UBS Launches ETN with High Monthly Income Potential and Leveraged Exposure to International Real Estate Securities

New York - 22 March 2012

ETRACS Monthly Pay 2xLeveraged Dow Jones International Real Estate ETN

UBS Investment Bank announced that today is the first day of trading on the NYSE Arca for the ETRACS Monthly Pay 2xLeveraged Dow Jones International Real Estate ETN (Ticker: RWXL). RWXL is linked to the monthly compounded 2x leveraged performance of the Dow Jones Global ex-U.S. Select Real Estate Securities Index (the “Index”), reduced by investor fees.

RWXL offers investors:

  • Monthly compounded 2x leveraged exposure to the Index, less fees, making it the only exchange-traded product with leveraged exposure to this index.
  • Significant income potential in the form of a variable monthly coupon linked to 2 times the cash distributions, if any, on the Index constituents, less any withholding taxes.
  • Global diversification resulting from 127 international real estate securities based in 22 countries.*
  • Convenience of a single, USD-denominated, exchange-traded security and USD-denominated income.

* Constituent and country data as of February 29, 2012 and sourced from CME Group Index Services LLC.


“This ETN is designed for investors who seek a high yield and are bullish on this Dow Jones international real estate index,” said Christopher Yeagley, Managing Director and US Head of Equity Structured Products. “RWXL offers high monthly income potential, international diversification and leveraged exposure to the index, all by way of a single, USD-denominated, exchange-traded security.”

RWXL Profile

Income Potential

Variable monthly coupon linked to 2 times the cash distributions, if any, on the Index constituents, less any withholding taxes

2x Index Yield*

7.60%

Underlying Index

Dow Jones Global ex-U.S. Select Real Estate Securities Index

Leverage

2x Leverage with Monthly Reset

Diversification

Index comprised of 127 international real estate securities based in 22 countries**

*

Based on 2 times the Index dividend yield calculated in USD as of February 29, 2012 by CME Group Index Services LLC. Investors are not guaranteed any coupon or distribution.

**

Constituent and country data as of February 29, 2012 and sourced from CME Group Index Services LLC.

Top 10 Index Constituents*

Index

Name

Country

Bloomberg Ticker

Weighting

Westfield Group Australia WDC AU EQUITY 6.46%
Unibail-Rodamco S.A. France UL FP EQUITY 5.67%
Brookfield Asset Mgmt Inc. Cl A Canada BAM/A CN EQUITY 5.62%
Mitsui Fudosan Co. Ltd. Japan 8801 JP EQUITY 5.37%
Land Securities Group PLC U.K. LAND LN EQUITY 2.70%
Hang Lung Properties Ltd. Hong Kong 101 HK EQUITY 2.70%
Link Real Estate Investment Trust Hong Kong 823 HK EQUITY 2.68%
Westfield Retail Trust Australia WRT AU EQUITY 2.50%
Hongkong Land Holdings Ltd. Singapore HKL SP EQUITY 2.19%
British Land Co. PLC U.K. BLND LN EQUITY 2.13%

TOTAL

38.02%

Source: CME Group Index Services LLC.

* Data calculated in USD as of February 29, 2012.

Index Country Allocations*

Australia 17.86%
Japan 17.22%
U.K. 11.54%
Hong Kong 10.35%
Canada 10.18%
Singapore 9.79%
France 8.21%
Switzerland 2.34%
Brazil 2.06%
Austria 1.75%
Philippines 1.67%
Netherlands 1.58%
Sweden 1.47%
South Africa 0.97%
Belgium 0.84%
New Zealand 0.77%
Malaysia 0.52%
Thailand 0.28%
Poland 0.25%
Italy 0.15%
Germany 0.13%
Turkey 0.08%

Source: CME Group Index Services LLC.

* Data calculated in USD as of February 29, 2012.

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