UBS has established UBS Group Funding (Switzerland) AG, a wholly-owned direct subsidiary of UBS Group AG, to issue future loss-absorbing additional Tier 1 (AT1) capital instruments and total loss-absorbing capacity- (TLAC-) eligible senior unsecured debt. These securities will benefit from a guarantee by UBS Group AG. UBS has also announced its intention to substitute the issuer of outstanding TLAC-eligible senior unsecured debt (UBS Group Funding Jersey Limited) with the new entity, UBS Group Funding (Switzerland) AG.

According to the rating agency, the ratings (A/Positive) on UBS’s outstanding TLAC-eligible senior unsecured debt remain unchanged. Upon completion of the issuer substitution, these securities will continue to be guaranteed by UBS Group AG and investors’ seniority of claim against UBS Group AG will be unaffected.