UBS has announced its intention to substitute UBS Group AG as issuer of outstanding loss-absorbing AT1 capital instruments with UBS Group Funding (Switzerland) AG, a wholly-owned direct subsidiary of UBS Group AG. The planned issuer substitution is expected to be effective as of the 25th of May 2018. There are no changes in the terms and conditions of the rated instruments.

Scope added that, upon completion of the issuer substitution, the AT1 securities will be guaranteed by UBS Group AG and investors’ seniority of claim against UBS Group AG will be unaffected. As a consequence, the agency noted that its ratings (BBB/Stable) on the AT1 securities will remain unchanged.