UBS plans performance allocation securities linked to three portfolios

By Angela McDaniels

Tacoma, Wash., Aug. 31 - UBS AG, London Branch plans to price 0% performance allocation securities due Sept. 30, 2015 linked to the best performing among three global equity portfolios, according to an FWP filing with the Securities and Exchange Commission.

The notes will price at 103.5.

Portfolio 1 will be allocated most heavily to U.S. equities, represented by the SPDR S&P 500 ETF trust. Portfolio 2 will be allocated most heavily to international developed markets equities, represented by the iShares MSCI EAFE index fund. Portfolio 3 will be allocated most heavily to emerging markets equities, represented by the iShares MSCI Emerging Markets index fund.

Portfolio 1 will be allocated 72% to 80% to the SPDR trust, 10% to 14% to the iShares MSCI EAFE and 10% to 14% to the iShares MSCI Emerging Markets.

Portfolio 2 will be allocated 72% to 80% to the iShares MSCI EAFE, 10% to 14% to the SPDR trust and 10% to 14% to the iShares MSCI Emerging Markets.

Portfolio 3 will be allocated 72% to 80% to the iShares MSCI Emerging Markets, 10% to 14% to the SPDR trust and 10% to 14% to the iShares MSCI EAFE.

The exact allocations will be set at pricing.

The payout at maturity will be par of $10 plus the return of the best-performing portfolio. The return could be positive or negative.

The notes (Cusip: 90267C755) are expected to price Sept. 27 and settle Sept. 30.

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

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