0 1 2008 - Fundsquare

- 0 1 SEP. 2008

Investment Company under Luxembourg Law (SICAV) UBS ETF

Semi-Annual Report as of 30 June 2008

(Unaudited)

UBS-ETF DJ EURO STOXX 50 UBS-ETF FTSE 100 UBS-ETF MSCl EMU

UBS-ETF MSCl USA UBS-ETF MSCl World

UBS-ETF MSCl Japan

No subscriptions can be received on the basis of financial reports. Subscriptions are only valid if made on the basis of the current Prospectus supplemented by the latest Annual Report and latest Semi-Annual Report if published thereafter.


Contents

Management and Administration

Performance table

Statement of Net Assets

Schedule of Investments UBS-ETF DJ EURO STOXX 50

Schedule of Investments UBS-ETF FTSE 100

Schedule of Investments UBS-ETF MSCl EMU

Schedule of Investments UBS-ETF MSCl Japan

Schedule of Investments UBS-ETF MSCl USA

Schedule of Investments UBS-ETF MSCl World

Notes to the Financial Statements

Sales Restrictions

Page

3

4

5-6

7-8

9-1 1

12-1 7

18-24

25-35

36-49

50-59

Shares of these Sub-funds may not be offered, sold or distributed within the United States of America.

Semi-annual report as of 30 June 2008

Management and Administration

Registered Office

49, avenue J.F. Kennedy L-1855 Luxembourg

Advisory Company

LIES ETF Advisory Holding S.A 33, avenue J.F. Kennedy L-1855 Luxembourg

R.C.S. E-83626

Portfolio Managers of Sub-funds

UBS Global Asset Management (UK) Limited 21 Lombard Street London EC3V 9AH United Kingdom

Independent Auditor

PricewaterhouseCoopers S.B r.1. RCviseur d'entreprlses 400, mute dEsch B.P. 1443 L-1014 Luxembourg

Custodian Bank

State Street Bank Luxembourg S.A. 49, avenue J.F. Kennedy L-1855 Luxembourg

Board of Directors

0 Dr Christian Gast (Chairman) Mr Ian Ashment

0 Mr Albert Gnand Mr Frank Muesel

Executive Board

Dr Christian Gast Mr David Lahr

Company Administrator

State Street Bank Luxembourg S.A. 49, avenue J.F. Kennedy L-1855 Luxembourg

Paying Agent in Germany

UBS Deutschland AG Stephanstrasse 14-16,0-60313 Frankfurt am Main, Germany

Paying Agent in Switzerland

UBS AG Aeschenvorstadt 1, CH4002 Basel and Bahnhofstrasse 45, CH-8098 Zurich, Swikerland

and their branches in Switzerland

Distrlbutor

UBS AG Aeschenvorstadt 1, CH-4002 Basel and Bahnhofstrasse 45, CH-8098 Zurich, Switrerland

Representation Agent in Switzerland

UBS Fund Management (Swberland) AG Brunngaesslein 12, CH-4002 Basel, Swberland

Information Agent in Germany

UBS Global Asset Management (Deutschland) GmbH Stephanstrasse 14-16 D-60313 Frankfurt am Main, Germany

Centralising and Financlal Agent in France

ENP Paribas Securities Services Head office: 3, rue d'Antln, F-75002 Paris France

Legal Advisers

as to English Law Clifford Chance Limited Liabiliy Partnership 10 Upper Bank Street London El 45JJ United Kingdom

as to Luxembourg Law Krerner hsocibs & Clifford Chance 4, place de Paris L-2314 Luxembourg

as to French Law ClWord Chance Selafa 112, avenue Kleber BP 163 TROCADERO F-75770 Paris Cedex 16 France

3

Performance tables Pdommnm from 1 Janlvw 2OU8 to M Jure 2Oep

Semi-Annual R€pm a$ of 30 June 2008

I 9.81 I 9.59 I 0.22 I 0.16 Is 30 EUR I 21.83 I l0.4O)l 0.67 22.23 I

. _ " - , I ^^^ .

( l U . l Z 1 IU-ZUI L."", (10,131 (10.12) (0.01) 0.26

5.36 8.M (1.09) 0.36 UQS-ETF DJ US Tezhndmv US0 18.39 1B.M (1.05) 0.66 UBS-ETF FT5E 100 6.7A 7.38 (0.82) 0.58

I) The ngums rslaling 10 the perfunmrcm d Ihe Sub-Funds mfmd the pemntages changes of NAVE par ahma (cum divldendsl oyer lhe year. 2) Tho figures dating 10 the perlormanem of trackad indarea rened h e percemages changes d the reapedve lndexss oyer lhe year. 3) Tho Iradrlng dinerenee is Mmbulsble 10 lund expsnaes. ( a m TER') as well as non rsclainablo wlthdding taxes (for non-Eumpsan hdlwa lhe Index ~alclrslipl Is based on @ m a dividends) and 10 genastion of sewnuwe lending Inmrne. 4) T ~ h l Expense RaUo: This ratio eapmssaa mn W operaling expenses charged on m mpdq bosls 10 the Wnds average assets. H 18 *ken rMr0spkUwly ma a percenlsge 0 he average sswta In the tund. 5) UQS-ETF DJ Japan Tlana 100 JPY- I Sham were launched on 4th Odobw 2006 wllh a ptlm of JPY 8.917.400.

4


Statemmt of Net Assets at 30 June 2008 (Unaudlted)

UBS ETF Consolidated W EURO STOXX SO FTSE 100

Statement Sub-Fund Sub-Fund CUR CUR GBP

MSCl EMU Sub-Fund

EUR

ASSETS

Market value of investment In recuribies (Note 28) 5 18.33 1.598 Receivable for shares subscribed 9,066,040 - Receivable for Investment securltles sold 280,620 - Dividends recehrable 1.340.084 414.138 Cash at banks 1,756,712 1,052,207 Interest remlvable 89,589 88,892 Other receivables 28.208 -

1,083,241,614 76.407.878 - 21 9,042 440.71 0 -

17.820.937

3,938 17.140 20,217

3

-

-

TOTAL ASSETS 1,095,802,867 519,886,835 77,067,630 17,682,235

Ll AB1 LlTl ES Payable for inveslment securttles purchased 10,012,223 Bank overdraft 443,322 Management fees payable (Note 3) 638,800 Capped fees payable (Note 3) 98.126 Taxe d'abonnement payable (Note 4) 17.159 Other payables 24,530

950,207 - 14,904 - 327,251 - 208.671 67,847 8,107 47.124 6.785 1,612 8.173 1,262 267 - - -

TOTAL LIABILITIES 11,234,160 1.214.1 75 403,145 24.890

NET ASSETS AT 30 JUNE 2008 1,084,568,707 51 8,672,660 76,664,485 17,637,345

NUMBER OF SHARES OUTSTANDING AT 30 JUNE 2008 Class A Class I

Class A Class I

Class A Class I

NET ASSET VALUE PER SHARE AT 31 DECEMBER 2006 Class A Class I

Class A Class I

NET ASSET VALUE PER SHARE AT 30 JUNE 2008

NET ASSET VALUE PER SHARE AT 31 DECEMBER 2007

INITIAL OFFERING PRICE(")

9,158,696 5,906

34.38 34.514.09

44.51 44.721.69

41.63 41 833.44

35.28 21.545.30

1,386,628 -

55.29 -

63.54 -

6 1.86 -

34.69 -

163,957 -

107.57 -

44.44 -

37.15 -

18.61 -

COST OF INVESTMENTS AT 30 JUNE 2008 1 ,I 52,614,385 582,216,941 80,846,132 18,563,364

r) As of initial dealing day (see note 1)

The accompanying notes form an integral part of these financial statements.

5


Statement of Net Assets at 30 June 2008 (Unaudited)

MSCI Japan MSCI USA MSCI World Sub-Fund Sub-Fund Sub-Fund

JPY US0 U8D

ASSKS

Market value of Investment In securities (Note 28) 47,666,005,280 248,581,967 13,998,204 Receivable for shares subscribed - - 14,284,000 Receivable for Investment securities sold - - - Dividends receivable 31,048,481 259,624 2.270 Cash at banks a2,165,038 255,794 47.230 Interest reOelvable 115,889 - - Other receivables - 44,444 - TOTAL ASSETS 47,7119,334,688 247,121,829 28,331,704

LIABILITIES Payable for investment securities purchased Bank overdraft Management fees payable (Note 3) Capped fees payable (Note 3) Tare d‘abonnement payable (Note 4) Other payables

- 41,619,378 4,395,592

754,697 -

- 136,506 22,751 3,757

38,648

14,254,177 47.199

768 96

349 -

TOTAL LIABILITIES 48,769.667 201,862 14,302,589

NET ASSETS AT 30 JUNE 2008 47,732,565,021 240,920.1 67 14,029,115

NUMBER OF SHARES OUTSTANDING AT 30 JUNE 2008 Class A 10.453.721 Class I 974

NET ASSET VALUE PER SHARE AT 30 JUNE 2008 Class A 4,177 Class I 4,178,433

NET ASSET VALUE PER SHARE AT 31 DECEMBER 2007 Class A 6,681 Class I 6.671.271

NET ASSET VALUE PER SHARE AT 31 DECEMBER 2006

Class I 7,429.158 Class A 7,499

INITIAL OFFERING PRICE(‘) Class A Class I

4,617 6,917,400

2,014,553 -

122.57 -

131.96 -

100,000 -

140.29 -

COST OF INVESTMENTS AT 30 JUNE 2008 49,531,511,833 258,546,778 14,254,191

(“)As of lnltlal dealing day (see note 1)

The accompanylng notes form an integral part of these financial statements.

6

UBS-ETF DJ EURO STOXX 50 Semi-Annual Report as of 30 June 2008

Schedule of Investments as at 30 June 2008 (Expressed In EUR) (Unaudited) Transferable secudtles listed on an OtAelal Stock Exchange

Market % of Quantity Value EUR Net Assets

Common Stocks

Betglum (1.29%) Fortis Fortis

Finland (3.38%) Nokia

France (32.41%) Air Liquide Alcatel AXA BNP Paribas Carrefour Compagnie de Saint-Gobain Credit Agricole France Telecom Groupe Danone L'Oreal LVMH (Louis Vuitton Moet Hennessy) Renault Sanofi-Aventis Schneider Electric Societe Generale Suez Total Vinci Vivendi Universal

Germany (28.37%) Allianz - Registered BASF Bayer DaimlerChrysler - Registered Deutsche Bank - Registered Deutsche Boerse Deutsche Telekom - Registered E.ON Muenchener Rueckversicherung - RWE SAP Siemens - Registered Volkswagen

Italy (1 1.97%) Assicurazioni Gsnerali Enel EN1 (Ente Nazionale Idrocarburi) lntesa Sanpaolo Telecom ltalia UniCredito italiano

Luxembourg (2.97%) ArcelorMittal

Netherlands (5.87%) Aegon ING Groep Royal Philips U n i lever

Spain (13.67%) Banco Bilbao Vizcaya Argentaria Banco Santander Central Hispano I berdrola Repsol Telefonica

Registered

658,701 6,698,989 1.29 279,850 2.799 0.00

1,130,606 17.51 3,087 3.38

76,466 674,051 521,568 253,868 187,182 90,142

302,454 5 6 2,4 6 2 142,809 72.997 76,467 57,544

305,072 72,098

165,404 353,652 628,881 144.974 344,743

134,735 282,090 226.182 265,913 158.41 0 58.468

890,722 186,558 60,502

123,357 264,052 253,661 42,774

345,256 1,263,050

723,585 2,646,224 3,023,902 3,974,541

245.460

407,010 600.082 297,050 468,318

1,043,930 1,851,856 1,145,355

232,665 1,243,847

6,413.203 2.601.837 9,836,772

14,607,565 6,731,065 3,582,243 3,925,853

10,523.664 6,369,281 5,044,093 5,091,173 2,996,042

12,944,205 4,946,644 9,1451 87

15,291.91 3 34,085,350 5,653,998 8,308,306

15,076,846 12,361,184 12,091,690 10,445,063 8,688,788 4,191,571 9,263,509

23,907,408 6,731,452 9,696,932 8,782,369

17,868,174 7.839.61 9

8,413,689 7,628,822

17,148,964 9,599,177

3,870,595 15,451,028

15,414,888

3,424,175 12,154,661 6,419,250 8,443,774

12.704.628 21.61 1.160

9,746,971 5,823.605

20,996.1 37

1.24 0.50 1.90 2.82 1.30 0.69 0.76 2.03 1.23 0.97 0.98 0.58 2.49 0.95 1.76 2.95 6.57 1.09 1.60

2.91 2.38 2.33 2.01 1.67 0.81 1.79 4.61 1.30 1.91 1.69 3.45 1.51

1.62 1.47 3.30 1.85 0.75 2.98

2.97

0.66 2.34 1.24 1.63

2.45 4.17 1 .BE 1.12 4.05


7

UBS-ETF DJ EURO STOXX 50 Semi-Annual Report as of 30 June 2008

Schedule of Investments as at 30 June 2008 (Expressed In EUR) (Unaudited) Transferable securities listed on an Official Stock Exchange

Market % of Quantity Value EUR Net Assets -

Total Common Stocks

TOTAL INVESTMENTS (Cost EUR 562,216,941) Other net assets

TOTAL NET ASSETS

518,331,598 99.93

518,331,598 99.93 341,062 0.07

100.00 518,872,660

-

- -

The accompanying notes form an integral pari of these financial statements.

8

UBS-ETF FTSE 100 Semi-Annual Report as of 30 June 2008

Schedule of investments as at 30 June 2008 (Expressed In GBP) (Unaudited) Transferable securities llsted on an Offlciai Stock Exchange

Market % of Quantity Value GBP Net Assets

Common Stocks

Advertising (0.44%) WPP Group

Aerospace IL Defense (1.81%) BAE Systems Cobham Rolls-Royce Group

Agriculture (3.37%) British American Tobacco imperial Tobacco Group

Airlines (0.18%) British Airways

Banks (14.58%) Barclays Barclays HBOS HSBC Holdings Lloyds TSB Group Royal Bank of Scotland Group Standard Chartered

Beverages (2.71%) Diageo SABMiller

Chemicals (0.32%) Johnson Matthey

Commerclai Servlces (0.94%) Bunzl Capita Group Experian Group G4S

Distribution 8 Wholesale (0.19Yo) Wolseley

Diversified Financial Services (1.51%) 3i Group ICAP London Stock Exchange Group Man Group Schroden Schroders - Non voting shares

Electric (3.40%) British Energy Group Drax Group International Power National Grid Scottish i% Southern Energy

Engineering & Construction (0.22%) Amec

Food (5.92%) Associated Britlsh Foods Cadbuty schweppes Compass Group J Sainsbury Morrison WM Supermarkets Tesco Unilever

Gas (0.85%) Centrica

69,284

201,621 84,123

106,966

86.782 57.514

65.699

372.030 79,720

216,363 685.999 31 9,604 938.952 80,805

145,975 63,494

13,128

17.207 34,468 57,739 76,004

38,041

22,791 28,963 10.984 97,522 9,634 4.01 0

60.870 17,968 85.931

146,056 50,424

18,606

24,151 79,618

103.470 103,240 149,928 451,201 74.334

21 0.534

335.508

892,173 126,835 365.289

1,509,139 1,076,087

141,417

1,084,468 7,573

597,162 5,321,637

993,169 2.01 8,747 1 ,I 55,512

1,348,809 731,451

242,343

112,620 236,967 21 5,000 153.908

143,224

188.026 156,979 85,675

608,537 88,055 32,862

433,699 132,783 371,222 964,700 707,449

165,593

183.1 86 503,584 392,669 328,561 399,183

1,666,285 1,062,233

653,182

0.44

1.16 0.17 0.48

1.97 1.40

0.18

1.41 0.01 0.78 6.94 1.30 2.63 1.51

1.76 0.95

0.32

0.15 0.31 0.28 0.20

0.19

0.25 0.20 0.1 1 0.79 0.12 0.04

0.57 0.17 0.48 1.26 0.92

0.22

0.24 0.66 0.51 0.43 0.52 2.17 1.39

0.85

The accompanying notes form an Integral part of these financial statements.

9

UBS-ETF FTSE 100 Semi-Annual Report as of 30 June 2008

Schedule of Investments as at 30 June 2008 (Expre68ed In GBP) (Unaudited) Transferable securitles listed on an Official Stock Exchange


Healthcare Products (0.38%) Smith & Nephew

Household Products (1.35%) Reckitt Benckiser Group

Insurance (3.77%) Admiral Group Aviva Friends Provident Legal & General Group Old Mutual Prudential Royal &Sun Alliance insurance Group Standard Life

Iron 8 Steel (0.04”/0) Ferrexpo

Leisure Time (0.40%) Carnival Thomas Cook Group TU1 Travel

Lodging (0.15%) Intercontinental Hotels Group

Media (1.65%) British Sky Broadcasting In/ Pearson Reed Elsevier Thomson Reuters

Mining (14.72%) Anglo American Antofagasta BHP Billiton Eurasian Natural Resources Kazakhmys Lonmin Rio Tinto Vedanta Resources Xstrata

Miscellaneous Manufacturers (0.46%) lnvensys Smiths Group

Oil 8 Gas (21.98%) BG Group 0P Cairn Energy Royal Dutch Shell - Class A Royal Dutch Shell - Class B TUIIDW Oil

Oil & Gas Services (0.27%) John Wood Group Petrofac

Packaging 8 Containers (0.19%) Rexam

Pharmaceuticals (7.07%) AstraZeneca GlaxoSmithKiine Shire

Real Estate (1.09%) British Land

52,467 290,667 0.38

40,592 1,033,066 1.35

10,201 152,866 129,787 357.61 8 310.820 142,939 193,589 122.343

81,455 765.859 132,642 358,333 288,441 761,865 243.148 256,614

0.1 1 1 .oo 0.17 0.47 0.38 0.99 0.32 0.33

7,856 31,031 0.04

11,937 191,589 0.25 23,997 56,153 0.07 27,982 57,383 0.08

17,234 11 5.985 0.15

75,405 355.91 1 0.46 224.042 100,147 0.13 47,448 291,568 0.38 63,041 363,116 0.47 11,722 157,544 0.21

76,080 22.1 36

125,837 21,257 10,707 8.681

57,315 8,545

41,817

2,682,581 145,655

2,416,070 283,356 170,456 277,011

3,444.058 186,879

1,682.71 6

3.50 0.19 3.15 0.37 0.22 0.36 4.49 0.24 2.20

41,631 108,449 0.14 22.241 241,537 0.32

194,466 2,541,671 3.32 1,076,961 6,281,375 8.1 9

7,358 238,031 0.31 203,338 4,194,863 5.47 157.818 3.1 87,924 4.16 42,481 405,693 0.53

21,621 106.91 6 0.14 13,218 97.61 5 0.13

38,012 147,296 0.19

83.021 1,778,310 2.32 304,221 3,385,980 4.41 31.452 259,007 0.34

27.866 197,431 0.26


10

UBS-ETF FTSE 100

Schedule of Investments as at 30 June 2008 (Exprerred In GBP) (Unaudlted) Transferable securities llrted on an Omclal Stock Exchange


Real Estate (1.09%) (continued) Hammerson Land Securities Group Liberty International

Retall (1.15%) Carphone Warehouse Group Enterprise Inns Kingfisher Marks & Spencer Group Next Whitbread

Software (0.20%) Sage Group

Telecommunlcations (7.32%) BT Gmup Cable &Wireless Vodafone Group

Transportation (0.1 8%) Firstgroup

Water (0.68%) Severn Trent United Utllities

Total Common Stocks

Closed Ended Funds

Closed End Investment Company (0.17%) Alliance Trust

Total Closed Ended Funds

Rights

Banks (0.01%) HBOS - Rights

Total Rights

TOTAL INVESTMENTS (Cost GBP 80,846,132) Other net assets

TOTAL NET ASSETS


15,392 137,374 0.18 26,382 325,026 0.42 20,663 178,115 0.23

19,034 37,668 0.05 30,267 122,884 0.16

131,584 147,769 0.19 96,601 31 7,334 0.41 12,592 122,079 0.16 11,014 135.693 0.18

72.1 63 150,821 0.20

451,322 902.1 93 1.18 148,996 224.686 0.29

3,005.767 4,483,101 5.85

28,650 138,580 0.18

14,093 180,954 0.23 0.45 49,845 342,186

76,274,141 99.49 - -

39,787 124,434 0.17

124,434 0.17 - ~

86,545 9,303 0.01

9,303 0.01

78,407,878 99.67 256,607 0.33

ioo.00

- -

- - 76,664,485


11

UBS-ETF MSCl EMU Semi-Annual Report as of 30 June 2008

Schedule of Investments as at 30 June 2008 (Expressed In EUR) (Unaudited) Transferable securities listed on an Official Stock Exchange


Common Stocks

Advertlslng (0.14%) JC Decaux Publicis Groupe

Aerospace B Defense (0.57%) European Aeronautic Defence and Space Finmeccanica Safran Thales todlac

Airlines (0.25%) Air France-KLM Deutsche Lufthansa - Registered Iberia Lineas Aereas de Espana Ryanair Holdings

Apparel (0.58%) Adidas-Salomon Hermes International Puma Rudolf Dassler Sport

Auto Manufacturers (3.45%) Bayerische Motoren Werke DaimlerChrysler - Registered Fiat Peugeot Renault Volkswagen

Auto Parts B. Equipment (0.83%) Compagnie Generale des Etablissements Michelin Continental Nokian Renkaat Pirelll & C Valeo

Banks (17.21%) Allied Irish Banks Alpha Bank Anglo Irish Bank Banca Carige Banca Monte dei Paschi di Siena Banca Popolare di Milano Banco Bilbao Vizcaya Argentaria Banco BPI Banco Cornercial Portugues Banco de Sabadell Banco Espirito Santo Banco Popolare Banco Popular Espanol Banco Santander Central Hispano Bank of Ireland Bankinter BNP Paribas Cornrnerzbank Credit Agricole Deutsche Bank - Registered Deutsche Postbank Dexia EFG Eurobank Ergasias Ersts Bank der Oesterreichischen Sparkassen Fortis Hypo Real Estate Holding lntesa Sanpaolo KBC Gmep National Bank of Greece Natixis Piraeus Bank

370 876

2,124 1,929

980 638 278

906 1,504 2,644 2.01 9

1.312 425 36

2,044 5,914 4,563

985 1.187

93 1

926 1,036

629 20,025

406

5,799 2,490 4.522 3,568

13,284 2,508

22.945 1,399

14,349 5,426 1,505 4,295 5,324

40,384 6,630 1,763 5.257 3.996 5,624 3,252

576 3.381 1,981 1,268

13,408 1,140

55,648 1,022 3,096 2,434 2.01 5

5,990 18.028

25,573 32.176 12,074 23,095 8,104

13.807 20,605 4.01 9 5,653

52,624 42,500

7.674

62,444 232.302

47.501 33,972 61.843

170,634

42,263 67,620 19,184 8.761 8.282

56.824 47.808 26,906

8,010 23,898 14,948

279,241 3,686

19,730 29,138 14,915 48,448 46,798

471.281 36.61 7 12,746

302,488 75,285 72,999

178.372 32,118 34,351 29,913 50,137

136,225 20.383

199,815 72.082 88,607 17.160 34,786

0.04 0.10

0.14 0.18 0.07 0.13 0.05

0.08 0.12 0.02 0.03

0.30 0.24 0.04

0.35 1.32 0.27 0.19 0.35 0.97

0.24 0.38 0.1 1 0.05 0.05

0.32 0.27 0.15 0.05 0.14 0.08 1.58 0.02 0.1 1 0.17 0.08 0.28 0.27 2.67 0.21 0.07 1.72 0.43 0.41 1.01 0.18 0.20 0.17 0.28 0.77 0.12 1.13 0.41 0.50 0.10 0.20


12


Schedule of investments as at 30 June 2008 (Expressed in EUR) (Unaudited) Transferable securities listed on an Offlclal Stock Exchange


Banks (17.21%) (continued) Pohjola Bank Raiffeisen International Bank SNS Reaal Societe Generale UniCredito ltaliano Unione di Banche ltaliane

Beverages (1.23%) Coca Cola Hellenic Bottling Heineken Heineken Holding inBev Pernod-Ricard

Building Materials (1.66%) Clmpor Cimentos de Portugal SGPS Compagnie de Saint-Gobain CRH Heidel bergcement lmerys ltalcernenti ltalcementi Lafarge Titan Cement Wlenerberger

Chemicals (5.58%) Air Liquide Akto Nobel BASF Bayer K+S Koninklijke DSM Linde Solvay Wacker Chernie

Commercial Services (0.64%) Abertis infraestructuras Atlantia ERISA Bureau Veritas Cintra Concesiones de lnfraestructuras de Transporte Hamburger Hafen und Logistik Randstad Holding

Computers (0.35%) Atos Origin Cap Gemini lndra Sisternas

Cosmetics & Personal Care (0.94%) Beiersdorf Christian Dior Loreal

Diversified Financial Services (1.50%) Criteria Caixacorp Deutsche Boerse Eurazeo Eurazeo Irish Life B Permanent KBC Ancora Marfin investment Group Mediobanca Nationale A Portefeuille Sarnpo

Electric (9.91%) M A

526 5,796 0.03 353 28,653 0.16 636 7,842 0.04

3,024 167,197 0.95 72,103 280,300 1.59 4,021 59,873 0.34

1,168 20,206 1,576 51,094

684 19,932 1.181 52,058 1,123 73,276

1,116 1,794 3,675

159 185 517 571 941 355 533

1,636 1,688 6,280 4,966

231 891 822 370 86

1,953 1,676 1,800

185 1,471

111 71 7

41 1 899 762

619 371

1,629

4,934 1,315

165 18

2.017 246

3,763 3,332

232 2,905

4,776 71,294 68.722 14,655 8,512 5,460 4,225

91,644 8.946

14.21 5

137.21 1 73,698

275.1 90 265,483

84.61 5 33,297 73,405 30,743 11.417

29,432 32,230 13,212 6.980

10,474 5.483

15.917

14,455 33,658 12.919

28,951 24,300

112,564

18,799 94,272 11,184

61 13,332 13,653 18,890 35.986 11,066 46,625

0.1 1 0.29 0.1 1 0.30 0.42

0.03 0.41 0.39 0.08 0.05 0.03 0.02 0.52 0.05 0.08

0.78 0.42 1.56 1.50 0.48 0.1 9 0.42 0.17 0.06

0.17 0.18 0.07 0.04 0.06 0.03 0.09

0.08 0.19 0.08

0.16 0.14 0.64

0.1 1 0.54 0.06 0.00 0.08 0.06 0.1 1 0.20 0.06 0.26

7.462 17,368 0.10


13


Schedule of Investments as at 30 June 2008 (Expreased In EUR) (Unaudited) Transferable securltles listed on an Offlclal Stock Exchange


Electric (9.91%) (continued) E.ON EDF Enel Energias de Portugal Fortum I berdrola Public Power Red Electrica de Espana RWE Suez Terna Rete Elettrica Nazionale Union Fenosa Verbund - Oesterreichische Elektrizitaetswirtschafts - Class A

Electrical Components 8 Equipment (0.89%) Gamesa Tecnologica Legrand Prysrnian Schneider Electric

Electronics (0.84%) Royal Philips

Energy -Alternate Sources (0.36%) lberdrola Renovables &Cells Solarworld

Englneering 8 Construction (2.11%) Acciona ACS Actividades de Construccion y Servicios Aeroports de Paris Bilfinger Berger Bouygues Eiffage Fornento de Construcciones y Contratas Fraport Frankfurt Airport Services Worldwide Grupo Ferrovial Hochtief Sacyr Vallehermoso Strabag Vlnci YIT

Entertainment (0.25%) Lottomatica OPAP

Food (3.nO%) Carrefour Casino Guichard Perrachon Colruyt Delhaize Group Groupe Danone Kerry Group - Class A Kesko - Class B Koninklijke Ahold Metro Parrnalat Sodexo U n ilever

Forest Products L Paper (0.35%) Srnurfit Kappa Group Stora Enso UPM-Kymrnene

Gas (0.70%) Enagas Gas Natural SDG

4,073 1,242

27,348 11,344 2,967

22,449 783 766

2,887 6,719 7,934

698 468

1,179 646 790

1,408

8,842

5,134 349 503

175 1,322

232 21 8

1,589 21 9 310 183 460 310 500 269

2.764 747

477 1.547

4.003 282

99 689

2,852 780 383

7,959 771

9,522 670

10,307

E44 3.555 3,576

1,109 734

521,955 74,942

165,182 37,605 95,715

191,041 17,226 31,674

231,624 290,530 21,342 25,840 26,639

36,808 10,343 12.71 I 96,603

147,856

25,259 22,525 15,226

26,399 42.185 13,790 12.062 66,992 9,533

11,700 7,887

18,087 20,029 9,720

13,316 107.766 1 1,937

9.058 34,313

143,948 20,304 16,614 29,455

127.199 14,664 7,878

67,970 31,256 15,807 27,953

185,835

3.336 21,188 37.1 90

19,962 27.187

2.96 0.42 0.94 0.21 0.54 1.08 0.10 0.18 1.31 1.65 0.12 0.15 0.15

0.21 0.06 0.07 0.55

0.84

0.14 0.13 0.09

0.15 0.24 0.08 0.07 0.38 0.05 0.07 0.04 0.10 0.1 1 0.06 0.08 0.61 0.07

0.05 0.20

0.82 0.1 I 0.09 0.17 0.72 0.08 0.04 0.39 0.18 0.09 0.16 1.05

0.02 0.12 0.21

0.1 1 0.16


14


Schedule of Investments as at 30 June 2008 (Expressed in EUR) (Unaudited) Transferable securities listed on an Mflclai Stock Exchange


Gas (0.70%) (continued) GDF Snam Rete Gas

Healthcare Products (0.39%) Cie Generale d'Optique Essilor International Fresenius SE Luxottica Group

Healthcare Services (0.24%) Fresenius Medical Care

Holding Companies - Diversifled Oporations (1.05%) GEA Group Groupe Bruxelles Lambert IFlL - Investments LVMH (Louis Vuitton Moet Hennessy) Wendel

Household Products (0.13%) Henkel AG & Co KGaA Soclete BIC

insurance (7.11%) Aegon Alleanza Asslcurazioni Allianz - Registered Assicurazioni Generali AXA CNP Assurances Fondiaria-Sai Hannover Rueckversicherung ING Groep Mapfre Mediolanum Muenchener Rueckversicherung SCOR SE Unipol Gruppo Finanriario Vienna Insurance Group

internat (0.04%) United internet

' Registered

iron & Steel (3.20%) Acerinox ArcelorMittal Outokumpu Rautaruukki Salzgitter ThyssenKrupp Voestalpine

Leisure Time (0.12%) TU I

Lodging (0.30%) Accor

Machinery - Diversified (1.30%) Alstom Andritz Kone MAN Metso Rheinmetall Zardoya Otis Zardoya Otis

Media (1.97%) Gestevision Telecinco Lagardere

1,269 5,803

1,273 124 878

1.229

972 523

2,120 1,565

158

759 147

9,228 2,794 2,863 6,670

10.045 272 472 303

12.21 1 3,303 1,857 1,353 1,036 4,221

264

590

1,039 5,622

777 533 252

2,408 729

1,407

1.251

668 273

1,077 725 839 247 675 670

693 786

51.801 25,199

49,443 6.818

13,082

43,027

21,812 39,544 8,755

104,198 10,207

18,095 4,880

77,635 19,264

320.370 162,548 189.449 1931 9 9,931 9.499

247,334 10.041 4,907

150.535 15,084 6,327

11,072

7,387

15,201 353,062

17,288 15,489 29,333 96,031 38.017

20.71 1

53,080

97,975 10,934 24,060 51,120 24.306 11,340 8,896

878

5,627 28.430

0.29 0.14

0.28 0.04 0.07

0.24

0.12 0.23 0.05 0.59 0.06

0.10 0.03

0.44 0.1 1 1.82 0.92 1.07 0.1 1 0.06 0.05 1.40 0.06 0.03 0.85 0.09 0.04 0.06

0.04

0.09 2.00 0.10 0.09 0.17 0.54 0.21

0.12

0.30

0.56 0.06 0.14 0.29 0.14 0.06 0.05 0.00

0.03 0.16


15


Schedule of investments as at 30 June 2008 (Expressed In EUR) (Unaudited) Transferable securltles listed on an Omclal Stock Exchange

Market %a of Quantity Value EUR Net Assets

Media (1.97%) (continued) M6-Metropole Television Mediaset PagesJaunes Groupe Promotora de lnformaciones Reed Elsevier Sanoma-WSOY Societe Television Francaise 1 Vivendi Universal Wolters Kluwer Zon Multimedia Servicos de Telecomunicacaes a Multimedia SGPS

Metal Fabrlcate/Hardware (0.41%) Vallourec

Mining (0.26%) Eramet Umicore

Miscellaneous Manufacturers (2.38%) Siemens - Registered Wartsila

Office B Businerr Equipment (0.08%) Neopost

oil a Gas (7.61%) EN1 (Ente Nazionale Idrocarburi) Hellenic Petroleum Neste Oil OMV Repsol Total

Oil 8 Gas Services (0.90Y0) Cie Generale de Geophysique-Veritas Fugro Saipem SBM Offshore Technip

Pharmaceuticals (2.44%) Celesio Elan Grifols Merck Orion Sanofi-Aventis UCB

Real Estate (0.29%) lmmoeast IMMOFINANZ IVG lmmobilien Meinl European Land

Real Estate investment Trusts (0.67%) Coho Gecina ICADE Klepierre Unibail-Rodamco

Retail (0.54%) Arcandor Autogrill Bulgari lnditex PPR Sonae

347 5,023

881 388

4,195 468 680

7,561 1,893 1,367

328

28 886

5,612 595

21 4

16,707 570 976

1,118 4.588

13,874

795 393

1,599 1,056

701

504 2.91 I

660 420 489

6,576 74 1

2,488 2,773

532 1,780

272 113 115 413 506

339 743

1,083 1,407

499 4.240

4,782 21,034 8,237 2,638

44,929 6,585 7,228

182,220 28,092

7.21 8

73,114

17,668 27,820

395,758 23,770

14,383

395,956 4,970

18.271 55,743

114,838 751,971

23,890 21,320 47,698 24.753 41,212

1 1,582 64,333 13,391 37,922 6,191

279.020 17,417

14,007 18,163 6,661

12,727

13,499 8,701 8,525

13,216 74,342

2,502 5,665 6.947

41,169 35.279 3.244

0.03 0.12 0.05 0.02 0.25 0.04 0.04 1.03 0.16 0.04

0.41

0.10 0.16

2.24 0.14

0.08

2.25 0.03 0.10 0.32 0.65 4.26

0.14 0.12 0.27 0.14 0.23

0.07 0.36 0.08 0.21 0.04 1.58 0.10

0.08 0.10 0.04 0.07

0.08 0.05 0.05 0.07 0.42

0.02 0.03 0.04 0.23 0.20 0.02


16


Schedule of investments as at 30 June 2008 (Expressed in EUR) (Unaudlted) Transferable securities listed on an Offlcial Stock Exchange


Semiconductors (0.56%) ASML Holding lnfineon Technologies STMicroelectronics

Software (1.19%) Dassault Systemes SAP TomTom

Telecommunications (9.g9%) Alcatel Belgacom Deutsche Telekom - Registered Elisa - Class A Eutelsat Communications France Telecom Hellenic Telecommunications Organization Koninklijke KPN Mobistar Nokia Portugal Telecom

Telecom ltalia Telecom italia Telefonica Telekom Austria

Transportation (0.85%) Cargotec - Class B Deutsche Post - Registered TNT

SES - FDR -

Water (0.47%) Veolia Environnement

Total Common Stocks

Preferred Stocks

Auto Manufacturers (0.71%) Bayerische Motoren Werke Porsche Volkswagen

Electric (0.08%) RWE

Healthcare Products (0.14%) Fresenius

Holding Companies - Diversified Operations (0.02%) lstituto Finantiario industrial8

Household Products (0.17%) Henkel

insurance (0.04%) Unipol Gruppo Finanriario

Media (0.02%) ProSiebenSat.1 Media

Total Preferred Stocks

TOTAL INVESTMENTS (Cost EUR 18,563,364) Other net assets

TOTAL NET ASSETS

2,650 41.473 4,936 27.296 4,460 29.485

345 13,358 5,672 188,651

431 7,874

14,369 1,102

18.032 1,004

41 1 11,805 1,707

11,572 21 8

25,765 4,658 1,761

65,608 40,734 27,609 2.1 18

55,464 30,195

187,533 13.383 7,271

220,872 27.312

126,135 11,216

399,100 33,584 28,352 83,978 41,956

466,040 29,186

21 0 4,643 5,441 90,321 2,520 54,734

2,351 83,766

17,412,505

0.24 0.15 0.17

0.08 1.07 0.04

0.31 0.17 1.06 0.08 0.04 1.25 0.16 0.72 0.06 2.26 0.19 0.16 0.48 0.24 2.64 0.17

0.03 0.51 0.31

0.47

98.73 -

195 563 704

232

453

309

1,163

6,295

449

4.91 6 55,112 64.789

14.836

24,856

3.909

29,436

7.71 8

2,860

0.03 0.31 0.37

0.08

0.14

0.02

0.17

0.04

0.02

208,432

17,620,937 16,408

17,837,345

1.18

99.91 0.09

100.00

-

- -

The accompanying notes form an integral part of these financial Statements.

17

UBS-ETF MSCl Japan Semi-Annual Report as of 30 June 2008

Schedule of investments as at 30 June 2008 (Expressed in JPY) (Unaudited) Transferable securities listed on an Offlcial Stock Exchange

Market % of Quantity Value JPY Net Assets

Common Stocks

Advertising (0.21%) Dentsu Hakuhodo DY Holdings

Agriculture (0.74%) Japan Tobacco

Alriines (0.17%) All Nippon Airways Japan Airlines

Apparel (0.11%) Asics Onward Holdings

Auto Manufacturers (8.88%) Daihatsu Motor Fuji Heavy industries Hino Motors Honda Motor isuru Motors Mazda Motor Mitsubishi Motors Nissan Motor Suzuki Motor Toyota Motor

Auto Parts & Equipment (1.98%) Aisln Seiki Bridgestone Denso JTEKT NGK Spark Plug NHK Spring NOK Sumitomo Rubber Industries Tokai Rika Toyoda Gosei Toyuta Boshoku Toyota industries

Banks (10.39%) 77 Bank Aozora Bank Bank of Kyoto Bank of Yokohama Chiba Bank Chugoku Bank /The Fukuoka Financial Group Gunrna Bank Hachijuni Bank Hiroshima Bank Hokuhoku Financial Group iyo Bank iThe Joy0 Bank Mitsubishi UFJ Financial Group Mitsui Trust Holdings Mizuho Financial Group Mizuho Trust 8 Banking Nishi-Nippon City Bank Resona Holdings Sapporo Hokuyo Holdings Shinsei Bank Shizuoka Bank Sumitomo Mitsui Financial Group Sumitomo Trust & Banking Suruga Bank Yamaguchi Financial Group

328 4.460

776

11 7,000 146.000

26,000 22,000

30,000 83,000 49,000

280.000 203,000 142,000 572,000 395.100 59.300

464,700

32,500 99,700 85,100 28,200 32,000 27,000 20,800 30.1 00 9,900

10,600 12,100 30,400

55,000 97.000 56.000

208.000 129,000 23.000

129,000 78,000 81.000 82.000

197,000 36,000

109,000 1,756,900

141,000 1,641

180,000 108,000

923 55

164,000 106.000

1,131 250,000 40,000 31 .OOO

73,800.000 25.243.600

351,528,000

46,449.000 32,558,000

30,108.000 24,530,000

36,480,000 43,160.000 32,242,000

1,010,800,000 103,733,000 78,242,000

1 10,396,000 346,502,700 148,843,000

2,328,147,000

1 13,100.000 161.81 3,100 310,615,000 47,488.800 39,008,000 22,842,000 35,110,400 23,839,200 21,730,500 32,860,000 34,424.500

103,360.000

36,685,000 23,571,000 62.1 04,000

152,672,000 95,976,000 35,466,000 61,791,000 55.146.000 55,728,000 38,786,000 60,676,000 44,748,000 56,244,000

1,653,242,900 89,112,000

81 3,936.000 32,940.000 34,128,000

150,449,000 39,490,000 59,696,000

114,904,000 903,669,000 185,500,000 55,240,000 45,570,000

0.16 0.05

0.74

0.10 0.07

0.06 0.05

0.08 0.09 0.07 2.12 0.22 0.16 0.23 0.72 0.31 4.88

0.24 0.34 0.65 0.10 0.08 0.05 0.07 0.05 0.04 0.07 0.07 0.22

0.08 0.05 0.13 0.32 0.20 0.07 0.13 0.12 0.12 0.08 0.13 0.09 0.12 3.46 0.19 1.70 0.07 0.07 0.32 0.08 0.12 0.24 1 .89 0.39 0.12 0.10


18


Schedule of Investments as at 30 June 2008 (Expressed In JPY) (Unaudited) Transferable securities listed on an Offlelal Stock Exchange

Market % of Quantlty Value JPY Net Assets

Beverages (0.87%) Asahi Breweries Coca-Cola West Holdings Ito En Kirin Brewery Sapporo Holdings

Bulldlng Materlals (1.53%) Asahi Glass Daikin Industries JS Group Matsushita Electric Works Nippon Sheet Glass Taiheiyo Cement TOTO

Chemicals (3.40%) Asahi Kasei Daicel Chemical Industries Den-ki Kagaku Kogyo DIC Hitachi Chemical JSR Kaneka Kansai Paint Mitsubishi Chemical Holdings Mitsubishi Gas Chemical Mitsui Chemicals Nissan Chemical Industries Nitto Denko Shin-Etsu Chemical Showa Denko Surnitomo Chemical Taiyo Nippon Sanso Tokuyama Tosoh Ube Industries

Commerclal Servlcas (1.13%) Benesse Dai Nippon Printing Kamigumi Secom Toppan Printing

Computers (1.20%) CSK Holdings Fujitsu ltochu Techno-Solutions N l T Data Obic Otsuka TDK

Cosmetics 8 Personal Cam (0.93%) Kao Shiseido Unicharm

Distflbutlon I Wholesale (5.39%) Canon Marketing Japan Hitachi High-Technologles ltochu Maru beni Mitsubishl Mitsubishi Logisfcs Mitsui Sojitz Sumitorno Toyota Tsusho

62,000 10,700 11,600

130,000 42,000

166,000 46,300 40,900 73.000 99,000

146.000 52.000

21 1,000 52,000 77,000

103.000 19.400 30.000 49,000 38,000

199,000 64,000

107,000 28,000 29,200 69,000

199,000 277,000 46,000 41,000 76.000

158.000

I 1,400 97,000 43,000 36,900 96,000

12,100 323,000

4,400 225

1.340 3.1 00

21.700

91.000 56.000 7.500

12,000 1 1.900

251,000 297,000 235.700 22,000

301,000 196,400 185,400 35,700

122,884,000 26,482,500 19,395,200

215,540,000 31,206.000

21 3,144,000 248.1 68,000 68,998,300 79,059,000 51,975,000 31,098,000 38,896,000

1 17.31 6,000 31,096,000 30,338,000 31,621,000

63,300,000 35,427,000 26,460,000

122,962,000 49,024,000 55,961,000 36,568,000

119,136,000 454,020,000

56,118,000 185,313,000 40,710.000 32,390,000 32,984,000 59,408,000

42.5a3,ooo

49,020,000 151,805,000 34,529.000

190.404,OOO 1 12,224,000

25,289.000 254.524.000

15,180,000 93,375,000 23,692,200 22,723,000

138,012,000

253,435,000 136.080,OOO 56,625,000

22.41 6,000 29,274.000

283,881,000 263,439,000 824,950,000 25,564,000

705,845,000 69,525,600

258,633.000 88,893.000

0.26 0.06 0.04 0.45 0.06

0.45 0.52 0.14 0.17 0.1 1 0.06 0.08

0.25 0.06 0.06 0.07 0.09 0.13 0.07 0.06 0.26 0.10 0.12 0.08 0.25 0.95 0.12 0.39 0.08 0.07 0.07 0.12

0.10 0.32 0.07 0.40 0.24

0.05 0.53 0.03 0.20 0.05 0.05 0.29

0.53 0.28 0.12

0.05 0.06 0.59 0.55 1.73 0.05 1.48 0.15 0.54 0.19


19

UBS-ETF MSCl Japan

Schedule of investment6 as at 30 June 2008 (Expressed In JPY) (Unaudited) Transferable securities listed on an Omciai Stock Exchange



Dlverslfled Financial Services (2.59%) Acorn Aeon Credit Service Aiful Credit Saison Daiwa Securities Group Jafco Mitsubishi UFJ Lease & Finance Mitsubishi UFJ Nicos Nomura Holdings ORIX Promise Shinko Securities Ta kefuj i

Electric (4.07%) Chubu Electric Power Chugoku Electric Power Electric Power Developm Hokkaido Electric Power Hokuriku Electric Power Kansai Electric Power Kyushu Electric Power Shikoku Electric Power Tohoku Electric Power Tokyo Electric Power

lent

Electrical Components & Equlpment (4.12%) Brother industries Casio Computer Furukawa Electrlc Hitachi Mitsubishi Electric Sanyo Electric Sharp Stanley Electric Sumitomo Electric Industries Toshiba Ushio

Electronlci (4.57%) Advantest Alps Electric Fanuc Hirose Electric Hoya ibiden Keyence Kyocera Mabuchi Motor Minebea Mitsumi Electric Murata Manufacturing NEC NGK Insulators Nidec Nippon Electric Glass Omron Yaskawa Electric Yokogawa Electric

Engineering & Constructlon (0.62%) JGC Kajima Kinden Obayashi Shimizu Taisei

Entertainment (0.20%) Oriental Land

12,000 14,600 14,600 27,500

233,000 4.700 9,450

41,000 298.1 00

15,340 13,400 83,000 20,360

1 15.900 44.1 00 25,500 30,600 26.900

133,900 64,800 29,100 73,100

212,200

33,300 36.1 00

103,000 566,000 324,000 263,000 167,500 25,200

122.1 00 51 8,000

18.500

28,700 32,600 32,000 5,400

72,600 22,800

6,200 28,500

5,400 58,000 13,500 37,600

359.000 45,000 19,200 58,000 35,500 37,000 44,400

37,000 149.000 18,000

1 13,000 97,000

156,000

8.600

39,480,000 19,432,600 17,958,000 61,325,000

227.408.000 17,061,000 43,564,500 14,391,000

468,911,300 233,014,600 39,798,000 25,979,000 30,071.720

300.181,OOO 99,886,500

100.470.000 66,096,000 67,922,500

332,741,500 143,856,000 84,972,000

168,861,000 579,306,000

48,584,700 43,644,900 47,483.000

433,556,000 370,980,000 64,961,000

289,607,500 64,764,000

164,590,800 405,594,000 32,097,500

64,144,500 35,762,200

331,840,000 57,564,000

178,233,000 88,008,000

156,798.000 285,000,000

31,104.000 35,206,000 31,927.500

188.000.000 199,604.000 92,925,000

135,744,000 106,546,000 80,940,000 38,517.000 43,112.400

77,330,000 55,279,000 19,278,000 54.353,OOO 48,791,000 39.468,OOO

54,524,000

0.08 0.04 0.04 0.13 0.48 0.04 0.09 0.03 0.98 0.49 0.08 0.05 0.06

0.63 0.21 0.21 0.14 0.14 0.70 0.30 0.18 0.35 1.21

0.10 0.09 0.10 0.91 0.78 0.14 0.61 0.13 0.34 0.85 0.07

0.13 0.08 0.70 0.12 0.37 0.18 0.33 0.60 0.07 0.07 0.07 0.39 0.42 0.20 0.28 0.22 0.17 0.08 0.09

0.16 0.12 0.04 0.12 0.10 0.08

0.1 1

The accompanying notes form an Integral part of these financial statements.

20


Schedule of Investments ae at 30 June 2008 (Expressed In JPY) (Unaudited) Transferable securities listed on an Omclal Stock Exchange


Entertalnment (0.20%) (contlnued) Toho

Environmental Control (0.16%) Kurita Water Industries

Food (0.94%) Ajinomoto Ki kkornan Meiji Dairies Nippon Meat Packers Nisshin Seifun Group Nissin Food Products Toyo Sulsan Kaisha Yakult Honsha Yamaraki Baking

Forest Products 8 Paper (0.24%) Nippon Paper Group OJI Paper

Gas (0.71 %) Osaka Gas Toho Gas Tokyo Gas

Hand 8 Machine Tools (0.59%) Fuji Electric Holdings Makita SMC THK

Healthcare Products (0.41%) Shimadzu Terumo

Home Builders (0.55%) Daiwa House Industry Haseko Sekisui Chemical Seklsui House

Homa Furnishlngs (3.41%) Matsushita Electric Industrial Pioneer Sony Yamaha

Insurance (2.76%) Aioi Insurance Millea Holdings Mitsui Sumitomo Insurance Group Holdings Nipponkoa Insurance Sompo Japan Insurance Sony Financial Holdings T&D Holdings

Internet (0.67%) Dena Rakuten SBI E’trade Securities SEI Holdings Trend Micro Yahoo! Japan

Iron & Steel (3.37%) Daido Steel Hitachi Metals JFE Holdings Kobe Steel Nippon Steel

18,700

18.900

1 18,000 28,000 49,000 34.000 35,500 14,900 17,000 17.600 21,000

146 143.000

343,000 68,000

385,000

90,000 19,200 10,200 22.800

36,000 28.800

96,000 203,000

76,000 84,000

318.000 30,000

174.800 31,600

75,000 121,795 63,600

105.000 148.000

157 34.650

39 1,174

300 1.694

17,500 2,669

57,000 24,000 90,000

467,000 861,000

40,579,000

74.277.000

1 18,472.000 36,316,000 26,705,000 48,892,000 47,357,000 53,044,000 40,800,000 52,624,000 24,507,000

42,340,000 71,357,000

133,427,000 39.576.000

164,780,000

33,750,000 83,328,000

1 18,626,000 46,968,000

38,052,000 156,096,000

95,808,000 28,826,000 54,948,000 83,244,000

728,220.000 25,650,000

81 1,072,000 64.780.000

42,450,000 504,231,300 232,776,000 96,705,000

147,704,000 67,039,000

226,264.500

24,414,000 62.926.400 24,900,000 39.368.560 61,250,000

109,162,100

33.801.000 41,856.000

481,500,000 141.968.000 495,075.000

0.09

0.16

0.25 0.08 0.06 0.10 0.10 0.1 1 0.08 0.1 1 0.05

0.09 0.15

0.28 0.08 0.35

0.07 0.17 0.25 0.10

0.08 0.33

0.20 0.06 0.12 0.17

1.52 0.05 1.70 0.14

0.09 1 .06 0.49 0.20 0.31 0.14 0.47

0.05 0.13 0.05 0.08 0.13 0.23

0.07 0.09 1.01 0.30 1.04


21

UBS-ETF MSCl Japan

Schedule of Investments as at 30 June 2008 (Expressed in JPY) (Unaudlted) Transferable securities listed on an Offlciai Stock Exchange


iron IL Steel (3.37%) (continued) Nisshin Steel Sumitorno Metal industries Tokyo Steel Manufacturing Yamato Kogyo

Leisure Time (0.50%) Sankyo Sega Sammy Holdings Shimano Yamaha Motor

Machinery - Construction 8 Mining (1.08%) Hitachi Construction Machinery Komatsu

Machinery - Diversified (1.11%) Amada IHI Japan Steel Works Kawasaki Heavy Industries Kubota OKUMA Sumitomo Heavy Industries

Media (0.13%) Fuji Television Network Jupiter Telecommunications Tokyo Broadcasting System

Metal FabrlcatelHardware (0.27%) Maruichi Steel Tube NSK NTN

Mining (0.69%) Dowa Holdings Mitsubishi Materials Mitsui Mining B. Smelting OSAKA Titanium Technologies Surnitomo Metal Mining Toho Titanium

Miscellaneous Manufacturers (2.20%) Fuji Photo Film Konica Minolta Holdings Mltsublshi Heavy industries Nikon Olympus

WRce B Business Equipment (2.67%) Canon Ricoh Seiko Epson

Oil &Gas (1.37%) Cosrno Oil ldemitsu Kosan inpex Holdings Japan Petroleum Exploratlon Nippon Mining Holdings Nippon Oil Showa Shell Sekiyu TonenGeneral Sekiyu

Packaging 8 Containers (0.11%) Toyo Seikan Kaisha

Phartnaceutlcals (4.89%) Alfresa Holdings Astellas Pharma

Market % of Quantity Value JPY Net Ass&

132,000 47,652,000 0.10 673.000 314,291,000 0.66

13,300 16.31 9,100 0.03 7,100 35,926,000 0.07

9,700 67,124,000 0.14 40,900 37,873,400 0.08 1 1,200 59,696,000 0.13 36,100 71,730,700 0.15

19,700 58,607,500 0.12 155,100 459,096,000 0.96

60.000 50.220,000 0.10 21 6.000 46.440.000 0.10 62.000 128,030,000 0.27

234.000 66,222,000 0.14 194,000 148,022,000 0.31 22.000 23,210,000 0.05 96,000 69,024,000 0.14

66 10,560.000 0.02 445 36,623,500 0.08

6,400 12,896,000 0.03

4,500 14,940.000 0.03 73,000 67,817,000 0.14 65,000 45.955.000 0.10

46,000 35,558,000 0.07 194,000 88,076,000 0.19 92,000 28,796,000 0.06

3,600 20,088.000 0.04 90,000 146,520,000 0.31 4,600 9,591,000 0.02

85,500 312,075.000 0.66 77.500 138,957,500 0.29

562.000 284,372,000 0.60 56,000 173,600,000 0.36 39.000 140,010,000 0.29

183,600 1,002,456,000 2.10 1 10,000 210,760,000 0.44 21.200 61,904,000 0.13

89,000 3.700

145 5.300

149.000 21 8,000 34,900 58,000

34,176,000 34,854,000

194,300,000 40.1 74,000 99,085.000

155,434,000 40,588,700 55,912,000

0.07 0.07 0.41 0.08 0.21 0.33 0.08 0.12

26.900 50,410,600 0.1 1

4,800 36,384.000 0.08 86,200 387,900.000 0.81


22

UBS-ETF MSCl Japan

Schedule of investments as at 30 June 2008 (Expressed In JPY) (Unaudited) Transferable securities listed on an Offlcial Stock Exchange



Pharmaceuticals (4.89%) (continued) Chugai Pharmaceutical Daiichi Sankyo Dainippon Sumitomo Pharma Eisai Hisamitsu Pharmaceutical Kyowa Hakko Kogyo Mediceo Paltac Holdings Mitsubishi Tanabe Pharrna Ono Pharmaceutical Santen Pharmaceutical Shionogi & Co Suzuken Taisho Pharmaceutical Takeda Pharmaceutical

Real Estate (2.59%) Aeon Mall Daito Trust Construction Leopalace21 Mitsubishi Estate Mitsui Fudosan Nomura Real Estate Holdings N l T Urban Development Sumitomo Realty & Development Tokyo Tatemono Tokyu Land

Real Estate Investment Trusts (0.59%) Japan Prime Realty Investment Japan Real Estate Investment Japan Retail Fund Investment Nippon Building Fund Nomura Real Estate Office Fund

Retail (2.66%) Aeon Citizen Holdings FamilyMart Fast Retailing lsetan Mitsukoshi Holdings J Front Retailing Lawson Marui Group Nitori Seven & I Holdings Shimarnura Takashimaya U NY uss Yamada Denki

Semiconductors (0.89%) Elpida Memory NEC Electronics Rohm Shinko Electric industries Sumco Tokyo Electron

Shipplng (0.09%) Mitsui Engineering & Shipbuilding

Software (0.34%) Konarni Nomura Research Institute Oracle Japan Square Enix

Telecommunications (3.08?4) Hikari Tsushin

43,000 1 16.800 31,000 44,400 9,500

44,000 25.900 45,000 15,200 1 1,800 53,000 10,800 26,000

143.200

10.700 14,000 22,500

205,000 144,000

9,600 183

67,000 53,000 78,000

90 71 56 87 38

104.000 62,700 9,500 9.600

56.900 71,000 11,400 59,200 6,750

143.700 4,100 54,000 34,000 4.600

15,330

16.000 5.100

17,900 13,800 20.800 29,400

123,000

16,200 18,600 7,200 8.100

5,400

73,057,000 341,640,000 26,629,000

166,500,000 43,890.000

50,608,600 62,460,000 88.920.000 31.447.000

11 1.035.000 42,336.000 51,194,000

773,280.000

47.a72,ooo

33,598,000 72,100.000 34,200,000

498,150,000 326,880,000 21,504,000 25,437.000

141,370,000 36.41 1.000 47,034.000

28,260,000 79,520.000 34,272,000

108.750,000 30,362,000

136,344,000 50,724,300 41,230.000 96,576,000 64,695,300 39,831,000 58,938,000 48,958,400 36,855,000

435.41 1.000 26,814,000 52,002,000 35,564,000 32,246,000

1 15,894,600

54,400,000 13,489.500

109,369,000 18,091,800 48,880,000

179,928,000

41.328.000

60.1 02,000 46,314,000 31,176,000 25,434,000

18,900,000

0.15 0.71 0.05 0.35 0.09 0.10 0.1 1 0.13 0.1 9 0.07 0.23 0.09 0.1 1 1.62

0.07 0.15 0.07 1.04 0.68 0.05 0.05 0.30 0.08 0.10

0.06 0.17 0.07 0.23 0.06

0.29 0.1 1 0.09 0.20 0.13 0.08 0.12 0.10 0.08 0.91 0.06 0.1 1 0.07 0.07 0.24

0.1 1 0.03 0.23 0.04 0.10 0.38

0.09

0.13 0.10 0.06 0.05

0.04


23

UBS-ETF MSCl Japan

Schedule of investments as at 30 June 2008 (Expressed In JPY) (Unaudited) Transferable seeurlties listed on an Official Stock Exchange



Telecommunications (3.08%) (continued) KDDl Nippon Telegraph 8 Telephone N T DoCoMo Softbank

Textile (0.71%) Kuraray Mitsubishi Rayon Nisshinbo industries Teuin Toray Industries

Toys, Games 8 Hobbies (2.20%) Namco Bandai Holdings Nintendo

Transportation (4.78%) Central Japan Railway East Japan Railway Hankyu Hanshin Holdings Kawasaki Kisen Kaisha Keihin Electric Express Railway Keio Keisei Electric Railway Kintetsu Mitsui OSK Lines Nippon Express Nippon Yusen Kabushiki Kaisha Odakyu Electric Railway Tobu Railway Tokyu West Japan Railway Yarnato Holdings

Total Common Stocks

TOTAL INVESTMENTS (Cost JPY 49,531,511,833) Other net assets

TOTAL NET ASSETS

488 320,128.000 0.67 907 471,640,000 0.99

2,803 437,268,000 0.91 125,100 223.929.000 0.47

70.000 88,620,000 0.19 86,000 28,810,000 0.06 28,000 35,308,000 0.07

148,000 53,872,000 0.1 1 235,000 133,715,000 0.28

33.000 39,666,000 0.08 16,900 1,012,310,000 2.12

275 572

204,000 102,000 71,000 96,000 49.000

275,000 190,000 134,000 185.000 106,000 137,000 188,000

300 73,000

321,750,000 494,780,000 90,984,000

101,694.000 46,718,000 51,552,000 26,607,000 91,575,000

287,470,000 68,206,000

188,885,000 73,140,000 68,911,000

103,588,000 156,300,000 108,186,000

0.67 1.04 0.19 0.21 0.10 0.1 1 0.06 0.1 9 0.60 0.14 0.40 0.15 0.14 0.22 0.33 0.23 -

99.86 47,666,005,280

47,666,005,280 99.86 86,559,741 0.14

100.00

-

- - 47,732,565,021


24

UBS-ETF MSCl USA Semi-Annual Report as of 30 June 2008

Schedule of Investments as at 30 June 2008 (Expressed in USD) (Unaudlted) Transferable securities listed on an Offlclal Stock Exchange

Market % of Quantlty Value USD Net Assets

Common Stocks

Advertising (0.18%) Interpublic Group Lamar Advertising Omnicom Group

Aerospace B Defense (1 37%) Boeing General Dynamics Goodrich L-3 Communications Holdings Lockheed Martin Northrop Grumman Raytheon Rockwell Collins United Technologies

Agriculture (1.71%) Altria Group Archer-Daniels-Midland Bunge Lorillard Philip Morris international Reynolds American UST

Airllnes (0.03%) Southwest Airlines

Apparel (0.34%) Coach Nike - Class B VF

Auto Manufacturers (0.26%) Ford Motor General Motors Oshkosh Paccar

Auto Parts a Equipment (0.21%) BorgWarner Goodyear Tire I% Rubber Johnson Controls

Banks (3.74%) Associated Banc-Corp Bank of America Bank of New York Mellon BBBT Capital One Financial Comerica Fifth Third Bancorp Huntington Bancshares Keycorp M&T Bank Marshall & llsley National City Northern Trust PNC Financial Services Group Regions Financial State Street SunTrust Banks UnionBanCal US Bancorp Wachovia Wells Fargo Zions Bancorporation

8.024 1,944 7,085

14,441 6,859 2.780 2,440 7,675 6,857 8,312 3.164

18.496

42,819 11,606 2,334 2,783

43.21 9 3,588 3,640

6,258

8.038 8,323 1,620

33,832 10,093 1.948 7,522

1,600 3,908

13,517

3,052 89,888 23.626 11,771 7,748 3.488

10,622 5,780 8.872 1,352 5,420

10,582 4,050 7,359

14,794 8,668 7,648

888 34,703 43,857 65.602 2,580

69,007 70.042

317.975

949,063 577,528 131,939 221,723 757.21 6 458,733 467,799 151,745

1.1 41,203

880,359 391,703 251,349 192,472

2,134,586 167,452 198.780

81,604

232.1 37 496.1 34 115,312

162,732 116,070 40,304

314,645

71,008 69,680

387,667

58,873 2,145.627

893,772 268,026 294,501

89,397 108.1 32 33.351 97,415 95,370 83,089 50,476 277.708 420,199 161,402 554,665 277.01 1 35.893

967,867 681,099

1,558,047 81,244

0.02 0.03 0.13

0.39 0.23 0.05 0.09 0.31 0.19 0.19 0.06 0.46

0.36 0.16 0.10 0.08 0.86 0.07 0.08

0.03

0.09 0.20 0.05

0.06 0.05 0.02 0.1 3

0.03 0.03 0.15

0.02 0.87 0.36 0.1 1 0.12 0.04 0.04 0.01 0.04 0.04 0.03 0.02 0.1 1 0.17 0.07 0.23 0.1 1 0.02 0.39 0.28 0.63 0.03


25


Schedule of investments as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Offlcial Stock Exchange

Market % of Quantity Value USD Net Assets

Beverages (2.35%) An heuser-Busch Brown-Forman Coca-Cola Coca-Cola Enterprises Constellation Brands Dr Pepper Snapple Group Hansen Natural Molson Coors Brewing Pepsi Bottling Group PepsiCo

Building Materials (0.07%) Martin Marietta Materials Masco

Chemicals (2.26%) Air Products & Chemicals Celanese CF Industries Holdings Daw Chemical Du Pant de Nemours Eastman Chemical Ecolab Huntsman international Flavors & Fragrances Monsanto Mosaic PPG industries Praxair Rohm 8. Haas Sherwin-Williams Sigma-Aldrich

Coal (0.47%) Arch Coal Consol Energy Peabody Energy

Commercial Services (1.43%) Accenture - Class A Alliance Data Systems Apollo Group - Class A Choicepoint Equifax H&R Block Hertz Global Holdings iron Mountain Manpower Mastercard McKesson Monster Worldwide Moody3 Pharmaceutical Product Development Robert Half international RR Donnelley & Sons Total System Services Visa Western Union

Computers (4.97%) Affiliated Computer Services Apple Computer Cadence Design Systems Cognizant Technology Solutions Computer Sciences Dell DST Systems Electronic Data Systems EMC Hewlett-Packard

15,468 892

42,218 5,181 3,804 3.625 1,860 2.568 3,364

32,248

960,872 67.408

2.1 94,492 89,631 75,547 76.053 53,605

139,520 93,923

2,050,650

0.39 0.03 0.89 0.03 0.03 0.03 0.02 0.06 0.04 0.83

71 6 74.171 0.03 6.936 109,103 0.04

4,336 2,520

800 19,837 18,862 1,432 3,520 2,780 1.852

11.189 3.185 3.21 2 6,356 2,836 2,480 2.932

428,657 115,063 122,240 692.51 0 808,991 98,608

151,325 31,692 72,339

1.414.737 460,870 184,272 598,989 131,704 1 13,906 157,918

0.17 0.05 0.05 0.28 0.33 0.04 0.06 0.01 0.03 0.57 0.19 0.08 0.24 0.05 0.05 0.06

3,104 232,893 0.10 3,724 41 8,466 0.17 5,684 500,476 0.20

12,283 1,340 3,208 1,752 2.328 6,024 1,816 3,408 1,432 1,449 6,292 3,060 4.715 1,880 3,784 3.956 2,852 7,967

14,831

1.708 18,283 4,244 6,500 3,240

44,567 1,200

12.787 44.273 51,463

500,164 75,777

141,986 84,446 76,267

128,914 17,434 90,482 63,400

384,738 351,786 63,067

162,385 80,652 90,702

1 17,454 63,371

647,797 366,622

91,361 3,061,306

42,864 211,315 151,762 975.126 66,060

315,072 650,370

2.275.179

0.20 0.03 0.06 0.03 0.03 0.05 0.01 0.04 0.03 0.16 0.14 0.02 0.07 0.03 0.04 0.05 0.03 0.26 0.15

0.04 1.24 0.02 0.09 0.06 0.39 0.03 0.13 0.26 0.92


26


Schedule of investments as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Offlclal Stock Exchange


Computers (4.97%) (continued) International Business Machines Lexmark international NetAPP SanDisk Seagate Technology Sun Microsystems Synopsys Teradata Western Digital

Cosmetics 8 Personal Care (2.00%) Avon Products Colgate-Palmolive Estee Lauder Procter 8 Gamble

Distribution 8 Wholesale (0.16%) Fastenal Genuine Parts WW Grainger

Diversified Financial Services (4.68%) Allied Capital American Capital Strategies American Express Ameriprise Financial Citigroup CME Group Countrywide Financial Discover Financial Services Federal Home Loan Mortgage Federal National Mortgage Association Franklin Resources Goldman Sachs Group IntercontinentalExchange I nvesco Janus Capital Group JP Morgan Chase Legg Mason Lehman Brothers Holdings Merrill Lynch Morgan Stanley Nasdaq OMX Group Nymex Holdings NYSE Eumnext Schwab Charles SLM T Rowe Price Group TO Ameritrade Holding

Electric (3.79%) AES Allegheny Energy Alliant Energy Ameren American Electric Power Centerpoint Energy Consolidated Edison Constellation Energy Group Dominion Resources DTE Energy Duke Energy

Edison International Energy East Entergy Exelon FirstEnergy FPL Group MDU Resources Group

DYnegY

28.095 2,404 7.264 5.228

11,711 20,983

3,600 3.028 4,844

9,076 9,886 2,576

62,476

2,940 3,552 1,564

2.480 4,312

22,049 5,034

107,269 1.019 9,100 8,108

14,135 20.497

3,359 7.081 1,088 7.576 4,148

70,821 2,463 9,684

18,237 19.998 2,716 1.644 2,914

22.227 9,732 5,480 6,590

13.061 3,828 1,872 4,572 9,267 5.368 5,971 3,532

13.101 3,564

25,264 8,664 6.679 2.672 3,936

13,501 6,460 7,756 2.300

3,330,100 80,366

157,338 97,764

224,031 228.295

86,076 70,068

167,263

326.91 7 683,123 119,655

3,799,166

126,891 140,943 127,935

34,447 102,496 830,586 204,733

1,797,828 390,471 38,675

106,782 231,814 399,896 307.852

1,238,467 124,032 181,672 109.798

2,429,869 107.313 191,840 578,295 721,328 72,110

138,885 147,623 456,543 188.31 4 309.456 119,213

250,902 191,821 64,135

193,076 372,811 86,156

233.406 289,977 622,167 151,256 439,088

74,077 343,167 66,052

474.209 1,214,550

531,852 508,639 80,178

1.35 0.03 0.06 0.04 0.09 0.09 0.03 0.03 0.07

0.13 0.28 0.05 1.54

0.05 0.06 0.05

0.01 0.04 0.34 0.08 0.73 0.16 0.02 0.04 0.09 0.16 0.13 0.50 0.05 0.07 0.04 0.98 0.04 0.08 0.23 0.29 0.03 0.06 0.06 0.19 0.08 0.13 0.05

0.10 0.08 0.03 0.08 0.15 0.03 0.09 0.12 0.25 0.06 0.18 0.03 0.14 0.03 0.1 9 0.49 0.22 0.21 0.03


27


Schedule of Investments as at 30 June 2008 (Expresied In USD) (Unaudited) Transferable securities listed on an Offlclal Stock Exchange


Electric (3.79%) (continued) Mirant NRG Energy Pepco Holdings PG&E Pinnacle West Capital PPL Progress Energy Public Service Enterprise Group Reliant Energy SCANA Southern Wisconsin Energy Xcel Energy

Electrical Components 8 Equipment (0.36%) Emerson Electric Energizer Holdings

Electronics (0.73%) Agilent Technologies Arnphenol Arrow Electronics Avnet Fiextronics international Garmin Thermo Fisher Scientific Tyco Electronics Waters

Energy -Alternate Sources (0.10%) First Solar Sunpower

Engineering 8 Construction (0.44%) Fluor Foster Wheeler Jacobs Engineering Group KBR McDermotl International

Entertainment (0.07%) International Game technology

Environmental Control (0.20%) Republic Services Waste Management

Campbell Soup ConAgra Foods Dean Foods General Mills Hershey HJ Heinz Hormel Foods Kellogg Kraft Foods - Class A Kroger McCormick 8 Co Safeway Sara Lee Supervalu sysco Tyson Foods Whole Foods Market WM Wrigley Jr.

Forest Products & Paper (0.28%) Domtar International Paper

Food (1.78%)

5,672 4,668 4,600 7,789 2,492 7,995 5,387

10.791 6,588 2,672

16,925 2,760 8.032

222.059 200,257 1 17,990 309.145 76,679

417,899 225,338 495,631 140,127 98,864

591,021 124,807 161.202

0.09 0.08 0.05 0.12 0.03 0.17 0.09 0.20 0.06 0.04 0.24 0.05 0.06

16,287 805,392 0.33 988 72.21 3 0.03

8.470 3.332 2,048 2,592

15,676 2,779 7,982 9,820 2.292

301,024 149,540 62,915 70,710

147.354 119,052 444,837 351,752 147.m

0.12 0.06 0.03 0.03 0.06 0.05 0.18 0.14 0.06

720 196,430 0.08 624 44,916 0.02

1,720 320.058 0.13 2,704 197.798 0.08 2,352 189,806 0.08 3,052 106,545 0.04 4,436 274,544 0.1 1

6,898 172,312 0.07

3,416 101,455 0.04 10,128 381,927 0.16

5.180 10.370 3,788 6,316 3,676 6,872 1,400 5,944

31,501 13,759 2,764 9,712

13,944 4,264

12,081 4,840 3,312 4,263

173.323 199.934 741321

383,823 120,499 328,825 48,454

285,431 896,204 397,222 98,564

277,278 170,814 131.715 332.348 72,310 78.461

331 1576

0.07 0.08 0.03 0.16 0.05 0.13 0.02 0.12 0.36 0.16 0.04 0.1 1 0.07 0.05 0.14 0.03 0.03 0.13

8,528 46,478 0.02 8.925 207,952 0.08


28


Schedule of investments as st 30 June 2008 (Expressed in USD) (Unaudited) Transferable securltles listed on an OfRclai Stock Exchange


Forest Products 8 Paper (0.28%) (continued) MeadWestvaco Plum Creek Timber Weyerhaeuser

Cas (0.19%) Energen NiSource Sempra Energy

Hand & Machine Tools (0.05Yo) Black 8 Decker Stanley Works

Healthcare Products (3.61%) Baxter International Beckman Coulter Becton Dickinson Boston Scientific Covidien CR Bard Dentsply International Henry Schein Hologic Intuitive Surgical JohnsonBJohnson Medtronic Patterson St Jude Medlcal Stryker Varian Medical Systems Zimmer Holdings

Healthcare Serviees (1 .Ol%) Aetna Covance Coventry Health Care DaVita Health Net Humana Laboratory of America Holdings Quest Diagnostics UnitedHealth Group Wellpoint

Holding Companies - Diversified Operations (0.06%) Leucadia National

Home Builders (0.10%) Centex DR Horfon Lennar Pulte Homes Toll Brothers

Home Furnishings (0.04%) Whirlpool

Household Products (0.40%) Awry Dennison Clorox Fortune Brands Ki mberly-Clark Newell Rubbermaid

insurance (3.87%) ACE Aflac Allstate American International Group AON

3,320 3,344 4,071

900 4,832 5,358

1.072 1,248

12.965 1,072 4,616

26,593 9,929 1,992 3,404 2,116 4,680

724 57,491 23,175 2,768 7.397 6.160 2.244 5.023

10,419 1,168 3,580 2,480 2,772 4,045 2,464 3,120

24,649 11,209

3,156

3,148 5,012 3.436 5,452 3,324

1,440

1,704 3,116 2,976 8,009 5,124

7,005 10,763 1 1,446 48,013

5.715

79,149 142,822 208.191

70,227 86.590

302.459

61,651 55,948

828.982 72,392

375,281 326,828 475,500 175,197 125,267 109.122 102,024 195,046

3,698,971 1,199,306

81,352 302,389 387.341 1 16,351 341.81 5

422.282 100.471 108,904 131,762 66,694

160,870 171,568 151,227 647,036 534,221

148,143

42,089 54,380 42,400 52,503 62,258

88,891

74,857 162.655 185,732 478,778 86,032

385,905 675,916 521,823

1,270,424 262,547

0.03 0.06 0.09

0.03 0.04 0.12

0.03 0.02

0.34 0.03 0.15 0.13 0.19 0.07 0.05 0.04 0.04 0.08 1.50 0.49 0.03 0.12 0.16 0.05 0.14

0.17 0.04 0.04 0.05 0.03 0.07 0.07 0.06 0.26 0.22

0.06

0.02 0.02 0.02 0.02 0.02

0.04

0.03 0.07 0.08 0.19 0.03

0.16 0.27 0.21 0.51 0.1 1


29

UBS-ETF MSCl USA

Schedule of investments as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Officlai Stock Exchange


insurance (3.87%) (continued) Assurant Axis Capital Holdings Berkshire Hathaway Chubb Cigna Cincinnati Financial Everest Re Group Fidelity National Financial First American Genworth Financial Hartford Financial Services Group Lincoln National Loews Marsh & McLennan Metlife Nationwide Financial Services Old Republic international PartnerRe Principal Financial Group Progressive Prudential Financial RenaissanceRe Holdings Safeco Torchmark Travelers Unum Group White Mountains Insurance Group Willis Group Holdings WR Berkley XL Capital - Class A

internet (2.14%) Akamai Technologies Amazon.Com eBay Expedia Google - Class A IACllnterActiveCorp Liberty Media - interactive - Class A McAfee priceline.com Symantec VeriSign Yahoo!

iron i% Steel (0.58%) AK Steel Holding Allegheny Technologies Cleveland-Cliffs Nucor Steel Dynamics United States Steel

Leisure Time (0.21 %) Carnival Harley-Davidson Royal Caribbean Cruises

Lodging (0.28%) Las Vegas Sands Marriott international - Class A MGM Mirage Starwood Hotels & Resorts Worldwide Wyndham Worldwide Wynn Resorts

Machinery -Construction 8 Mining (0.50%) Caterpillar Joy Global Terex


1,996 2,420

190 8,204 5,446 2,692 1,172 3,376 1,440 8.635 6,629 5,853 7,003

10,183 14,657

752 3,548 1,388 5,229

12.691 9,169 1.164 1,404 1,712

13,021 6,852

100 2,504 3,780 3,157

3,676 6,590

22.092 4,600 4,859 4,700

11.016 2,872

442 17,255 4,744

25,356

131,656 72,140

762,280 402.078 192,734 68,377 93.420 42,538 38,016

153,789 428,035 265.258 328,441 270,359 773,450 36,104 42,008 95.952

21 9,461 237,576 547,756 51,998 94,293

100,409 5651 11 140,123 42,900 78,550 91,325 64,908

127,888 483,245 603,775 84.548

2,557,875 90,616

162,596 97.734 51,033

333,884 179,323 523.855

0.05 0.03 0.31 0.16 0.08 0.03 0.04 0.02 0.01 0.06 0.17 0.1 1 0.13 0.1 1 0.31 0.01 0.02 0.04 0.0b 0.10 0.22 0.02 0.04 0.04 0.23 0.06 0.02 0.03 0.04 0.03

0.05 0.20 0.24 0.03 1.04 0.04 0.07 0.04 0.02 0.13 0.07 0.21

1,700 1 17,300 0.05 1,712 101,487 0.04 1,500 178,785 0.07 6,140 458.474 0.18 3,700 144,559 0.06 2,356 435,342 0.18

9,345 308,011 0.12 4.569 165.672 0.07 2,416 54,288 0.02

2,039 96,730 0.04 7.292 191,342 0.08 2,366 80,184 0.03 4.388 175,827 0.07 2,932 52,512 0.02 1.182 96,156 0.04

13,301 981.860 0.40 2,076 157,423 0.06 1.688 96,986 0.04


30


Schedule of investments as at 30 June 2008 (Expressed In USD) (Unaudited) Transferable securities listed on an OfRciai Stock Exchange

Machinery - Diversifled (0.58%) AGCO Cummins Deere Flowserve Manitowoc Rockwell Automation Roper Industries

Medla (2.79%) Cablevision Systems CBS - Class B Clear Channel Communications Comcast - Class A Comcast - Class A Special DiRECTV Group Discovery Holding DISH Network EW Scripps Gannett Liberty Global Liberty Media - Entertainment McGraw-Hill News - Class A News - Class B Sirius Satellite Radio Time Warner Time Warner Cable - Class A Viacom - Class B Walt Disney Washlngton Post XM Satellite Radio Holdings

Metal FabricatelHardware (0.10%) Precision Castparts

Mining (0.89%) Alcoa Freeport-McMoRan Copper 8 Gold Newmont Mining Vulcan Materials

Miscellaneous Manufacturers (4.28%) 3M Cooper industries Danaher Dover Eastman Kodak Eaton General Electric Harsco Honeywell International Illinois Tool Works Ingersoll-Rand - Class A ITT Leggett 8 Platt Pall Parker Hannifin Pentair SPX Textron Tyco International

Offlca 8 Business Equipment (0.17%) Pitney Bowes Xerox

Oil 8 Gas (12.52%) Anadarko Petroleum Apache Cabot Oil 8 Gas


1,200 62,892 0.03 3,700 242,424 0.10 9,221 665.1 11 0.27

900 123.030 0.05 2,632 85,619 0.03 3,208 140,286 0.06 1,616 106,462 0.04

4,124 11,607 8,825

40.012 19,620 16.109 4,944 4,768 2,212 5.320 7,481 9,575 6,884

36,714 0,230

23,004 73,591 3,183

1 1,406 37,828

92 5.148

93,202 226,221 310,640 759,028 368,071 41 7,384 108,570 139,607 91,887

1 15,284 231,558 232,002 276,186 552,179 126.453 44,168

1,089.147 84.286

348,339 1,160,234

53,995 40.360

0.04 0.09 0.13 0.31 0.15 0.17 0.04 0.06 0.04 0.05 0.09 0.09 0.1 1 0.22 0.05 0.02 0.44 0.03 0.14 0.48 0.02 0.02

2.588 249,406 0.10

17,884 637,028 0.26 8,054 943.048 0.38 9.237 481,802 0.20 2.076 124,104 0.05

13,299 3,828 5.268 4,308 5,204 3,476

205.999 1.528

14.905 0,392 6,867 3,844 2,948 2,948 3.652 1,504

992 5,000

10,524

925,477 151,206 407.21 6 212,248 75,094

295,356 5,498,113

83,138 749,423 398,704 257.032 243,441 49,438

116,977 260,461

52,670 130,676 240,033 421.381

0.37 0.06 0.17 0.09 0.03 0.12 2.23 0.03 0.30 0.16 0.10 0.10 0.02 0.05 0.1 1 0.02 0.05 0.10 0.17

4,052 138,173 0.06 20.079 272.271 0.1 1

9,829 735,602 0.30 6,763 940,057 0.38 1,300 88,049 0.04


31


Schedule of investments a8 at 30 June 2008 (Expressed In USD) (Unaudited) Transferable securltles Ilsted on an OMclal Stock Exchange


Oil 8 Gas (12.52%) (continued) Chesapeake Energy Chevron Cimarex Energy ConocoPhillips Denbury Resources Devon Energy Diamond Offshore Drilling ENSCO International EOG Resources Equitable Resources Exxon Mobii Forest Oil Helmerich & Payne Hess Marathon Oil Murphy Oil Nabon Industries Newfield Exploration Noble Noble Energy Occidental Petroleum PattersoMJTl Energy Pioneer Natural Resources Plains Exploration & Production Pride International Questar Quicksilver Resources Range Resources Rowan SandRidge Energy Southwestern Energy Sunoco Tesoro Transocean Ultra Petroleum Valero Energy XTO Energy

Oil 8 Gas Services (2.74%) Baker Hughes BJ Services Cameron International Exterran Holdings FMC Technologies Halliburton National Oilwell Varco Schlumberger Smith international Weatherford International

Packaging 8 Containers (0.14%) Ball Owens-Illinois Pactiv Sealed Air

Pharmaceuticals (6.56%) Abbott Laboratories Allergan ArnerisourceBergen Amgen Arnylin Pharmaceuticals Barr Pharmaceuticals Biogen ldec Bristol-Myers Squibb Cardinal Health Celgene Cephalon Charles River Laboratories International Eli Lilly

9,543 42,487

1,932 30,714 4,596 8,589 1,336 3,200 4,969 2,148

110.166 1,600 1,500 5.774

14.976 3.21 6 6,216 2.432 5.844 3.348

17.739 3,680 2,752 2.368 3,756 3,344 1,500 2,892 2,672

977 6,696 2,556 3,316 6,312 2,984

11,673 10,211

6,499 6.496 4.248 1,072 2,432

18,516 8,542

25,199 4,388

13,504

2,616 2,976 2,132 3.068

31,597 5.899 3,852

21,345 3,224 2,388 6,276

40,177 6.71 6 8,795 1,564 1,160

20,759

629,456 4.21 1,736

134,602 2,899,094

167,754 1,032,054

185,891 258,368 651,933 148,341

9,708,930 11 9,200 108,030 728,621 776,805 31 5,329 306,014 158,688 379.626 336,675

1,594,026 132,627 21 5,427 172,793 177,621 237.558 57,960

189,542 124,916 63,095

318,797 104,004 65,557

961,886 293,029 480,694 699,556

567,623 207.482 235,127

76,637 187.094 982,644 757,846

2,707.1 29 364,818 669,663

124,888 124,069 45,262 58,323

1,673,693 307,043 154.042

1,006,630 81,857

107,651 350,766 824,834 346.41 1 561,737 104.303 74,147

958,235

0.26 1.71 0.05 1.17 0.07 0.42 0.08 0.10 0.26 0.06 3.93 0.05 0.04 0.30 0.31 0.13 0.12 0.06 0.15 0.14 0.65 0.05 0.09 0.07 0.07 0.10 0.02 0.08 0.05 0.03 0.13 0.04 0.03 0.39 0.12 0.1 9 0.28

0.23 0.08 0.09 0.03 0.08 0.40 0.31 1.10 0.15 0.27

0.05 0.05 0.02 0.02

0.68 0.12 0.06 0.41 0.03 0.04 0.14 0.33 0.14 0.23 0.04 0.03 0.39


32


Schedule of Investments as at 30 June 2008 (Expressed In USD) (Unaudlted) Transferable securities listed on an Officlal Stock Exchange

Market Yo of Quantlty Value USD Net Assets

Pharmaceuticals (6.56%) (continued) Express Scripts Forest Laboratories Genentech Genzyme Gilead Sciences Hospira lnvitrogen Medco Health Solutions Merck Millipore Pfirer Schering-Plough Vertex Pharmaceuticals Wyeth

Pipelines (0.49%) El Paso Oneok Spectra Energy Williams

Real Estate (0.04%) CB Richard Ellis Group Forest City Enterpdses

Real Estate Investment Trusts (1.39%) AMB Property Annaly Capital Management Apartment Investment & Management AvalonBay Communities Boston Properties Camden Property Trust Developers Diversified Realty Duke Realty Equity Residential Federal Realty Investment Trust General Growth Properties HCP Host Hotels 8. Resorts Kimco Realty Liberty Property Trust Macerich Prologis Public Storage Regency Centers Simon Property Group SL Green Realty UDR Ventas Vornado Reality Trust

Retail (5.14%) Abercrombie & Fitch Advance Auto Parts American Eagle Outfitters AutoNation Autorone Bed Bath & Beyond Best Buy Carmax Costco Wholesale cvs Darden Restaurants Family Dollar Stores GameStop

Home Depot JC Penney Kohl's Lowe's

Gap

4,609 5,981

10,019 5,710

20,037 3,576 1,608

10,763 43.564

888 141.567 31.183 3.328

27.382

13,648 1,200

12,475 12,598

4,272 872

1,796 11,304 2,404 1.440 2,343 1,188 2,848 3.100 5.981

984 4.848 5,216

10,216 4,928 1,512 1,352 5,182 2,539 1,256 4,424 1,080 3,324 2,424 2,634

2,024 1,692 4,900 1,916

808 5,952 7,658

8,442 29.415 2,524 2.924 2.700

10.813 35,308 4.764 6.556

29,775

3.748

289,077 207,780 760,442 41 1,234

1,060,959 143,433 63,130

508,014 1,641,927

60,260 2,473,176

613,993 11 1,388

1,313,241

296.708 58.596

358.531 507,825

82.022 28,096

90,482 175,325 81.880

128,390 21 1,385

52,581 98,854 69.595

228,893 67.896

109,825 165,921 139.448 170.1 15 50,123 84,000

281,642 205,126 74,255

397,673 89,338 74,391

103.190 231,792

126,864 65.700 66,787 19,198 97,776

167.251 3 0 3.2 5 7

53.184 592,122

1 ,163,952 80,617 58.305

109,080 180,253 826,913 172,886 262,502 617,831

0.12 0.08 0.31 0.17 0.43 0.06 0.03 0.21 0.66 0.02 1 .oo 0.25 0.05 0.53

0.12 0.02 0.14 0.21

0.03 0.01

0.04 0.07 0.03 0.05 0.09 0.02 0.04 0.03 0.09 0.03 0.07 0.07 0.06 0.07 0.02 0.03 0.1 1 0.08 0.03 0.16 0.04 0.03 0.04 0.09

0.05 0.03 0.03 0.01 0.04 0.07 0.12 0.02 0.24 0.47 0.03 0.02 0.04 0.07 0.34 0.07 0.1 1 0.25


33


Schedule of Investment8 as at 30 June 2008 (Expressed In USD) (Unaudlted) Transferable securltles listed on an Offlclal Stock Exchange

Market Yo of Puantlty Value USD Net Assets

Retail (5.14%) (continued) Ltd Brands Macy's McDonald's Nordstmm Office Depot PetSmart Polo Ralph Lauren Ross Stores Sears Holdings Staples Starbucks Target Tiffany 8 Co Tim Hortons TJX Urban Ouffitters Wal-Matt Stores Walgreen Willlams-Sonoma Yum! Brands

Savlngs 8 Loans (0.22%) Hudson City Bancorp New York Community Bancorp People's United Financial Sovereign Bancorp Washington Mutual

Semlconductors (2.61 %) Advanced Micro Devices Altera Analog Devices Applied Biosystems Applied Materials Broadcom Intel lntersil Kla-Tencor Lam Research Linear Technology LSI Marvel1 Technology Group MEMC Electronic Materials Microchip Technology Micron Technology National Semiconductor Nvidia Texas Instruments Xilinx

Software (4.00%) Activision Adobe Systems Autodesk Automatic Data Processing BMC Software CA Citrix Systems Dun 8 Bradstreet Electronic Arts Fidelity National Information Services Fiserv IMS Health Intuit Microsoft NAVTEQ Oracle Paychex Sa1esforce.com SEI Investments

5,744 8,314

22,963 4,408 4,336 3,336 1,480 3,216 1,392

14,769 14.251 15.152 2,420 3,412 9.679 1,600

48,573 20.818

1,312 10.140

9,376 6.796 6,288

1 1.876 17,265

10,148 6,204 6,672 3,952

29,153 10,357

121,261 3,232 4,124 2,944 3.440

11,736 9,060 4,885 4,856

13,724 5,652

11,678 25.967 6,692

6,496 10,341 5,220 9,976 3,596 9,110 4.408

980 6.818 3.600 3,476 4,600 7,044

174,218 2.196

85.191 7.392 1,704 2,400

96.786 161,458

1,290,980 133.562 47.436 66,553 92.914

114,232 102,535 350,764 224.31 1 704.41 7

98,615 97,890

304,598 49,904

2,729,803 676,793 26,030

355,813

156,392 121,241 98,093 87,407 85,116

59,163 128,423 21 1,969 132,313 556,531 282,842

2,604,686 78,602

167,888 106,426 11 2.041 72.059

160.000 300,623 148,302 82.344

1 16,092 218,612 731,231 168,973

221,319 407,332 176,488 41 7,994 129,456 210,350 129,639 85,887

302,924 132,876 157,706 107.180 194,203

4,792,737 169,092

1,789.01 1 231,222 1 16,264 56,448

0.04 0.07 0.52 0.05 0.02 0.03 0.04 0.05 0.04 0.14 0.09 0.29 0.04 0.04 0.12 0.02 1.11 0.27 0.01 0.14

0.06 0.05 0.04 0.04 0.03

0.02 0.05 0.09 0.05 0.23 0.1 1 1.06 0.03 0.07 0.04 0.05 0.03 0.06 0.12 0.06 0.03 0.05 0.09 0.30 0.07

0.09 0.17 0.07 0.17 0.05 0.09 0.05 0.04 0.12 0.05 0.06 0.04 0.08 1.94 0.07 0.73 0.09 0.05 0.02


34


Schedule of Investments as at 30 June 2008 (Expressed In USD) (Unaudited) Transferable securities listed on an Offlclal Stock Exchange

Market % of Quantlty Value USD Net Assats

Software (4.00%) (continued) VMware

Telecommunlcatlons (5.67%) American Tower - Class A AT8T Cisco Systems Coming Crown Castle International Embarq Harris JDS Uniphase Juniper Networks Level 3 Communications MetroPCS Communications Motorola NII Holdings Qualcomm Qwest Communications International Sprint Nextel Telephone & Data Systems Verizon Communications Virgin Media Windstream

Textlle (0.06%) Cintas Mohawk Industries

Toys, Games IL Hobbies (0.10%) Hasbro Mattel

Transportation (1.73%) Burlington Northern Santa Fe CH Robinson Worldwide csx Expeditors International of Washington FedEx Norfolk Southern Union Pacific United Parcel Service - Class B

Water (0.01%) Aqua America

Total Common Stocks

TOTAL INVESTMENTS (Cost USD 258,548,778) Other net assets

781

8.695 123.1 61 123.706 33,037 5,240 3,484 2,660 4,160

10.840 25.112 2,840

48,720 3,644

32.268 28,569 54,951

692 60,005

5,224 9.208

3,404 988

3,312 6,840

7,374 3.336 8,918 4,660 5,953 8,226

10.21 8 13,616

2,024

42,065

367,364 4,149,294 2.877.402

761,503 202,945 164,689 134,303 47.258

240,431 74,080 50,296

357,605 173,054

1,431,731 1 12,276 522,034 32.71 1

2,124.1 77 71,099

113.627

90,240 63,331

118,304 117,101

736,589 182,946 560,140 200,380 469.037 515,523 771,459 836.975

32,323

246,561,967

246,561,967 358,200

TOTAL NET ASSETS 246,920,j 67

0.02

0.15 1.68 1.16 0.31 0.08 0.07 0.05 0.02 0.10 0.03 0.02 0.14 0.07 0.58 0.05 0.21 0.01 0.86 0.03 0.05

0.04 0.02

0.05 0.05

0.30 0.07 0.23 0.08 0.19 0.21 0.31 0.34

0.01

99.85

99.85 0.15

100.00

-

- -


35

UBS-ETF MSCl World Semi-Annual Report as of 30 June 2008

Schedule of investments as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Offlciai Stock Exchange

Market Yo of Quantity Value USD Net Assets

Common Stocks

Advertlslng (0.15%) Lamar Advertlsing Omnicom Group

Aerospace 8 Defenso (1.19%) BAE Systems Boeing Cobham Finmeccanica General Dynamics Goodrich Lockheed Martin Northrop Grumman Raytheon Rockwell Collins United Technologies

Agriculture (1.14%) Altria Group Archer-Daniels-Midland British American Tobacco imperial Tobacco Group Japan Tobacco Lorillard Philip Morris international Reynolds American UST

Alrlines (0.13%) British Airways Singapore Airlines

Apparel (0.29%) Adidas-Salomon Coach Esprit Holdings Gildan Activewear - Class A Nlke - Class B

Auto Manufacturers (1.72%) Bayerische Motoren Werke Daihatsu Motor DairnlerChtysler - Registered Fiat General Motors Honda Motor Nissan Motor Paccar Peugeot Renault Scania Toyota Motor Volkswagen

Auto Parts B Equipment (0.55%) BorgWarner Bridgestone Continental Denso GKN Goodyear Tire & Rubber Johnson Controls JTEKT NHK Spring NOK Sumitomo Rubber Industries

Banks (9.41%) Allied Irish Banks

203 305

2.720 509

1,474 31 7 1 02 102 203 203 102 102 61 0

814 407 61 9 358

1 203

1,119 203 203

1,713 1.000

90 203

1,100 203 203

312 1,000

596 736 305 700

2,000 102 190 117 407

1,300 107

1 02 700 89

200 1,112

203 203 500

1.000 500

1,000

345

7.314 13,688

23.953 33,452 5,802 8,331 8,588 4,841

20,028 13,581 5,741 4,892

37,637

16,736 13,736 21,423 13,330 4,273

14,040 55,267 9,474

11,086

7,338 10,820

5,687 5.863

1 1.427 5,244

12,101

15,018 11,471 36,885 12,071 3.508

23.839 16.546 4,267

10.325 9.604 5,582

61,440 30,898

4.527 10.717 9,152 6,887 4,935 3,620 5,822 7,943 7.981 7,962 7,471

5,326

0.05 0.10

0.17 0.24 0.04 0.06 0.06 0.03 0.14 0.10 0.04 0.04 0.27

0.12 0.10 0.15 0.10 0.03 0.10 0.39 0.07 0.08

0.05 0.08

0.04 0.04 0.08 0.04 0.09

0.1 1 0.08 0.26 0.09 0.02 0.17 0.12 0.03 0.07 0.07 0.04 0.44 0.22

0.03 0.08 0.06 0.05 0.03 0.03 0.04 0.06 0.06 0.06 0.05

0.04


36

UBS-ETF MSCl World

Schedule of Investments as at 30 June 2008 (Expressed in USD) (Unaudlted) Tranuferable securities ilsted on an Omclal Stock Exchange


Market %e of Quantity Value USD Net Assets

Banks (9.41%) (continued) Anglo Irish Bank Australia & New Zealand Banking Group Banco Bilbao Vizcaya Argentaria Banco Santander Central Hispano Bank of America Bank of Montreal Bank of New York Mellon Bank of Nova Scotia Bank of Yokohama Barclays Barclays BB8T BNP Paribas Canadian Imperial Bank of Commerce Capital One Financial Chugoku Bank /The Comerica Commenbank Commonwealth Bank of Australia Credit Agricole Danske Bank DBS Group Holdings Deutsche Bank - Registered Erste Bank der Oesterreichischen Sparkassen Fortis Hang Seng Bank HBOS HSBC Holdings lntesa Sanpaolo lyo Bank Rhe Julius Baer Holding KBC Groep Keycorp Lloyds TSB Group Marshall 8 llsley Mitsubishi UFJ Financial Group Mizuho Financial Group National Australia Bank National Bank of Greece Nordea Bank Oversea-Chinese Banking Piraeus Bank PNC Financial Services Group Raiffeisen International Bank Royal Bank of Canada Royal Bank of Scotland Group Skandinaviska Enskilda Banken - Class A Societe Generale St George Bank Standard Chartered State Street Sumitomo Mitsui Financial Group Sumitomo Trust & Banking SunTrust Banks Swedbank Toronto-Dominion Bank UniCredito ltaliano Unione di Banche ltaliane United Overseas Bank US Bancorp Wachovia Wells Fargo Westpac Banking Yarnaguchi Financial Group Zions Bancorporation

Beverages (1 .SO%) Anheuser-Busch Asahi Breweries Coca-Cola

990 1,421 2,281 3,264 2,238

102 407 407

1,000 2.704

579 509 518 305 305

1.000 305 176 903 65 1 407

1.000 346 202

1,160 800

2.686 6,263 5,020 1,000

76 149 305

2,057 305

6.300 4

1.144 407

1,628 3,000

179 102 80

814 7,077

61 0 328 549 627 102

4 1,000

305 509 509

7,271 438

1.000 712 814

1,424 1,369 1,000

203

509 600

1,221

9,281 25,528 43,737 60.014 53.421 4,273

15.397 18,722 6,924

15,687 109

1 1,590 46,960 16,865 1 1,593 14.546 781 7 5,224

34.81 0 13.31 3 1 1.780 13,881 29,901 12,584 18.569 16,877 14,754 96.692 28,691 11,726 5,148

16,557 3,349

12,721 4,676

55,925 18,716 29,093 18,353 22.490 18,040 4,868 5,824

10,231 36.771 30,281 1 1,358 28,573 14.283 17,844 6,527

30,150 7,000

11,047 9,858

32,234 44,535 10.275 13.705 19,858 12,641 33,820 26,275 13,867 6.392

31.61 9 11,218 63.468

0.07 0.18 0.31 0.43 0.38 0.03 0.1 1 0.13 0.05 0.1 1 0.00 0.08 0.34 0.12 0.08 0.10 0.06 0.04 0.25 0.10 0.08 0.10 0.21 0.09 0.13 0.12 0.1 1 0.69 0.20 0.08 0.04 0.12 0.02 0.09 0.03 0.40 0.13 0.21 0.13 0.16 0.13 0.03 0.04 0.07 0.26 0.22 0.08 0.20 0.10 0.13 0.05 0.22 0.05 0.08 0.07 0.23 0.32 0.07 0.10 0.14 0.09 0.24 0.19 0.10 0.05

0.23 0.08 0.45


37

UBS-ETF MSCl World

Schedule of investments as at 30 June 2008 (Expressed In USD) (Unaudited) Transferable securities listed on an Offlclal Stock Exchange


Market % of Quantlty VdU8 USD Net Assets

Beverages (1 .SO%) (continued) Diageo Hansen Natural Heineken It0 En Kirin Brewery Pepsi Bottling Group PepsiCo Pernod-Ricard SAQMiller

Building Materials (0.61%) Asahi Glass Compagnie de Saint-Gobain CRH Holcirn JS Group Lafarge TOTO

Chemicals (3.28%) Agrium Air Liquide Air Products 8 Chemicals Akzo Nobel BASF Bayer Dow Chemical Du Pont de Nemours lncitec Pivot Johnson Matthey K+S Koninklijke DSM Linde Lonza Group Monsanto Mosaic Nissan Chemical industries Potash of Saskatchewan Praxair Rohm 8 Haas Sherwin-Williams Shin-Etsu Chemical Sigma-Aldrich Solvay Syngenta Yara international ASA

Coal (0.20%) Arch Coal Consol Energy Peabody Energy

Commercial Services (1 36%) Abertis infraestructuras Accenture - Class A Atlantia BRiSA Bunzl Capita Group Choicepoint Dai Nippon Printing Equlfax Experian Group G4S Mastercard McKesson Monster Worldwide Moody's Robert Half International Serco Group

1,007 203 265 500

1.000 305

1,017 54

276

1.000 119 498 195 600 122

1.000

203 192 102 239 628 502 509 509 76

306 12

199 79 80 239 102

1,000 203 102 203 203 100 203

84 50

203

102 102 102

387 102 348 416 725 91 1 203

1,000 203

1,274 1,765

23 305 203 305 203

1.117

18,518 5.850

13.536 7,886

15.641 8,516

64,671 5,551 6,328

12,113 7,451

14.672 15,841 9,549

18,720 7,056

22,000 25,371 10,084 16.440 43,358 42,283 17,769 21,831 13,493 11,242 6,925

11,717 11.115 11,129 30,219 14,759 12,320 47,335

9,612 9.427 9,324 6,207

10,934 10,997 16,309 17,975

7,653 1 1,462 8,981

9,189 4,153

10,544 4.81 1 9,443

12,465 9,785

14.763 6,825 9,470 7.113 6,107

17,053 4,184

10,504 4.866 9,953

0.13 0.04 0.10 0.06 0.1 1 0.06 0.46 0.04 0.04

0.09 0.05 0.1 1 0.1 1 0.07 0.13 0.05

0.16 0.18 0.07 0.12 0.31 0.30 0.13 0.15 0.09 0.08 0.05 0.08 0.08 0.08 0.21 0.10 0.09 0.34 0.07 0.07 0.07 0.04 0.08 0.08 0.12 0.13

0.06 0.08 0.06

0.07 0.03 0.08 0.03 0.07 0.09 0.07 0.1 1 0.05 0.07 0.05 0.04 0.12 0.03 0.07 0.03 0.07

The accompanylng notes form an integral part of these financial statements.

38

UBS-ETF MSCl World

Schedule of Investment6 as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Omslal Stock Exchange

Sernl-Annual Report as of 30 June 2008


Commercial Services (1.36%) (continued) Toppan Printing Visa Western Union

Computers (2.74%) Apple Computer Cognizant Technology Solutions Dell Electronic Data Systems EMC Fujitsu Hewlett-Packard indra Sistemas international Business Machines Lexmark International NetAPP Obic Research In Motion SanDisk Western Digital

Cosmetics & Personal Care (1.27%) Avon Products Colgate-Palrnolive Estee Lauder L'Oreal Procter 8 Gamble Unicharm

Distrlbution &Wholesale (0.73%) Canon Marketing Japan Fastenal lnchcape ltochu Marubeni Mitsubishi Mitsui Sumitomo Wolseley

Diversified Financial Services (3.78%) 3i Group Aeon Credit Service Aiful American Capital Strategies American Express Ameriprise Financial ASX Citigroup Compagnie Financiere Richemont Credit Suisse Group Daiwa Securities Group Deutsche Boerse Federal Home Loan Mortgage Federal National Mortgage Association Franklin Resources Goldman Sachs Group Hong Kong Exchanges and Clearing investor - Class B Janus Capital Group JP Morgan Chase Legg Mason Lehman Brothers Holdings London Stock Exchange Group Macquarie Group Man Group Merrill Lynch Morgan Stanley Nasdaq OMX Group Nomura Holdings

1.000 11,028 0.08 266 21.628 0.15 305 7,540 0.05

509 305 814 61 0 712

1,000 1,424

330 814 203 407 50 305 203 203

85,227 9.91 6

17,810 15.030 10.459 7,434

62,955 8,589

96,483 6,786 8.81 6 8.41 0

35,982 3,796 7,010

0.61 0.07 0.13 0.1 1 0.07 0.05 0.45 0.06 0.69 0.05 0.06 0.06 0.25 0.03 0.05

407 14.660 0.1 1 407 28,124 0.20 203 9,430 0.07 70 7,621 0.05

1,831 111,343 0.79 100 7.122 0.05

400 102 879

1.000 2,000

500 1,000 1.100

739

305 500 450 203 407 305 329

2,441 163 420

1,000 56

509 810 203 203

1,000 610 203

2,034 203 509 319 297 724 712 71 2 203

1,400

7,049 4,402 5.589

10,669 16,735 16,509 22,122 14,476 5.537

5,008 6,270 5,221 4.825

15.332 12,404 9,914

40.91 1 9,105

19,338 9,207 6,325 8.348

1 1,901 18.605 35.505 14.620 12,904 5.373

691787 8,845

10.083 4.952

13,863 8,991

22,578 25.682

5,390 20.774

0.05 0.03 0.04 0.07 0.12 0.12 0.16 0.10 0.04

0.04 0.04 0.04 0.03 0.1 1 0.09 0.07 0.29 0.07 0.14 0.07 0.05 0.06 0.09 0.1 3 0.25 0.1 0 0.09 0.04 0.50 0.06 0.07 0.04 0.10 0.06 0.16 0.18 0.04 0.1 5


39


Schedule of Investments as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Official Stock Exchange


Diversified Financial Services (3.78%) (continued) Nymex Holdings NYSE Euronext ORlX Schwab Charles Singapore Exchange UBS

Electric (4.37%) Allegheny Energy American Electric Power British Energy Group CLP Holdings Consolidated Edison Constellation Energy Group Dominion Resources DTE Energy Duke Energy E.ON EDF Edison International Enel Entergy Exelon FirstEnergy Fortum FPL Group I berdrola International Power Kansai Electric Power MDU Resources Group Mirant National Grid NRG Energy Pepco Holdings PGBE Pinnacle West Capital PPL Progress Energy Public Service Enterprise Group Red Electrica de Espana RWE SCANA Scottish B Southern Energy Southern Suez Tokyo Electric Power Union Fenosa Wisconsin Energy

Electrical Components & Equipment (0.64%) Brother Industries Casio Computer Emerson Electric Hitachi Mitsubishi Electric Schneider Electric Sharp Sumitomo Electric Industries Toshi ba Ushio

Electronlc~ (1.13%) Agilent Technologies Alps Electric Avnet Fanuc Kyocera NGK insulators Royal Philips Thermo Fisher Scientific

102 203 90

305 2,000 1,920

203 407 735

2,000 305 203 203 203 305 380 180 305

1,681 203 305 203 399 1 02

1,360 1,488

300 203 305 850 305 407 407 203 203 305 203 151 300 1 02 333 203 605 400 185 203

600 700 305

1,000 2,000

59 1,000 1.000 2,000

500

305 800 203 200 200

1,000 789 305

8,617 10,284 12,897 6,265

10,172 40,413

10,172 16,374 10,422 17,134 11,922 16,666 9,640 8.61 5 5,301

76,725 17,112 15,671 15,997 24.457 27.438 16,713 20,280 6,689

18.235 12.793 7,033 7,077

11,941 11,173 13,084 10,440 16,154 6,246

10,611 12.750 9,324 9.838

37,922 3,774 9,298 7.089

41.21 7 10,301 10,790 9,180

8,258 7,984

15,082 7,226

21,603 6,378

16.31 0 12.71 6 14,773 8,184

10,840 8.279 5.538

19.565 18.867 19,480 26,864 16.998

0.06 0.07 0.09 0.04 0.07 0.29

0.07 0.12 0.07 0.12 0.08 0.12 0.07 0.06 0.04 0.55 0.12 0.1 1 0.1 1 0.17 0.20 0.12 0.14 0.05 0.13 0.09 0.05 0.05 0.09 0.08 0.09 0.07 0.12 0.04 0.08 0.09 0.07 0.07 0.27 0.03 0.07 0.05 0.29 0.07 0.08 0.07

0.06 0.06 0.1 1 0.05 0.15 0.04 0.12 0.09 0.10 0.06

0.08 0.06 0.04 0.14 0.13 0.14 0.19 0.12


40

UBS-ETF MSCl World

Schedule of investments as at 30 June 2008 (Expressed in USD) (Unaudited) transferable securities listed on an MAciai Stock Exchange



Electronics (1.13%) (continued) Tyco Electronics Waters Yaskawa Electric Yokogawa Electric

Energy -Aiternate Sources (0.14%) Vestas Wind Systems

Englneering 8 Construction (0.89%) ABB Aeroports de Paris Amec Balfour Beatty Bouygues Foment0 de Construcclones y Contratas Foster Wheeler McDerrnott international Strabag Vinci WorleyParsons

Entertalnment (0.1 3%) International Game Technology OPAP

Environmental Control (0.14%) Waste Management

Food (3.22%) Ajinomoto Cadbury schweppes Campbell Soup Carrefour Compass Group Danisco General Mills Groupe Danone Hershey HJ Heinz J Sainsbury Kellogg Koninklijke Ahold Kraft Foods - Class A Kroger McCormick 8 Co Metro Morrison WM Supermarkets Nestle Nippon Meat Packers Nisshin Seifun Group Supervalu sysco Tate & Lyle Tesco Unilever Unilever Whole Foods Market WM Wrigley Jr. Woolworths

Forest Products LL Paper (0.21%) International Paper Plum Creek Timber Weyerhaeuser

Gas (0.34%) Centrica Enagas GDF Sempra Energy

203 102

1,000 900

153

1,427 54

632 1,170

92 89

102 1 02 79

329 1 74

305 301

509

1,000 453 305 455

2,008 1 02 305 178 305 305

1,427 305 521 61 0 203 203 164

1,787 1,980 1,000

500 203 203

1,073 3,339

476 1,118

203 203 943

509 305 1 02

1,128 335 220 305

7.271 6,579 9,820 8,244

20,040

40,712 5,057

11.194 9,896 6.1 11 5,292 7,461 6,313 6,161

20.21 6 8,322

7,619 10,519

19,194

9.471 5,702

10.205 25,779 15,166 6,562

18.535 12,508 9.998

14,594 9,038

14,646 7,010

17,355 5,861 7,239

10.475 9,469

89,728 13,565 6,292 6.271 5,585

24.540 13,537 31,759 4,809

15,789 22.126

8,488

11,860 13,027 5,216

6,965 9,501

14.149 17.21 7

0.05 0.05 0.07 0.06

0.14

0.29 0.04 0.08 0.07 0.04 0.04 0.05 0.05 0.04 0.14 0.05

0.05 0.08

0.14

0.07 0.04 0.07 0.18 0.1 1 0.05 0.13 0.09 0.07 0.10 0.06 0.10 0.05 0.12 0.04 0.05 0.08 0.07 0.64 0.10 0.05 0.04 0.04 0.06 0.18 0.10 0.23 0.03 0.1 1 0.16

0.08 0.09 0.04

0.05 0.07 0.10 0.12


41

UBS-ETF MSCl World Seml-Annual Report as of 30 June 2008

Schedule of Investments as at 30 June 2008 (Expressed In USD) (Unaudlted) Transferable securltles llsted on an Offlclai Stock Exchange


Hand 8 Machine Tools (0.12%) Sandvik SMC

Healthcare Products (2.16%) Baxter International Becton Dlckinson Boston Scientific Coloplast Covidien Dentsply International Hologic Johnson&Johnson Medtronic Patterson Shimadzu Smith 8 Nephew Sonova Holding St Jude Medical Stryker Synthes Varian Medical Systems Zimmer Holdings

Healthcare Servlcss (0.59%) Aetna Fresenius Medical Care Health Net Humana Laboratory of America Holdings UnitedHealth Group WellPoint

Holding Companles - Diversified Operations (0.45%) Groupe Bruxelles Lambert Hutchison Whampoa LVMH (Louis Vuitton Moet Hennessy) Swire Pacific - Class A

Home Buliders (0.17%) Daiwa House industry Persimmon Sekisui House

Home Furnishings (0.33%) Matsushita Electric industrial Pioneer Sony

Household Products (0.36%) Clorox Fortune Brands Kimberly-Clark Newell Rubbermaid Reckitt Benckiser Group

insurance (4.79%) ACE Aegon Aflac Alleanza Assicurazioni Allianz - Registered Allstate American International Group AON Assicurazioni Generali Assurant Aviva AXA Berkshire Hathaway Chubb

407 100

407 203 509

51 203 203 305

1,628 610 203

1,000 934 109 407 102 86

102 203

407 240 203 203 102 712 305

101 2,000

198 1,000

1,000 821

1,000

1.000 900 400

203 203 203 305 199

203 1,150

102 847 280 407

1,322 305 758 203

1,175 953

4 305

5,582 10,971

26,023 16.504 6,256 4,450 9,722 7.470 6.649

104,745 31,567 5,966 9,971

10.298 9,064

16,638 6,414

11,888 5,289

13,814

16,496 13,239 4,884 8,073 7,102

18,690 14.536

12.032 20.160 20,770 10.228

9.41 5 5.163 9,348

21,603 7.259

17,508

10,597 12,669 12.135 5,121

10,079

11,183 15,243 6,406 9,201

49,365 16,555 34.980 14,012 29,104 13,390 11,716 28,318 16,048 14.948

0.04 0.08

0.19 0.12 0.04 0.03 0.07 0.05 0.05 0.75 0.23 0.04 0.07 0.07 0.06 0.12 0.05 0.08 0.04 0.10

0.12 0.09 0.04 0.06 0.05 0.13 0.10

0.09 0.14 0.15 0.07

0.07 0.04 0.06

0.15 0.05 0.13

0.07 0.09 0.09 0.04 0.07

0.08 0.1 1 0.05 0.07 0.35 0.13 0.25 0.10 0.21 0.10 0.08 0.20 0.1 1 0.1 1


42

UBS-ETF MSCl World Seml-Annual Report as of 30 June 2008

Schedule of Investments as at 30 June 2008 (Expressed In USD) (Unaudited) Transferable securities llsted on an Offlclal Stock Exchange


Insurance (4.79%) (contlnued) Cigna Cincinnati Financial Friends Provident Hartford Financial Services Group ING Groep Legal & General Group Lincoln National Loews Manulife Financial Marsh & McLennan Metlife Millea Holdings Muenchener Rueckversicherung - Registered Nipponkoa Insurance Prudential Prudential Financial QBE Insurance Group Royal &Sun Alliance Insurance Group Safeco Sompo Japan Insurance Sun Life Financial Swiss Life Holding Swiss Reinsurance - Class D Topdanmark Travelers Unipol Gruppo Finanziario Unum Group Zurich Financial Services

Internet (1.04%) Amazon.Com eBay Expedia Google - Class A McAfee SBI Holdings Symantec VeriSign Yahoo!

Iron & Steel (1.47%) Acerinox AK Steel Holding Allegheny Technologies ArcelorMittal Hitachi Metals JFE Holdings Nippon Steel Nucor Rautaruukki Steel Dynamics Sumitomo Metal lndustrles ThyssenKrd pp Tokyo Steel Manufacturing United States Steel Voestalpine

Lelsure Tlme (0.28%) Carnival Ca rniva I Harley-Davidson Sega Sammy Holdings Yamaha Motor

Lodglng (0.27%) Accor Intercontinental Hotels Group Marriott International - Class A Starwood Hotels & Resorts Worldwide

305 305

4,473 305

1,239 2,617

305 407

1,017 305 407 200 154

1.000 1,035

102 799

3,785 203

1.000 509 21

289 51

203 2,295

305 97

203 61 0 305 126 203 32

305 203 712

366 102 102 549

1.000 200

2.000 305 115 203

1,000 307 600 102 97

305 205 102 800 500

206 621 305 203

10,794 7,747 9,098

19.694 39,540 5,219

13,823 19,088 35.746 8,098

21,477 7,811

26,996 8,688

10,979 6,094

17,175 9,461

13,634 9,415

21,046 5,628

19,307 7.704 8,810 5,420 6,237

24,902

14,886 16,671 5,606

66.329 6,908 7.01 6 5,902 7,673

14,710

8,436 7,038 6,047

54,321 16,452 10,094 10,849 22,774 5,265 7,931 4.405

19,290 6,945

18,848 7,970

10,053 6,548 3,699 6.988 9,372

13,771 8,318 8,003 8,134

0.08 0.05 0.06 0.14 0.28 0.04 0.10 0.14 0.25 0.06 0.15 0.06 0.19 0.06 0.08 0.04 0.12 0.07 0.10 0.07 0.15 0.04 0.14 0.05 0.06 0.04 0.04 0.18

0.1 1 0.12 0.04 0.47 0.05 0.05 0.04 0.05 0.1 1

0.06 0.05 0.04 0.39 0.12 0.07 0.08 0.1 6 0.04 0.05 0.03 0.14 0.05 0.13 0.06

0.07 0.05 0.02 0.05 0.07

0.10 0.06 0.05 0.06


43

UBS-ETF MSCl World

Schedule of Investments as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Offlclal Stock Exchange



Machinery - Construction 8 Mining (0.25%) Caterpillar Komatsu

Machinery - Diversified (0.51%) Alstom Cummins Deere Kubota MAN Metso Rockwell Automation Volvo - Class B

Media (1.77%) British Sky Broadcasting Clear Channel Communications Comcast - Class A Comcast - Class A Special Daily Mail & General Trust - Class A DIRECTV Group EW Scripps Gannett Jupiter Telecommunications Liberty Global McGraw-Hill Modern Times Group - Class B News - Class A Pearson Thomson Reuters Time Warner United Business Media Viacom - Class B Vivendi Universal Walt Disney

Metal FabricatelHardwaro (0.28%) Norsk Hydro NSK Vallourec

Mining (3.70%) Agnico-Eagle Mines Alcoa Anglo American Antofagasta Barrick Gold BHP Billiton BHP Billiton Cameco DOWA Holdings Fortescue Metals Group Freeport-McMoRan Copper 8 Gold Goldcorp Kara khmys Kinross Gold Lonmin Newcrest Mining Newmont Mining Orica Rio Tinto Rio Tinto Sumitomo Metal Mining Teck Cominco - Class B Vedanta Resources Vulcan Materials Xstrata

Miscellaneous Manufacturers (3.10%) 3M Alfa Lava1

407 200

63 1 02 203

1,000 71

161 203 407

1,337 509 712 270

1.109 61 0 203 203

10 305 407 127 61 0

1,016 203

1,424 687 203 814 916

814 1,000

51

203 509 607 443 509

1,027 1.999

407 1,000

561 203 407 179 509 106 429 305 338 21 1 480

1,000 305 122 102 358

509 153

30.045 5,584

14.558 6,683

14,642 7,198 7,888 7,349 8.877 5,007

12,559 17,917 13.507 5.065 6.925

15.805 8,433 4.399 7.764 9,586

16.329 7,484 9.174

12,425 6,583

21,075 7,458 6,200

30,908 28,579

1 1,890 8.764

17,911

15.305 18,131 42,595

5,801 23,384 39,242 83,831 17,571 7,292 6,406

23,790 18,859 5,671

12.091 6,732

12,062 15,909 9,504

27,437 57.402 15,358 14,782 5,310 6,098

28,670

35,421 2.385

0.21 0.04

0.10 0.05 0.10 0.05 0.06 0.05 0.06 0.04

0.09 0.13 0.10 0.04 0.05 0.1 1 0.06 0.03 0.05 0.07 0.12 0.05 0.07 0.09 0.05 0.15 0.05 0.04 0.22 0.20

0.09 0.06 0.13

0.1 I 0.13 0.30 0.04 0.17 0.28 0.60 0.12 0.05 0.05 0.17 0.13 0.04 0.09 0.05 0.09 0.1 1 0.07 0.20 0.41 0.1 1 0.10 0.04 0.04 0.20

0.25 0.02


44

UBS-ETF MSCI World Semi-Annual Report as of 30 June 2008

Schedule of investments as at 30 June 2008 (Expressed in USD) (Unaudlted) Transferable securities listed on an Omciai Stock Exchange


Miscellaneous Manufacturers (3.1 0%) (continued) Danaher Dover Eaton Fuji Photo Film General Electric Honeywell international Illinois Tool Works IMI ingersoll-Rand - Class A in Konica Minolta Holdings Mitsubishi Heavy Industries Parker Hannlfin Siemens - Registered Smiths Group Textron Tyco International Wesfarmen

Ofnce 8 Business Equipment (0.28%) Canon Ricoh

oii a Gas (11.54%) Anadarko Petroleum Apache BG Group BP Cairn Energy Canadian Natural Resources Chesapeake Energy Chevron ConocoPhillips Devon Energy EnCana Enerplus Resources Fund EN1 (Ente Nazionale Idrocarburi) ENSCO International EOG Resources Exxon Mobil Fording Canadian Coal Trust Harvest Energy Trust Helmerich & Payne Hess imperial Oil Japan Petroleum Exploration Marathon Oil Murphy Oil Nabors Industries Neste Oil Nexen Noble Noble Energy Occidental Petroleum Origin Energy Patterson-UTI Energy Penn West Energy Trust Petro-Canada Pride International Questar Repsol Rowan Royal Dutch Shell - Class A Royal Dutch Shell - Class B Seadrill Showa Shell Sekiyu Southwestern Energy StatoilHydro ASA Suncor Energy Sunoco

203 203 102 200

5,188 407 407 606 305 203 500

1,000 102 525 596 203 407 834

400 1.000

203 102

1,510 9,633

127 407 305

1,221 916 203 509 203

1.602 102 1 02

2.950 1 02 203 102 102 102 100 407 102 305 283 407 203 1 02 407 967 203 407 407 203 102 585 102

1,317 203 800 203 91 6 61 0 203

1,757

15,692 9,819 8,667 6.886

138,468 20,464 19,337 5,264

11,416 12,856 8.457 4.773 7.275

58,332 12.881 9.730

16,296 29,943

20,603 18,074

15,193 14.178 39.277

11 1,815 8,176

40,453 20,118

121,038 86,461 24,393 46,839 9,440

59,820 8,236

13,382 259,984

9,802 4.952 7,346

12,871 5,646 7,151

21,111 10,001 15.01 5 8.347

16,311 13,187 10,257 36,573 14.959 7,316

13,832 22,910 9,600 7,246

23,070 4,769

72,137 52,945 6,207 8,777 9,665

34,151 35.594 8,260

0.1 1 0.07 0.06 0.05 0.99 0.15 0.14 0.04 0.08 0.09 0.06 0.03 0.05 0.42 0.09 0.07 0.12 0.21

0.15 0.13

0.1 1 0.10 0.28 0.80 0.06 0.29 0.14 0.86 0.62 0.17 0.33 0.07 0.43 0.06 0.10 1.85 0.07 0.04 0.05 0.09 0.04 0.05 0.15 0.07 0.1 1 0.06 0.12 0.09 0.07 0.26 0.1 1 0.05 0.10 0.16 0.07 0.05 0.16 0.03 0.51 0.38 0.04 0.06 0.07 0.24 0.25 0.06


45


Schedule of Investments a i at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securities listed on an Offlciai Stock Exchange


Oil & Gas (11.54%) (continued) Talisman Energy Tesoro TonenGeneral Sekiyu Total Transocean Tullow Oil Valero Energy Woodside Petroleum XTO Energy

011 & Gas Services (1.28%) Baker Hughes BJ Services Halli burton National Oilwell Varco Saipem Schlumberger Smith International Weatherford International

Packaging & Containers (0.14%1 Owens-Illinois Pactiv Rexam

Pharmaceuticals (5.71%) Abbott Laboratories Allergan AmerisourceBergen Amgen Amylin Pharmaceuticals Astellas Pharma AstraZeneca Barr Pharmaceuticals Biogen ldec Biovail BristoCMyers Squibb Cardinal Health Celgene Cephalon Chugai Pharmaceutical CSL Ltd/Australia Daiichi Sankyo Dainippon Sumitomo Pharrna Eli Lilly Express Scripts Forest Laboratories Genentech Genzyme Gilead Sciences GlaxoSmithKline Hospira Medco Health Solutions Mediceo Paltac Holdings Merck Merck Mitsubishi Tanabe Pharma Novartis Novo Nordisk - Class B Pfizer Roche Holding Sanofi-Aventis Scherlng-Ploug h Takeda Pharmaceutical Wyeth

Pipelines (0.52%) Enbridge Oneok Spectra Energy

61 0 203

1,000 1,259

203 336 305 382 305

203 305 509 203 309 610 102 305

102 305

1,222

81 4 203 203 610 203 100 61 6 102 203 509 712 203 305 102 600 397 200

1,000 407 203 305 305 1 02 509

2,631 305 305 500

1,221 82

1.000 1.138

127 3,357

424 563 61 0 300 610

407 203 305

13.576 4.01 3 9,094

107,512 30,935 6,386

12,560 24,745 20,896

17,730 9,742

27,013 18,010 14,523 65,532 8.480

15,125

4,252 6,475 9.424

43.118 10,566 8,118

28.768 5,154 4,245

26,259 4,598

11,346 4,982

14.61 7 10.471 19,480 6,802 9,616

13,601 5.51 9 8,103

18,787 12,732 10,596 23,149 7,346

26,952 58.278 12,234 14,396 9.21 7

46,019 11,665 13.094 62,844 8,317

58.647 76.591 37.637 12.011 15,282 29,256

17,675 9.91 3 8,766

0.10 0.03 0.07 0.77 0.22 0.05 0.09 0.18 0.15

0.13 0.07 0.19 0.13 0.10 0.47 0.06 0.1 1

0.03 0.04 0.07

0.31 0.07 0.06 0.20 0.04 0.03 0.19 0.03 0.08 0.04 0.10 0.07 0.14 0.05 0.07 0.10 0.04 0.06 0.13 0.09 0.08 0.16 0.05 0.19 0.41 0.09 0.10 0.07 0.33 0.08 0.09 0.45 0.06 0.42 0.55 0.27 0.09 0.1 1 0.21

0.13 0.07 0.06


46


Schedule of Investments as at 30 June 2008 (Expressed In USD) (Unaudited) Transferable securities listed on an OfAclal Stock Exchange


PI pel I nes (0.52%) (contl n ued) TransCanada Williams

Real Estate (0.47%) Brookfield Asset Management Brookfield Properties CapltaLand Cheung Kong Holdings Leopalace21 New World Development Sun Hung Kai Properties

Real Estate Investment Trusts (0.99%) Annaly Capital Management Developers Dlverslfied Realty Equity Residential General Growth Properties HCP Kimco Realty Prologis Public Storage Simon Property Group Unibail-Rodarnco Vornado Reality Trust Wesffield Group

Retall (3.37%) Aeon Autogrill Bed Bath & Beyond Best Buy Citizen Holdings Costco Wholesale cvs Enterprise Inns Fast Retailing Hennes 8 Mauritz Home Depot Home Retail Group lnditex lsetan Mitsukoshi Holdings JC Penney Kingfisher Kohl's Lowe's Marks & Spencer Group Marui Group McDonald's Nordstrom Punch Taverns Ross Stores Sears Holdings Seven 8 I Holdings Shimamura Takashimaya Target Tiffany & Co TJX Urban Outiitters uss Wal-Mart Stores Walgreen Whitbread Yamada Denki Yum! Brands

Semiconductors (1.45%) Altera Analog Devices Applied Materials

509 407

305 509

1.000 1,000

500 4,000 1,000

305 102 305 305 203 305 305 102 102 74

203 1,420

800 440 305 305

1,000 203 610

1,120 100 407 61 0

1,342 275 800 203

3,350 305 509

1,564 1,000

712 203 581 203 102 200 100

1,000 509 102 305 203 100

1,424 407 398 1 00 203

407 407 305

19,817 16,406

9,951 9,191 4,195

13,479 7,169 8,148

13.569

4.731 3,540

1 1,672 10.684 6,457

10.529 16,577 8,241 9,169

17,129 17.864 22,185

9.894 5.286 8,570

12.078 7,632

14,238 24,138 9,050 9,490

22,091 14,286 5,822

12,678 8,581 7.367 7,487

12,212 10,562 10,225 7,801

40,029 6,151 3,619 7,211 7.51 3 5.71 7 6,170 9.084

23,663 4,156 9,598 6.332 6.61 3

80.029 13,232 9,758 7.132 7,123

8,425 12,930 5.822

0.14 0.12

0.07 0.06 0.03 0.10 0.05 0.06 0.10

0.03 0.02 0.08 0.08 0.05 0.07 0.12 0.06 0.07 0.12 0.13 0.16

0.07 0.04 0.06 0.09 0.05 0.10 0.17 0.06 0.07 0.16 0.10 0.04 0.09 0.06 0.05 0.05 0.09 0.08 0.07 0.06 0.29 0.04 0.03 0.05 0.05 0.04 0.04 0.07 0.17 0.03 0.07 0.05 0.05 0.57 0.09 0.07 0.05 0.05

0.06 0.09 0.04


47


Schedule of investments as at 30 June 2008 (Expressed In USD) (Unaudited) Transferable securltles llsted on an Offlelal Stock Exchange


Semiconductors (1.45%) (continued) Broadcom Intel intersil Kla-Tencor Lam Research Linear Technology MEMC Electronic Materials Microchip Technology Nvidia Shinko Electric Industries Texas Instruments Xilinx

So?tware (2.26%) Activision Adobe Systems Autodesk Automatic Data Processing BMC Software CA Citrix Systems Electronic Arts Fldelity National Information Services Intuit Micmsoft NAVTEP Oracle Paychex Salesforce.com SAP

Telecommunications (5.94%) Alcatel American Tower - Class A AT&T BT Group Cable & Wireless Cisco Systems Corning Crown Castle International Deutsche Telekom - Registered Embarq France Telecom Harris Hellenic Telecommunications Organization Juniper Networks KDDl Koninklijke KPN MetroPCS Communications Mobistar Motorola NII Holdings Nippon Telegraph & Telephone Nokia NTT DoCoMo Portugal Telecom Qualcomm Rogers Communications - Class B Singapore Telecommunications Softbank Sprint Nextel Swisscom Telecom ltalia Telefonaktiebolaget LM Ericsson Telefonica Telenor ASA TeliaSonera Telstra Verizon Communications Vodafone Group

407 2,848

203 305 203 305 203 305 407 500 814 407

305 407 203 407 203 407 203 305 203 407

4,272 1 02

1,933 407 102 508

81 7 305

3,458 2,534 3,724 2,950

91 6 203

1,088 203

1,245 203 21 5 407

1 1,420

305 109 61 0 102

1 2,435

4 975

1,017 203

2,000 800 712 34

6,383 2,034 2,605

305 509

1,315 1,628

30,178

11.107 61,175 4.937

12,417 7,338 9,934

12.493 9.31 5 7.61 9 6,184

22,922 10,277

10,391 16,032 6,863

17,053 7,308 9,398 5,970

13,551 7,493

11,221 117,523

7.854 40.593 12,731 6.959

26,621

4,969 12,886

1 16,500 10,081 11,176 68,617 21.114 7.862

17,828 9,596

36,701 10,249 5,420 9,027 6,188

24,386 5,402 8,836 4,477 4,844 4,905

59,427 5,886

1 1,076 45,124 7.91 5 5.329

13,509 6,764

11,374 12,873 21,235 69,281 5,737 3,774 5,351

57,631 89.578

0.08 0.44 0.04 0.09 0.05 0.07 0.09 0.07 0.06 0.04 0.1 6 0.07

0.07 0.1 1 0.05 0.12 0.05 0.07 0.04 0.10 0.05 0.08 0.84 0.06 0.29 0.09 0.05 0.19

0.04 0.09 0.83 0.07 0.08 0.49 0.15 0.06 0.13 0.07 0.26 0.07 0.04 0.06 0.04 0.17 0.04 0.06 0.03 0.04 0.04 0.42 0.04 0.08 0.32 0.06 0.04 0.10 0.05 0.08 0.09 0.15 0.49 0.04 0.03 0.04 0.41 0.64


48

UBS-ETF MSCl World

Schedule of Investments as at 30 June 2008 (Expressed in USD) (Unaudited) Transferable securltles listed on an Offlclal Stock Exchange



Textile (0.09%) Kuraray

Toys, Games 8. Hobbies (0.11%) Hasbro Namco Bandai Holdings

Transportation (1.91%) Burlington Northern Santa Fe Canadian National Railway Canadian Pacific Railway CH Robinson Worldwide csx Deutsche Post - Registered East Japan Railway Expeditors International of Washington FedEx Kawasaki Kisen Kaisha Mitsui OSK Lines National Express Group Nippon Yusen Kabushiki Kaisha Norfolk Southern Union Pacific United Parcel Service - Class B Yamato Holdings

Water (0.29%) Severn Trent United Utilities Veolia Environnernent

Total Common Stocks

Preferred Stocks

Household Products (0.07%) Henkel

Total Preferred Stocks

Rights

Banks (-%) HBOS - Rights

Total Rights

TOTAL INVESTMENTS (Cost USD 14,254,195) Other net assets

TOTAL NET ASSETS

1,000

203 700

203 407 203 203 203 613

3 102 203

1,000 1,000

494 1,000

305 305 509

1.000

394 91 0 312

11,943

7,251 7,938

20,278 19,649 13,546 11,133 12,750 16,033 24,480 4,386

15,994 9,405

14,273 9,359 9,632

19,114 23,028 31,288 13,980

10,068 12,433 17.51 5

0.09

0.05 0.06

0.14 0.14 0.10 0.08 0.09 0.1 1 0.18 0.03 0.1 1 0.07 0.10 0.07 0.07 0.14 0.16 0.22 0.10

0.07 0.09 0.13

257 10,248

10,248

1,074 230

230

99.71 -

0.07

0.07 - -

0.00

0.00 -

13,998,204 30,911

99.78 0.22

14,029,115 100.00 -

The accompanying notes form an Integral part of these financlal statements.

49


Notes to the Financial Statements Note I Descrintion of the Fund

UBS ETF (the "Company") was incorporated in the Grand Duchy of Luxembourg as an open- ended investment company (a "Socibtb d'lnvestissement a Capital Variable") on 7 September 2001 for an unlimited period under the original name of "Fresco". The Company qualifies as a self-managed SICAV and is governed by the Luxembourg Law of 10 August 1915 on commercial companies, as amended, and by Part I of the Luxembourg Law of 20 December 2002 on undertakings for collective investments, as amended. Accordingly, each subfund has been established for an unlimited period. The registered office of the company is established at 49, Avenue J-F Kennedy, L-1855, Kirchberg, Luxembourg.

The company's articles of incorporation (the "Articles") have been published in their original version in the MBmorial, Recueil des Societes et Associations (the "MBmorial") dated 11 October 2001. The notarial deed containing the minutes of the extraordinary general meeting held on 29 November 2004 deciding the change of the denomination of the company into UBS ETF has been published in the MBmorial dated 23 December 2004, and the notarial deed containing the minutes of the extraordinary general meeting held on 27 December 2005 deciding amendments to the Articles related to the compliance by the company with the rules of the amended directive 85/61 I/EEC has been published in the MBmorial dated 30 January 2006. Moreover, the consolidated version of the Articles has been deposited with the Luxembourg company register.

The Company has been established to provide investors with an opportunity to purchase Shares in its Sub-funds, the investment objective of each of which is to aim to track a specific Index. Each Sub-fund aims to replicate or track, before expenses, the price and income performance of its Index by holding a portfolio of transferable securities that comprises all or substantially all of the Component Securities of its Index.

The purpose of the Company is for each of its Sub-funds through having its Shares listed on one or more Listing Stock Exchanges to be an Exchange Traded Fund ("ETF). With the exceptions detailed in the prospectus, only institutions qualifying as Authorised Participants are able to subscribe or redeem shares by delivery of in kind stocks, which mostly are stocks composing the relevant index. Those "in kind" subscriptions and redemptions minimise fund turnover and lower trading expenses. A secondary market is created through such Authorised Participants. Persons who are not Authorised Participants are able to buy or sell Shares in a Sub-fund on a Listing Stock Exchange at prices which should approximate to the Indicative Intra-Day NAV Per Share from other investors in Shares who are acting as market makers or broker/dealers.

In order to allow participants in the secondary market to have access to a real time estimate of the NAV Per Share, an indicative Intra-Day NAV Per Share is calculated by a Calculation Agent appointed by the Distributor.

Name of the Sub-Fund

UBS-ETF DJ EURO STOXX 50 UBS-ETF DJ EURO STOXX 50 UBS-ETF R S E 100 UBS-ETF MSCl EMU(1) UBS-ETF MSCl Japancs) UBS-ETF MSCl Japanp) UBS-ETF MSCl USA(3) UBS-ETF MSCl World

Base Currency

EUR EUR GBP EUR JPY JPY USD USD

Class

A Shares I Shares A Shares A Shares A Shares I Shares A Shares A Shares

Initial Dealing Day

29 October 2001 27 January 2003 31 October 2001

I 9 September 2002 30 October 2001 4 October 2006

29 October 2001 25June2008

( I ) The Sub-Fund changed name from UBS-ETF Germany Titans 30 to UBS-ETF MSCI EMU on 18 April 2008. (2) The Sub-Fund changed name from UBS-ETF Japan Titans 100 to UBS-ETF MSCI Japan on I8 April 2008. (3) On 18 April 2008 the Sub-Fund UBS-ETF DJ lndusmal Average merged with the Sub-Funds UBS-ETF DJ US (Large

Cap) and UBS-ETF DJ US Technology and the name was changed to UBS-ETF MSCl USA.

50


Notes to the Financial Statements (continued) Note I Description of the Fund (continued

USD

Subfund UBS ETF

SWX Europe USD Class A Shares SWX Swiss Exchange(i1 CHF

UBS-ETF DJ EURO STOXX 50

UBS-ETF DJ EURO STOXX 50

UBSETF FTSE I00

UBS-ETF MSCI EMU

UBS-ETF MSCl Japan

UBS-ETF MSCl Japan

UBS-ETF MSCl USA

UBS-ETF MSCl World

Xetra/Deutsche Bijrse

(I) The first trading date will be on I July 2008.

Note 2

A) on of Financial Statements

The financial statements are presented in accordance with generally accepted accounting principles in Luxembourg.

8 ) Main Investment Valuation Princides

Summarv of Slnnificant Accounting Policies

Securities listed on a recognised stock exchange or dealt in on any other Regulated Market are valued at their last available closing prices, or, in the event that there are several such markets, on the basis of their last available closing prices on the principal market for the relevant security provided that such closing prices used are normally the same as those used by the Index Provider in calculating the value of each Sub-fund's Index, but in the event that the last available price does not truly reflect the fair market value of the relevant securities, the value of such securities is defined by the Board of Directors based on the reasonably foreseeable sales price determined prudently and in good faith.

Securities not listed or traded on a stock exchange or not dealt in on another Regulated Market are valued on the basis of the probable sales price determined prudently and in good faith by the Board of Directors.

The liquidating value of futures, forward or options contracts traded on exchanges or on other Regulated Markets are based upon the last available settlement prices of these contracts on exchanges and Regulated Markets on which the particular futures, forward or options contracts are traded by the Company; provided that if a futures, forward or options contract can not be liquidated on the day with respect to which net assets are being determined, the basis for determining the liquidating value of such contract is such value as the Board of Directors may deem fair and reasonable.

51

SemMnnual Report as of 30 June 2008

Notes to the Financial Statements (continued)

Note 2 Summaw of Significant Accountinn Policies (continued)

C) Treatment of Currencies

The books and records of each Sub-fund are denominated in the Base Currencies as described in Note 1.

All assets and liabilities of the Sub-funds expressed in a currency other than the Base Currency are converted into the Base Currency at the exchange rate prevailing on the principal Regulated Market of such asset on the Dealing Day preceding the Valuation Time.

In order to prepare combined financial statements, financial statements of each Sub-fund that is not EUR denominated have been converted into EUR at the following exchange rates:

0

0

I EUR = 167.016 JPY 1 EUR = 1.576 USD I EUR = 0.792 GBP

D) Security Transactions and Investment Income

The net realised gain or loss on investment securities sold or paid out in kind as part of the Redemption Price for Shares is determined on the average cost basis.

The assets of the Company include all stocks, stock dividends, cash dividends and cash distributions receivable by the Company to the extent that information therein is reasonably available to the Company and all interest accrued on any interest-bearing securities owned by the Company, except to the extent that it is included or reflected in the principal amount of such security. Dividends and interest income are accrued net of related withholding tax.

Options and Futures Contracts

For the purpose of efficient portfolio management, the Company may enter into futures contracts as set forth in the prospectus.

Initial margin deposits made upon entering into futures contracts are included in deposits on financial futures in the Statement of Net Assets. The unrealised appreciation or depreciation on open futures contracts is calculated as the difference between the contract price at trade date and the current day price on the last business day of the reporting year.

For the purpose of efficient portfolio management, the Company may furthermore purchase and write (sell) options as set forth in the prospectus.

The risk associated with purchasing an option is that the Company pays a premium whether or not the option is exercised. Additionally, the Company bears the risk of loss of the premium and any change in market value should the counterparty not perform under the contract. Put and call options purchased are accounted for in the same manner as portfolio securities. The cost of securities acquired through the exercise of call options is increased by premium paid. The proceeds from securities sold through the exercise of put options are decreased by the premiums paid.

When the Company writes an option the premium received by the Company is recorded as a liability and is subsequently adjusted to the current market value of the option written. The Company records premiums received from written options that expire unexercised on the expiration date as realised gains from option transactions. The difference between the premium and the amount paid on the effective closing purchase transaction, including

52


Notes to the Financial Statements (continued) Note 2

E)

Summarv of Slan ificant Accountina Policies (con-

Ootions and Futures Contracts (continued)

brokerage commissions, is also treated as a realised gain, or if the premium is less than the amount paid for the closing purchase transaction, as a realised loss. If a written call option is exercised, the premium is added to the proceeds from the sale of the underlying security in determining whether the Company has realised a gain or a loss. If a written put option is exercised, the premium reduces the cost basis of the security purchased by the Company.

In writing covered options, the Company bears the market risk of unfavourable change in the price of the security underlying the written option. Exercise of an option written by the Company could result in the Company selling or buying a security at a price different from the current market value. Losses from written market index options may be unlimited.

As of 30 June 2008, the Company had no outstanding futures or options contracts.

F) Forward Foreian Exchanqe Contracts

As described in the prospectus, each Sub-fund is authorised to enter into forward foreign exchange contracts in order to protect a Sub-fund against adverse movement in the value of a Sub-fund’s Base Currency. Each Sub-fund may enter into contracts for the purchase or sale of a specific foreign currency at a fixed price on a future date as a hedge or cross-hedge against either specific transactions or portfolio positions.

The aggregate principal amounts are reflected net in the accompanying Statement of Net Assets if a Sub-fund intends to settle the contract prior to delivery. All commitments are “marked-to-market’’ at the applicable translation rates and any resulting unrealised gains or losses are recorded in each Sub-fund‘s financial statements.

Each Sub-fund records realised gains or losses at the time the forward contract is offset by entry into a closing transaction or extinguished by delivery of the currency. Risks may arise upon entering these contracts from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of a foreign currency relative to the Base Currency.

As of 30 June 2008, the Company had no outstanding forward foreign exchange contracts.

G ) SwaD Contracts

The Company may enter into swap contracts in which the Company and the counterparty agree to exchange the returns generated by a security, instrument, basket or index thereof for the return generated by another security, instrument, basket or index thereof. The payments made by the Company to the counterparty and vice versa are calculated by reference to a specific security, index, or instrument and an agreed upon notional amount. The relevant indices include, but are not limited to, currencies, fixed interest rates, prices and total return on interest rate indices, fixed income indices and stock indices.

The commitment arising on a swap transaction is equal to the value of the net position under the contract marked to market daily.

As of 30 June 2008, the Company had no outstanding swap contracts.

53



Note 3 Asrerments

Each Sub-fund pays a Management Fee as indicated in the table below. The Management Fee is allocated by the Company among the Sub-funds and paid directly by the Company to the Company Administrator, the Portfolio Manager, the Custodian Bank, the Distributor and the Advisory Company, each of which is a service provider. The Management Fee also includes other costs and expenses incurred in the Sub-funds ordinary course of business which are paid by the service providers from their share of the Management Fee.

The Management Fee is calculated on the average daily NAV of the Sub-funds and is payable monthly or quarterly in arrears as the case may be.

Sub-Funds Management Fee

UBS-ETF DJ EURO STOXX 50 - Class A UBS-ETF DJ EURO STOXX 50 - Class I

UBS-ETF MSCl Japan - Class A UBS-ETF MSCl Japan - Class I

UBS-ETF FTSE 100 UBS-ETF MSCl EMU

UBS-ETF MSCl USA UBS-ETF MSCl WORLD

30 bps per annum 10 bps per annum 50 bps per annum 35 bps per annum 50 bps per annum 30 bps per annum 30 bps per annum 40 bps per annum

Certain costs and expenses are not included in each Sub-fund's Management Fee which may be payable by the Company from the assets of the relevant Sub-fund.

However, of those other costs and expenses the amounts charged to a Sub-fund and/or share class in respect of On-going Listing Fees, On-going Index Fees and (excluding Taxation Charges (for example, the Taxe d'Abonnement or VAT), Transaction Fees and Extra-Ordinary Expenses) all Other Costs (the "Capped Other Costs") will not exceed 0.05% (i.e. 5 bps) per annum of the NAV of each share class of a Sub-fund. If the Capped Other Costs exceed such amounts the excess will be borne by the Distributor.

The Directors have appointed UBS ETF Advisory Holding S.A. as Advisory Company (the "Advisory Company"). Pursuant to an investment advisory agreement, the Advisory Company is to advise the Company from time to time on the selection, appointment and supervision of the Company's Portfolio Managers and on the Investment Objectives and Policies of the Sub- funds. With the approval of the Directors, UBS Global Asset Management (UK) Limited (the "Portfolio Manager") has been appointed to act as Portfolio Manager of all the currently listed Sub-funds. The Portfolio Manager is entitled to receive a fee for its services rendered payable out of the Management Fee based on the average daily NAV of the Sub-funds and payable monthly in arrears. UBS AG is the ultimate parent company of the Advisory Company and of the Portfolio Manager.

UBS AG (the 'Distributor") has been appointed as distributor and is responsible for assisting the Company in the marketing of the Shares and promoting the establishment and operation of a secondary market in Shares as well as other general marketing activities on behalf of the Company.

Note 4 Taxation

"The company is, however, liable to an annual tax in Luxembourg calculated, in accordance with Article 129 of the Luxembourg Law dated 20 December 2002, at the rate of 0.01% of the NAV of all its subfunds. This tax is payable quarterly on the basis of the NAV of the subfunds, calculated at the end of the quarter to which the tax relates. No stamp or other tax will be



Note 4 Taxation (continues

payable in Luxembourg in connection with the issue of shares of the Company, except a once and for all tax of EUR 1,250 which was paid upon incorporation."

Under the United Kingdom Income and Corporation Taxes Act, 1988, offshore funds must distribute substantially all of their income every year, in order to apply to the United Kingdom Inland Revenue for certification as a distributing fund. Such approval is granted retrospectively for each accounting period.

"Prospective investors should inform themselves of, and where appropriate take advice on, the laws and regulations (such as those relating to taxation and exchange controls) applicable to the subscription, purchase, holding and redemption of shares in the country of their citizenship, residence or domicile, and also the impact of the EU Savings Directive on their investment."

The Company, for each Sub-fund is subject to taxation on capital gains, interest and dividends in certain jurisdictions in which each Sub-fund invests. It is the policy of each Sub- fund to accrue for such taxes when the dividend is declared or interest is earned. At each valuation date, taxation on unrealised appreciation of securities is accrued for at applicable rates.

Note 5 Distribution

Within the limits provided by Luxembourg Law, the Board of Directors determines how the income of each Sub-fund shall be dealt with, and may from time to time declare distributions. The Board of Directors may decide to pay interim dividends in compliance with the conditions set forth by Luxembourg Law.

The Company intends for each Sub-fund to distribute its net income in order to achieve the maximum tracking accuracy of the relevant Index. An income equalisation amount will be calculated by reference to the amount of the Daily NAV per share representing the accrued net income (or deficit) at the time when a subscription or a redemption in kind is made so that the dividend representing the net investment income corresponds to the net income return of the Index.

During the period ended 30 June 2008, the Company resolved to pay to all shareholders of the Sub-funds mentioned below, dividends out of the income net of all costs and expenses incurred by the respective sub-fund as follows:

Sub-Fundr Ex- Payment Currency Number of Dividend Total Net dividend Date Shares Per Amount of investment

Date Share Dlvldends income Paid

EURO 24 29 STOXXM- January January EUR 8,361,050 0.48 4,013,304 A Shares 2008 2008

EURO 24 29 STOXXM- January January EUR 5,556 549 3,050,244 I Shares 2008 2008

7,063,548 15,328,269

55



Note 5 Distribution k o n t l d

SubTunds Ex- Payment Currency Number of Dividend Total Net Divldend Date Shares Per Amount of inwstment

Date Share Dividends income Paid

FTSE 100 24 29 January January GBP 1,236,634 I .I 7 1,446,882 2008 2008

1,446,862 1,683,173

Germany 24 29 Titans 30 January January EUR 600,000 0.10 60,000

2008 2008 60,000 462,914

industrial 24 29 Average January January EUR 1,050,000 0.79 829,500

2008 2008 829,500 1,069,485

Japan Titans 24 29 100 January January JPY 7,632,000 53 404,496,000 -A Shares 2008 2008

Japan Titans 24 29 100 January January JPY 1,200 74,000 88,800,000 - I Shares 2008 2008

493,296,000 315,524,691

DJ US (Large 24 29 Cap) January Januaw USD 1,350,000 0.35 472,500

2008 2008

472,500 324,620

56



Note 6 Transaction bv the Corn

As a result of each Sub-fund typically receiving (or delivering) securities through in kind subscriptions (or redemptions) made by Authorised Participants, Sub-funds will normally not incur high levels of investment transactions. In accordance with the Investment Policy of each Sub-fund investment transactions may be entered into periodically by the Company in seeking to achieve the Sub-fund's Investment Objectives. Subject to the Investment Policy established by the Board of Directors, the Portfolio Manager of each Sub-fund is primarily responsible for the execution of each Sub-fund's investment transactions and the allocation of the brokerage commissions and will select brokers who will provide the best overall service to the Company. The Company has no obligation to deal with any specific broker or group of brokers in execution of transactions in securities for a Sub-fund. However, the Company contemplates that a substantial amount of such transactions will be conducted through Authorised Participants or their affiliates or affiliates of the relevant Portfolio Manager; provided always that any such person will endeavor to transact such transactions on a best execution basis. Certain transactions may be subject to a commission or dealer mark-up which may not be the lowest commission or spread available.

Note 7 Securities LendlnQ

The Sub-funds may lend portions of their securities portfolios to third parties.

Sub-Funds Currency Market Value of Market Value of Collateral Received as

at 30 June 2008 (in USD) (in EUR) (in USD) (In EUR)

Securities Lent as at 30 June 2008

UBS-ETF DJ EURO STOXX 50 EUR 250,760,173 159,111,785 281,175,983 178,411,157

UBS-ETF MSCl EMU EUR 118,773 75,364 189,552 1 20,174

UBSZTF MSCl JAPAN

JPY 3,936,436 2,497,739 5,062,202 3,212,057

Note 8 Chanaes in Investment Portfolio

A copy of the list of changes in the portfolio during the reference year may be obtained free of charge at the custodian, at the paying agents, at the paying and information agent in Germany and at the Swiss representation office in Switzerland.

Note 9 Fund documentation

The articles of association/management of regulations, the prospectus, the unaudited semi- annual reports, as well as the audited annual reports can be obtained free of charge from the German paying agent and information office as well as from the Swiss representative.

57

Seml-Annual Report as of 30 June 2008


Note 10

Note I 1

Note 12

Note 13

Note 14

Note 15

For German residents onlv

The Company has appointed UBS Global Asset Management (Deutschland) GmbH, Stephanstrasse 14-16, D-60313 Frankfurt am Main as the German information agent to provide information to potential investors in Germany and redemption support.

The Company has appointed UBS Deutschland AG, Stephanstrasse 14-16, D-60313 Frankfurt am Main as paying agent in Germany.

For Swiss residents onlv

The Company has appointed UBS Fund Management (Switzerland) AG, Brunngaesslein 12, CH-4002 Basel as representation agent of the Company in Switzerland.

The Company has appointed UBS AG, Aeschenvorstadt I ,Postfa&, CH-4002 Basel and Bahnhofstrasse 45, Postfach, CH-8098 Zurich and all offices in Switzerland as paying agent of the Company in Switzerland.

The sales prospectus, management regulations, annual and semi-annual reports as well as the portfolio movements of the investment fund mentioned in this publication are available free of charge from UBS AG, Postfach, CH-4002 Basel and from UBS Fund Management (Switzerland) AG, Postfach, CH4002 Basel.

For French residents onlv

The Company has appointed BNP Paribas Securities Services, 3, rue d’Antin, F-75002 Paris and 66, rue de la Victoire, F-75009 Paris as centralising and financial agent in France.

yanaclernent cornmission

Out of the management commission sales fees are paid to distributors and assets managers of the Company.

During the period from I January 2008 until 30 June 2008, no “soft commissions arrangements” were entered into on behalf of UBS ETF SICAV and “soft dollar commissions” amount to nil.

Portfolio Turnover Rate (PTR)

The ‘PTR” is considered an indicator of the relevance of the additional costs incurred when buying and selling investments. It shows how many security transactions occurred as a result of voluntary investment shifts in relation to the average net assets. Transactions that resulted from uncontrollable subscriptions and redemptions are not included in this rate.

58



Note 15 portfolio Turnover Rate (PTRI (continues

PTR for the last 6 months:

-UBS-ETF DJ EURO STOXX 50 -UBS-ETF FTSE 100 -UBS-ETF MSCl EMU(1)

-UBS-ETF MSCl USA(3) -UBS-ETF MSCl Japan(2)

-UBSETF MSCl World

4.81 % 9.71%

147.81 % 59.72%

137.61% -0.21 %

(1)Formerly named UBSETF Germany Titans 30 until 17m April, 2008. (2)Formerly named UBSETF Japan Titans 100 until 17* April, 2008. (3)Fonerly named UBS-ETF Industrial Average until 17m April, 2008, merged wah the Sub-Funds UBS-ETF DJ US (Large Cap) and UBSETF DJ US Technology on 18 April 2008.

59

0 1 2008 - Fundsquare

Documents

Transcript of 0 1 2008 - Fundsquare