UBS to price contingent income autocallables linked to indexes

By Angela McDaniels

Tacoma, Wash., Sept. 3 – UBS AG, London Branch plans to price contingent income autocallable securities due Sept. 10, 2019 linked to the worst performing of the Euro Stoxx 50 index, the Russell 2000 index and the Topix index, according to an FWP filing with the Securities and Exchange Commission.

Each quarter, the notes will pay a contingent coupon at the rate of 8.32% per year if each index closes at or above its coupon barrier level, 80% of its initial level, on the determination date for that quarter.

The notes will be automatically redeemed at par plus the contingent coupon if each index closes at or above its initial level on any quarterly redemption determination date other than the final one.

If the notes are not called and each index finishes at or above its downside threshold level, 50% of its initial level, the payout at maturity will be par, and investors will also receive the final contingent coupon if each index finishes at or above its initial level.

If the notes are not called and any index finishes below its downside threshold level, investors will be fully exposed to the decline of the worst-performing index from its initial level.

UBS Securities LLC is the agent. Distribution is through Morgan Stanley Smith Barney LLC.

The notes are expected to price Sept. 5 and settle Sept. 10.

The Cusip number is 90273L567.

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