The issuer is not necessarily obligated to repay the full principal amount of the Securities at maturity, and the Securities can have downside market risk similar to the underlying index. Significantly riskier than conventional debt instruments. Any payment on the Securities, including any repayment of principal, is subject to the creditworthiness of UBS. The contingent repayment of principal applies only if you hold the Securities If the final index level is below the trigger level, your investment will beįully exposed to any negative index return and UBS will pay less than your principal amount, if anything, resulting in a loss proportionate to the negative index return. Securities to maturity and the final index level is greater than or equal to the trigger level, UBS will pay you at least your principal amount plus the contingent return. If the final index level is less than the trigger level, you will be fully exposed to the negative performance of the underlying index.Ĭontingent Repayment of Principal: The contingent return feature also provides for the contingent repayment of your principal at maturity. Performance of the underlying index above the 6% contingent return up to a maximum gain of 35%. The Securities also provide for the participation in any positive Principal amount of the Securities plus a minimum return of 6% as long as the level of the underlying index does not close below the trigger level on the final valuation date. If UBS were to default on its payment obligations you may not receive anyĪmounts owed to you under the Securities and you could lose your entire investment.Ĭontingent Return With Participation in the Positive Performance of the Underlying Index Up to the Maximum Gain: At maturity, UBS will pay you the Principal only applies if you hold the Securities to maturity. You may lose some or all of your principal amount. Investing in the Securities involves significant risks. Loss on your investment that is proportionate to the negative index return. However, if the final index level is less than the trigger level, you will be fully exposed to the decline of the underlying index and UBS will repay less than the full principal amount at maturity, if anything, resulting in a If the final index level is equal to or greater than the trigger level, UBS will repay your principal amount at maturity plus pay a return equal to the greater of the 6% contingent return and the index return, up to a The return on the Securities at maturity is based on the performance of the underlying index and on whether the closing level of the underlying index on the final valuation date (the final index level) Unsubordinated, unsecured debt securities issued by UBS AG (UBS or the issuer) linked to the performance of the Russell 2000 ® Index UBS AG Contingent-Return Optimization Securities (the Securities) are
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