UBS plans airbag performance securities linked to SPDR S&P 500 ETF

By Angela McDaniels

Tacoma, Wash., July 2 - UBS AG, London Branch plans to price 0% airbag performance securities due June 31, 2017 linked to the SPDR S&P 500 ETF trust, according to an FWP filing with the Securities and Exchange Commission.

If the trust's return is positive, the payout at maturity will be par plus 100% to 110% of the return. The exact participation rate will be set at pricing.

If the trust's return is zero or negative and its final price is greater than or equal to the conversion price, the payout will be par. The conversion price is 50% of the initial price.

If the final price is less than the conversion price, the payout will be a number of trust shares equal to par divided by the conversion price.

The notes are expected to price July 26 and settle July 31.

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

The Cusip number is 90268U614.

© 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.