UBS plans trigger autocallable contingent yield notes on Russell, S&P

By Angela McDaniels

Tacoma, Wash., Dec. 5 – UBS AG, London Branch plans to price trigger autocallable contingent yield notes due Dec. 15, 2026 linked to the lesser performing of the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

Each quarter, the notes will pay a contingent coupon at an annual rate of 6% if each index closes at or above its downside threshold on the observation date for that quarter. The downside threshold is expected to be 53% to 58% of the initial index level and will be set at pricing.

After one year, the notes will be automatically called at par of $10 if each index closes at or above its initial level on any quarterly observation date.

The payout at maturity will be par unless either index finishes below its downside threshold level, in which case investors will be fully exposed to the decline of the lesser-performing index.

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

The notes will price Dec. 9.

The Cusip number is 90280M160.

© 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.