By Wendy Van Sickle
Columbus, Ohio, Aug. 26 – UBS AG, London Branch priced $6.23 million of trigger autocallable contingent yield notes due June 29, 2023 linked to a basket of the VanEck Vectors Gold Miners ETF with a 15% weight, the SPDR S&P Biotech ETF with a 15% weight, the Energy Select Sector SPDR fund with a 35% weight and the Financial Select Sector SPDR fund with a 35% weight, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annualized rate of 8% if the basket closes at or above its 80% coupon barrier on the related quarterly observation date.
The notes will be called at par of $10 plus accrued interest if the basket closes at or above the initial basket level on any quarterly observation date.
If the notes are not called, the payout at maturity will be par unless the final price of the basket is less than the 80% downside threshold, in which case investors will be fully exposed to the basket level decline.
UBS Securities LLC and UBS Investment Bank are the agents.
| Issuer: | UBS AG, London Branch
|
| Issue: | Trigger autocallable contingent yield notes
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| Underlying ETFs: | VanEck Vectors Gold Miners ETF (15% weight), SPDR S&P Biotech ETF (15% weight), Energy Select Sector SPDR fund (35% weight) and Financial Select Sector SPDR fund (35% weight)
|
| Amount: | $6,225,000
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| Maturity: | June 29, 2023
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| Coupon: | 8% annualized, payable each quarter that basket closes at or above coupon barrier on observation date for that quarter
|
| Price: | Par of $10
|
| Payout at maturity: | Par unless final basket level is less than downside threshold, in which case full exposure to losses
|
| Call: | Automatically at par plus accrued interest if basket closes at or above initial share price on any quarterly observation date
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| Initial share price: | $34.33 for Gold Miners, $134.31 for Biotech, $58.58 for Energy and $36.04 for Financial
|
| Coupon barrier: | 80% of initial level
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| Downside threshold: | 80% of initial level
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| Pricing date: | June 24
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| Settlement date: | June 29
|
| Agents: | UBS Securities LLC and UBS Investment Bank
|
| Fees: | 0.9%
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| Cusip: | 90279B209
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