UBS Share Builders

Life Cycle

At the start....
  • Select the underlying share that you want to invest in.
  • Select the Loan Amount that you want to borrow.
  • Consider the Final Maturity Date relative to your desired investment term.
  • Obtain any advice you require (including financial, taxation or legal).
  • Buy the UBS Share Builders that best matches your requirements via a broker.
  • Alternatively, you can submit an Application Form to buy the UBS Share Builders directly from UBS, or convert your shares into UBS Share Builders (see Case Study on page 10 of the UBS Investment Builders Product Brochure).
  • In all cases, interest on the Loan for the first Interest Period is prepaid when you buy the UBS Share Builder.

During your investment term...
  • Ordinary Dividends on the underlying shares will be applied to reduce the Loan Amount if you hold UBS Share Builders.
  • Interest for each subsequent Interest Period is charged on the Annual Interest Date and added to the Loan Amount.
  • Interest deductions should be available as well as franking credits if you are eligible.
  • You can choose to repay the Loan at any time and take full ownership of the underlying share.
  • You can choose to rollover from one Series of UBS Share Builders to another Series.

At Maturity...

You can:

  • Rollover into a new Series of UBS Share Builders over the same underlying share – a payment obligation or surplus cash may arise depending on the change in Loan Amount and net interest cost; or
  • Repay the loan and own the underlying share outright – you are not obligated to do this because of the Walkaway Feature; or
  • Do nothing – this is a trigger for UBS to sell the underlying share to repay the Loan and pay you the excess (if any).  You do not have to repay the Loan out of your own money.


Alternatively, you can always sell your UBS Share Builders on the ASX before the close of trading on the Final Maturity Date.