global Wealth Management
Calculated as the sum of discretionary and
nondiscretionary wealth management portfolios
(mandate volume) and assets where generated
revenues are predominantly of a recurring nature, i.e.
mainly investment, mutual, hedge and private-market
funds where we have a distribution agreement,
including client commitments into closed-ended
private-market funds from the date that recurring
fees are charged. Assets related to our Global
Financial Intermediaries business are excluded, as
are
assets of sanctioned clients.
This measure provides information about the volume
of invested assets that create a revenue stream,
whether as a result of the nature of the contractual
relationship with clients or through the fee structure
of the asset. An increase in the level of fee-generating
assets results in an increase in the associated revenue
stream. Assets of sanctioned clients are excluded from
fee-generating assets.
Gross margin on invested assets (bps)
– Asset Management
Calculated as total revenues (annualized for reporting
periods shorter than 12 months) divided by
average
invested assets.
This measure provides information about the total
revenues of the business in relation to invested assets.
Integration-related expenses (USD)
Generally include costs of internal staff
and
contractors substantially dedicated to integration
activities, retention awards, redundancy costs,
incremental expenses from the shortening of useful
lives of property, equipment and software, and
impairment charges relating to these assets.
Classification as integration-related expenses does
not
affect the timing of recognition and measurement of
those expenses or the presentation thereof in the
income statement. Integration-related expenses
incurred by Credit Suisse also included expenses
associated with restructuring programs that existed
prior to the acquisition.
This measure provides information about expenses
that are temporary, incremental and directly related to
the integration of Credit Suisse into UBS.
UBS Group fourth quarter 2025 report |
Appendix
66
APM label
Calculation
Information content
Invested assets (USD and CHF)
Calculated as the sum of managed fund
assets,
managed institutional assets, discretionary and
advisory wealth management portfolios, fiduciary
deposits, time deposits, savings accounts,
and wealth
management securities or brokerage accounts.
This measure provides information about the volume
of client assets managed by or deposited with
UBS for
investment purposes.
Net interest income (underlying) (USD)
– Global Wealth Management,
Personal & Corporate Banking
Calculated by adjusting net interest income
as
reported in accordance with IFRS Accounting
Standards for items that management believes
are
not representative of the underlying performance of
the businesses.
This measure provides information about the amount
of net interest income, while excluding items that
management believes are not representative of the
underlying performance of the businesses.
Net interest margin (bps)
– Personal & Corporate Banking
Calculated as net interest income (annualized for
reporting periods shorter than 12 months) divided by
average loans.
This measure provides information about the
profitability of the business by calculating the
difference between the price charged for lending and
the cost of funding, relative to loan value.
Net new assets (USD)
– Global Wealth Management
Calculated as the net amount of inflows and
outflows
of invested assets (as defined in UBS policy) recorded
during a specific period, plus interest and dividends.
Excluded from the calculation are movements due to
market performance, foreign exchange translation,
fees, and the effects on invested assets of strategic
decisions by UBS to exit markets or services.
This measure provides information about the
development of invested assets during a
specific
period as a result of net new asset flows, plus the
effect of interest and dividends.
Net new assets growth rate (%)
– Global Wealth Management
Calculated as the net amount of inflows and
outflows
of invested assets (as defined in UBS policy) recorded
during a specific period (annualized for reporting
periods shorter than 12 months), plus
interest and
dividends, divided by total invested assets
at the
beginning of the period.
This measure provides information about the growth
of invested assets during a specific period
as a result
of net new asset flows.
Net new deposits (USD)
– Global Wealth Management
Calculated as the net amount of inflows and
outflows
of deposits recorded during a specific period. Deposits
include customer deposits and customer brokerage
payables. Excluded from the calculation are
movements due to fair value measurement, foreign
exchange translation, accrued interest and fees,
as
well as the effects on customer deposits of strategic
decisions by UBS to exit markets or services.
This measure provides information about the
development of deposits during a specific period
as a
result of net new deposit flows.
Net new fee-generating assets (USD)
– Global Wealth Management
Calculated as the net amount of fee-generating
asset
inflows and outflows, including dividend
and interest
inflows into mandates and outflows from mandate
fees paid by clients during a specific period.
Excluded
from the calculation are the effects on fee-generating
assets of strategic decisions by UBS to exit
markets or
services.
This measure provides information about the
development of fee-generating assets during
a
specific period as a result of net flows, excluding
movements due to market performance and
foreign
exchange translation, as well as the effects on fee-
generating assets of strategic decisions by UBS
to exit
markets or services.
Net new loans (USD)
– Global Wealth Management
Calculated as the net amount of originations,
drawdowns and repayments of loans recorded during
a specific period. Loans include loans and
advances to
customers and customer brokerage receivables.
Excluded from the calculation are allowances,
movements due to fair value measurement and
foreign exchange translation, as well as the
effects on
loans and advances to customers of strategic
decisions by UBS to exit markets or services.
This measure provides information about the
development of loans during a specific period
as a
result of net new loan flows.
Net new money (USD)
– Global Wealth Management,
Asset Management
Calculated as the net amount of inflows and
outflows
of invested assets (as defined in UBS policy) recorded
during a specific period. Excluded from the calculation
are movements due to market performance, foreign
exchange translation, dividends, interest and fees,
as
well as the effects on invested assets of strategic
decisions by UBS to exit markets
or services. Net new
money is not measured for Personal & Corporate
Banking.
This measure provides information about the
development of invested assets during a
specific
period as a result of net new money flows.
Net profit growth (%)
Calculated as the change in net profit attributable
to
shareholders from continuing operations between
current and comparison periods divided by net profit
attributable to shareholders from continuing
operations of the comparison period.
This measure provides information about profit
growth since the comparison period.
Operating expenses (underlying) (USD)
Calculated by adjusting operating expenses
as
reported in accordance with IFRS Accounting
Standards for items that management believes
are
not representative of the underlying performance of
the businesses.
This measure provides information about the amount
of operating expenses, while excluding items
that
management believes are not representative of the
underlying performance of the businesses.
UBS Group fourth quarter 2025 report |
Appendix
67
APM label
Calculation
Information content
Operating profit / (loss) before tax
(underlying) (USD)
Calculated by adjusting operating profit / (loss) before
tax as reported in accordance with IFRS Accounting
Standards for items that management believes
are
not representative of the underlying performance of
the businesses.
This measure provides information about the amount
of operating profit / (loss) before tax, while excluding
items that management believes are not
representative of the underlying performance of the
businesses.
Other revenues (USD and CHF)
– Global Wealth Management,
Personal & Corporate banking
Calculated by including other income as reported
in
accordance with IFRS Accounting Standards, profit or
loss related to non-client derivative instruments
and
profit or loss related to equity investments measured
at fair value through profit or loss.
This measure provides information about residual
business division revenues, after deduction of net
interest income, recurring net fee income and
transaction-based income.
Other revenues (underlying)
(USD and CHF)
– Global Wealth Management,
Personal & Corporate banking
Calculated by adjusting other revenues
as reported
for items that management believes are not
representative of the underlying performance of the
businesses.
This measure provides information about the amount
of other revenues,
while excluding items that
management believes are not representative of the
underlying performance of the businesses.
Pre-tax profit growth (%)
– Global Wealth Management,
Personal & Corporate Banking,
Asset Management,
the Investment Bank
Calculated as the change in net profit before tax
attributable to shareholders from continuing
operations between current and comparison periods
divided by net profit before tax attributable to
shareholders from continuing operations of the
comparison period.
This measure provides information about pre-tax
profit growth since the comparison period.
Pre-tax profit growth (underlying) (%)
– Global Wealth Management,
Personal & Corporate Banking,
Asset Management,
the Investment Bank
Calculated as the change in underlying net
profit
before tax attributable to shareholders from
continuing operations between current and
comparison periods divided by underlying net
profit
before tax attributable to shareholders from
continuing operations of the comparison period.
Underlying net profit before tax attributable to
shareholders from continuing operations excludes
items that management believes are not
representative of the underlying performance of the
businesses and also excludes related tax impact.
This measure provides information about pre-tax
profit growth since the comparison period, while
excluding items that management believes
are not
representative of the underlying performance of the
businesses.
Recurring net fee income (USD and CHF)
– Global Wealth Management,
Personal & Corporate Banking
Calculated as the total of fees for services provided
on
an ongoing basis, such as portfolio management
fees,
asset-based investment fund fees and custody
fees,
which are generated on client assets, and
administrative fees for accounts.
This measure provides information about the amount
of recurring net fee income.
Return on attributed equity (%)
Calculated as business division operating profit before
tax (annualized for reporting periods shorter than
12 months) divided by average attributed
equity.
This measure provides information about the
profitability of the business divisions in relation to
attributed equity.
Return on attributed equity
(underlying) (%)
Calculated as underlying business division
operating
profit before tax (annualized for reporting periods
shorter than 12 months) (as defined above)
divided by
average attributed equity.
This measure provides information about the
profitability of the business divisions in relation to
attributed equity, while excluding items that
management believes are not representative of the
underlying performance of the businesses.
Return on common equity tier 1 capital
(%)
Calculated as net profit attributable to shareholders
(annualized for reporting periods shorter than
12 months) divided by average common equity
tier 1
capital.
This measure provides information about the
profitability of the business in relation to common
equity tier 1 capital.
Return on common equity tier 1 capital
(underlying) (%)
Calculated as underlying net profit attributable to
shareholders (annualized for reporting periods shorter
than 12 months) divided by average common
equity
tier 1 capital. Underlying net profit attributable to
shareholders excludes items that management
believes are not representative of the underlying
performance of the businesses and also excludes
related tax impact.
This measure provides information about the
profitability of the business in relation to common
equity tier 1 capital, while excluding items that
management believes are not representative of the
underlying performance of the businesses.
Return on equity (%)
Calculated as net profit attributable to shareholders
(annualized for reporting periods shorter than
12 months) divided by average equity attributable
to
shareholders.
This measure provides information about the
profitability of the business in relation to equity.
Return on tangible equity (%)
Calculated as net profit attributable to shareholders
(annualized for reporting periods shorter than
12 months) divided by average equity attributable
to
shareholders less average goodwill and intangible
assets.
This measure provides information about the
profitability of the business in relation to tangible
equity.
UBS Group fourth quarter 2025 report |
Appendix
68
APM label
Calculation
Information content
Return on tangible equity (underlying)
(%)
Calculated as underlying net profit attributable to
shareholders (annualized for reporting periods shorter
than 12 months) divided by average equity
attributable to shareholders less average goodwill
and
intangible assets. Underlying net profit attributable
to
shareholders excludes items that management
believes are not representative of the underlying
performance of the businesses and also excludes
related tax impact.
This measure provides information about the
profitability of the business in relation to tangible
equity, while excluding items that management
believes are not representative of the underlying
performance of the businesses.
Revenues over leverage ratio
denominator, gross (%)
Calculated as total revenues (annualized for reporting
periods shorter than 12 months) divided by the
average leverage ratio denominator.
This measure provides information about the revenues
of the business in relation to the leverage ratio
denominator.
Tangible book value per share (USD)
Calculated as equity attributable to shareholders less
goodwill and intangible assets divided by the
number
of shares outstanding.
This measure provides information about tangible net
assets on a per-share basis.
Total book value per share (USD)
Calculated as equity attributable to shareholders
divided by the number of shares outstanding.
This measure provides information about net assets
on a per-share basis.
Total revenues (underlying) (USD)
Calculated by adjusting total revenues as reported in
accordance with IFRS Accounting Standards for items
that management believes are not representative of
the underlying performance of the businesses.
This measure provides information about the amount
of total revenues, while excluding items that
management believes are not representative of the
underlying performance of the businesses.
Transaction-based income
(USD and CHF)
– Global Wealth Management,
Personal & Corporate Banking
Calculated as the total of the non-recurring portion
of
net fee and commission income, mainly composed
of
brokerage and transaction-based investment fund
fees, and credit card fees, as well as fees for payment
and foreign-exchange transactions, together with
other net income from financial instruments
measured at fair value through profit or loss.
This measure provides information about the amount
of the non-recurring portion of net fee and
commission income, together with other net
income
from financial instruments measured at fair value
through profit or loss.
Transaction-based income (underlying)
(USD and CHF)
– Global Wealth Management,
Personal & Corporate Banking
Calculated as adjustment to transaction-based
income
for items that management believes are not
representative of the underlying performance of the
businesses.
This measure provides information about the amount
of transaction-based income, while excluding items
that management believes are not representative of
the underlying performance of the businesses.
This is
a general list
of the APMs
used in our
financial reporting. Not
all of
the APMs listed
above may appear
in
this particular report.
Information related to underlying return on common equity tier 1 capital (RoCET1) and underlying return on tangible
equity (%)
As of or for the quarter ended
As of or for the year ended
USD m, except where indicated
31.12.25
30.9.25
31.12.24
31.12.25
31.12.24
Underlying operating profit / (loss) before tax
2,871
3,590
1,768
11,729
8,831
Underlying tax expense / (benefit)
690
576
456
1,808
2,162
Net profit / (loss) attributable to non-controlling interests
6
6
9
30
60
Underlying net profit / (loss) attributable to shareholders
2,175
3,008
1,303
9,891
6,609
Underlying net profit / (loss) attributable to shareholders
1
8,698
12,032
5,211
9,891
6,609
Tangible equity
83,265
82,916
78,192
83,265
78,192
Average tangible equity
83,091
82,585
79,084
81,544
77,973
CET1 capital
71,262
74,655
71,367
71,262
71,367
Average CET1 capital
72,958
73,682
72,790
71,958
75,666
Underlying return on tangible equity (%)
1
10.5
14.6
6.6
12.1
8.5
Underlying return on common equity tier 1 capital (%)
1
11.9
16.3
7.2
13.7
8.7
1 Annualized for reporting periods shorter than 12 months.
UBS Group fourth quarter 2025 report |
Appendix
69
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
CORC
Compliance and
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
GDP
gross domestic product
GEB
Group Executive Board
GHG
greenhouse gas
GCORC
Group Compliance and
Operational Risk Control
GRI
Global Reporting Initiative
G-SIB
global systemically
important bank
H
HQLA
high-quality liquid assets
I
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
UBS Group fourth quarter 2025 report |
Appendix
70
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.
UBS Group fourth quarter 2025 report |
Appendix
71
Information sources
Reporting publications
Annual publications
UBS
Group
Annual
Report
:
Published
in
English,
this
report
provides
descriptions
of:
the
Group
strategy
and
performance; the
strategy and
performance of
the business divisions
and Group functions;
risk, treasury
and capital
management; corporate
governance;
the compensation
framework, including
information about
compensation for
the Board of Directors and the Group Executive Board members; and financial information, including the financial
statements.
“Auszug aus
dem Geschäftsbericht
”: This
publication provides
a German
translation of
selected sections
of
the
UBS Group Annual Report.
Compensation
Report
:
This
report
discusses
the
compensation
framework
and
provides
information
about
compensation for
the Board
of Directors
and the
Group Executive
Board members.
It is
available in
English and
German (
“Vergütungsbericht
”) and represents a component of the UBS
Group Annual Report.
Sustainability
Report
:
Published
in
English,
the
UBS
Group
Sustainability
Report
provides
disclosures
on
environmental, social and governance (ESG)
topics.
Quarterly publications
Quarterly financial report
: This report provides an
update on performance and strategy (where
applicable) for the
respective quarter. It is available in English.
The annual
and quarterly
publications
are available
in .pdf and
online formats
at
ubs.com/investors
, under
“Financial
information”.
Printed copies, in any language, of the aforementioned
annual publications are no longer provided.
Other information
Website
The “Investor
Relations” website
at
ubs.com/investors
provides the
following information
about UBS:
results-related
news
releases;
financial
information,
including
results-related
filings
with
the
US
Securities
and
Exchange
Commission
(the
SEC);
information
for
shareholders,
including
UBS
dividend
and
share
repurchase
program
information, and for bondholders, including rating agencies reports; the corporate calendar; and presentations by
management for investors and financial analysts. Information is available online in English, with some information
also available in German.
Results presentations
Quarterly
results
presentations
are
webcast
live.
Recordings
of
most
presentations
can
be
downloaded
from
ubs.com/presentations
.
Messaging service
alerts
to
news
about
UBS
can
be
subscribed
for
under
“UBS
News
Alert”
at
ubs.com/global/en/investor-
relations/contact/investor-services.html
. Messages are sent in English, German, French or Italian, with an option to
select theme preferences for such alerts.
Form 20-F and other submissions to the US
Securities and Exchange Commission
UBS files periodic
reports with
and submits
other information
to the
SEC. Principal
among these
filings is the
annual
report on Form 20-F,
filed pursuant to
the US Securities
Exchange Act of 1934.
The filing of
Form 20-F is structured
as a wraparound document. Most sections of the filing can be
satisfied by referring to the UBS Group AG Annual
Report. However, there is
a small amount
of additional information in
Form 20-F that is
not presented elsewhere
and is particularly targeted at readers in the US. Readers are encouraged to refer to this additional disclosure. Any
document that is filed with
the SEC is available on the
SEC’s website:
sec.gov
. Refer to
ubs.com/investors
for more
information.
UBS Group fourth quarter 2025 report |
Appendix
72
Cautionary statement
regarding forward-looking statements
|
This report contains
statements that
constitute “forward-looking
statements”, including
but
not limited to management’s
outlook for UBS’s financial performance,
statements relating to the
anticipated effect of transactions
and strategic initiatives on
UBS’s business and future development and goals. While these forward-looking statements
represent UBS’s judgments, expectations and objectives concerning
the matters described, a number of risks, uncertainties and other important factors could cause actual developments and results to differ materially from UBS’s
expectations. In
particular,
the global
economy may
suffer
significant adverse
effects from
increasing political
tensions between
world powers,
changes to
international trade
policies, including
those related
to tariffs
and trade
barriers, and
evolving armed
conflicts. UBS’s
acquisition of
the Credit
Suisse Group
materially changed
its outlook
and strategic
direction and
introduced new
operational challenges. The
integration of
the Credit
Suisse entities
into the
UBS
structure is expected to continue
through 2026 and presents significant operational and
execution risk, including the risks that
UBS may be unable to achieve
the cost reductions and business
benefits contemplated by the
transaction, that it may incur
higher costs to execute the
integration of Credit Suisse
and that the
acquired business may have greater
risks or liabilities,
including those related to litigation, than
expected. Following the failure of
Credit Suisse, Switzerland is
considering significant changes
to its capital,
resolution and regulatory
regime, which, if
adopted, would significantly
increase our capital
requirements or impose
other costs on UBS. These factors create greater uncertainty about forward-looking statements. Other factors that may affect UBS’s performance and ability to
achieve its plans, outlook and
other objectives also include,
but are not limited to: (i) the
degree to which UBS is successful
in the execution of its
strategic plans,
including its
cost reduction
and efficiency
initiatives and
its ability
to manage
its levels
of risk-weighted assets
(RWA) and
leverage ratio
denominator (LRD),
liquidity coverage ratio
and other financial
resources, including changes
in RWA
assets and
liabilities arising from
higher market volatility
and the
size of the
combined Group; (ii) the
degree to which UBS
is successful in implementing
changes to its businesses
to meet changing
market, regulatory and
other conditions,
including any potential changes to banking examination and oversight practices and standards as a
result of executive branch orders or staff interpretations
of
law in the
US; (iii) inflation
and interest rate
volatility in
major markets; (iv) developments
in the macroeconomic
climate and in
the markets in
which UBS operates
or to which
it is exposed,
including movements in securities prices
or liquidity,
credit spreads, currency
exchange rates, residential and
commercial real estate
markets, general economic conditions,
and changes to national
trade policies on the
financial position or creditworthiness
of UBS’s clients and
counterparties, as
well as on client sentiment and levels of activity; (v) changes
in the availability of capital and funding, including
any adverse changes in UBS’s credit spreads and
credit ratings of UBS,
as well as availability and
cost of funding,
including as affected by
the marketability of a current
additional tier one debt
instrument, to
meet requirements
for
debt eligible
for total
loss-absorbing capacity
(TLAC); (vi) changes
in and
potential divergence
between central
bank policies
or
the
implementation of financial legislation and
regulation in Switzerland, the US,
the UK, the EU
and other financial centers
that have imposed, or
resulted in, or
may do so in the future, more stringent or entity-specific capital, TLAC, leverage ratio, net stable funding ratio, liquidity and funding requirements, heightened
operational resilience requirements, incremental tax requirements, additional levies, limitations on permitted activities, constraints on remuneration, constraints
on transfers
of capital
and liquidity
and sharing
of operational
costs across
the Group
or other
measures, and
the effect
these will
or would
have on
UBS’s
business activities; (vii) UBS’s ability to successfully implement resolvability and related regulatory requirements and the potential need to make further changes
to the legal structure or booking model of UBS in response to legal and regulatory requirements including heightened
requirements and expectations due to its
acquisition of the Credit Suisse Group; (viii) UBS’s ability to maintain and improve its systems and controls for complying with sanctions in a timely manner and
for the detection
and prevention of
money laundering to
meet evolving regulatory
requirements and expectations,
in particular in
the current geopolitical
turmoil;
(ix) the
uncertainty arising
from
domestic stresses
in
certain
major
economies; (x)
changes
in
UBS’s
competitive position,
including
whether
differences
in
regulatory capital and other requirements among the
major financial centers adversely affect UBS’s ability
to compete in certain lines of business;
(xi) changes in
the standards
of conduct applicable
to its businesses
that may result
from new regulations
or new enforcement
of existing standards,
including measures to
impose new and enhanced duties when interacting with customers and
in the execution and handling of customer transactions; (xii) the
liability to which UBS
may be exposed, or
possible constraints or sanctions that
regulatory authorities might impose on
UBS, due to litigation,
including litigation it has inherited
by
virtue of
the acquisition of
Credit Suisse,
contractual claims and
regulatory investigations, including the
potential for disqualification
from certain businesses,
potentially large fines or monetary penalties, or the loss
of licenses or privileges as a result
of regulatory or other governmental sanctions, as well as
the effect
that litigation, regulatory and
similar matters have on
the operational risk component
of its RWA; (xiii) UBS’s ability
to retain and attract
the employees necessary
to generate
revenues and
to manage,
support and
control its
businesses, which
may be
affected by
competitive factors;
(xiv) changes in
accounting or
tax
standards or policies, and determinations or interpretations affecting
the recognition of gain or loss,
the valuation of goodwill, the recognition of
deferred tax
assets and
other matters;
(xv) UBS’s ability
to implement
new technologies
and business
methods, including
digital services,
artificial intelligence
and other
technologies, and ability
to successfully compete
with both existing
and new financial
service providers, some of
which may not be
regulated to the same
extent;
(xvi) limitations on the
effectiveness of UBS’s
internal processes for
risk management,
risk control, measurement
and modeling, and
of financial models
generally;
(xvii) the occurrence of operational
failures, such as
fraud, misconduct, unauthorized trading, financial crime,
cyberattacks, data leakage and systems
failures,
the risk
of which
is increased
with persistently
high levels
of cyberattack
threats; (xviii) restrictions
on the
ability of
UBS Group
AG, UBS
AG and
regulated
subsidiaries of UBS AG to make payments or distributions,
including due to restrictions on the ability of its subsidiaries
to make loans or distributions, directly or
indirectly, or,
in the case of financial difficulties, due
to the exercise by FINMA or
the regulators of UBS’s operations in other
countries of their broad statutory
powers in relation to protective measures, restructuring and liquidation proceedings;
(xix) the degree to which changes in regulation, capital or
legal structure,
financial results or
other factors may
affect UBS’s ability
to maintain its
stated capital return
objective; (xx) uncertainty over the
scope of actions
that may be
required by
UBS, governments
and others
for UBS
to achieve
goals relating
to climate,
environmental and
social matters,
as well
as the
evolving nature
of
underlying science and
industry and the increasing
divergence among regulatory
regimes; (xxi) the ability
of UBS to access
capital markets; (xxii)
the ability of UBS
to successfully
recover from
a disaster
or other
business continuity
problem due
to a
hurricane, flood,
earthquake, terrorist
attack, war,
conflict, pandemic,
security breach,
cyberattack, power loss,
telecommunications failure or
other natural or
man-made event; and
(xxiii) the effect
that these or
other factors or
unanticipated events, including media reports and speculations, may have on its reputation and the additional consequences that this may have on its business
and performance. The sequence in which the factors above are presented is not
indicative of their likelihood of occurrence or the potential magnitude of their
consequences. UBS’s business and financial performance could be affected by other factors identified in
its past and future filings and reports,
including those
filed with the US Securities and Exchange Commission
(the SEC). More detailed information about those factors
is set forth in documents furnished by UBS and
filings made by UBS with the SEC,
including the UBS Group AG and UBS
AG Annual Reports on Form 20-F for
the year ended 31 December 2024. UBS is not
under any obligation to
(and expressly disclaims any
obligation to) update or
alter its forward-looking statements,
whether as a result of new
information, future
events, or otherwise.
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 is not incorporating
the contents
of any such websites into this report.
UBS Group AG
P.O. Box
CH-8098 Zurich
ubs.com
This
Form
6-K
is
hereby
incorporated
by
reference
into
(1)
each
of
the
registration
statements
on
Form
F-3
(Registration Number
333-283672), and
on Form
S-8 (Registration
Numbers 333-200634;
333-200635; 333-200641;
333-200665;
333-215254;
333-215255;
333-228653;
333-230312;
333-249143
and
333-272975),
and
into
each
prospectus outstanding
under any
of the
foregoing registration
statements, (2)
any outstanding
offering circular
or
similar document issued
or authorized by
UBS AG that
incorporates by reference any
Forms 6-K of
UBS AG that
are incorporated into
its registration statements filed
with the SEC,
and (3) the
base prospectus of
Corporate Asset
Backed Corporation (“CABCO”)
dated June 23, 2004
(Registration Number 333-111572), the Form
8-K of CABCO
filed and
dated June
23, 2004
(SEC File
Number 001-13444),
and the
Prospectus Supplements
relating to
the CABCO
Series 2004-101 Trust dated May 10, 2004 and May 17, 2004 (Registration
Number 033-91744 and 033-91744-05).
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/
Sergio Ermotti
___
Name:
Sergio Ermotti
Title:
Group Chief Executive Officer
By:
/s/ Todd Tuckner
_
Name:
Todd Tuckner
Title:
Group Chief Financial Officer
By:
/s/ Steffen Henrich
____________
Name:
Steffen Henrich
Title:
Group Controller
UBS AG
By:
/s/
Sergio Ermotti
_
Name:
Sergio Ermotti
Title:
President of the Executive Board
By:
/s/ Todd Tuckner
_
Name:
Todd Tuckner
Title:
Chief Financial Officer
By:
/s/ Steffen Henrich
_____________
Name:
Steffen Henrich
Title:
Controller
Date:
February 4, 2026