New Issue: UBS prices $5.06 million buffered autocallables linked to oil ETF

By Angela McDaniels

Tacoma, Wash., Oct. 23 – UBS AG, London Branch priced $5.06 million of 0% autocallable buffered notes due Oct. 22, 2020 linked to the SPDR S&P Oil & Gas Exploration & Production exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be automatically called at par plus a call premium if the ETF closes at or above the initial share price on Nov. 19, 2018 or Oct. 21, 2019. The call premium is 12.8375% for the first call date and 23.7% for the second call date.

If the notes are not called and the ETF return is zero or positive, the payout at maturity will be par plus 35.55%. If the ETF return is negative but not below negative 10%, the payout will be par. Otherwise, investors will lose 1.1111% for every 1% that the ETF declines beyond 10%.

UBS Securities LLC is the agent.

Issuer:	UBS AG, London Branch
Issue:	Autocallable buffered notes
Underlying ETF:	SPDR S&P Oil & Gas Exploration & Production ETF
Amount:	$5,055,000
Maturity:	Oct. 22, 2020
Coupon:	0%
Price:	Par
Payout at maturity:	If notes are not called and ETF return is zero or positive, par plus 35.55%; if ETF return is negative but not below negative 10%, par; otherwise, 1.1111% loss for every 1% that ETF declines beyond 10%
Call:	Automatically at par plus call premium if ETF closes at or above initial share price on Nov. 19, 2018 or Oct. 21, 2019; call premium is 12.8375% for first call date and 23.7% for second call date
Initial share price:	$33.14
Pricing date:	Oct. 19
Settlement date:	Oct. 26
Agent:	UBS Securities LLC
Fees:	2.6%
Cusip:	90270KNN5

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