Published on 1/15/2020 in the Prospect News Structured Products Daily.
New Issue: UBS sells $3.96 million trigger callable contingent yield notes on indexes
By Kiku Steinfeld
Chicago, Jan. 15 – UBS AG, London Branch priced $3.96 million of trigger callable contingent yield notes due Jan. 9, 2025 linked to the least performing of the Nasdaq-100 index, 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 pay a contingent coupon if each index closes at or above its coupon barrier, 70% of its initial level, on the observation date for that quarter. The contingent coupon rate is 8.3% per year.
The notes are callable at par plus any coupon on each quarterly observation date other than the final one.
If the notes are not called and each index finishes at or above its downside threshold, 60% of its initial level, the payout at maturity will be par plus any final coupon. Otherwise, investors will lose 1% for every 1% that the least-performing index’s final level is below its initial level.
UBS Securities LLC and UBS Investment Bank are the agents.
| Issuer: | UBS AG, London Branch
|
| Issue: | Trigger callable contingent yield notes
|
| Underlying indexes: | Nasdaq-100, Russell 2000, S&P 500
|
| Amount: | $3,955,000
|
| Maturity: | Jan. 9, 2025
|
| Coupon: | 8.3% per year, payable each quarter that each index closes at or above its coupon barrier on the observation date for that quarter
|
| Price: | Par
|
| Payout at maturity: | If each index finishes at or above downside threshold, par plus any coupon; otherwise, 1% loss for every 1% that least-performing index’s final level is below initial level
|
| Call option: | At par plus any coupon on any observation date other than final one
|
| Initial levels: | 8,848.516 for Nasdaq, 1,663.257 for Russell, 3,246.28 for S&P
|
| Coupon barriers: | 6,193.961 for Nasdaq, 1,164.280 for Russell, 2,272.40 for S&P; 70% of initial levels
|
| Downside thresholds: | 5,309.110 for Nasdaq, 997.954 for Russell, 1,947.77 for S&P; 60% of initial levels
|
| Pricing date: | Jan. 6
|
| Settlement date: | Jan. 14
|
| Agents: | UBS Securities LLC and UBS Investment Bank
|
| Fees: | 1%
|
| Cusip: | 90270K2Q1
|
|
|
© 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.
