XML 209 R91.htm IDEA: XBRL DOCUMENT v3.20.4
Post-employment benefit plans (Tables)
 12 Months Ended
Dec. 31, 2020
Disclosure Of Post-employment Benefit Plans [Line Items]  
Disclosure of expenses on post-employment benefit plans [text block]
Income statement – expenses related to post-employment benefit plans
USD million31.12.2031.12.1931.12.18
Net periodic expenses for defined benefit plans 502 461 188
of which: related to major plans1 479 440 186
of which: Swiss pension plan2 459 417 153
of which: UK pension plan 3 3 11
of which: US and German pension plans 18 21 22
of which: related to remaining plans and other expenses3 23 21 2
Expenses for defined contribution plans4 343 326 268
of which: UK plans 88 82 80
of which: US plan 190 173 127
of which: remaining plans 65 71 61
Total post-employment benefit plan expenses5 845 787 457
1 Refer to Note 26a for more information. 2 Changes to the Swiss pension plan announced in 2018 resulted in a pre-tax gain of USD 241 million related to past service. Refer to Note 26a for more information on these changes. 3 Other expenses include differences between actual and estimated performance award accruals. 4 Refer to Note 26b for more information. 5 Refer to Note 6.
Disclosure of Other comprehensive income gains / (losses) on defined benefit plans [text block]
Other comprehensive income – gains / (losses) on defined benefit plans
USD million31.12.2031.12.1931.12.18
Major plans1 (323) (135) (230)
of which: Swiss pension plan (276) (22) (352)
of which: UK pension plan (61) (78) 130
of which: US and German pension plans 14 (35) (8)
Remaining plans (4) (10) 9
Gains / (losses) recognized in other comprehensive income, before tax (327) (146) (220)
Tax (expense) / benefit relating to defined benefit plans recognized in other comprehensive income 109 (41) 276
Gains / (losses) recognized in other comprehensive income, net of tax2 (218) (186) 56
1 Refer to Note 26a for more information. 2 Refer to the “Statement of comprehensive income.”
Disclosure of net defined benefit asset and liability [text block]
Balance sheet – net defined benefit asset
USD million31.12.2031.12.19
Major plans1 42 9
of which: Swiss pension plan2 0 0
of which: UK pension plan 0 4
of which: US and German pension plans 42 5
Total net defined benefit asset 42 9
1 Refer to Note 26a for more information. 2 As of 31 December 2020 and 31 December 2019, the Swiss pension plan was in a surplus situation. No net defined benefit asset was recognized on the balance sheet due to the IFRS asset ceiling restriction. Refer to Note 26a for more information.
Balance sheet – net defined benefit liability
USD million31.12.2031.12.19
Major plans1 599 527
of which: UK pension plan 13 0
of which: US and German pension plans2 586 527
Remaining plans 123 107
Total net defined benefit liability3 722 633
1 Refer to Note 26a for more information. 2 Of the total liability recognized as of 31 December 2020, USD 88 million related to US plans and USD 498 million related to German plans (31 December 2019: USD 111 million and USD 416 million, respectively). 3 Refer to Note 19c.
Disclosure Of Transactions Between Related Parties Explanatory
Related-party disclosure
For the year ended
USD million31.12.2031.12.1931.12.18
Received by UBS
Fees 34 34 35
Paid by UBS
Rent 5 4 4
Dividends, capital repayments and interest 10 11 10
Disclosure of transaction volumes of UBS shares and UBS debt instruments [text block]
Transaction volumes – UBS shares and UBS debt instruments
For the year ended
31.12.2031.12.19
Financial instruments bought by pension funds
UBS shares (in thousands of shares) 1,758 967
UBS debt instruments (par values, USD million) 28 2
Financial instruments sold by pension funds or matured
UBS shares (in thousands of shares) 2,605 1,977
UBS debt instruments (par values, USD million) 6 8
UBS shares held by post-employment benefit plans
31.12.2031.12.19
Number of shares (in thousands of shares) 14,854 15,701
Fair value (USD million) 210 198
Major plans  
Disclosure Of Post-employment Benefit Plans [Line Items]  
Disclosure Of Defined Benefit Plans Explanatory
Defined benefit plans
USD millionSwiss pension planUK pension planUS and German pension plansTotal
20202019202020192020201920202019
Defined benefit obligation at the beginning of the year 24,496 22,566 3,654 3,192 1,820 1,679 29,970 27,437
Current service cost 447 409 0 0 6 6 453 415
Interest expense 72 200 73 92 45 59 190 351
Plan participant contributions 259 240 0 0 0 0 259 240
Remeasurements 1,279 1,728 449 361 105 185 1,832 2,275
of which: actuarial (gains) / losses due to changes in demographic assumptions (164) (196) (14) (26) (34) 3 (212) (220)
of which: actuarial (gains) / losses due to changes in financial assumptions 983 1,641 505 421 134 179 1,621 2,241
of which: experience (gains) / losses1 460 284 (42) (34) 5 4 423 254
Past service cost related to plan amendments 0 0 3 0 0 0 3 0
Benefit payments (1,153) (1,046) (148) (135) (108) (102) (1,409) (1,283)
Other movements (4) 0 0 0 0 0 (4) 0
Foreign currency translation 2,333 399 132 144 37 (8) 2,501 535
Defined benefit obligation at the end of the year 27,728 24,496 4,162 3,654 1,905 1,820 33,795 29,970
of which: amounts owed to active members 13,765 11,577 159 164 245 235 14,169 11,976
of which: amounts owed to deferred members 0 0 1,879 1,559 743 675 2,622 2,233
of which: amounts owed to retirees 13,963 12,918 2,124 1,931 917 911 17,004 15,760
Fair value of plan assets at the beginning of the year 28,219 25,839 3,658 3,032 1,299 1,168 33,176 30,039
Return on plan assets excluding interest income 1,818 2,059 388 284 118 150 2,324 2,492
Interest income 84 233 73 89 38 47 196 369
Employer contributions 729 452 46 242 17 38 792 732
Plan participant contributions 259 240 0 0 0 0 259 240
Benefit payments (1,153) (1,046) (148) (135) (108) (102) (1,409) (1,283)
Administration expenses, taxes and premiums paid (13) (11) 0 0 (4) (2) (17) (13)
Foreign currency translation 2,647 453 132 146 0 0 2,779 599
Fair value of plan assets at the end of the year 32,590 28,219 4,149 3,658 1,360 1,299 38,100 33,176
Asset ceiling effect at the beginning of the year 3,724 3,274 0 0 0 0 3,724 3,274
Interest expense on asset ceiling effect 12 30 0 0 0 0 12 30
Asset ceiling effect excluding interest expense and foreign currency translation on asset ceiling effect 814 353 0 0 0 0 814 353
Foreign currency translation 313 67 0 0 0 0 313 67
Asset ceiling effect at the end of the year 4,862 3,724 0 0 0 0 4,862 3,724
Net defined benefit asset / (liability) 0 0 (13) 4 (545) (521) (558) (518)
Movement in the net asset / (liability) recognized on the balance sheet
Net asset / (liability) recognized on the balance sheet at the beginning of the year 0 0 4 (160) (521) (511) (518) (671)
Net periodic expenses recognized in net profit (459) (417) (3) (3) (18) (21) (479) (440)
Gains / (losses) recognized in other comprehensive income (276) (22) (61) (78) 14 (35) (323) (135)
Employer contributions 729 452 46 242 17 38 792 732
Other movements 4 0 0 0 0 0 4 0
Foreign currency translation 1 (13) 0 2 (37) 8 (35) (3)
Net asset / (liability) recognized on the balance sheet at the end of the year 0 0 (13) 4 (545) (521) (558) (518)
Funded and unfunded plans
Defined benefit obligation from funded plans 27,728 24,496 4,162 3,654 1,319 1,319 33,209 29,469
Defined benefit obligation from unfunded plans 0 0 0 0 586 501 586 501
Plan assets 32,590 28,219 4,149 3,658 1,360 1,299 38,100 33,176
Surplus / (deficit) 4,862 3,724 (13) 4 (545) (521) 4,304 3,206
Asset ceiling effect 4,862 3,724 0 0 0 0 4,862 3,724
Net defined benefit asset / (liability) 0 0 (13) 4 (545) (521) (558) (518)
Analysis of amounts recognized in net profit
USD millionSwiss pension planUK pension planUS and German pension plansTotal
For the year ended31.12.2031.12.1931.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Current service cost 447 409 0 0 6 6 453 415
Interest expense related to defined benefit obligation 72 200 73 92 45 59 190 351
Interest income related to plan assets (84) (233) (73) (89) (38) (47) (196) (369)
Interest expense on asset ceiling effect 12 30 0 0 0 0 12 30
Administration expenses, taxes and premiums paid 13 11 0 0 4 2 17 13
Past service cost related to plan amendments 0 0 3 0 0 0 3 0
Net periodic expenses recognized in net profit 459 417 3 3 18 21 479 440
Analysis of amounts recognized in other comprehensive income (OCI)
USD millionSwiss pension planUK pension planUS and German pension plansTotal
For the year ended31.12.2031.12.1931.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Remeasurement of defined benefit obligation (1,279) (1,728) (449) (361) (105) (185) (1,832) (2,275)
of which: change in discount rate assumption (777) (1,887) (504) (552) (141) (166) (1,421) (2,605)
of which: change in rate of salary increase assumption (230) 3 0 0 0 0 (230) 3
of which: change in rate of pension increase assumption 0 0 (1) 132 1 (4) 0 128
of which: change in rate of interest credit on retirement savings assumption 26 243 0 0 24 18 50 261
of which: change in life expectancy 261 0 22 21 50 4 333 25
of which: change in other actuarial assumptions (99) 196 (8) 5 (34) (33) (142) 168
of which: experience gains / (losses)1 (460) (284) 42 34 (5) (4) (423) (254)
Return on plan assets excluding interest income 1,818 2,059 388 284 118 150 2,324 2,492
Asset ceiling effect excluding interest expense and foreign currency translation (814) (353) 0 0 0 0 (814) (353)
Total gains / (losses) recognized in other comprehensive income, before tax (276) (22) (61) (78) 14 (35) (323) (135)
1 Experience (gains) / losses are a component of actuarial remeasurements of the defined benefit obligation that reflect the effects of differences between the previous actuarial assumptions and what has actually occurred.
Disclosure of maturity analysis of expected benefit payments [text block]
Swiss pension planUK pension planUS and German pension plans1
31.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Duration of the defined benefit obligation (in years) 15.7 14.9 19.0 20.2 10.2 10.1
Maturity analysis of benefits expected to be paid
USD million
Benefits expected to be paid within 12 months 1,293 1,232 114 93 122 121
Benefits expected to be paid between 1 and 3 years 2,630 2,483 232 209 235 228
Benefits expected to be paid between 3 and 6 years 3,839 3,670 406 384 346 346
Benefits expected to be paid between 6 and 11 years 6,166 5,761 744 748 532 548
Benefits expected to be paid between 11 and 16 years 5,646 5,070 758 807 413 455
Benefits expected to be paid in more than 16 years 18,884 15,517 3,206 3,913 541 721
1 The duration of the defined benefit obligation represents a weighted average across US and German plans.
Disclosure of actuarial assumptions [text block]
Significant actuarial assumptions
Swiss pension planUK pension planUS and German pension plans1
In %31.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Discount rate 0.10 0.29 1.42 2.07 1.62 2.58
Rate of salary increase 2.00 1.50 0.00 0.00 2.25 2.37
Rate of pension increase 0.00 0.00 2.89 2.92 1.70 1.80
Rate of interest credit on retirement savings 0.60 0.49 0.00 0.00 1.12 2.57
1 Represents weighted average assumptions across US and German plans.
Disclosure Of Sensitivity Analysis For Actuarial Assumptions Explanatory
Sensitivity analysis of significant actuarial assumptions1
Increase / (decrease) in defined benefit obligationSwiss pension planUK pension planUS and German pension plans
USD million31.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Discount rate
Increase by 50 basis points (1,793) (1,505) (370) (346) (91) (86)
Decrease by 50 basis points 2,048 1,710 423 395 99 93
Rate of salary increase
Increase by 50 basis points 117 76–2–2 1 1
Decrease by 50 basis points (111) (73)–2–2 (1) (1)
Rate of pension increase
Increase by 50 basis points 1,413 1,221 358 331 8 7
Decrease by 50 basis points–3–3 (316) (299) (7) (7)
Rate of interest credit on retirement savings
Increase by 50 basis points 236 175–4 –4 9 9
Decrease by 50 basis points (188)5 (102)–4 –4 (8) (9)
Life expectancy
Increase in longevity by one additional year 1,061 886 182 154 60 51
1 The sensitivity analyses are based on a change in one assumption while holding all other assumptions constant, so that interdependencies between the assumptions are excluded. 2 As the plan is closed for future service, a change in assumption is not applicable. 3 As the assumed rate of pension increase was 0% as of 31 December 2020 and as of 31 December 2019, a downward change in assumption is not applicable. 4 As the UK plan does not provide interest credits on retirement savings, a change in assumption is not applicable. 5 As of 31 December 2020, 20% of retirement savings were subject to a legal minimum rate of 1.00%.
Disclosure of composition and fair value of plan assets [text block]
Composition and fair value of plan assets
Swiss pension plan
31.12.2031.12.19
Fair valuePlan assetallocation %Fair valuePlan assetallocation %
USD millionQuotedin an activemarketOtherTotalQuotedin an activemarketOtherTotal
Cash and cash equivalents 219 0 219 1 159 0 159 1
Real estate / property
Domestic 0 3,582 3,582 11 0 3,050 3,050 11
Foreign 0 331 331 1 0 160 160 1
Investment funds
Equity
Domestic 826 0 826 3 701 0 701 2
Foreign 6,284 1,958 8,242 25 6,091 1,653 7,743 27
Bonds1
Domestic, AAA to BBB– 3,721 0 3,721 11 3,238 0 3,238 11
Foreign, AAA to BBB– 6,146 0 6,146 19 5,880 0 5,880 21
Foreign, below BBB– 1,303 0 1,303 4 999 0 999 4
Other 3,363 3,722 7,085 22 1,604 3,956 5,560 20
Other investments 663 473 1,136 3 535 194 729 3
Total fair value of plan assets 22,525 10,065 32,590 100 19,206 9,014 28,219 100
31.12.2031.12.19
Total fair value of plan assets 32,590 28,219
of which:2
Bank accounts at UBS 231 159
UBS debt instruments 34 7
UBS shares 24 21
Securities lent to UBS3 1,416 1,328
Property occupied by UBS 96 88
Derivative financial instruments, counterparty UBS3 149 10
1 The bond credit ratings are primarily based on Standard & Poor’s credit ratings. Ratings AAA to BBB– and below BBB– represent investment grade and non-investment grade ratings, respectively. In cases where credit ratings from other rating agencies were used, these were converted to the equivalent rating in Standard & Poor’s rating classification. 2 Bank accounts at UBS encompass accounts in the name of the Swiss pension fund. The other positions disclosed in the table encompass both direct investments in UBS instruments and indirect investments, i.e., those made through funds that the pension fund invests in. 3 Securities lent to UBS and derivative financial instruments are presented gross of any collateral. Securities lent to UBS were fully covered by collateral as of 31 December 2020 and 31 December 2019. Net of collateral, derivative financial instruments amounted to negative USD 17 million as of 31 December 2020 (31 December 2019: positive USD 6 million).
Composition and fair value of plan assets (continued)
UK pension plan
31.12.2031.12.19
Fair valuePlan assetallocation %Fair valuePlan assetallocation %
USD millionQuotedin an activemarketOtherTotalQuotedin an activemarketOtherTotal
Cash and cash equivalents 195 0 195 5 141 0 141 4
Bonds1
Domestic, AAA to BBB– 2,150 0 2,150 52 1,810 0 1,810 49
Foreign, AAA to BBB– 53 0 53 1 0 0 0 0
Investment funds
Equity
Domestic 34 3 37 1 33 0 33 1
Foreign 1,077 0 1,077 26 916 0 916 25
Bonds1
Domestic, AAA to BBB– 919 131 1,050 25 610 117 727 20
Domestic, below BBB– 47 0 47 1 22 0 22 1
Foreign, AAA to BBB– 149 0 149 4 310 0 310 8
Foreign, below BBB– 110 0 110 3 108 0 108 3
Real estate
Domestic 98 16 114 3 103 18 122 3
Foreign 0 37 37 1 0 19 19 1
Other (86) 0 (86) (2) 0 0 0 0
Insurance contracts 0 8 8 0 0 7 7 0
Derivatives (3) 0 (3) 0 3 0 3 0
Asset-backed securities 0 6 6 0 0 6 6 0
Other investments2 (803) 9 (794) (19) (572) 7 (565) (15)
Total fair value of plan assets 3,940 209 4,149 100 3,483 175 3,658 100
1 The bond credit ratings are primarily based on Standard & Poor’s credit ratings. Ratings AAA to BBB– and below BBB– represent investment grade and non-investment grade ratings, respectively. In cases where credit ratings from other rating agencies were used, these were converted to the equivalent rating in Standard & Poor’s rating classification. 2 Mainly relates to repurchase arrangements on UK treasury bonds.
US pension plans
31.12.2031.12.19
Fair valuePlan assetallocation %Fair valuePlan assetallocation %
USD millionQuotedin an activemarketOtherTotalQuotedin an activemarketOtherTotal
Cash and cash equivalents 38 0 38 3 27 0 27 2
Bonds1
Domestic, AAA to BBB– 490 0 490 36 475 0 475 37
Domestic, below BBB– 7 0 7 0 2 0 2 0
Foreign, AAA to BBB– 99 0 99 7 99 0 99 8
Foreign, below BBB– 1 0 1 0 3 0 3 0
Investment funds
Equity
Domestic 210 0 210 15 208 0 208 16
Foreign 169 0 169 12 161 0 161 12
Bonds1
Domestic, AAA to BBB– 195 0 195 14 176 0 176 14
Domestic, below BBB– 34 0 34 2 28 0 28 2
Foreign, AAA to BBB– 19 0 19 1 17 0 17 1
Foreign, below BBB– 3 0 3 0 3 0 3 0
Real estate
Domestic 0 14 14 1 0 13 13 1
Other 79 0 79 6 69 0 69 5
Insurance contracts 0 1 1 0 0 18 18 1
Total fair value of plan assets 1,345 15 1,360 100 1,268 31 1,299 100
1 The bond credit ratings are primarily based on Standard & Poor’s credit ratings. Ratings AAA to BBB– and below BBB– represent investment grade and non-investment grade ratings, respectively. In cases where credit ratings from other rating agencies were used, these were converted to the equivalent rating in Standard & Poor’s rating classification.
Major plans | Actuarial Assumption Of Mortality Rates [Member]  
Disclosure Of Post-employment Benefit Plans [Line Items]  
Disclosure of actuarial assumptions [text block]
Mortality tables and life expectancies for major plans
Life expectancy at age 65 for a male member currently
aged 65aged 45
CountryMortality table31.12.2031.12.1931.12.2031.12.19
SwitzerlandBVG 2020 G with CMI 2019 projections1 21.7 21.6 23.2 23.1
UKS3PA with CMI 2019 projections2 23.4 23.3 24.6 24.5
USAPri-2012 with MP-2020 projection scale3 21.8 22.8 23.2 24.3
GermanyDr. K. Heubeck 2018 G 20.8 20.7 23.6 23.5
Life expectancy at age 65 for a female member currently
aged 65aged 45
CountryMortality table31.12.2031.12.1931.12.2031.12.19
SwitzerlandBVG 2020 G with CMI 2019 projections1 23.4 23.6 24.9 25.1
UKS3PA with CMI 2019 projections2 24.9 25.1 26.3 26.4
USAPri-2012 with MP-2020 projection scale3 23.2 24.4 24.5 25.9
GermanyDr. K. Heubeck 2018 G 24.3 24.2 26.5 26.4
1 In 2019, BVG 2015 G with CMI 2016 projections was used. 2 In 2019, S2PA with CMI 2018 projections was used. 3 In 2019, RP-2014 WCHA with MP-2019 projection scale was used.
UBS AG  
Disclosure Of Post-employment Benefit Plans [Line Items]  
Disclosure of expenses on post-employment benefit plans [text block]
Income statement – expenses related to post-employment benefit plans
USD million31.12.2031.12.1931.12.18
Net periodic expenses for defined benefit plans 306 291 140
of which: related to major plans1 289 271 141
of which: Swiss pension plan2 269 248 108
of which: UK pension plan 3 3 11
of which: US and German pension plans 18 21 22
of which: related to remaining plans and other expenses3 17 19 (1)
Expenses for defined contribution plans4 291 278 223
of which: UK plans 36 34 35
of which: US plan 190 173 127
of which: remaining plans 65 71 61
Total post-employment benefit plan expenses5 597 569 363
1 Refer to Note 26a for more information. 2 Changes to the Swiss pension plan announced in 2018 resulted in a pre-tax gain of USD 132 million related to past service. Refer to Note 26a for more information on these changes. 3 Other expenses include differences between actual and estimated performance award accruals. 4 Refer to Note 26b for more information. 5 Refer to Note 6.
Disclosure of Other comprehensive income gains / (losses) on defined benefit plans [text block]
Other comprehensive income – gains / (losses) on defined benefit plans
USD million31.12.2031.12.1931.12.18
Major plans1 (219) (128) (79)
of which: Swiss pension plan (172) (15) (201)
of which: UK pension plan (61) (78) 130
of which: US and German pension plans 14 (35) (8)
Remaining plans (3) (1) 9
Gains / (losses) recognized in other comprehensive income, before tax (222) (129) (70)
Tax (expense) / benefit relating to defined benefit plans recognized in other comprehensive income 88 (41) 245
Gains / (losses) recognized in other comprehensive income, net of tax2 (134) (170) 175
1 Refer to Note 26a for more information. 2 Refer to the “Statement of comprehensive income.”
Disclosure of net defined benefit asset and liability [text block]
Balance sheet – net defined benefit asset
USD million31.12.2031.12.19
Major plans1 42 9
of which: Swiss pension plan2 0 0
of which: UK pension plan 0 4
of which: US and German pension plans 42 5
Total net defined benefit asset 42 9
1 Refer to Note 26a for more information. 2 As of 31 December 2020 and 31 December 2019, the Swiss pension plan was in a surplus situation. No net defined benefit asset was recognized on the balance sheet due to the IFRS asset ceiling restriction. Refer to Note 26a for more information.
Balance sheet – net defined benefit liability
USD million31.12.2031.12.19
Major plans1 599 527
of which: UK pension plan 13 0
of which: US and German pension plans2 586 527
Remaining plans 112 103
Total net defined benefit liability3 711 629
1 Refer to Note 26a for more information. 2 Of the total liability recognized as of 31 December 2020, USD 88 million related to US plans and USD 498 million related to German plans (31 December 2019: USD 111 million and USD 416 million, respectively). 3 Refer to Note 19c.
Disclosure Of Transactions Between Related Parties Explanatory
Related-party disclosure
For the year ended
USD million31.12.2031.12.1931.12.18
Received by UBS AG
Fees 19 19 22
Paid by UBS AG
Rent 3 2 3
Dividends, capital repayments and interest 10 10 10
Disclosure of transaction volumes of UBS shares and UBS debt instruments [text block]
Transaction volumes – UBS Group AG shares and UBS AG debt instruments
For the year ended
31.12.2031.12.19
Financial instruments bought by pension funds
UBS Group AG shares (in thousands of shares) 1,677 929
UBS AG debt instruments (par values, USD million) 16 1
Financial instruments sold by pension funds or matured
UBS Group AG shares (in thousands of shares) 2,556 1,778
UBS AG debt instruments (par values, USD million) 4 5
UBS Group AG shares held by post-employment benefit plans
31.12.2031.12.19
Number of shares (in thousands of shares) 14,112 14,991
Fair value (USD million) 199 189
UBS AG | Major plans  
Disclosure Of Post-employment Benefit Plans [Line Items]  
Disclosure Of Defined Benefit Plans Explanatory
Defined benefit plans
USD millionSwiss pension planUK pension planUS and German pension plansTotal
20202019202020192020201920202019
Defined benefit obligation at the beginning of the year 13,809 13,774 3,654 3,192 1,820 1,679 19,283 18,645
Current service cost 262 243 0 0 6 6 268 249
Interest expense 40 122 73 92 45 59 159 273
Plan participant contributions 159 149 0 0 0 0 159 149
Remeasurements 677 (61) 449 361 105 185 1,231 485
of which: actuarial (gains) / losses due to changes in demographic assumptions (53) (125) (14) (26) (34) 3 (101) (148)
of which: actuarial (gains) / losses due to changes in financial assumptions 565 1,006 505 421 134 179 1,204 1,605
of which: experience (gains) / losses1,2 165 (942) (42) (34) 5 4 127 (972)
Past service cost related to plan amendments 0 0 3 0 0 0 3 0
Benefit payments (641) (624) (148) (135) (108) (102) (898) (860)
Other movements (4) 0 0 0 0 0 (4) 0
Foreign currency translation 1,317 206 132 144 37 (8) 1,486 342
Defined benefit obligation at the end of the year 15,619 13,809 4,162 3,654 1,905 1,820 21,686 19,283
of which: amounts owed to active members 8,290 7,073 159 164 245 235 8,694 7,472
of which: amounts owed to deferred members 0 0 1,879 1,559 743 675 2,622 2,233
of which: amounts owed to retirees 7,329 6,735 2,124 1,931 917 911 10,370 9,577
Fair value of plan assets at the beginning of the year 15,908 15,772 3,658 3,032 1,299 1,168 20,864 19,972
Return on plan assets excluding interest income2 962 (30) 388 284 118 150 1,469 403
Interest income 48 142 73 89 38 47 159 278
Employer contributions 436 271 46 242 17 38 499 550
Plan participant contributions 159 149 0 0 0 0 159 149
Benefit payments (641) (624) (148) (135) (108) (102) (898) (860)
Administration expenses, taxes and premiums paid (8) (7) 0 0 (4) (2) (11) (9)
Foreign currency translation 1,495 235 132 146 0 0 1,626 381
Fair value of plan assets at the end of the year 18,358 15,908 4,149 3,658 1,360 1,299 23,867 20,864
Asset ceiling effect at the beginning of the year 2,099 1,998 0 0 0 0 2,099 1,998
Interest expense on asset ceiling effect 7 18 0 0 0 0 7 18
Asset ceiling effect excluding interest expense and foreign currency translation on asset ceiling effect 457 46 0 0 0 0 457 46
Foreign currency translation 176 36 0 0 0 0 176 36
Asset ceiling effect at the end of the year 2,739 2,099 0 0 0 0 2,739 2,099
Net defined benefit asset / (liability) 0 0 (13) 4 (545) (521) (558) (518)
Movement in the net asset / (liability) recognized on the balance sheet
Net asset / (liability) recognized on the balance sheet at the beginning of the year 0 0 4 (160) (521) (511) (518) (671)
Net periodic expenses recognized in net profit (269) (248) (3) (3) (18) (21) (289) (271)
Gains / (losses) recognized in other comprehensive income (172) (15) (61) (78) 14 (35) (219) (128)
Employer contributions 436 271 46 242 17 38 499 550
Other movements 4 0 0 0 0 0 4 0
Foreign currency translation 1 (8) 0 2 (37) 8 (35) 2
Net asset / (liability) recognized on the balance sheet at the end of the year 0 0 (13) 4 (545) (521) (558) (518)
Funded and unfunded plans
Defined benefit obligation from funded plans 15,619 13,809 4,162 3,654 1,319 1,319 21,100 18,782
Defined benefit obligation from unfunded plans 0 0 0 0 586 501 586 501
Plan assets 18,358 15,908 4,149 3,658 1,360 1,299 23,867 20,864
Surplus / (deficit) 2,739 2,099 (13) 4 (545) (521) 2,181 1,582
Asset ceiling effect 2,739 2,099 0 0 0 0 2,739 2,099
Net defined benefit asset / (liability) 0 0 (13) 4 (545) (521) (558) (518)
1 Experience (gains) / losses are a component of actuarial remeasurements of the defined benefit obligation that reflect the effects of differences between the previous actuarial assumptions and what has actually occurred. 2 Includes the effect from employees transferring between UBS AG and UBS Business Solutions during the period.
Analysis of amounts recognized in net profit
USD millionSwiss pension planUK pension planUS and German pension plansTotal
For the year ended31.12.2031.12.1931.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Current service cost 262 243 0 0 6 6 268 249
Interest expense related to defined benefit obligation 40 122 73 92 45 59 159 273
Interest income related to plan assets (48) (142) (73) (89) (38) (47) (159) (278)
Interest expense on asset ceiling effect 7 18 0 0 0 0 7 18
Administration expenses, taxes and premiums paid 8 7 0 0 4 2 11 9
Past service cost related to plan amendments 0 0 3 0 0 0 3 0
Net periodic expenses recognized in net profit 269 248 3 3 18 21 289 271
Analysis of amounts recognized in other comprehensive income (OCI)
USD millionSwiss pension planUK pension planUS and German pension plansTotal
For the year ended31.12.2031.12.1931.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Remeasurement of defined benefit obligation (677) 61 (449) (361) (105) (185) (1,231) (485)
of which: change in discount rate assumption (447) (1,156) (504) (552) (141) (166) (1,092) (1,874)
of which: change in rate of salary increase assumption (132) 2 0 0 0 0 (132) 2
of which: change in rate of pension increase assumption 0 0 (1) 132 1 (4) 0 128
of which: change in rate of interest credit on retirement savings assumption 15 149 0 0 24 18 39 167
of which: change in life expectancy 84 0 22 21 50 4 156 25
of which: change in other actuarial assumptions (33) 125 (8) 5 (34) (33) (75) 97
of which: experience gains / (losses)1,2 (165) 942 42 34 (5) (4) (127) 972
Return on plan assets excluding interest income 962 (30) 388 284 118 150 1,469 403
Asset ceiling effect excluding interest expense and foreign currency translation (457) (46) 0 0 0 0 (457) (46)
Total gains / (losses) recognized in other comprehensive income, before tax (172) (15) (61) (78) 14 (35) (219) (128)
1 Experience (gains) / losses are a component of actuarial remeasurements of the defined benefit obligation that reflect the effects of differences between the previous actuarial assumptions and what has actually occurred. 2 Includes the effect from employees transferring between UBS AG and UBS Business Solutions during the period.
Disclosure of maturity analysis of expected benefit payments [text block]
Swiss pension planUK pension planUS and German pension plans1
31.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Duration of the defined benefit obligation (in years) 16.2 15.2 19.0 20.2 10.2 10.1
Maturity analysis of benefits expected to be paid
USD million
Benefits expected to be paid within 12 months 710 687 114 93 122 121
Benefits expected to be paid between 1 and 3 years 1,442 1,383 232 209 235 228
Benefits expected to be paid between 3 and 6 years 2,100 2,048 406 384 346 346
Benefits expected to be paid between 6 and 11 years 3,408 3,232 744 748 532 548
Benefits expected to be paid between 11 and 16 years 3,184 2,899 758 807 413 455
Benefits expected to be paid in more than 16 years 11,186 9,136 3,206 3,913 541 721
1 The duration of the defined benefit obligation represents a weighted average across US and German plans.
Disclosure of actuarial assumptions [text block]
Significant actuarial assumptions
Swiss pension planUK pension planUS and German pension plans1
In %31.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Discount rate 0.10 0.29 1.42 2.07 1.62 2.58
Rate of salary increase 2.00 1.50 0.00 0.00 2.25 2.37
Rate of pension increase 0.00 0.00 2.89 2.92 1.70 1.80
Rate of interest credit on retirement savings 0.60 0.49 0.00 0.00 1.12 2.57
1 Represents weighted average assumptions across US and German plans.
Disclosure Of Sensitivity Analysis For Actuarial Assumptions Explanatory
Sensitivity analysis of significant actuarial assumptions1
Increase / (decrease) in defined benefit obligationSwiss pension planUK pension planUS and German pension plans
USD million31.12.2031.12.1931.12.2031.12.1931.12.2031.12.19
Discount rate
Increase by 50 basis points (1,030) (853) (370) (346) (91) (86)
Decrease by 50 basis points 1,181 972 423 395 99 93
Rate of salary increase
Increase by 50 basis points 74 49–2–2 1 1
Decrease by 50 basis points (71) (47)–2–2 (1) (1)
Rate of pension increase
Increase by 50 basis points 793 673 358 331 8 7
Decrease by 50 basis points–3–3 (316) (299) (7) (7)
Rate of interest credit on retirement savings
Increase by 50 basis points 142 107–4 –4 9 9
Decrease by 50 basis points (113)5 (62)–4 –4 (8) (9)
Life expectancy
Increase in longevity by one additional year 566 459 182 154 60 51
1 The sensitivity analyses are based on a change in one assumption while holding all other assumptions constant, so that interdependencies between the assumptions are excluded. 2 As the plan is closed for future service, a change in assumption is not applicable. 3 As the assumed rate of pension increase was 0% as of 31 December 2020 and as of 31 December 2019, a downward change in assumption is not applicable. 4 As the UK plan does not provide interest credits on retirement savings, a change in assumption is not applicable. 5 As of 31 December 2020, 17.7% of retirement savings were subject to a legal minimum rate of 1.00%.
Disclosure of composition and fair value of plan assets [text block]
Composition and fair value of plan assets
Swiss pension plan
31.12.2031.12.19
Fair valuePlan assetallocation %Fair valuePlan assetallocation %
USD millionQuotedin an activemarketOtherTotalQuotedin an activemarketOtherTotal
Cash and cash equivalents 123 0 123 1 90 0 90 1
Real estate / property
Domestic 0 2,018 2,018 11 0 1,720 1,720 11
Foreign 0 186 186 1 0 90 90 1
Investment funds
Equity
Domestic 465 0 465 3 395 0 395 2
Foreign 3,540 1,103 4,642 25 3,433 932 4,365 27
Bonds1
Domestic, AAA to BBB– 2,096 0 2,096 11 1,825 0 1,825 11
Foreign, AAA to BBB– 3,462 0 3,462 19 3,315 0 3,315 21
Foreign, below BBB– 734 0 734 4 563 0 563 4
Other 1,894 2,097 3,991 22 904 2,230 3,134 20
Other investments 373 266 640 3 301 109 411 3
Total fair value of plan assets 12,688 5,670 18,358 100 10,827 5,081 15,908 100
31.12.2031.12.19
Total fair value of plan assets 18,358 15,908
of which:2
Bank accounts at UBS AG 130 90
UBS AG debt instruments 19 4
UBS Group AG shares 13 12
Securities lent to UBS AG3 796 748
Property occupied by UBS AG 54 50
Derivative financial instruments, counterparty UBS AG3 84 6
1 The bond credit ratings are primarily based on Standard & Poor’s credit ratings. Ratings AAA to BBB– and below BBB– represent investment grade and non-investment grade ratings, respectively. In cases where credit ratings from other rating agencies were used, these were converted to the equivalent rating in Standard & Poor’s rating classification. 2 Bank accounts at UBS AG encompass accounts in the name of the Swiss pension fund. The other positions disclosed in the table encompass both direct investments in UBS AG instruments and UBS Group AG shares and indirect investments, i.e., those made through funds that the pension fund invests in. 3 Securities lent to UBS AG and derivative financial instruments are presented gross of any collateral. Securities lent to UBS AG were fully covered by collateral as of 31 December 2020 and 31 December 2019. Net of collateral, derivative financial instruments amounted to negative USD 9 million as of 31 December 2020 (31 December 2019: positive USD 3 million).
Composition and fair value of plan assets (continued)
UK pension plan
31.12.2031.12.19
Fair valuePlan assetallocation %Fair valuePlan assetallocation %
USD millionQuotedin an activemarketOtherTotalQuotedin an activemarketOtherTotal
Cash and cash equivalents 195 0 195 5 141 0 141 4
Bonds1
Domestic, AAA to BBB– 2,150 0 2,150 52 1,810 0 1,810 49
Foreign, AAA to BBB– 53 0 53 1 0 0 0 0
Investment funds
Equity
Domestic 34 3 37 1 33 0 33 1
Foreign 1,077 0 1,077 26 916 0 916 25
Bonds1
Domestic, AAA to BBB– 919 131 1,050 25 610 117 727 20
Domestic, below BBB– 47 0 47 1 22 0 22 1
Foreign, AAA to BBB– 149 0 149 4 310 0 310 8
Foreign, below BBB– 110 0 110 3 108 0 108 3
Real estate
Domestic 98 16 114 3 103 18 122 3
Foreign 0 37 37 1 0 19 19 1
Other (86) 0 (86) (2) 0 0 0 0
Insurance contracts 0 8 8 0 0 7 7 0
Derivatives (3) 0 (3) 0 3 0 3 0
Asset-backed securities 0 6 6 0 0 6 6 0
Other investments2 (803) 9 (794) (19) (572) 7 (565) (15)
Total fair value of plan assets 3,940 209 4,149 100 3,483 175 3,658 100
1 The bond credit ratings are primarily based on Standard & Poor’s credit ratings. Ratings AAA to BBB– and below BBB– represent investment grade and non-investment grade ratings, respectively. In cases where credit ratings from other rating agencies were used, these were converted to the equivalent rating in Standard & Poor’s rating classification. 2 Mainly relates to repurchase arrangements on UK treasury bonds.
Composition and fair value of plan assets (continued)
US pension plans
31.12.2031.12.19
Fair valuePlan assetallocation %Fair valuePlan assetallocation %
USD millionQuotedin an activemarketOtherTotalQuotedin an activemarketOtherTotal
Cash and cash equivalents 38 0 38 3 27 0 27 2
Bonds1
Domestic, AAA to BBB– 490 0 490 36 475 0 475 37
Domestic, below BBB– 7 0 7 0 2 0 2 0
Foreign, AAA to BBB– 99 0 99 7 99 0 99 8
Foreign, below BBB– 1 0 1 0 3 0 3 0
Investment funds
Equity
Domestic 210 0 210 15 208 0 208 16
Foreign 169 0 169 12 161 0 161 12
Bonds1
Domestic, AAA to BBB– 195 0 195 14 176 0 176 14
Domestic, below BBB– 34 0 34 2 28 0 28 2
Foreign, AAA to BBB– 19 0 19 1 17 0 17 1
Foreign, below BBB– 3 0 3 0 3 0 3 0
Real estate
Domestic 0 14 14 1 0 13 13 1
Other 79 0 79 6 69 0 69 5
Insurance contracts 0 1 1 0 0 18 18 1
Total fair value of plan assets 1,345 15 1,360 100 1,268 31 1,299 100
1 The bond credit ratings are primarily based on Standard & Poor’s credit ratings. Ratings AAA to BBB– and below BBB– represent investment grade and non-investment grade ratings, respectively. In cases where credit ratings from other rating agencies were used, these were converted to the equivalent rating in Standard & Poor’s rating classification.
UBS AG | Major plans | Actuarial Assumption Of Mortality Rates [Member]  
Disclosure Of Post-employment Benefit Plans [Line Items]  
Disclosure of actuarial assumptions [text block]
Mortality tables and life expectancies for major plans
Life expectancy at age 65 for a male member currently
aged 65aged 45
CountryMortality table31.12.2031.12.1931.12.2031.12.19
SwitzerlandBVG 2020 G with CMI 2019 projections1 21.7 21.6 23.2 23.1
UKS3PA with CMI 2019 projections2 23.4 23.3 24.6 24.5
USAPri-2012 with MP-2020 projection scale3 21.8 22.8 23.2 24.3
GermanyDr. K. Heubeck 2018 G 20.8 20.7 23.6 23.5
Life expectancy at age 65 for a female member currently
aged 65aged 45
CountryMortality table31.12.2031.12.1931.12.2031.12.19
SwitzerlandBVG 2020 G with CMI 2019 projections1 23.4 23.6 24.9 25.1
UKS3PA with CMI 2019 projections2 24.9 25.1 26.3 26.4
USAPri-2012 with MP-2020 projection scale3 23.2 24.4 24.5 25.9
GermanyDr. K. Heubeck 2018 G 24.3 24.2 26.5 26.4
1 In 2019, BVG 2015 G with CMI 2016 projections was used. 2 In 2019, S2PA with CMI 2018 projections was used. 3 In 2019, RP-2014 WCHA with MP-2019 projection scale was used.