Capital Adequacy Ordinance (CAO)
English is not an official language of the Swiss Confederation. This translation is provided for information purposes only and has no legal force.
Chapter 1 Transitional Provisions
Section 1 …
Inserted by Attachment No 1 of the O of 11 May 2016, in force since 1 July 2016 (AS 2016 1725).
Art. 137 and 138
Repealed by No I of the O of 22 Nov. 2017, with effect from 1 Jan. 2019 (AS 2017 7625).
Art. 139–142
Repealed by No I of the O of 29 Nov. 2023, with effect from 1 Jan. 2025 (AS 2024 13).
Art. 143–147
Repealed by No I of the O of 11 May 2016, with effect from 1 July 2016 (AS 2016 1725).
Art. 148
Repealed by No I of the O of 22 Nov. 2017, with effect from 1 Jan. 2019 (AS 2017 7625).
Art. 148a
Inserted by Annex 2 No 4 of the Banking Ordinance of 30 April 2014 (AS 2014 1269). Repealed by No. I of the O of 11 May 2016, with effect from 1 July 2016 (AS 2016 1725).
Section 2 Transitional Provisions to the Amendment
Inserted by No I of the O of 11 May 2016, in force since 1 July 2016 (AS 2016 1725).
Art. 148b Capital quality
1 As regards required capital quality under Article 131, instruments shall be recognised as follows: a. high-trigger convertible capital qualifying as Tier 2 capital which is held at the time this Amendment enters into force: recognised as high-trigger convertible capital in the form of AT1 capital for its duration or up to the time of the first capital call, but at the latest until 31 December 2019; b. low-trigger convertible capital qualifying as AT1 capital which is held at the time this Amendment enters into force: recognised as high-trigger convertible capital in the form of AT1 capital up to the time of the first capital call; c. convertible capital that no longer qualifies under letter a: recognised as funds used to meet the requirements under Articles 132 and 133 up to one year before final maturity; d. convertible capital that no longer qualifies under letter b: recognised as funds used to meet the requirements under Articles 132 and 133 up to the time of any termination by th
Section 3 Transitional Provisions to the Amendment
Amended by No I of the O of 29 Nov. 2023, in force since 1 Jan. 2025 (AS 2024 13).
Art. 148c Treatment of participations
Individual transitional rules on the treatment of participations that were set by FINMA before the entry into force of the Amendment of 21 November 2018 shall take precedence over the provisions of Article 32 paragraph 4 and Annex 4.
AS 2018 5241
Art. 148d Additional funds for non-internationally active systemically important banks
In 2025, the requirement under Article 132 paragraph 2 letter b shall be 1.5% for the leverage ratio and 4.5% for the RWA ratio, plus half of the surcharges for market share and total exposure.
Art. 148e Floors in accordance with Article 45a paragraph 3 letter b, Article 77 paragraph 2 and Annex 7 No 2 second sentence
The floors in accordance with Article 45a paragraph 3 letter b, Article 77 paragraph 2 and Annex 7 No 2 second sentence shall be: a. from 1 January 2025: 60%; b. from 1 January 2026: 65%; c. from 1 January 2027 to 31 December 2027: 70%.
Art. 148f Use of external ratings for risk-weighted exposures to banks
Up to 31 December 2027, external ratings based on an implicit state guarantee may be used for the risk weighting of exposures to banks if no corresponding external rating exists that is not based on an implicit state guarantee.
Art. 148g Risk weighting of equity-like instruments
1 The risk weight for exposures under Annex 4 No 3 shall be: a. from 1 January 2025: 220%; b. from 31 December 2025: 280%; c. from 31 December 2026 to 30 December 2027: 340%. 2 The risk weight for exposures under Annex 4 No 4 shall be: a. from 1 January 2025: 160%; b. from 31 December 2025: 190%; c. from 31 December 2026 to 30 December 2027: 220%. 3 Paragraphs 1 and 2 do not apply to banks using the IRB.
Art. 148h Reporting risk concentrations and other large credit exposures
Reports in accordance with Article 100 paragraph 2 and Article 102 with a reference date up to and including 31 December 2025 shall be submitted to the Swiss National Bank instead of FINMA.
Art. 148i Scope of the original loan value
For direct and indirect mortgage-backed exposures that existed before the entry into force of the amendment of 29 November 2023, Article 72b paragraphs 1, 2 and 5 shall apply only to lending in connection with new business and credit increases.
Art. 148j Transitional period under paragraph 90.1 MAR
When regulating the approval criteria and specifying the calculation of minimum capital under the market risk model approach (Art. 88 para. 2), FINMA shall provide for a later start to the transitional period, in derogation from paragraph 90.1 MAR.
The MAR is listed in Annex 1 No 5.
Art. 148k–148m
Repealed
Chapter 2 Final Provisions
Art. 149 Repeal of existing legislation
The Capital Adequacy Ordinance of 29 September 2006 is repealed.
[AS 2006 4307, 2008 5363 Annex No 8, 2009 6101, 2010 5429, 2012 3539]
Art. 150 Amendment of existing legislation
The amendment of existing legislation is regulated in Annex 6.
Art. 151 Commencement
1 This Ordinance enters into force on 1 January 2013, subject to paragraphs 2 and 3. 2 Article 43 comes into force on 1 January 2016. 3 The entry into force of the provisions of Title 5, with the exception of Articles 126 and 127, is contingent upon approval by the Federal Assembly.
Para. 3 — Approved by the Federal Assembly on 18 September 2012 (BBl 2012 8395).
