EQS-Adhoc

Leonteq AG: Fitch affirms Leonteqs investment grade rating

EQS Group-Ad-hoc: Leonteq AG / Key word(s): Rating Leonteq AG: Fitch affirms Leonteqs investment grade rating 25-Nov-2020 / 07:00 CET/CEST Release of an ad hoc announcement pursuant to Art. 53 KR The issuer is solely responsible for the content of this announcement. PRESS RELEASE | FITCH AFFIRMS LEONTEQ'S INVESTMENT GRADE RATING

Zurich, 25 November 2020

Leonteq AG (SIX: LEON) announced today that Fitch affirms Leonteq's investment grade rating at "BBB-" with a Stable outlook.

The rating agency Fitch Ratings Ltd. has affirmed the long-term issuer default rating (IDR) of "BBB-" for Leonteq AG, Leonteq Securities AG and Leonteq Securities AG (Guernsey Branch) with a Stable outlook.

According to Fitch, the affirmation of the long-term IDRs assigned to Leonteq reflect its adequate and improving capitalisation, moderate and well-managed credit risk exposure, sound risk management systems, solid liquidity management as well as its sophisticated and scalable structured products issuance platform. Fitch additionally states that the IDRs also reflect Leonteq's narrow but well-developing franchise, some earnings volatility as evidenced during the initial stages of the pandemic-related market volatility and exposure to concentration risk (albeit decreasing), in particular with regard to a fairly small number of structured product issuance partners.

The Stable outlook reflects Fitch's expectation that Leonteq's performance in 2021 will revert to (or close to) prepandemic levels and that management will make further progress in executing its medium-term strategy, in particular increasing operational scale and further improving business diversification, increasing volumes on its recently introduced Smart Hedging Issuance Platform (SHIP), which will improve capital efficiency, and further strengthening of the group's capitalisation.

Further information can be found at: www.fitchratings.com.

CONTACT
Media Relations
[phone]
[e-mail]

Investor Relations
[phone]
[e-mail]

LEONTEQ
Leonteq is a Swiss company active in the finance and technology sector with a focus on the structured products segment. Based on proprietary modern technology, the company offers derivative investment products and services and predominantly covers the capital protection, yield enhancement and participation product classes. Leonteq acts as both a direct issuer of its own products and as a partner to other financial institutions. Leonteq further enables life insurance companies to produce capital-efficient, unit-linked pension products with guarantees. The company has offices and subsidiaries in 11 countries, through which it serves over 50 markets. Leonteq AG is listed on the SIX Swiss Exchange.