By Jennifer Chiou
New York, June 29 - UBS AG, London Branch priced $3.42 million of 0% trigger return optimization securities due June 30, 2014 linked to a basket of exchange-traded funds, according to a 424B2 filing with the Securities and Exchange Commission.
The basket consists of the iShares MSCI Emerging Markets index fund with a 40% weight, the iShares MSCI EAFE index fund with a 30% weight and the SPDR S&P 500 ETF Trust with a 30% weight.
If the basket return is positive, the payout at maturity will be par plus double the basket gain, subject to a maximum return of 38%.
If the final basket level is greater than or equal to the trigger level - 75% of the initial level - the payout will be par.
Otherwise, the payout will be par plus the basket return.
UBS Financial Services Inc. and UBS Investment Bank are the underwriters.
| Issuer: | UBS AG, London Branch
|
| Issue: | Trigger return optimization securities
|
| Underlying funds: | iShares MSCI Emerging Markets index fund (40% weight), iShares MSCI EAFE index fund (30% weight) and SPDR S&P 500 ETF Trust (30% weight)
|
| Amount: | $3,424,780
|
| Maturity: | June 30, 2014
|
| Coupon: | 0%
|
| Price: | Par of $10
|
| Payout at maturity: | Par plus two times any basket gain, up to maximum return of 38%; par if basket falls by 25% or less; par plus index return if basket falls by more than 25%
|
| Pricing date: | June 27
|
| Settlement date: | June 30
|
| Underwriters: | UBS Financial Services Inc. and UBS Investment Bank
|
| Fees: | 2.5%
|
| Cusip: | 90267X197
|
© 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.
