By Sarah Lizee
Olympia, Wash., July 1 – UBS AG London Branch priced $5.03 million of contingent income autocallable securities due June 26, 2025 linked to the lesser performing of the Energy Select Sector SPDR Fund, the Financial Select Sector SPDR Fund and the Industrial Select Sector SPDR Fund, according to a 424B2 filing with the Securities and Exchange Commission.
Each quarter, the notes will pay a contingent coupon at the rate of 13.7% per year if each ETF closes at or above its trigger level, 60% of its initial share price, on the determination date for that quarter.
The notes will be automatically called at par if each ETF closes at or above its initial share price on any quarterly determination date other than the final one.
The payout at maturity will be par unless either ETF finishes below its trigger level, 60% of its initial share price, in which case investors will lose 1% for every 1% that the lesser-performing ETF declines.
UBS Securities LLC is the agent. Morgan Stanley Wealth Management is the dealer.
| Issuer: | UBS AG London Branch
|
| Issue: | Contingent income autocallable securities
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| Underlying ETFs: | Energy Select Sector SPDR Fund, the Financial Select Sector SPDR Fund and the Industrial Select Sector SPDR Fund
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| Amount: | $5.03 million
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| Maturity: | June 26, 2025
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| Coupon: | 13.7% per year, payable quarterly if each ETF closes at or above trigger level on determination date for that quarter
|
| Price: | Par
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| Payout at maturity: | Par unless either ETF finishes below trigger level, in which case 1% loss for every 1% that lesser-performing ETF declines
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| Call: | Automatically at par if each ETF closes at or above initial share price on any quarterly determination date other than the final one
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| Initial share prices: | $39.25 for Energy, $23.71 for Financial, $69.04 for Industrial
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| Trigger level: | $23.55 for Energy, $14.23 for Financial, $41.42 for Industrial, or 60% of initial share prices
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| Pricing date: | June 22
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| Settlement date: | June 25
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| Agent: | UBS Securities LLC
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| Dealer: | Morgan Stanley Wealth Management
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| Fees: | 3%
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| Cusip: | 90281K346
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