Published on 8/10/2023 in the Prospect News Structured Products Daily.
New Issue: UBS prices $1.29 million trigger callable contingent yield notes on four retailer stocks
By William Gullotti
Buffalo, N.Y., Aug. 10 – UBS AG, London Branch priced $1.29 million of trigger callable contingent yield notes due July 31, 2026 linked to the worst performing of the stocks of Amazon.com, Inc., Costco Wholesale Corp., Target Corp. and the Walmart Inc., according to a 424B2 filing with the Securities and Exchange Commission.
Each month, the notes will pay a contingent coupon at an annual rate of 18.5% if each stock’s closing level is at least 60% of its initial level on the observation date for that month.
The notes will be callable at par plus any coupon otherwise due on any monthly observation date after three months.
If the notes are not called and each stock finishes at or above its 60% trigger level, the payout at maturity will be par plus the final coupon.
Otherwise, investors will lose 1% for every 1% that the least-performing stock’s final level is below its initial level.
UBS Financial Services Inc. and UBS Investment Bank are the agents.
| Issuer: | UBS AG, London Branch
|
| Issue: | Trigger callable contingent yield notes
|
| Underlying stocks: | Amazon.com, Inc., Costco Wholesale Corp., Target Corp., Walmart Inc.
|
| Amount: | $1,292,000
|
| Maturity: | July 31, 2026
|
| Coupon: | 18.5% per year, payable monthly if each stock closes at or above its coupon barrier level on the observation date for that month
|
| Price: | Par
|
| Payout at maturity: | Par plus final coupon unless any stock finishes below its trigger level, in which case full exposure to the losses of the worst performing stock
|
| Call option: | At par plus any coupon otherwise due on any monthly observation date after three months
|
| Initial levels: | $132.21 for Amazon, $563.32 for Costco, $135.00 for Target, $159.91 for Walmart
|
| Coupon barrier levels: | $79.33 for Amazon, $337.99 for Costco, $81.00 for Target, $95.95 for Walmart; 60% of initial levels
|
| Trigger levels: | $79.33 for Amazon, $337.99 for Costco, $81.00 for Target, $95.95 for Walmart; 60% of initial levels
|
| Pricing date: | July 28
|
| Settlement date: | Aug. 2
|
| Agents: | UBS Financial Services Inc. and UBS Investment Bank
|
| Fees: | 0.7%
|
| Cusip: | 90279GG37
|
|
|
© 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.
