Investor Suitability
The Trigger PLUS may be suitable for you if:
■You fully understand the risks of an investment in the Trigger PLUS, including the risk of loss of all of your initial investment.
■You can tolerate a loss of a significant portion or all of your investment and are willing to make an investment that may have the same downside market risk as a hypothetical investment in the underlying index or the index constituent stocks.
■You believe that the level of the underlying index will increase over the term of the Trigger PLUS and that (i) the closing level on the call observation date will be equal to or greater than the call threshold level or (ii) if the Trigger PLUS are not redeemed early, the final level will be equal to or greater than the initial level
■You understand and accept that, if the Trigger PLUS are redeemed early, you will not benefit from the leverage factor and your potential return on the Trigger PLUS is limited to the early redemption payment, regardless of the increase of the underlying index.
■You are willing to invest in the Trigger PLUS based on the early redemption payment indicated on the cover hereof.
■You can tolerate receiving a payment at maturity that will be significantly less than the stated principal amount and may be zero if the final level is less than the trigger level.
■You can tolerate fluctuations in the price of the Trigger PLUS prior to maturity that may be similar to or exceed the downside fluctuations in the level of the underlying index.
■You do not seek current income from your investment and are willing to forgo any dividends paid on any index constituent stocks.
■You are willing and able to hold the Trigger PLUS to maturity, a term of approximately 24 months if the Trigger PLUS are not redeemed early, and accept that there may be little or no secondary market for the Trigger PLUS.
■You understand and are willing to accept the risks associated with the underlying index.
■You are willing to assume the credit risk of UBS for all payments under the Trigger PLUS, and understand that if UBS defaults on its obligations you may not receive any amounts due to you, including any repayment of principal.
■You understand that the estimated initial value of the Trigger PLUS determined by our internal pricing models is lower than the issue price and that should UBS Securities LLC or any affiliate make secondary markets for the Trigger PLUS, the price (not including their customary bid-ask spreads) will temporarily exceed the internal pricing model price.
The Trigger PLUS may not be suitable for you if:
■You do not fully understand the risks of an investment in the Trigger PLUS, including the risk of loss of all of your initial investment.
■You are not willing to make an investment that may have the same downside market risk as a hypothetical investment in the underlying index or the index constituent stocks.
■You believe that the level of the underlying index will decrease over the term of the Trigger PLUS and (i) the closing level on the call observation date will be less than the call threshold level and (ii) if the Trigger PLUS are not redeemed early, the final level will be less than the trigger level
■You do not understand and accept that, if the Trigger PLUS are redeemed early, you will not benefit from the leverage factor and your potential return on the Trigger PLUS is limited to the early redemption payment, regardless of the increase of the underlying index.
■You are not willing to invest in the Trigger PLUS based on the early redemption payment indicated on the cover hereof.
■You require an investment designed to provide a full return of principal at maturity.
■You cannot tolerate fluctuations in the price of the Trigger PLUS prior to maturity that may be similar to or exceed the downside fluctuations in the level of the underlying index.
■You seek current income from your investment or prefer to receive the dividends paid on the index constituent stocks.
■You are unable or unwilling to hold the Trigger PLUS to maturity, a term of approximately 24 months, or seek an investment for which there will be an active secondary market.
■You do not understand or are unwilling to accept the risks associated with the underlying index.
■You are not willing to assume the credit risk of UBS for all payments under the Trigger PLUS, including any repayment of principal.