New Issue: UBS prices $5 million trigger phoenix autocallables linked to Euro Stoxx, Russell

By Angela McDaniels

Tacoma, Wash., Nov. 5 – UBS AG, London Branch priced $5 million of trigger phoenix autocallable optimization securities due Oct. 30, 2020 linked to the lesser performing of the Euro Stoxx 50 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

Each quarter, the notes pay a contingent coupon at the rate of 8.2% per year if each index closes at or above its coupon barrier level, 70% of its initial level, on the observation date for that quarter.

Beginning one year after issuance, the notes will be called at par of $10 if each index closes at or above its initial level on any quarterly observation date.

If the notes are not called and each index finishes at or above its trigger level, 50% of its initial level, the payout at maturity will be par plus the final contingent coupon, if any. Otherwise, investors will be fully exposed to the decline of the lesser-performing index.

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

Issuer:	UBS AG, London Branch
Issue:	Trigger phoenix autocallable optimization securities
Underlying indexes:	Euro Stoxx 50 and Russell 2000
Amount:	$5 million
Maturity:	Oct. 30, 2020
Coupon:	8.2% per year, payable quarterly if each index closes at or above coupon barrier level on observation date for that quarter
Price:	Par
Payout at maturity:	If each index finishes at or above trigger level, par plus final contingent coupon, if any; otherwise, full exposure to decline of lesser-performing index
Call:	Beginning one year after issuance, notes will be called at par if each index closes at or above initial level on any quarterly observation date
Initial index levels:	3,421.09 for Euro Stoxx 50 and 1,178.716 for Russell 2000
Coupon barriers:	2,394.76 for Euro Stoxx 50 and 825.101 for Russell 2000; 70% of initial levels
Trigger levels:	1,710.55 for Euro Stoxx 50 and 589.358 for Russell 2000; 50% of initial levels
Pricing date:	Oct. 28
Settlement date:	Oct. 30
Underwriters:	UBS Financial Services Inc. and UBS Investment Bank
Fees:	1.5%
Cusip:	90275G632

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