UBS ETRACS Monthly Pay 2xLeveraged Mortgage REIT ETN Series B (MRRL)

Overview

The ETRACS Monthly Pay 2xLeveraged Mortgage REIT ETN Series B due October 16, 2042, aims to provide an investment return that corresponds to the performance of the Market Vectors® Global Mortgage REITs Index. This instrument is part of a broader series of Monthly Pay 2xLeveraged ETRACS, focusing on leveraging investment outcomes. The fundamental purpose is to track the success of globally publicly traded Mortgage Real Estate Investment Trusts (REITs) that primarily derive their income from mortgage-related activities. As a financial product issued by UBS AG, these securities position themselves as senior unsecured debt, thereby outlining a risk and return profile distinct in the market.

Products and Services

• ETRACS Monthly Pay 2xLeveraged Mortgage REIT ETN Series B

  This debt security is uniquely designed to provide investors with monthly leveraged exposure to the Market Vectors® Global Mortgage REITs Index. By being twice leveraged in relation to the index, it presents a dual-faceted opportunity: investors can reap double the benefits from any positive index performance but must also brace for twice the impact from any deterioration in the index's value. This instrument's focus on mortgage REITs positions it as a targeted investment in the real estate sector, emphasizing entities that participate in mortgage-related activities. By deriving at least 50% of their revenue from such activities, the included REITs ensure a concentrated exposure for the security to the mortgage sector of the market.

• Comprehensive Index Tracking

  At the core of this financial instrument is its commitment to mirroring the performance of the Market Vectors® Global Mortgage REITs Index. This index is meticulously constructed to reflect the operations and success of globally public mortgage REITs, offering a broad yet focused snapshot of this industry segment. The comprehensive nature of this index tracking enables investors to gain a diversified exposure to mortgage REITs worldwide, benefiting from global market movements while still centering on a specific sector of the real estate market.