New Issue: UBS sells $2.35 million trigger autocallable contingent yield notes with memory on ETFs

By William Gullotti

Buffalo, N.Y., Feb. 23 – UBS AG, London Branch priced $2.35 million of trigger autocallable contingent yield notes with memory interest due Feb. 23, 2026 linked to the least performing of the Energy Select Sector SPDR Fund, the Financial Select Sector SPDR Fund and Technology Select Sector SPDR Fund, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a contingent monthly coupon at the rate of 12.55% per year if each ETF closes at or above its coupon barrier, 75% of its initial level, on any related observation date. Contingent coupon payments will include any previously unpaid coupons.

The notes will be automatically called at par plus the coupon if the shares of each ETF close at or above initial share price on any monthly call observation date after six months.

If the notes are not called and the final share price of each ETF is greater than or equal to the coupon barrier, the payout at maturity will be par plus all unpaid coupons.

If the worst performer finishes below the coupon barrier but at or above its downside threshold level, 65% of the initial share price, the payout at maturity will be par. Otherwise, investors will receive a number of shares of the worst performer equal to $1,000 divided by its initial level or, at the issuer’s option, the cash equivalent.

UBS Securities LLC and UBS Investment Bank are the agents.

Issuer:	UBS AG, London Branch
Issue:	Trigger autocallable contingent yield notes with memory interest
Underlying ETFs:	Energy Select Sector SPDR Fund, Financial Select Sector SPDR Fund, Technology Select Sector SPDR Fund
Amount:	$2,352,000
Maturity:	Feb. 23, 2026
Coupon:	12.55% per year, paid monthly, if each ETF closes at or above its coupon barrier on any related observation date; coupon payment events will automatically include any previously unpaid coupons
Price:	Par
Payout at maturity:	Par plus final coupon and any previously unpaid coupons if each ETF finishes at or above coupon barrier; if the worst performer finishes below coupon barrier but at or above downside threshold, par; otherwise, receive a number of shares of the worst performer equal to its equity ratio or, at the issuer’s option, the cash equivalent
Call:	Automatically at par plus coupon if each ETF closes at or above initial level on any monthly call observation date after six months
Initial levels:	$68.05 for Energy, $39.22 for Financial, $152.44 for Technology
Coupon barrier levels:	$51.04 for Energy, $29.42 for Financial, $114.33 for Technology; 75% of initial levels
Downside thresholds:	$44.23 for Energy, $25.49 for Financial, $99.09 for Technology; 65% of initial levels
Equity ratios:	14.6951 for Energy, 25.4972 for Financial, 6.56 for Technology; shares delivered per note
Pricing date:	Feb. 18
Settlement date:	Feb. 24
Agents:	UBS Securities LLC and UBS Investment Bank
Fees:	0.25%
Cusip:	90279DYS9

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.