UBS plans to price trigger autocallable contingent yield notes linked to oil ETF

By Wendy Van Sickle

Columbus, Ohio, March 14 – UBS AG, London Branch plans to price trigger autocallable contingent yield notes due March 20, 2020 linked to shares of the SPDR S&P Oil & Gas Exploration & Production exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.

Each quarter, the notes will pay a contingent coupon at the rate of 10% per year if the fund closes at or above the 68% to 75% coupon barrier level on the observation date for the quarter.

After six months, the notes will be automatically called at par of $10 if the fund closes at or above the initial price on any quarterly observation date.

If the notes are not called and the final price is greater than or equal to the 68% to 75% downside threshold level, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will lose 1% for every 1% that the final price is less than the initial price.

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

The notes (Cusip: 90280M764) will price on March 17 and settle on March 22.

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