UBS plans trigger phoenix autocallables linked to Euro Stoxx, MSCI EM

By Angela McDaniels

Tacoma, Wash., Nov. 4 - UBS AG, London Branch plans to price trigger phoenix autocallable optimization securities due Nov. 15, 2023 linked to the least performing index between the Euro Stoxx 50 index and the MSCI Emerging Markets index, according to an FWP filing with the Securities and Exchange Commission.

If each index closes at or above its coupon barrier, 70% of its initial level, on a quarterly observation date, the issuer will pay a contingent coupon for that quarter at the rate of 7% to 7.6% per year. Otherwise, no coupon will be paid that quarter. The exact contingent coupon rate will be set at pricing.

Beginning a year after issuance, the notes will be called at par of $10 plus the contingent coupon if each index closes at or above its initial level on a quarterly observation date.

If the notes are not called and both indexes finish at or above their trigger levels, 50% of their initial index levels, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will be exposed to the decline of the least performing index from its initial level.

UBS Financial Services Inc. and UBS Investment Bank are the underwriters.

The notes are expected to price Nov. 8 and settle Nov. 14.

The Cusip number is 90271R335.

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