Objectives and Approach

The UBS S&P 500 Index Fund (the "Fund") seeks to track the return of the S&P 500 Index (the "Index") before the deduction of charges. The Fund employs a passive investment strategy, investing all, or substantially all, of its assets in the shares of companies that make up the Index. To the extent that the Fund is not fully invested in the equities of the Index, it may be invested in shares of companies which in the Manager's opinion are reasonably expected to become part of the Index. The Index is comprised of 500 leading companies in leading industries of the U.S economy. The Index is a product of S&P Dow Jones Indices LLC (“SPDJI”), and has been licensed for use by UBS AG. Standard & Poor's®, S&P® and S&P 500® are registered trademarks of Standard & Poor's Financial Services LLC (“S&P”).The Fund is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in the Fund nor do they have any liability for any errors, omissions, or interruptions of the Index. The Fund may also invest in other financial instruments, including warrants, money market instruments, deposits, cash and near cash and other funds, which may be managed by UBS. The Fund aims to have an anticipated tracking error of up to 0.5% per annum. The anticipated tracking error is a target and is not guaranteed. The Fund may use derivatives (financial instruments whose value is linked to an underlying asset or index) for the purposes of efficient portfolio management. Investors can buy or sell shares every UK working day except when NYSE or NASDAQ are closed. The income in respect of an accumulation share class is not distributed but is retained in the Fund and reflected in the share price. The Fund is denominated in GBP (Sterling). As such, investors may be exposed to changes in the exchange rate between the underlying currency of the Fund's assets and GBP which may have a negative or positive impact on the returns. This Fund may not be appropriate for investors who plan to withdraw their money within 5 years of investment.