diff --git a/functional/tests/compute/v2/test_server_group.py b/functional/tests/compute/v2/test_server_group.py
new file mode 100644
index 0000000000..ce4f97a67b
--- /dev/null
+++ b/functional/tests/compute/v2/test_server_group.py
@@ -0,0 +1,46 @@
+#    Licensed under the Apache License, Version 2.0 (the "License"); you may
+#    not use this file except in compliance with the License. You may obtain
+#    a copy of the License at
+#
+#         http://www.apache.org/licenses/LICENSE-2.0
+#
+#    Unless required by applicable law or agreed to in writing, software
+#    distributed under the License is distributed on an "AS IS" BASIS, WITHOUT
+#    WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied. See the
+#    License for the specific language governing permissions and limitations
+#    under the License.
+
+import uuid
+
+from functional.common import test
+
+
+class ServerGroupTests(test.TestCase):
+    """Functional tests for servergroup. """
+
+    NAME = uuid.uuid4().hex
+    HEADERS = ['Name']
+    FIELDS = ['name']
+
+    @classmethod
+    def setUpClass(cls):
+        opts = cls.get_show_opts(cls.FIELDS)
+        raw_output = cls.openstack('server group create --policy affinity ' +
+                                   cls.NAME + opts)
+        expected = cls.NAME + '\n'
+        cls.assertOutput(expected, raw_output)
+
+    @classmethod
+    def tearDownClass(cls):
+        raw_output = cls.openstack('server group delete ' + cls.NAME)
+        cls.assertOutput('', raw_output)
+
+    def test_server_group_list(self):
+        opts = self.get_list_opts(self.HEADERS)
+        raw_output = self.openstack('server group list' + opts)
+        self.assertIn(self.NAME, raw_output)
+
+    def test_server_group_show(self):
+        opts = self.get_show_opts(self.FIELDS)
+        raw_output = self.openstack('server group show ' + self.NAME + opts)
+        self.assertEqual(self.NAME + "\n", raw_output)