Pace Select Advisors Trust (PREEF) N-CSR Certified annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number			811-08764
UBS PACE Select Advisors Trust
(Exact name of registrant as specified in charter)
51 West 52nd Street, New York, New York					10019-6114
(Address of principal executive offices)					(Zip code)
Mark F. Kemper, Esq. UBS Global Asset Management 51 West 52nd Street New York, NY 10019-6114
(Name and address of agent for service)
Copy to:
Jack W. Murphy, Esq. Dechert LLP 1775 I Street, N.W. Washington, DC 20006-2401
Registrant’s telephone number, including area code:				212-882 5000
Date of fiscal year end:	July 31
Date of reporting period:		July 31, 2009

Item 1.  Reports to Stockholders.

UBS PACE Select Advisors Trust

Annual Report

July 31, 2009

Table of contents

Introduction	2
Portfolio Advisor's and Sub-Advisors' commentaries and schedules of investments
UBS PACE Money Market Investments	5
UBS PACE Government Securities Fixed Income Investments	14
UBS PACE Intermediate Fixed Income Investments	28
UBS PACE Strategic Fixed Income Investments	41
UBS PACE Municipal Fixed Income Investments	61
UBS PACE Global Fixed Income Investments	74
UBS PACE High Yield Investments	86
UBS PACE Large Co Value Equity Investments	100
UBS PACE Large Co Growth Equity Investments	110
UBS PACE Small/Medium Co Value Equity Investments	122
UBS PACE Small/Medium Co Growth Equity Investments	134
UBS PACE International Equity Investments	146
UBS PACE International Emerging Markets Equity Investments	159
UBS PACE Global Real Estate Securities Investments	171
UBS PACE Alternative Strategies Investments	180
Understanding your Portfolio's expenses	210
Statement of assets and liabilities	216
Statement of operations	224
Statement of changes in net assets	228
Financial highlights	235
Notes to financial statements	288
Report of independent registered public accounting firm	331
General information	333
Board approval of certain investment advisory agreements	334
Trustees and officers	350

UBS PACE Select Advisors Trust offers multiple share classes representing interests in 15 separate Portfolios. (UBS PACE Money Market Investments offers only one share class.) Different classes of shares and/or Portfolios are offered by separate prospectuses.

For more information on a Portfolio or class of shares, contact your financial advisor. He or she can send you a current prospectus relating to a Portfolio or class of shares. Investors should carefully read and consider a mutual fund's investment objectives, risks, charges, and expenses before investing. The prospectus contains this and other information about a mutual fund. For a current prospectus, contact UBS Global Asset Management at 888-793 8637, or visit us on the Web at www.ubs.com/globalam-us.

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UBS PACE Select Advisors Trust

Introduction

September 21, 2009

Dear UBS PACE^SM Shareholder,

We are pleased to provide you with the annual report for the UBS PACE Portfolios, comprising the UBS PACE Select Advisors Trust. This report includes summaries of the performance of each Portfolio and commentaries from the investment advisor and sub-advisors regarding the events that affected Portfolio performance during the 12 months ended July 31, 2009. Please note that the opinions of the sub-advisors do not necessarily represent those of UBS Global Asset Management (Americas) Inc.

Market review

The 12-month reporting period was marked by some of the most challenging economic and market conditions in a generation. The bursting of the housing bubble, a severe credit crunch, lower business and consumer spending and surging unemployment caused the US economy to weaken significantly, with US gross domestic product ("GDP") declining in each quarter of the reporting period.

Following the conclusion of the reporting period, however, signs of recovery were seen to be emerging. The Federal Reserve Board issued a statement on August 12, 2009 acknowledging that the economy had stabilized. In that statement, it wrote that it expects the US economy to remain weak for a time, noting that "economic activity is leveling out," and adding that "conditions in financial markets have improved further in recent weeks".

Economic growth outside the US was also poor during the reporting period. According to forecasts by the Organization for Economic Cooperation and Development ("OECD"), world economic growth is expected to contract 2.2% in 2009. From a regional perspective, Eurozone GDP declined 4.8% during the first quarter, while Japan's economy shrank 14.2% over the same period. However, as 2009 progressed, there were indications that the recession in the global economy was nearing a bottom. Accordingly, the OECD forecasts a rebound in world economic growth, projecting a 2.3% expansion in 2010.

Despite a strong finish, global equities perform poorly

In the equity markets, the reporting period was a study in contrasts. After a small gain in August 2008, stock prices declined during five of the next six months through February 2009. This was due to a number of factors, including the rapidly weakening global economy, turmoil in the financial markets, frozen credit conditions, a lack of liquidity and plunging corporate profits. However, after reaching a 12-year low on March 9, 2009, stock prices in the US rallied sharply given expectations that the worst of the global recession may be over. From its March low through July 31, 2009, the S&P 500 Index¹ gained more than 45%. However, this was not enough to overcome the market's earlier weakness, and, all told, the S&P 500 Index declined 19.96% during the 12 months ended July 31, 2009.

The international equity markets delivered similar results. During the first seven months of the reporting period, both the equities of international developed markets (as measured by MSCI EAFE Index (net)²) and

1  The S&P 500 Index is an unmanaged, weighted index composed of 500 widely held common stocks varying in composition, and is not available for direct investment. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

2  The MSCI EAFE Index (net) is an index of stocks from 21 countries designed to measure the investment returns of developed economies outside of North America. Dividends are reinvested after the deduction of withholding tax, using tax rates applicable to Luxembourg holding companies, as Luxembourg applies the highest rates. Investors should note that indices do not reflect the deduction of fees and expenses.

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UBS PACE Select Advisors Trust

emerging markets (as measured by the MSCI Emerging Markets Index³) were extremely weak. The impressive rally that began in mid-March was not enough to make up for the severity of the earlier decline, however, and international developed equity markets fell 22.60%, while emerging markets equities declined 16.57% during the reporting period as a whole.

Bonds significantly outperform stocks

The extreme shift in market sentiment was also evident in the fixed income markets. During much of the first half of the reporting period, heightened risk caused US investors to flock to the relative safety of short-term Treasury securities, causing their yields to fall and their prices to rise. In contrast, the spread sectors (that is, non-Treasury sectors) performed poorly. However, as the reporting period progressed, risk aversion abated and investors shunned Treasuries in favor of what they viewed as attractively valued and higher-yielding spread sectors.

During the 12 months ended July 31, 2009, the overall US bond market, as measured by the Barclays Capital US Aggregate Index,⁴ returned 7.85%. Turning to the riskier fixed income asset classes, high yield bonds and emerging markets debt generated extremely strong performance during the second half of the reporting period. This more than offset their earlier weakness, as the Merrill Lynch US High Yield Cash Pay Constrained Index⁵ returned 4.17% and the J.P. Morgan Emerging Markets Bond Index Global (EMBI Global)⁶ gained 4.24% during the 12-month reporting period.

3  The MSCI Emerging Markets Index is a market capitalization-weighted index composed of companies representative of the market structure of 22 emerging market countries in Europe, Latin America and the Pacific Basin. The MSCI Emerging Markets Index excludes closed markets and those shares in otherwise free markets that are not purchasable by foreigners. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

4  The Barclays Capital US Aggregate Index (formerly known as the Lehman Brothers US Aggregate Index) is an unmanaged index of the USD-denominated, investment-grade, fixed-rate, taxable bond market of SEC-registered securities. The Index includes bonds from the treasury, government-related, corporate, mortgage-backed, asset-backed and commercial mortgage-backed sectors. US agency hybrid adjustable rate mortgage (ARM) securities were added to the Index on April 1, 2007. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

5  The Merrill Lynch US High Yield Cash Pay Constrained Index is an index of publicly placed non-convertible, coupon-bearing US domestic debt with a term to maturity of at least one year. The Index is market weighted, so that larger bond issuers have a greater effect on the Index's return. However, the representation of any single bond issue is restricted to a maximum of 2% of the total index. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

6  The J.P. Morgan Emerging Markets Bond Index Global (EMBI Global) is an unmanaged index which tracks total returns for US-dollar-denominated debt instruments issued by emerging market sovereign and quasi-sovereign entities: Brady bonds, loans and Eurobonds. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

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UBS PACE Select Advisors Trust

Looking for signs of a sustained recovery

As the reporting period demonstrated, the financial markets can experience periods of extreme volatility and unnerve even the most experienced investor. However, there are increasing signs that the severe global recession may be bottoming. In addition, the financial markets have largely stabilized following the extreme turmoil in 2008. Despite this, there could be periods of heightened volatility going forward as incoming economic data from around the globe is scrutinized. As always, it is important to work closely with a professional financial advisor. He or she can proactively monitor your investment portfolio and help you remain focused on your long-term financial goals. We appreciate your continued support.

Sincerely,

Kai R. Sotorp
President, UBS PACE Select Advisors Trust
Head—Americas, UBS Global Asset Management (Americas) Inc.

This report is intended to assist investors in understanding how the Portfolios performed during the 12-month period ended July 31, 2009. The views expressed in the Advisor and Sub-Advisors' Comments sections are as of the end of the reporting period, reflect performance results gross of fees and expenses, and are those of the investment advisor and/or sub-advisors. Sub-advisors' comments on Portfolios that have more than one sub-advisor are reflective of their portion of the Portfolio only. The views and opinions in this report were current as of September 21, 2009. They are not guarantees of performance or investment results and should not be taken as investment advice. Investment decisions reflect a variety of factors, and the investment advisor and sub-advisors reserve the right to change their views about individual securities, sectors and the markets at any time. As a result, the views expressed should not be relied upo n as a forecast of a Portfolio's future investment intent.

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

Performance

For the 12 months ended July 31, 2009, the Portfolio returned 0.81% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 0.70%). In comparison, the 90-Day US T-Bill Index (the "benchmark") returned 0.65%, and the Lipper Money Market Funds category posted a median return of 0.77%. (Returns over various time periods are shown in the "Performance at a glance" table on page 8. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Advisor's Comments

Given the issues impacting the credit markets, we sought to maintain a high degree of liquidity in the Portfolio in order to minimize pricing volatility and to meet redemption requests. We did so by investing a significant portion of the Portfolio's new subscriptions in shorter-dated money market securities maturing within one to three months.

At the security level, we maintained a greater than usual level of diversification over the reporting period by investing in smaller positions. While the Portfolio is generally able to hold up to 5.00% in any one security (subject to certain exceptions), we typically purchased no more than 1.00% to 2.00% in any one nongovernment issuer, as part of our efforts to reduce risk and keep the Portfolio highly diversified.

In terms of the securities that we emphasized, at the beginning of the reporting period, the Portfolio held a significant exposure to commercial paper and US government and agency obligations. As the period continued, we increased the Portfolio's exposure to asset-backed commercial paper. This move followed measures taken by the Federal Reserve Board to improve the liquidity of asset-backed commercial paper in response to the turmoil in the credit markets. In addition, we increased the Portfolio's exposure to US government and agency obligations, while decreasing exposure to certificates of deposit and repurchase agreements over the period. (Repurchase agreements are transactions in which the seller of a security agrees to buy it back at a predetermined time and price or upon demand.)

UBS PACE Select Advisors Trust – UBS PACE Money Market Investments

Investment Advisor:

UBS Global Asset Management (Americas) Inc.

Portfolio Manager:

Robert Sabatino

Objective:

Current income consistent with preservation of capital and liquidity

Investment process:

The Portfolio is a money market mutual fund and seeks to maintain a stable price of $1.00 per share, although it may be possible to lose money by investing in this Portfolio. The Portfolio invests in a diversified portfolio of high-quality money market instruments of governmental and private issuers. Security selection is based on the assessment of relative values and changes in market and economic conditions.

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

A Note about the Temporary Guarantee Program for Money Market Funds

Following unprecedented turmoil in the credit markets, the US government announced the Temporary Guarantee Program for Money Market Funds (the "Program"). The Portfolio participated in the Program from the Program's inception in the fall of 2008 until it expired on September 18, 2009. Under the Program, the US Treasury guaranteed the share price of any publicly offered eligible money market mutual fund that applied and was accepted into it. Shareholders in money market funds enrolled in the Program were covered for the amounts they held as of the close of business on September 19, 2008 until September 18, 2009. The Portfolio did not encounter circumstances triggering a need to invoke the guarantee provided by the Program.

The Portfolio has maintained its net asset value ("NAV") of $1.00 per share* throughout the recent unprecedented turmoil and has continued to meet its stated goal, which is to provide current income consistent with preservation of capital and liquidity. We were pleased to have the Portfolio participate in the Program to provide an added level of protection for covered shareholders, until it expired. We want to reassure shareholders of the following:

•  The Portfolio holds very high-quality assets. While we consider rating agencies' credit ratings, we rely first and foremost on our own proprietary research, conducted by dedicated teams of credit analysts. This approach benefited the Portfolio in the volatile environment that prevailed during the reporting period.

•  UBS Global Asset Management (Americas) Inc. and its predecessor firms have been managing money market funds for more than 30 years; this is a key line of business for the firm, and we have dedicated significant resources to the management of the assets entrusted to us.

When the Program was introduced, it had an initial termination date of December 18, 2008. The Portfolio paid a fee of 0.01% of the value of the Portfolio's outstanding shares (valued at $1.00 per share for this purpose) as of September 19, 2008. This ensured Program coverage for the period from September 19, 2008 through December 18, 2008. The Program was extended twice—first through April 30, 2009, and then, finally, through September 18, 2009. The Portfolio paid additional fees calculated on the same basis, but at the rate of 0.015% for each of the two extension election periods, to continue to participate through September 18, 2009. This cost was absorbed by the Portfolio as a fund expense.

The Portfolio's yield did decline during the coverage period as a result of the Program participation fees through September 18, 2009.

*  An investment in the Portfolio is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Although the Portfolio seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Portfolio.

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

Comparison of change in value of a $10,000 investment in the Portfolio and the 90-Day US T-Bill Index (unaudited)

The graph depicts the performance of UBS PACE Money Market Investments versus the 90-Day US T-Bill Index over the 10 years ended July 31, 2009. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions. It is important to note that UBS PACE Money Market Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09	1 year			5 years			10 years
UBS PACE Money Market Investments before deducting maximum UBS PACE Select program fee1		0.81	%		2.94	%		2.92	%
UBS PACE Money Market Investments after deducting maximum UBS PACE Select program fee1		(0.70	)%		1.41	%		1.38	%
90-Day US T-Bill Index2		0.65	%		3.00	%		3.04	%
Lipper Money Market Funds median		0.77	%		2.81	%		2.77	%

For UBS PACE Money Market Investments, average annual total returns for periods ended June 30, 2009, after deduction of the maximum UBS PACE Select program fee, were as follows: 1-year period, (0.53)%; 5-year period, 1.42%; 10-year period, 1.42%.

For UBS PACE Money Market Investments, the 7-day current yield for the period ended July 31, 2009 was 0.01% (without maximum UBS PACE Select program fee and after fee waivers and/or expense reimbursements; the yield was (0.05)% before fee waivers and/or expense reimbursements). With the maximum UBS PACE Select program fee, the 7-day current yield was (1.49)% after fee waivers and/or expense reimbursements; the yield was (1.55)% before fee waivers and/or expense reimbursements. The Portfolio's yield quotation more closely reflects the current earnings of the Portfolio than the total return quotation. Yields will fluctuate and reflect fee waivers.

¹  The maximum annual UBS PACE Select program fee is 1.5% of the value of UBS PACE assets.

²  90-Day US T-Bills are promissory notes issued by the US Treasury and sold through competitive bidding, with a short-term maturity date, in this case, of three months. This Index is derived from secondary market interest rates as published by the Federal Reserve Bank. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

Past performance does not predict future performance and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions. The return of an investment will fluctuate. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the payable dates. Current performance may be higher or lower than the performance data quoted.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

An investment in UBS PACE Money Market Investments is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Portfolio seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Portfolio.

Not FDIC Insured. May lose value. No Bank guarantee.

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	530.0
Number of holdings		92
Weighted average maturity		45 days
Portfolio composition1	07/31/09
Commercial paper		39.7	%
US government and agency obligations		31.5
Repurchase agreements		14.1
Certificates of deposit		10.0
Short-term corporate obligations		3.2
Bank notes		2.5
Money market fund		1.9
Other assets less liabilities		(2.9	)
Total		100.0	%
Top 10 holdings1	07/31/09
Repurchase agreement with Deutsche Bank Securities, 0.190% due 08/03/09		9.2	%
Repurchase agreement with Barclays Bank PLC, 0.180% due 08/03/09		4.7
Federal National Mortgage Association, 0.300% due 08/24/09		2.8
US Treasury Bills, 0.285% due 10/29/09		2.3
Federal Home Loan Bank, 0.650% due 09/10/09		1.9
Federal Home Loan Mortgage Corp., 0.620% due 08/03/09		1.9
Thames Asset Global Securitization No.1, 0.280% due 08/07/09		1.9
Federal Home Loan Mortgage Corp., 0.215% due 08/28/09		1.9
Federal Home Loan Bank, 0.210% due 08/17/09		1.9
Dexia Delaware LLC, 0.290% due 08/13/09		1.9
Total		30.4	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
US government and agency obligations—31.50%
Federal Home Loan Bank 0.476%, due 08/13/091	$	5,000,000	$	5,000,000
0.210%, due 08/17/092		10,000,000		9,999,067
0.210%, due 08/21/092		10,000,000		9,998,833
0.650%, due 09/10/091		10,000,000		10,004,552
0.220%, due 09/28/092		5,000,000		4,998,228
0.320%, due 12/21/092		3,000,000		2,996,213
0.520%, due 06/01/10		3,000,000		2,999,083
Federal Home Loan Mortgage Corp.* 0.620%, due 08/03/091		10,000,000		10,000,000
0.570%, due 08/17/092		5,000,000		4,998,733
0.215%, due 08/28/091		10,000,000		9,999,425
4.125%, due 11/30/09		7,000,000		7,042,350
0.350%, due 02/16/102		5,000,000		4,990,326
0.520%, due 07/16/102		5,000,000		4,974,794
Federal National Mortgage Association* 0.410%, due 08/03/091		7,000,000		7,000,000
0.300%, due 08/24/092		15,000,000		14,997,125
0.400%, due 10/13/091		5,000,000		5,000,000
0.250%, due 10/26/092		5,000,000		4,997,014
0.250%, due 11/16/092		10,000,000		9,992,570
0.530%, due 12/21/092		5,000,000		4,989,547
US Treasury Bills 0.180%, due 09/24/092		10,000,000		9,997,300
0.285%, due 10/29/092,3		12,000,000		11,991,545
0.235%, due 11/19/092		10,000,000		9,992,820
Total US government and agency obligations (cost—$166,959,525)				166,959,525
Bank notes—2.54%
Banking-US—2.54%
Bank of America N.A. 1.207%, due 08/06/091		5,000,000		5,000,000
HSBC Bank USA, Inc. 3.875%, due 09/15/09		2,470,000		2,471,632
Wells Fargo Bank N.A. 0.389%, due 08/19/091		4,000,000		4,000,000
Westpac Banking Corp. 0.593%, due 08/14/091		2,000,000		2,000,000
Total bank notes (cost—$13,471,632)				13,471,632
Certificates of deposit—10.03%
Banking-non-US—9.09%
Bank of Nova Scotia 0.430%, due 11/17/09		1,600,000		1,597,936
1.100%, due 05/11/10		1,600,000		1,600,000
BNP Paribas 0.500%, due 11/25/09		3,000,000		3,000,000
Calyon N.A., Inc./New York 0.330%, due 11/02/09		5,000,000		5,000,000
0.530%, due 12/18/09		2,000,000		2,000,000

Security description	Face amount		Value
Certificates of deposit—(concluded)
Banking-non-US—(concluded)
Canadian Imperial Bank of Commerce/Canada 0.250%, due 09/03/09	$	4,250,000	$	4,250,000
Lloyds TSB Bank PLC 0.460%, due 10/19/09		5,700,000		5,700,000
Natixis 0.650%, due 10/09/09		6,000,000		6,000,000
Rabobank Nederland NV 0.520%, due 12/07/09		1,000,000		1,000,000
Royal Bank of Canada 0.280%, due 08/24/09		5,000,000		5,000,000
Societe Generale 0.500%, due 02/01/10		2,000,000		2,000,000
Svenska Handelsbanken 0.350%, due 08/24/09		5,000,000		5,000,000
Toronto-Dominion Bank 1.150%, due 08/20/09		5,000,000		5,000,390
0.520%, due 01/25/10		1,000,000		1,000,343
				48,148,669
Banking-US—0.94%
Bank of America N.A. 0.400%, due 09/10/09		5,000,000		5,000,000
Total certificates of deposit (cost—$53,148,669)				53,148,669
Commercial paper2—39.68%
Asset backed-banking—0.94%
Atlantis One Funding 0.400%, due 09/09/09		5,000,000		4,997,833
Asset backed-miscellaneous—18.65%
Amsterdam Funding Corp. 0.320%, due 08/10/09		5,000,000		4,999,600
0.360%, due 09/18/09		5,000,000		4,997,600
Barton Capital LLC 0.250%, due 08/07/09		2,876,000		2,875,880
Chariot Funding LLC 0.250%, due 08/13/09		1,438,000		1,437,880
0.230%, due 08/25/09		5,000,000		4,999,234
Enterprise Funding Co. LLC 0.310%, due 10/05/09		5,000,000		4,997,202
Kitty Hawk Funding Corp. 0.380%, due 09/18/09		7,541,000		7,537,179
Market Street Funding LLC 0.350%, due 08/17/09		5,000,000		4,999,222
Ranger Funding Co. LLC 0.400%, due 08/18/09		8,000,000		7,998,489
0.300%, due 10/13/09		5,000,000		4,996,958
Regency Markets No. 1 LLC 0.280%, due 08/20/09		5,000,000		4,999,261
Sheffield Receivables Corp. 0.250%, due 08/25/09		5,000,000		4,999,167

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UBS PACE Money Market Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Commercial paper2—(continued)
Asset backed-miscellaneous—(concluded)
Thames Asset Global Securitization No. 1 0.280%, due 08/07/09	$	10,000,000	$	9,999,533
Variable Funding Capital Corp. 0.280%, due 09/09/09		4,000,000		3,998,787
0.350%, due 09/28/09		10,000,000		9,994,361
Windmill Funding Corp. 0.260%, due 08/10/09		5,000,000		4,999,675
Yorktown Capital LLC 0.350%, due 10/09/09		5,000,000		4,996,646
0.300%, due 10/13/09		5,000,000		4,996,958
				98,823,632
Asset backed-securities—1.89%
Clipper Receivables Co. LLC 0.170%, due 08/03/09		5,000,000		4,999,953
0.300%, due 08/03/09		5,000,000		4,999,917
				9,999,870
Banking-non-US—1.51%
Dnb NOR ASA 1.000%, due 08/04/09		3,000,000		2,999,750
Svenska Handelsbanken 0.540%, due 08/05/09		5,000,000		4,999,700
				7,999,450
Banking-US—13.39%
ANZ (Delaware), Inc. 0.500%, due 08/10/09		5,000,000		4,999,375
Calyon N.A., Inc. 0.400%, due 09/01/09		5,000,000		4,998,278
0.540%, due 01/19/10		2,000,000		1,994,870
Danske Corp. 0.270%, due 08/03/09		3,000,000		2,999,955
0.310%, due 08/17/09		5,000,000		4,999,311
0.350%, due 10/09/09		5,000,000		4,996,646
Deutsche Bank Financial LLC 0.300%, due 10/27/09		2,000,000		1,998,550
Dexia Delaware LLC 0.290%, due 08/13/09		10,000,000		9,999,034
ING (US) Funding LLC 0.250%, due 08/11/09		4,000,000		3,999,722
0.400%, due 08/17/09		5,000,000		4,999,111
0.400%, due 09/02/09		5,000,000		4,998,222
Morgan (J.P.) Chase Funding, Inc. 0.310%, due 09/03/09		10,000,000		9,997,158
Natexis Banques Populaires US Finance Co. LLC 0.260%, due 08/31/09		5,000,000		4,998,917
Societe Generale N.A., Inc. 0.600%, due 08/06/09		5,000,000		4,999,583
				70,978,732

Security description	Face amount		Value
Commercial paper2—(concluded)
Brokerage—0.94%
RBS Holdings USA, Inc. 0.160%, due 08/03/09	$	5,000,000	$	4,999,956
Finance-captive automotive—0.57%
Toyota Motor Credit Corp. 0.280%, due 08/12/09		3,000,000		2,999,743
Food/beverage—0.28%
Nestle Capital Corp. 0.650%, due 02/16/10		1,500,000		1,494,610
Pharmaceuticals—1.51%
Pfizer, Inc. 0.230%, due 08/20/09		5,000,000		4,999,393
0.320%, due 11/03/09		3,000,000		2,997,493
				7,996,886
Total commercial paper (cost—$210,290,712)				210,290,712
Short-term corporate obligations—3.17%
Banking-non-US—1.32%
Lloyds TSB Group PLC 1.286%, due 08/07/091,4		5,000,000		5,000,000
Nordea Bank AB 0.717%, due 09/24/091,4		2,000,000		2,000,000
				7,000,000
Banking-US—1.47%
HSBC Bank USA, Inc. 0.925%, due 10/14/091		4,000,000		4,000,000
Wells Fargo & Co. 0.782%, due 09/23/091		3,800,000		3,802,304
				7,802,304
Finance-noncaptive consumer—0.38%
General Electric Capital Corp. 0.580%, due 10/20/091		2,000,000		1,999,363
Total short-term corporate obligations (cost—$16,801,667)				16,801,667
Repurchase agreements—14.13%
Repurchase agreement dated 07/31/09 with Barclays Bank PLC, 0.180% due 08/03/09, collateralized by $25,534,000 Federal Home Loan Bank obligations, zero coupon due 01/08/10; (value—$25,500,806); proceeds: $25,000,375		25,000,000		25,000,000

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Repurchase agreements—(concluded)
Repurchase agreement dated 07/31/09 with Deutsche Bank Securities, 0.190% due 08/03/09, collateralized by $40,000,000 Federal Home Loan Bank obligations, 3.000% due 06/11/10, $6,631,000 Federal National Mortgage Association obligations, 6.125% due 08/17/26 and $6,603,000 Resolution Funding Principal Strips, zero coupon due 04/15/30; (value—$49,980,300); proceeds: $49,000,776	$	49,000,000	$	49,000,000
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $882,425 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$882,336); proceeds: $865,001		865,000		865,000
Total repurchase agreements (cost—$74,865,000)				74,865,000

Security description	Number of shares		Value
Investment of cash collateral from securities loaned—1.87%
Money market fund—1.87%
UBS Private Money Market Fund LLC5(cost—$9,894,000)		9,894,000	$	9,894,000
Total investments (cost—$545,431,205 which approximates cost for federal income tax purposes)— 102.92%				545,431,205
Liabilities in excess of other assets—(2.92)%				(15,472,696	)
Net assets (applicable to 529,948,181 shares of beneficial interest outstanding equivalent to $1.00 per share)— 100.00%			$	529,958,509

*  On September 7, 2008, the Federal Housing Finance Agency placed the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation into conservatorship, and the US Treasury guaranteed the debt issued by those organizations.

1  Variable rate security. The maturity dates reflect earlier of reset dates or stated maturity dates. The interest rates shown are the current rates as of July 31, 2009, and reset periodically.

2  Rates shown are the discount rates at date of purchase.

3  Security, or portion thereof, was on loan at July 31, 2009.

4  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 1.32% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

5  The table below details the Portfolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	0	$	151,079,000	$	141,185,000	$	9,894,000	$	5,504

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UBS PACE Select Advisors Trust

UBS PACE Money Market Investments

Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
US government and agency obligations	$	—	$	166,959,525	$	—	$	166,959,525
Bank notes		—		13,471,632		—		13,471,632
Certificates of deposit		—		53,148,669		—		53,148,669
Commercial paper		—		210,290,712		—		210,290,712
Short-term corporate obligations		—		16,801,667		—		16,801,667
Repurchase agreements		—		74,865,000		—		74,865,000
Investment of cash collateral from securities loaned		—		9,894,000		—		9,894,000
Total	$	—	$	545,431,205	$	—	$	545,431,205

Issuer breakdown by country of origin (unaudited)

	Percentage of total investments
United States		86.7	%
Canada		3.4
France		3.3
United Kingdom		2.9
Sweden		2.2
Norway		0.5
Japan		0.5
Switzerland		0.3
Netherlands		0.2
Total		100.0	%

Weighted average maturity—45 days

See accompanying notes to financial statements.
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UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares returned 9.27% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio returned 7.65%). In comparison, the Barclays Capital US Mortgage-Backed Securities Index (formerly known as the Lehman Brothers Mortgage-Backed Securities Index) (the "benchmark") returned 10.43%, and the Lipper US Mortgage Funds category posted a median return of 7.58%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 17. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisor's comments

The Portfolio underperformed its benchmark during the reporting period in a difficult market environment. During the first half of the reporting period, a shorter-than-benchmark duration hurt relative performance, as did a longer-than-benchmark duration in the second half of the reporting period, as 10-year Treasury yields rose to an eight-month high. (Duration measures a portfolio's sensitivity to interest rate changes. A longer duration means that changes in market interest rates are likely to have a larger effect on the value of assets in the Portfolio.)

Positioning the Portfolio to benefit from a steepening yield curve helped performance, on both an absolute and a relative basis. (The yield curve plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity dates. A "steepening yield curve" is one in which long-term bond yields increase relative to those of short-term bonds.) Our focus on securities with shorter maturities added to returns as investors flocked to these securities, following concerns that increases in the money supply could lead to inflation over the longer term.

An overweight to agency-guaranteed, AAA-rated mortgage-backed securities ("MBS") helped

UBS PACE Select Advisors Trust – UBS PACE Government Securities Fixed Income Investments

Investment Sub-Advisor:

Pacific Investment Management Company LLC ("PIMCO")

Portfolio Manager:

W. Scott Simon

Objective:

Current income

Investment process:

The Portfolio invests primarily in government fixed income securities which include US bonds, including those backed by mortgages, and related repurchase agreements. Mortgage-backed securities include "to be announced" or "TBA" securities which usually are traded on a forward commitment basis with an approximate principal amount and no defined maturity date issued or guaranteed by US government agencies and instrumentalities. The Portfolio also invests, to a lesser extent, in investment grade bonds of private issuers, including those backed by mortgages or other assets. The Portfolio may invest in bonds of varying maturities, but normally limits its duration to within two years (plus or minus) of the effective duration of the Portfolio's benchmark index. (Duration is a measure of a portfolio's sensitivity to interest rate changes.) PIMCO establishes duration targets based on its expectations for changes in interest rates, and th en positions the Portfolio to take advantage of yield curve shifts. PIMCO decides to buy and sell specific bonds based on an analysis of their values relative to other similar securities.

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Sub-Advisor's comments – concluded

performance during the reporting period.¹ During this time, MBS outperformed Treasuries, and posted their eighth consecutive month of relative outperformance in July. The Federal Reserve introduced its MBS Purchase Program to provide support to mortgage and housing markets and to foster improved conditions in financial markets. The program has compressed MBS spreads—that is, the difference between the yields paid on these securities versus those paid on Treasuries—to narrower levels.

The Portfolio's exposure to nonagency mortgages detracted from relative performance during the second half of 2008, as a flight to quality amidst financial volatility drove prices down. While the prices of adjustable-rate mortgage-backed securities recovered somewhat in December, the sector detracted from the Portfolio's performance overall. In addition, the Portfolio's exposure to commercial MBS detracted from returns during the second half of 2008, as credit spreads widened during that time.

¹  AAA is the highest rating assigned by Standard & Poor's Ratings Group to a debt obligation and indicates an extremely strong capacity to pay principal and interest.

Special considerations

The Portfolio may be appropriate for long-term investors seeking current income who are able to withstand short-term fluctuations in the fixed income markets in return for potentially higher returns over the long term. The yield and value of the Portfolio change every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the issuers in which the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Barclays Capital US Mortgage-Backed Securities Index (unaudited)

The graph depicts the performance of UBS PACE Government Securities Fixed Income Investments Class P shares versus the Barclays Capital US Mortgage-Backed Securities Index (formerly known as the Lehman Brothers Mortgage-Backed Securities Index) over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Government Securities Fixed Income Investments is a professiona lly managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		9.09	%		4.92	%	N/A				5.00	%
maximum sales charge	Class B3		8.16	%		4.11	%	N/A				4.69	%
or UBS PACE Select	Class C4		8.45	%		4.37	%	N/A				4.82	%
program fee	Class Y5		9.29	%		5.22	%	N/A				5.32	%
	Class P6		9.27	%		5.15	%		6.00	%		6.03	%
After deducting	Class A2		4.15	%		3.96	%	N/A				4.43	%
maximum sales charge	Class B3		3.16	%		3.77	%	N/A				4.69	%
or UBS PACE Select	Class C4		7.70	%		4.37	%	N/A				4.82	%
program fee	Class P6		7.65	%		3.58	%		4.43	%		4.45	%
Barclays Capital US Mortgage-Backed Securities Index7			10.43	%		5.97	%		6.45	%		6.49	%
Lipper US Mortgage Funds median8			7.58	%		3.98	%		4.90	%		4.91	%
Lipper Intermediate US Government Funds median8			6.88	%		4.43	%		5.41	%		5.41	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, 2.44%; 5-year period, 3.88%; since inception, 4.32%; Class B—1-year period, 1.44%; 5-year period, 3.70%; since inception, 4.58%; Class C—1-year period, 5.97%; 5-year period, 4.32%; since inception, 4.72%; Class Y—1-year period, 7.46%; 5-year period, 5.16%; since inception, 5.21%; Class P—1-year period, 5.93%; 5-year period, 3.53%; 10-year period, 4.22%; since inception, 4.39%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.07% and 1.02%; Class B—1.84% and 1.77%; Class C—1.63% and 1.52%; Class Y—0.85% and 0.77%; and Class P—0.85% and 0.77%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees through November 30, 2009 to the extent necessary to reflect the lower sub-advisory fee paid by UBS Global AM to PIMCO. The Portfolio and UBS Global AM have also entered into an additional written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimb urse the Portfolio so that the Portfolio's ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.02%; Class B—1.77%; Class C—1.52%; Class Y—0.77% and Class P—0.77%. The Portfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses under the preceding sentence to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance or reissuance on August 24, 1995 for Class P shares, January 31, 2001 for Class A shares, December 18, 2000 for Class B shares, December 4, 2000 for Class C shares and February 2, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 4.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 0.75% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷The Barclays Capital US Mortgage-Backed Securities Index (formerly known as the Lehman Brothers Mortgage-Backed Securities Index) covers fixed rate securitized issues backed by the mortgage pools of the Government National Mortgage Association, the Federal Home Loan Mortgage Corporation and the Federal National Mortgage Association. Graduated Payment Mortgages and Graduated Equity Mortgages are excluded. The average-weighted life is approximately eight years. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

⁸On February 9, 2009, Lipper changed the peer group classification for UBS PACE Government Securities Fixed Income Investments from Lipper Intermediate US Government Funds category to the Lipper US Mortgage Funds category.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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UBS PACE Government Securities Fixed Income Investments

Portfolio statistics (unaudited)

Characteristics	07/31/09
Weighted average duration		2.5	yrs.
Weighted average maturity		2.9	yrs.
Average coupon		4.42	%
Average quality1		AAA
Net assets (mm)	$	576.3
Number of holdings		450
Portfolio composition2	07/31/09
Bonds		130.4	%
Options, futures and swaps		(0.2	)
Investments sold short		(20.1	)
Cash equivalents and other assets less liabilities		(10.1	)
Total		100.0	%
Asset allocation2	07/31/09
US government agency mortgage pass-through certificates		110.6	%
Collateralized mortgage obligations		14.2
Asset-backed securities		5.2
Corporate notes		0.3
Stripped mortgage-backed securities		0.1
Options, futures and swaps		(0.2	)
Investments sold short		(20.1	)
Cash equivalents and other assets less liabilities		(10.1	)
Total		100.0	%

¹  Credit quality ratings shown are based on the ratings assigned to portfolio holdings by Standard & Poor's Ratings Group, an independent rating agency.

²  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

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UBS PACE Government Securities Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Government national mortgage association certificates—13.73%
GNMA 4.500%, due 05/15/39	$	6,999,303	$	7,063,581
6.000%, due 10/15/31		5,737		6,085
6.000%, due 03/15/34		6,910		7,300
6.000%, due 08/15/34		10,687		11,289
6.000%, due 02/15/36		14,720		15,487
6.000%, due 04/15/36		12,735		13,398
6.000%, due 07/15/36		200,488		210,934
6.000%, due 07/15/37		3,943,491		4,146,488
6.000%, due 11/15/37		1,301,803		1,368,816
6.000%, due 03/15/38		481,963		506,697
6.000%, due 05/15/38		3,974,354		4,178,431
6.000%, due 07/15/38		354,047		372,322
6.000%, due 08/15/38		2,100,505		2,208,304
6.000%, due 09/15/38		2,732,174		2,872,391
6.000%, due 10/15/38		1,620,259		1,703,411
6.000%, due 11/15/38		434,725		457,035
6.000%, due 02/15/39		470,402		494,544
6.500%, due 01/15/36		48,210		51,398
6.500%, due 09/15/36		1,335,481		1,423,809
6.500%, due 02/15/37		70,057		74,657
6.500%, due 01/15/38		53,327		56,804
6.500%, due 06/15/38		183,005		194,938
6.500%, due 07/15/38		829,233		883,523
6.500%, due 11/15/38		49,753		52,997
7.500%, due 08/15/21		7,013		7,788
7.500%, due 09/15/23		1,030		1,147
8.000%, due 02/15/23		1,879		2,120
8.250%, due 04/15/19		491,723		544,133
10.500%, due 02/15/19		31,637		35,501
10.500%, due 06/15/19		38,389		43,078
10.500%, due 07/15/19		78,574		88,171
10.500%, due 07/15/20		3,903		4,302
10.500%, due 08/15/20		37,626		42,211
10.500%, due 09/15/20		3,699		4,150
11.500%, due 05/15/19		3,546		4,032
GNMA II 9.000%, due 04/20/25		28,923		33,159
9.000%, due 12/20/26		8,043		9,208
9.000%, due 01/20/27		13,248		15,151
9.000%, due 06/20/30		1,681		1,935
9.000%, due 09/20/30		1,332		1,533
9.000%, due 10/20/30		8,736		10,055
9.000%, due 11/20/30		29,772		34,267
GNMA II ARM 4.125%, due 11/20/21		35,957		36,728
4.125%, due 11/20/22		71,900		72,883
4.125%, due 12/20/24		1,248		1,267
4.125%, due 10/20/25		37,457		37,956
4.125%, due 12/20/25		8,075		8,179
4.125%, due 10/20/26		25,207		25,598
4.125%, due 12/20/26		34,134		34,653

Security description	Face amount		Value
Government national mortgage association certificates—(concluded)
4.125%, due 11/20/27	$	102,657	$	103,887
4.125%, due 12/20/27		11,938		12,122
4.125%, due 10/20/29		17,917		18,193
4.125%, due 10/20/30		40,905		41,877
4.250%, due 02/20/28		5,153		5,226
4.375%, due 01/20/23		140,257		142,609
4.375%, due 03/20/23		68,992		70,219
4.375%, due 01/20/24		181,686		184,879
4.375%, due 01/20/25		16,656		16,982
4.375%, due 02/20/25		41,389		42,122
4.375%, due 03/20/25		61,662		63,163
4.375%, due 03/20/26		31,536		32,077
4.375%, due 01/20/27		213,266		216,603
4.375%, due 02/20/27		22,717		23,155
4.375%, due 01/20/28		24,581		25,005
4.375%, due 02/20/28		13,636		13,870
4.500%, due 01/20/18		204,907		209,616
4.500%, due 03/20/25		29,872		30,817
4.625%, due 07/20/17		13,764		14,079
4.625%, due 09/20/21		196,458		201,011
4.625%, due 08/20/25		45,395		46,466
4.625%, due 09/20/25		54,927		56,214
4.625%, due 08/20/26		57,531		58,902
4.625%, due 09/20/26		8,936		9,167
4.625%, due 07/20/27		22,560		23,094
4.625%, due 08/20/27		53,789		55,183
4.625%, due 07/20/30		300,146		308,269
4.625%, due 08/20/30		222,633		228,558
5.375%, due 04/20/18		17,874		18,463
5.375%, due 05/20/21		8,199		8,509
5.375%, due 06/20/22		180,883		186,102
5.375%, due 04/20/24		209,444		215,561
5.375%, due 05/20/25		143,261		147,756
5.375%, due 06/20/25		37,548		39,105
5.375%, due 04/20/26		296,136		304,437
5.375%, due 06/20/26		138,766		142,718
5.375%, due 04/20/27		79,722		82,019
5.375%, due 04/20/30		57,896		59,637
5.375%, due 05/20/30		1,181,857		1,218,215
5.500%, due 05/20/18		7,985		8,233
5.500%, due 06/20/19		52,356		54,481
5.500%, due 06/20/30		25,564		26,421
GNMA TBA 4.000%, TBA		15,000,000		14,692,968
4.500%, TBA		1,000,000		1,007,188
5.000%, TBA		20,000,000		20,531,240
5.500%, TBA		7,700,000		7,981,527
6.000%, TBA		600,000		629,813
Total government national mortgage association certificates (cost—$77,375,525)				79	,081,602

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UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Federal home loan mortgage corporation certificates*—33.64%
FHLMC 4.000%, due 06/01/391	$	7,999,999	$	7,838,871
4.000%, due 07/01/391		8,000,000		7,838,872
5.000%, due 11/01/36		11,957,208		12,272,591
5.500%, due 02/01/33		2,282,960		2,376,809
5.500%, due 12/01/33		623,778		649,421
5.500%, due 12/01/34		697,877		726,130
5.500%, due 06/01/36		6,928,214		7,204,365
5.500%, due 12/01/36		2,798,852		2,903,414
5.500%, due 03/01/37		1,461,585		1,515,503
5.500%, due 07/01/37		2,134,726		2,213,477
5.500%, due 12/01/37		3,384,289		3,509,135
5.500%, due 02/01/38		12,104,158		12,550,683
5.500%, due 08/01/38		4,515,379		4,681,698
5.500%, due 12/01/38		2,613,845		2,710,123
6.000%, due 07/01/37		562,564		590,174
6.000%, due 07/01/38		357,359		374,877
6.000%, due 09/01/38		8,016,389		8,409,363
6.000%, due 10/01/38		9,465,609		9,929,626
6.000%, due 12/01/38		8,300,388		8,707,285
6.000%, due 02/01/39		3,137,138		3,290,925
6.000%, due 03/01/39		4,860,159		5,098,411
7.000%, due 08/01/25		1,693		1,869
7.500%, due 10/01/17		3,365		3,759
8.000%, due 03/01/13		57,719		64,490
9.000%, due 02/01/10		112		117
9.000%, due 04/01/25		39,659		40,305
9.750%, due 11/01/16		11,203		11,395
10.500%, due 11/01/20		3,256		3,281
11.000%, due 05/01/11		2,940		3,121
11.000%, due 03/01/13		516		546
11.000%, due 07/01/15		135		137
11.000%, due 09/01/15		1,899		2,150
11.000%, due 10/01/15		512		556
11.000%, due 12/01/15		7,838		8,700
11.000%, due 04/01/19		5,098		5,905
11.000%, due 06/01/19		451		522
11.000%, due 08/01/20		55		64
11.000%, due 09/01/20		2,315		2,660
11.500%, due 05/01/10		1,715		1,774
11.500%, due 11/01/10		4,028		4,229
11.500%, due 09/01/14		533		554
11.500%, due 01/01/16		2,959		3,424
11.500%, due 01/01/18		9,890		11,445
11.500%, due 05/01/19		5,012		5,441
11.500%, due 06/01/19		20,971		24,658
FHLMC ARM 3.575%, due 07/01/28		272,172		274,206
3.988%, due 11/01/29		721,247		734,746
4.044%, due 11/01/27		193,496		195,298
4.055%, due 04/01/29		369,955		377,969
4.060%, due 06/01/28		590,845		603,316
4.082%, due 11/01/25		438,820		444,311
4.102%, due 12/01/29		166,923		169,086

Security description	Face amount		Value
Federal home loan mortgage corporation certificates*—(concluded)
4.114%, due 01/01/29	$	321,235	$	325,405
4.240%, due 07/01/24		376,637		381,984
4.319%, due 10/01/23		197,174		201,003
4.345%, due 01/01/28		106,582		108,302
4.361%, due 10/01/27		453,508		464,601
4.767%, due 10/01/27		489,080		499,592
5.091%, due 10/01/29		19,763		20,050
5.375%, due 01/01/30		39,220		39,674
FHLMC TBA 5.000%, TBA		29,900,000		30,572,750
5.500%, TBA		47,000,000		48,674,375
6.000%, TBA		4,000,000		4,191,248
Total federal home loan mortgage corporation certificates (cost—$191,403,060)				193,870,771
Federal housing administration certificates—0.25%
FHA GMAC 7.400%, due 02/01/21		538,014		527,254
7.480%, due 04/01/19		14,808		14,808
FHA Reilly 6.896%, due 07/01/20		910,384		892,176
Total federal housing administration certificates (cost—$1,466,549)				1,434,238
Federal national mortgage association certificates*—62.93%
FNMA 4.000%, due 05/01/241		2,982,327		3,014,353
4.000%, due 06/01/241		12,904,372		13,042,948
4.000%, due 07/01/241		4,039,958		4,083,341
4.500%, due 11/01/20		758,920		787,229
4.500%, due 04/01/21		13,055		13,423
4.500%, due 12/01/21		24,407		25,096
4.500%, due 07/01/22		287,298		295,350
4.500%, due 11/01/22		87,611		90,878
4.500%, due 01/01/23		139,596		143,508
4.500%, due 02/01/23		50,184		51,591
4.500%, due 03/01/23		2,444,979		2,510,841
4.500%, due 04/01/23		802,297		824,783
4.500%, due 05/01/23		1,409,520		1,449,023
4.500%, due 07/01/23		334,934		344,321
4.500%, due 08/01/23		22,334		22,960
4.500%, due 11/01/23		198,524		204,088
4.500%, due 01/01/24		325,338		334,424
4.500%, due 02/01/24		639,146		657,001
4.500%, due 03/01/24		3,758,444		3,863,402
4.500%, due 05/01/24		1,103,806		1,134,632
4.500%, due 06/01/24		83,903		86,246
4.500%, due 07/01/391		6,999,997		7,046,946
5.000%, due 04/01/211		819,114		855,043

20

UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Federal national mortgage association certificates*—(continued)
5.000%, due 05/01/211	$	1,814,088	$	1,893,660
5.000%, due 11/01/211		718,488		750,003
5.000%, due 12/01/211		214,028		223,416
5.000%, due 01/01/221		114,335		119,211
5.000%, due 02/01/221		726,171		755,527
5.000%, due 03/01/221		27,760		28,883
5.000%, due 05/01/221		1,115,998		1,161,295
5.000%, due 06/01/221		19,841		20,643
5.000%, due 07/01/221		395,838		411,840
5.000%, due 11/01/221		144,438		150,277
5.000%, due 12/01/221		121,687		126,606
5.000%, due 01/01/231		1,556,196		1,618,943
5.000%, due 01/01/23		27,561		28,676
5.000%, due 02/01/231		1,632,892		1,698,046
5.000%, due 03/01/231		549,565		571,577
5.000%, due 06/01/231		863,455		897,908
5.000%, due 09/01/231		1,800,583		1,873,373
5.000%, due 02/01/241		3,382,641		3,519,388
5.000%, due 12/01/331		6,592,983		6,786,865
5.000%, due 06/01/351		78,896,359		81,038,967
5.000%, due 05/01/371		1,000,000		1,024,501
5.000%, due 03/01/381		16,631,551		17,038,105
5.000%, due 04/01/381		1,224,641		1,254,578
5.000%, due 07/01/381		1,896,260		1,942,614
5.000%, due 11/01/381		747,000		765,261
5.500%, due 05/01/141		2,763		2,918
5.500%, due 06/01/171		120,903		123,820
5.500%, due 01/01/181		9,943		10,519
5.500%, due 11/01/181		362,200		383,184
5.500%, due 07/01/191		71,479		75,397
5.500%, due 06/01/201		73,746		77,604
5.500%, due 07/01/201		55,376		58,273
5.500%, due 10/01/201		63,765		67,100
5.500%, due 12/01/201		521,874		549,174
5.500%, due 01/01/211		127,378		133,719
5.500%, due 02/01/211		270,271		283,648
5.500%, due 03/01/211		941,663		988,273
5.500%, due 04/01/211		574,394		602,826
5.500%, due 05/01/211		235,013		246,644
5.500%, due 06/01/211		1,332,332		1,398,279
5.500%, due 07/01/211		616,298		646,851
5.500%, due 08/01/211		78,276		82,151
5.500%, due 03/01/221		51,938		54,468
5.500%, due 05/01/221		821,463		861,482
5.500%, due 06/01/221		32,142		33,708
5.500%, due 09/01/221		797,311		836,153
5.500%, due 10/01/221		54,871		57,544
5.500%, due 12/01/221		63,976		67,093
5.500%, due 04/01/231		22,836		23,949
5.500%, due 05/01/231		399,434		418,871
5.500%, due 06/01/231		324,730		340,531
5.500%, due 08/01/231		789,313		827,766
5.500%, due 09/01/231		7,000,001		7,340,626
5.500%, due 10/01/231		39,248		41,158

Security description	Face amount		Value
Federal national mortgage association certificates*—(continued)
5.500%, due 02/01/32	$	80,648	$	84,140
5.500%, due 11/01/32		1,259,588		1,311,762
5.500%, due 01/01/33		701,634		730,696
5.500%, due 02/01/33		381,890		397,470
5.500%, due 06/01/33		130,068		135,374
5.500%, due 09/01/33		431,738		449,351
5.500%, due 10/01/33		715,223		744,401
5.500%, due 11/01/33		177,476		184,717
5.500%, due 12/01/33		2,476,484		2,578,619
5.500%, due 01/01/34		255,487		265,910
5.500%, due 04/01/34		625,971		651,117
5.500%, due 07/01/34		425,625		442,989
5.500%, due 11/01/34		2,001,852		2,082,269
5.500%, due 01/01/35		349,686		363,515
5.500%, due 02/01/37		354,155		367,386
5.500%, due 03/01/37		377,958		392,078
5.500%, due 04/01/37		858,796		890,880
5.500%, due 05/01/37		1,593,808		1,653,350
5.500%, due 06/01/37		399,310		414,228
5.500%, due 07/01/37		1,462,030		1,516,649
5.500%, due 08/01/37		6,249,515		6,500,567
5.500%, due 10/01/37		851,638		883,455
5.500%, due 11/01/37		434,770		451,013
5.500%, due 12/01/37		3,884,487		4,029,607
5.500%, due 01/01/38		3,378,769		3,504,996
5.500%, due 02/01/38		3,693,473		3,830,860
5.500%, due 03/01/38		5,065,596		5,253,764
5.500%, due 04/01/38		2,843,688		2,949,321
5.500%, due 05/01/38		983,684		1,020,224
5.500%, due 06/01/38		2,152,060		2,232,819
5.500%, due 07/01/38		473,542		491,133
5.500%, due 08/01/38		81,424		84,449
5.500%, due 09/01/38		2,813,569		2,918,083
5.500%, due 11/01/38		300,000		311,144
6.000%, due 01/01/23		1,117,870		1,186,589
6.000%, due 11/01/26		413,631		437,784
6.000%, due 01/01/32		93,879		99,381
6.000%, due 04/01/32		119,983		126,902
6.000%, due 09/01/32		87,809		92,873
6.000%, due 10/01/32		107,843		114,062
6.000%, due 12/01/32		183,903		194,509
6.000%, due 01/01/33		304,448		322,006
6.000%, due 02/01/33		230,103		243,122
6.000%, due 06/01/33		262,480		277,330
6.000%, due 07/01/33		169,070		178,636
6.000%, due 10/01/33		169,021		178,584
6.000%, due 11/01/33		521,624		551,137
6.000%, due 02/01/34		1,745,622		1,844,385
6.000%, due 05/01/34		121,093		127,736
6.000%, due 09/01/34		330,448		348,576
6.000%, due 11/01/34		165,125		174,184
6.000%, due 01/01/35		784,461		826,965
6.000%, due 02/01/35		681,305		717,663
6.000%, due 04/01/35		8,488		8,932

21

UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Federal national mortgage association certificates*—(continued)
6.000%, due 05/01/35	$	763,649	$	803,774
6.000%, due 06/01/35		198,234		208,613
6.000%, due 07/01/35		1,586,318		1,669,376
6.000%, due 08/01/35		479,518		504,625
6.000%, due 09/01/35		474,965		499,834
6.000%, due 01/01/36		404,865		426,063
6.000%, due 06/01/36		83,616		87,864
6.000%, due 07/01/36		417,722		438,941
6.000%, due 09/01/36		676,936		711,322
6.000%, due 11/01/36		419,855		441,183
6.000%, due 12/01/36		1,358,128		1,427,116
6.000%, due 01/01/37		386,298		405,920
6.000%, due 04/01/37		520,266		546,206
6.000%, due 05/01/37		938,564		985,360
6.000%, due 06/01/37		680,296		714,215
6.000%, due 07/01/37		294,376		309,329
6.000%, due 08/01/37		767,053		805,297
6.000%, due 09/01/37		192,964		202,584
6.000%, due 11/01/37		845,543		887,700
6.000%, due 01/01/38		31,426		32,993
6.000%, due 03/01/38		506,251		531,226
6.000%, due 08/01/38		232,946		244,439
6.000%, due 09/01/38		10,325,373		10,837,560
6.000%, due 10/01/38		124,887		131,048
6.000%, due 11/01/38		4,000,001		4,197,337
6.500%, due 09/01/12		3,943		4,199
6.500%, due 12/01/12		11,284		12,017
6.500%, due 01/01/13		2,902		3,096
6.500%, due 02/01/13		15,591		16,604
6.500%, due 03/01/13		19,221		20,470
6.500%, due 04/01/13		1,952		2,079
6.500%, due 06/01/13		35,590		37,970
6.500%, due 07/01/13		7,886		8,412
6.500%, due 08/01/13		8,070		8,609
6.500%, due 09/01/13		37,609		40,122
6.500%, due 10/01/13		18,216		19,435
6.500%, due 11/01/13		36,230		38,652
6.500%, due 07/01/19		105,183		113,935
6.500%, due 09/01/36		6,323,704		6,774,777
6.500%, due 10/01/36		2,640,939		2,829,318
6.500%, due 11/01/36		137,770		147,597
6.500%, due 05/01/37		43,256		46,321
6.500%, due 08/01/37		4,012,799		4,297,154
6.500%, due 11/01/37		5,393,981		5,776,209
7.500%, due 10/01/26		3,481		3,866
7.500%, due 11/01/26		28,609		31,742
8.000%, due 11/01/26		45,048		49,785
8.500%, due 09/01/25		90,000		100,208
9.000%, due 10/01/19		25,205		27,606
9.000%, due 02/01/26		34,081		37,471
9.250%, due 04/01/10		1,964		1,997
9.250%, due 05/01/14		376		379
9.500%, due 12/01/09		561		569
10.000%, due 08/01/19		23,194		25,636

Security description	Face amount		Value
Federal national mortgage association certificates*—(concluded)
10.500%, due 02/01/12	$	494	$	535
10.500%, due 07/01/13		984		1,039
10.500%, due 09/01/15		10,474		11,654
10.500%, due 08/01/20		1,511		1,678
10.500%, due 04/01/22		2,234		2,472
11.000%, due 07/01/13		1,727		1,760
11.000%, due 10/01/15		3,997		4,457
11.000%, due 11/01/15		9,245		9,424
11.000%, due 02/01/16		1,759		1,793
FNMA ARM 2.539%, due 03/01/44		1,019,593		1,015,316
2.750%, due 10/01/26		892,765		899,072
3.255%, due 02/01/29		8,399		8,490
3.816%, due 02/01/26		77,044		78,137
4.369%, due 02/01/30		78,607		80,539
4.580%, due 09/01/15		134,834		135,959
4.645%, due 07/01/30		27,857		28,111
4.773%, due 12/01/27		54,117		54,677
4.902%, due 05/01/30		128,784		130,743
5.095%, due 09/01/26		73,334		75,027
5.136%, due 03/01/25		383,247		394,572
6.365%, due 11/01/23		6,703		6,833
FNMA TBA 4.000%, TBA		12,000,000		11,765,626
4.500%, TBA		6,000,000		6,159,372
5.000%, TBA		2,600,000		2,660,125
5.500%, TBA		23,000,000		23,826,574
6.000%, TBA		11,000,000		11,578,123
6.500%, TBA		12,900,000		13,794,938
Total federal national mortgage association certificates (cost—$354,126,054)				362,638,217
Collateralized mortgage obligations—14.19%
Adjustable Rate Mortgage Trust, Series 2005-8, Class 3A21 5.382%, due 11/25/35		2,900,945		2,143,140
Banc of America Commercial Mortgage, Inc., Series 2006-5, Class A4 5.414%, due 09/10/47		1,700,000		1,436,111
Bear Stearns Asset Backed Securities Trust, Series 2003-AC5, Class A1 5.250%, due 10/25/332		3,515,987		3,051,287
Series 2004-AC3, Class A2 5.500%, due 06/25/342		3,459,369		2,876,108
Bear Stearns Commercial Mortgage Securities Inc., Series 2005-PW10, Class A4 5.405%, due 12/11/40		8,000,000		7,916,815
Series 2006-PW13, Class A4 5.540%, due 09/11/41		5,600,000		5,211,827

22

UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Collateralized mortgage obligations—(continued)
Chevy Chase Funding LLC, Series 2004-1, Class A1 0.565%, due 01/25/353,4	$	298,851	$	207,250
Chevy Chase Mortgage Funding Corp., Series 2007-2A, Class A1 0.415%, due 05/25/483,4		2,300,704		836,725
Countrywide Alternative Loan Trust, Series 2006-0A2, Class A1 0.499%, due 05/20/463		4,690,576		2,291,625
Credit Suisse Mortgage Capital Certificates, Series 2006-C4, Class A3 5.467%, due 09/15/39		7,000,000		5,358,175
Federal Agricultural Mortgage Corp. ARM, Series 2002, Class AA1 7.863%, due 04/25/11		612,946		668,632
FHLMC REMIC,* Series 0023, Class KZ 6.500%, due 11/25/23		93,164		100,766
Series 0159, Class H 4.500%, due 09/15/21		22,842		22,855
Series 1003, Class H 1.063%, due 10/15/203		103,163		102,765
Series 1349, Class PS 7.500%, due 08/15/22		4,927		5,323
Series 1502, Class PX 7.000%, due 04/15/23		718,145		756,582
Series 1534, Class Z 5.000%, due 06/15/23		351,356		355,654
Series 1573, Class PZ 7.000%, due 09/15/23		120,962		130,639
Series 1658, Class GZ 7.000%, due 01/15/24		61,033		65,491
Series 1694, Class Z 6.500%, due 03/15/24		486,511		523,023
Series 1775, Class Z 8.500%, due 03/15/25		12,238		13,337
Series 2411, Class FJ 0.638%, due 12/15/293		89,177		87,607
FNMA REMIC,* Trust 1987-002, Class Z 11.000%, due 11/25/17		314,295		350,635
Trust 1988-007, Class Z 9.250%, due 04/25/18		279,453		307,792
Trust 1992-074, Class Z 8.000%, due 05/25/22		1,138		1,239
Trust 1992-129, Class L 6.000%, due 07/25/22		17,657		18,372
Trust 1992-158, Class ZZ 7.750%, due 08/25/22		48,002		52,247

Security description	Face amount		Value
Collateralized mortgage obligations—(continued)
Trust 1993-037, Class PX 7.000%, due 03/25/23	$	685,366	$	748,234
Trust 1993-240, Class Z 6.250%, due 12/25/13		2,696		2,855
Trust 1993-250, Class Z 7.000%, due 12/25/23		24,780		26,490
Trust 2007-114, Class A6 0.485%, due 10/27/373		5,000,000		4,550,000
Trust G92-040, Class ZC 7.000%, due 07/25/22		66,134		72,150
Trust G94-006, Class PJ 8.000%, due 05/17/24		83,584		91,838
GNMA REMIC, Trust 2000-009, Class FH 0.788%, due 02/16/303		66,728		66,657
Greenwich Capital Acceptance, Inc., Resecuritization Trust Certificate, Series 2009-6, Class 18A1 0.785%, due 12/26/363,4		4,768,415		4,124,679
Indymac Index Mortgage Loan Trust, Series 2005-AR2, Class 2A1A 0.605%, due 02/25/353		1,459,737		733,944
JPMorgan Alternative Loan Trust, Series 2008-R4, Class 2A1 0.785%, due 06/27/373,4		5,308,935		3,794,477
JPMorgan Chase Commercial Mortgage Securities Corp., Series 2006-LDP9, Class A3 5.336%, due 05/15/47		900,000		731,031
Series 2007-FL1A, Class A1 0.663%, due 07/15/193,4		9,610,369		6,908,455
Series 2007-LD12, Class A4 5.882%, due 07/15/17		3,500,000		2,762,712
Merrill Lynch/Countrywide Commercial Mortgage Trust, Series 2007-5, Class A4 5.378%, due 08/12/48		2,500,000		1,722,375
MLCC Mortgage Investors, Inc., Series 2004-1, Class 2A2 4.346%, due 12/25/343		1,675,399		1,530,824
Sequoia Mortgage Trust, Series 5, Class A 0.639%, due 10/19/263		640,295		503,180
Small Business Administration, Series 2000-10, Class B1 7.449%, due 08/01/10		113,507		117,103
Structured ARM Loan, Series 2007-4, Class 1A2 0.505%, due 05/25/37		3,633,641		1,685,169
Structured Asset Mortgage Investments Inc., Series 2006-AR3, Class 11A1 0.495%, due 04/25/363		2,269,012		1,225,923

23

UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Collateralized mortgage obligations—(concluded)
Series 2007-AR5, Class A2 0.835%, due 09/25/473	$	11,825,536	$	2,780,697
Washington Mutual Mortgage Pass-Through Certificates, Series 2003-AR9, Class 1A6 4.526%, due 09/25/333		5,000,000		4,266,740
Series 2003-AR9, Class 2A 4.457%, due 09/25/333		1,237,984		1,156,628
Washington Mutual, Series 2003-R1, Class A1 0.825%, due 12/25/273		1,578,954		1,168,889
Wells Fargo Mortgage Backed Securities Trust, Series 2007-14, Class 1A1 6.000%, due 10/25/37		7,671,389		6,121,529
Total collateralized mortgage obligations (cost—$98,642,182)				81,784,601
Asset-backed securities—5.22%
American Express Credit Account Master Trust, Series 2008-3, Class A 1.238%, due 08/15/123		5,000,000		5,008,567
Bank of America Credit Card Trust, Series 2008-A5, Class A5 1.488%, due 12/16/133		2,730,000		2,710,863
Citibank Omni Master Trust, Series 2007-A9A, Class A9 1.386%, due 12/23/133,4		5,400,000		5,393,010
Conseco Finance Securitizations Corp., Series 2000-5, Class M1 8.400%, due 02/01/325		27,967		125
Countrywide Asset-Backed Certificates, Series 2005-13, Class 3AV3 0.535%, due 04/25/363		1,688,393		1,180,534
EMC Mortgage Loan Trust, Series 2003-A, Class A2 1.035%, due 08/25/403,4		408,010		218,634
Ford Credit Auto Owner Trust, Series 2008-C, Class A2B 1.188%, due 01/15/113		3,640,493		3,643,284
Green Tree Financial Corp., Series 1998-2, Class A5 6.240%, due 11/01/16		65,364		57,183
Renaissance Home Equity Loan Trust, Series 2003-2, Class A 0.725%, due 08/25/333		511,063		298,488

Security description	Face amount		Value
Asset-backed securities—(concluded)
SLM Student Loan Trust, Series 2008-9, Class A 2.004%, due 04/25/233	$	7,460,648	$	7,566,551
Soundview Home Equity Loan Trust, Series 2007-OPT1, Class 2A1 0.365%, due 06/25/373		4,769,618		3,544,928
Specialty Underwriting & Residential Financing, Series 2003-BC1, Class A 0.965%, due 01/25/343		57,784		18,667
Wells Fargo Home Equity Trust, Series 2005-2, Class AII2 0.525%, due 10/25/353		471,147		454,297
Total asset-backed securities (cost—$32,091,465)				30,095,131
Stripped mortgage-backed securities—0.06%
FHLMC REMIC,* Series 0013, Class B 7.000%, due 06/25/235,6		250,470		40,179
Series 2136, Class GD 7.000%, due 03/15/295,6		18,192		2,877
Series 2178, Class PI 7.500%, due 08/15/295,6		101,597		16,248
Hilton Hotel Pool Trust, Series 2000-HLTA, Class X 0.589%, due 10/03/154,5,7		36,945,667		292,384
Total stripped mortgage-backed securities (cost—$339,479)				351,688
Corporate notes—0.34%
Multi-line insurance—0.34%
American International Group 5.050%, due 10/01/15		1,500,000		772,638
8.250%, due 08/15/18		2,000,000		1,182,096
Total corporate notes (cost—$2,333,559)				1,954,734
Repurchase agreement—0.66%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $3,897,971 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$3,897,581); proceeds: $3,821,003 (cost—$3,821,000)		3,821,000		3,821,000
Total investments before investments sold short (cost—$761,598,873)— 131.02%				755,031,982

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UBS PACE Select Advisors Trust

UBS PACE Government Securities Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount			Value
Investments sold short—(20.10)%
FHLMC TBA* 4.000%, TBA	$	(16,000,000	)	$	(15,685,000	)
FNMA TBA* 4.000%, TBA		(6,000,000	)		(6,056,250	)
4.500%, TBA		(6,600,000	)		(6,639,191	)
5.000%, TBA		(84,900,000	)		(86,909,251	)
5.500%, TBA		(500,000	)		(523,750	)
Total investments sold short (proceeds—$115,045,547)— (20.10)%					(115,813,442	)
Liabilities in excess of other assets—(10.92)%					(62,959,513	)
Net assets—100.00%				$	576,259,027

Aggregate cost for federal income tax purposes before investments sold short was $762,346,211; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	13,579,539
Gross unrealized depreciation		(20,893,768	)
Net unrealized depreciation	$	(7,314,229	)

*  On September 7, 2008, the Federal Housing Finance Agency placed the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation into conservatorship, and the US Treasury guaranteed the debt issued by those organizations.

1  Security, or portion thereof, pledged as collateral for investments sold short and written options.

2  Step-up bond that converts to the noted fixed rate at a designated future date.

3  Floating rate security. The interest rate shown is the current rate as of July 31, 2009.

4  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 3.78% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

5  Interest Only Security. This security entitles the holder to receive interest payments from an underlying pool of mortgages. The risk associated with this security is related to the speed of the principal paydowns. High prepayments would result in a smaller amount of interest being received and cause the yield to decrease. Low prepayments would result in a greater amount of interest being received and cause the yield to increase.

6  Illiquid security. These securities represent 0.01% of net assets as of July 31, 2009.

7  Variable rate security. The interest rate shown is the current rate as of July 31, 2009.

ARM  Adjustable Rate Mortgage—The interest rate shown is the current rate as of July 31, 2009.

FHA  Federal Housing Administration

FHLMC  Federal Home Loan Mortgage Corporation

FNMA  Federal National Mortgage Association

GMAC  General Motors Acceptance Corporation

GNMA  Government National Mortgage Association

MLCC  Merrill Lynch Credit Corporation

REMIC  Real Estate Mortgage Investment Conduit

TBA  (To Be Announced) Security is purchased on a forward commitment basis with an approximate principal amount (generally +/-1.0%) and no definite maturity date. The actual principal amount and maturity date will be determined upon settlement when the specific mortgage pools are assigned.

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Portfolio of investments—July 31, 2009

Affiliated issuer activity

The table below details the Portfolio's activity in an affiliated issuer for the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	0	$	2,055,463	$	2,055,463	$	0	$	206

Written options

Number of contracts	Put options written	Expiration date	Premiums received		Current value		Unrealized appreciation
115	90 Day Euro Dollar Futures, strike @ $98.50	09/14/09	$	25,587	$	2,156	$	23,431

Written option activity for the year ended July 31, 2009 was as follows:

	Number of contracts (000)			Premiums received
Options outstanding at July 31, 2008		0		$	0
Options written		14,400			114,609
Options terminated in closing purchase transactions		(14,400	)		(89,022	)
Options outstanding at July 31, 2009		0	8	$	25,587

8  Amount represents less than 500 contracts.

Credit default swaps on credit indices—buy protection⁹

							Rate type
Counterparty	Notional amount (000)		Termination dates	Payments made by the Portfolio			Payments received by the Portfolio			Upfront payments made			Value		Unrealized depreciation
Deutsche Bank AG	USD	3,850	03/15/49		0.700	%10		0.000	%11	$	(1,120,440	)	$	471,625	$	(648,815	)
Deutsche Bank AG	USD	3,850	02/17/51		0.350	10		0.000	11		(1,350,938	)		781,935		(569,003	)
Morgan Stanley Capital Services Inc.	USD	7,000	12/13/49		0.800	10		0.000	11		(1,321,250	)		1,302,000		(19,250	)
										$	(3,792,628	)	$	2,555,560	$	(1,237,068	)

9  If the Portfolio is a buyer of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Portfolio will either (i) receive from the seller of protection an amount equal to the notional value of the swap and take delivery of the referenced obligation or underlying securities comprising the referenced index or (ii) receive a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index.

10  Payments are based on the notional amount.

11  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the CMBX.NA.AAA Index.

USD  United States Dollar

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Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)			Unobservable inputs (Level 3)		Total
Government national mortgage association certificates	$	—	$	79,081,602		$	—	$	79,081,602
Federal home loan mortgage corporation certificates		—		193,870,771					193,870,771
Federal housing administration certificates		—		—			1,434,238		1,434,238
Federal national mortgage association certificates		—		362,638,217			—		362,638,217
Collateralized mortgage obligations		—		77,234,601			4,550,000		81,784,601
Asset-backed securities		—		30,095,131			—		30,095,131
Stripped mortgage-backed securities		—		351,688			—		351,688
Corporate notes		—		1,954,734			—		1,954,734
Repurchase agreement		—		3,821,000			—		3,821,000
Federal home loan mortgage corporation and federal national mortgage association   certificates sold short		—		(115,813,442	)		—		(115,813,442	)
Other financial instruments, net12		23,431		(1,237,068	)		—		(1,213,637	)
Total	$	23,431	$	631,997,234		$	5,984,238	$	638,004,903

12  Other financial instruments include written options and open swap contracts.

The following is a rollforward of the Portfolio's investments that were valued using unobservable inputs (Level 3) for the period:

Measurements at 07/31/09
	Federal housing administration certificates			Collateralized mortgage obligations			Total
Beginning balance	$	1,665,023		$	—		$	1,665,023
Net purchases/(sales)		(202,095	)		—			(202,095	)
Accrued discounts/(premiums)		(1,473	)		205,639			204,166
Total realized gain/(loss)		—			—			—
Total unrealized appreciation/(depreciation)		(27,217	)		(290,039	)		(317,256	)
Net transfers in/(out) of Level 3		—			4,634,400			4,634,400
Ending balance	$	1,434,238		$	4,550,000		$	5,984,238

The change in unrealized appreciation/(depreciation) relating to the Level 3 investments held at July 31, 2009 was $(317,256).

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares returned 5.14% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio returned 3.58%). In comparison, the Barclays Capital US Intermediate Government/Credit Index (formerly known as the Lehman Brothers Intermediate Government/Credit Index) (the "benchmark") returned 6.52%, and the Lipper Short-Intermediate Investment Grade Debt Funds category posted a median return of 5.75%.(Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 31. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisor's comments

The Portfolio underperformed its benchmark during the reporting period. Allocations to commercial mortgage-backed securities ("CMBS"), as well as nonagency mortgages were the largest detractors from performance during the period. Negative security selection within the corporate sector, particularly in the Portfolio's overweight to financials, also hurt performance.

The CMBS sector struggled during difficult times in the market. Against this backdrop, investors sold CMBS in late 2008, driving down prices. However, the sector recovered dramatically in 2009, significantly outperforming Treasuries. We believe that this was in response to the announcement of the Treasury's Public-Private Investment Program, which aims to facilitate the purchase of $40 billion of "toxic" mortgage assets from bank balance sheets, and the Federal Reserve's Term Asset-Backed Securities Loan Facility (TALF). The TALF is intended to make credit available to consumers and businesses on more favorable terms by facilitating the issuance of asset-backed securities ("ABS") and improving the market conditions for ABS more generally. We expect the TALF to stabilize the supply and demand imbalance within the sector. Nonagency mortgages also struggled in the initial part of the reporting period, underperforming as a result of a weak economy.

Elsewhere, the Portfolio's exposure to asset-backed securities was a modest detractor from performance during the reporting period. The Portfolio maintained a high-quality bias, avoiding the underperforming lower-quality issues.

UBS PACE Select Advisors Trust – UBS PACE Intermediate Fixed Income Investments

Investment Sub-Advisor:

BlackRock Financial Management, Inc. ("BlackRock")

Portfolio Managers:

Curtis Arledge and Matthew Marra

Objective:

Current income, consistent with reasonable stability of principal

Investment process:

The Portfolio invests primarily in fixed income securities. BlackRock decides to buy specific bonds based on its credit analysis and review. BlackRock strives to add value by controlling the Portfolio's duration within a narrow band relative to the Barclays Capital US Intermediate Government/Credit Index. To accomplish this, BlackRock employs an analytical process that involves evaluating macroeconomic trends, technical market factors, yield-curve exposure and market volatility. Once BlackRock establishes the investment themes on duration, yield curve exposure, convexity, sector weighting, credit quality and liquidity, the Portfolio's investments are diversified by sector, subsector and security.

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Sub-Advisor's comments – concluded

The Portfolio's allocation to agency mortgages also contributed to performance. In an effort to keep mortgage rates low, the federal government supported the agency sector with its mortgage purchase program, announcing its intent to purchase over $1 trillion in agency mortgages. In addition, an underweight to corporate securities benefited relative performance during periods when spreads—the difference between the yields paid on these securities versus those paid on US Treasuries—became wider.

We adjusted the Portfolio's duration throughout the period, both increasing and decreasing it versus the benchmark, which benefited performance. (Duration measures a portfolio's sensitivity to interest rate changes. A longer duration means that changes in market interest rates are likely to have a larger effect on the value of assets in the Portfolio.) In addition, positioning the Portfolio to benefit from a steepening yield curve significantly contributed to performance as two-year to 10-year spreads steepened during the period. (The yield curve plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity dates. A "steepening yield curve" is one in which long-term bond yields increase relative to those of short-term bonds.)

Special considerations

The Portfolio may be appropriate for long-term investors seeking current income and a reasonable stability of principal. Investors should be able to withstand short-term fluctuations in the fixed income markets. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Barclays Capital US Intermediate Government/Credit Index (unaudited)

The graph depicts the performance of UBS PACE Intermediate Fixed Income Investments Class P shares versus the Barclays Capital US Intermediate Government/Credit Index (formerly known as the Lehman Brothers Intermediate Government/Credit Index) over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Intermediate Fixed Income Investments is a professionally manage d portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		4.88	%		3.87	%	N/A				3.36	%
maximum sales charge	Class B3		4.08	%		3.08	%	N/A				3.02	%
or UBS PACE Select	Class C4		4.36	%		3.32	%	N/A				3.14	%
program fee	Class Y5		5.15	%		4.12	%	N/A				3.63	%
	Class P6		5.14	%		4.12	%		4.22	%		4.53	%
After deducting	Class A2		0.18	%		2.92	%	N/A				2.80	%
maximum sales charge	Class B3		(0.92	)%		2.72	%	N/A				3.02	%
or UBS PACE Select	Class C4		3.61	%		3.32	%	N/A				3.14	%
program fee	Class P6		3.58	%		2.57	%		2.67	%		2.97	%
Barclays Capital US Intermediate Government/Credit Index7			6.52	%		4.68	%		5.81	%		5.89	%
Lipper Short-Intermediate Investment Grade Debt Funds median			5.75	%		3.67	%		4.85	%		5.07	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (2.14)%; 5-year period, 2.69%; since inception, 2.60%; Class B—1-year period, (3.19)%; 5-year period, 2.49%; since inception, 2.82%; Class C—1-year period, 1.25%; 5-year period, 3.09%; since inception, 2.95%; Class Y—1-year period, 2.76%; 5-year period, 3.89%; since inception, 3.43%; Class P—1-year period, 1.23%; 5-year period, 2.34%; 10-year period, 2.47%; since inception, 2.86%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.00% and 0.93%; Class B—1.86% and 1.68%; Class C—1.52% and 1.43%; Class Y—0.71% and 0.68%; and Class P—0.72% and 0.68%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—0.93%; Class B—1.68%; Class C—1.43%; Class Y—0.68% and Class P—0.68%. The Po rtfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance or reissuance on August 24, 1995 for Class P shares, January 31, 2001 for Class A shares, December 14, 2000 for Class B shares, December 1, 2000 for Class C shares and February 2, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 4.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 0.75% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Barclays Capital US Intermediate Government/Credit Index (formerly known as the Lehman Brothers Intermediate Government/Credit Index) is a subset of the Barclays Capital US Government/Credit Index (formerly known as the Lehman Brothers Government/Credit Index) covering all investment grade issues with maturities from one up to (but not including) 10 years. The average weighted maturity is typically between four and five years. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Weighted average duration		3.8	yrs.
Weighted average maturity		5.5	yrs.
Average coupon		4.46	%
Net assets (mm)	$	405.9
Number of holdings		231
Portfolio composition1	07/31/09			��
Bonds and notes		106.0	%
Futures and forward foreign currency contracts		0.0	2
Investments sold short		(9.7	)
Cash equivalents and other assets less liabilities		3.7
Total		100.0	%
Quality diversification1	07/31/09
US government and agency securities		48.9	%
AAA		23.3
AA		6.1
A		16.0
BBB and below/non-rated		11.7
Futures and forward foreign currency contracts		0.0	2
Investments sold short		(9.7	)
Cash equivalents and other assets less liabilities		3.7
Total		100.0	%
Asset allocation1	07/31/09
Corporate notes		36.0	%
US government agency mortgage pass-through certificates		23.0
Collateralized mortgage obligations		21.3
US government obligations		20.0
Asset-backed securities		4.8
Non-US government obligations		0.9
Futures and forward foreign currency contracts		0.0	2
Investments sold short		(9.7	)
Cash equivalents and other assets less liabilities		3.7
Total		100.0	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time. Credit quality ratings shown are based on the ratings assigned to portfolio holdings by Standard & Poor's Ratings Group, an independent rating agency.

²  Weightings represent less than 0.05% of the Portfolio's net assets as of July 31, 2009.

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
US government obligations—20.04%
US Treasury Bonds 6.250%, due 08/15/232	$	4,525,000	$	5,531,813
7.250%, due 08/15/22		1,600,000		2,110,750
8.000%, due 11/15/21		8,950,000		12,390,156
US Treasury Notes 1.500%, due 07/15/12		7,250,000		7,229,627
2.625%, due 06/30/14		2,555,000		2,567,775
2.625%, due 07/31/14		12,885,000		12,940,366
3.125%, due 05/15/19		39,815,000		38,583,124
Total US government obligations (cost—$81,306,432)				81,353,611
Federal farm credit bank certificate—1.46%
FFCB 2.625%, due 04/17/14 (cost—$5,987,350)		6,000,000		5,914,332
Federal home loan bank certificates—2.66%
FHLB 5.530%, due 11/03/143		3,740,000		3,824,516
5.625%, due 06/13/16		2,085,000		2,005,887
5.625%, due 06/11/21		4,485,000		4,973,336
Total federal home loan bank certificates (cost—$10,352,712)				10,803,739
Federal home loan mortgage corporation certificates*—4.98%
FHLMC 1.750%, due 06/15/122		1,500,000		1,496,855
3.000%, due 07/28/14		10,960,000		11,062,564
5.000%, due 03/01/21		114,151		118,980
5.000%, due 04/01/214		1,933,106		2,015,152
5.000%, due 05/01/21		122,269		127,441
5.000%, due 02/01/224		1,206,805		1,257,854
5.000%, due 04/01/224		1,188,809		1,239,097
5.000%, due 10/01/224		1,351,743		1,405,544
5.000%, due 11/01/224		1,427,056		1,483,855
Total federal home loan mortgage corporation certificates (cost—$19,942,896)				20,207,342
Federal national mortgage association certificates*—13.87%
FNMA 2.500%, due 05/15/14		1,330,000		1,312,992
2.750%, due 02/05/14		3,650,000		3,662,673
4.500%, due 04/01/39		29,717		29,929
4.500%, due 06/01/394		433,633		436,736
4.500%, due 07/01/394		6,434,122		6,480,173
4.500%, due 08/01/394		2,255,000		2,271,140
4.625%, due 05/01/13		845,000		881,701
5.000%, due 01/01/234		2,643,803		2,750,682
5.000%, due 02/01/244		6,290,726		6,532,526

Security description	Face amount1		Value
Federal national mortgage association certificates*—(concluded)
5.250%, due 08/01/122	$	1,460,000	$	1,545,330
5.250%, due 09/15/16		3,260,000		3,617,009
6.000%, due 02/01/374		1,310,440		1,375,777
6.000%, due 08/01/374		1,356,774		1,424,421
6.000%, due 11/01/374		3,818,060		4,008,424
6.000%, due 02/01/384		6,251,869		6,560,297
6.000%, due 03/01/384		1,075,807		1,128,881
FNMA TBA 5.000%, TBA		11,900,000		12,175,187
5.500%, TBA		100,000		103,594
Total federal national mortgage association certificates (cost—$55,931,462)				56,297,472
Collateralized mortgage obligations—21.29%
Banc of America Commercial Mortgage, Inc., Series 2001-1, Class A2 6.503%, due 04/15/36		1,550,167		1,605,822
Series 2000-1, Class A2A 7.333%, due 11/15/31		897,365		898,237
Series 2002-PB2, Class A4 6.186%, due 06/11/35		2,145,000		2,256,104
Bear Stearns Alternative Loan Trust-A Trust, Series 2004-13, Class A1 1.025%, due 11/25/345		591,717		367,071
Bear Stearns ARM Trust, Series 2004-5, Class 2A 4.641%, due 07/25/34		1,480,476		1,195,629
Bear Stearns Commercial Mortgage Securities, Series 2003-T12, Class A4 4.680%, due 08/13/39		2,400,000		2,347,336
Chase Commercial Mortgage Securities Corp., Series 1999-2, Class A2 7.198%, due 01/15/32		1,217,995		1,224,880
Commercial Mortgage Pass-Through Certificates, Series 2004-LB3A, Class A3 5.090%, due 07/10/37		1,280,000		1,237,182
Series 2005-C6, Class A2 4.999%, due 06/10/44		3,305,000		3,316,910
Countrywide Home Loans, Series 2006-0A5, Class 2A1 0.485%, due 04/25/465		530,132		249,017
CWCapital COBALT, Series 2007-C3, Class A4 5.820%, due 06/15/175		840,000		637,321
FHLMC REMIC,* Trust 2626, Class NA 5.000%, due 06/15/23		1,407,650		1,439,064

33

UBS PACE Select Advisors Trust

UBS PACE Intermediate Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Collateralized mortgage obligations—(continued)
Trust 2964, Class NA 5.500%, due 02/15/26	$	619,152	$	630,615
Trust 3154, Class PJ 5.500%, due 03/15/27		1,368,552		1,398,958
Trust 3159, Class TA 5.500%, due 11/15/26		1,126,839		1,152,863
Trust 3162, Class OA 6.000%, due 10/15/26		1,365,137		1,405,206
Trust 3184, Class LA 6.000%, due 03/15/28		1,306,308		1,340,942
Trust 3303, Class PA 5.500%, due 01/15/22		2,816,948		2,871,518
First Horizon Alternative Mortgage Securities, Series 2006-FA2, Class 1A5 6.000%, due 05/25/36		1,888,959		1,334,642
First Union National Bank Commercial Mortgage Trust, Series 2001-C2, Class A2 6.663%, due 01/12/43		3,047,719		3,166,900
Series 2001-C3, Class A3 6.423%, due 08/15/33		2,787,780		2,901,583
FNMA REMIC,* Trust 2004-25, Class PA 5.500%, due 10/25/30		1,039,226		1,067,072
Trust 2004-36, Class BS 5.500%, due 11/25/30		774,501		796,931
Trust 2005-47, Class PA 5.500%, due 09/25/24		383,993		386,479
Trust 2005-88, Class PA 5.000%, due 09/25/24		1,171,558		1,185,871
Trust 2005-97, Class HM 5.000%, due 01/25/26		1,940,037		1,983,302
Trust 2005-109, Class PV 6.000%, due 10/25/32		1,626,080		1,733,623
Trust 2005-118, Class MC 6.000%, due 01/25/32		1,987,367		2,047,940
Trust 2005-118, Class WA 6.000%, due 10/25/33		2,042,113		2,104,934
Trust 2006-26, Class QA 5.500%, due 06/25/26		1,016,674		1,044,817
Trust 2006-62, Class TA 5.500%, due 06/25/28		413,217		427,177
GMAC Commercial Mortgage Securities, Inc., Series 2000-C3, Class A2 6.957%, due 09/15/35		2,759,777		2,862,334
Series 2001-C1, Class A2 6.465%, due 04/15/34		2,375,043		2,463,960
Series 2004-C3, Class A3 4.207%, due 12/10/41		3,152,584		3,151,818
Goldman Sachs Mortgage Securities Corp. II, Series 2005-GG4, Class A4A 4.751%, due 07/10/39		700,000		667,248

Security description	Face amount1		Value
Collateralized mortgage obligations—(continued)
Greenwich Capital Commercial Funding Corp., Series 2007-GG11, Class A4 5.736%, due 12/10/49	$	1,451,000	$	1,256,985
JPMorgan Chase Commercial Mortgage Securities, Series 2004-CB8, Class A1A 4.158%, due 01/12/396		2,347,818		2,189,207
Series 2004-CBX, Class A4 4.529%, due 01/12/37		2,090,000		2,036,808
Series 2005-LDP4, Class A2 4.790%, due 10/15/42		3,114,494		3,118,404
Series 2006-LDP8, Class A4, 5.399%, due 05/15/45		385,000		322,703
JPMorgan Mortgage Trust, Series 2006-S2, Class 2A2 5.875%, due 07/25/36		309,043		265,922
Series 2007-S1, Class 1A2 5.500%, due 03/25/22		253,444		214,794
Morgan Stanley Capital I, Series 2005-HQ6, Class A2A 4.882%, due 08/13/42		2,600,000		2,585,932
Series 2005-HQ6, Class A4A 4.989%, due 08/13/42		2,980,000		2,861,087
Series 2007-IQ14, Class A4 5.692%, due 04/15/49		2,000,000		1,505,724
Small Business Administration, Series 2004-P10B, Class 1 4.754%, due 08/10/14		775,082		801,327
Structured ARM Loan Trust, Series 2004-13, Class A2 0.585%, due 09/25/34		232,272		166,464
Structured Asset Securities Corp., Series 2003-AL1, Class A 3.357%, due 04/25/316		704,703		610,378
Series 2004-6, Class 4A1 ARM 4.844%, due 06/25/34		2,905,144		2,622,313
TIAA Seasoned Commercial Mortgage Trust, Series 2007-C4, Class A1 5.667%, due 08/15/395		2,874,430		2,926,791
Wachovia Bank Commercial Mortgage Trust, Series 2005-C17, Class A2 4.782%, due 03/15/42		3,154,343		3,167,400
Series 2005-C21, Class A3 5.209%, due 10/15/445		1,215,000		1,213,864
Series 2006-C28, Class A4 5.572%, due 10/15/48		1,385,000		1,162,495
WaMu Mortgage Pass Through Certificates, Series 2007-0A4, Class 1A 1.980%, due 05/25/475		629,541		280,177
Series 2007-0A5, Class 1A 1.960%, due 06/25/475		554,057		240,220

34

UBS PACE Select Advisors Trust

UBS PACE Intermediate Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Collateralized mortgage obligations—(concluded)
Washington Mutual Asset Securities Corp., Series 2005-C1A, Class A2 5.150%, due 05/25/366	$	1,115,493	$	1,119,410
Wells Fargo Mortgage Backed Securities Trust, Series 2006-AR4, Class 2A4 5.776%, due 04/25/365		1,200,000		852,107
Total collateralized mortgage obligations (cost—$89,231,652)				86,421,818
Asset-backed securities—4.80%
American Express Issuance Trust, Series 2008-2, Class A 4.020%, due 01/18/11		3,425,000		3,472,526
Citigroup Mortgage Loan Trust, Inc., Series 2007-AMC3, Class A2A 0.395%, due 03/25/375		487,185		343,270
Countrywide Asset-Backed Certificates, Series 2006-2, Class 2A2 0.475%, due 06/25/365,7		1,123,258		811,914
Ford Credit Auto Owner Trust, Series 2006-B, Class A3 5.260%, due 10/15/10		278,921		279,796
Lehman XS Trust, Series 2005-6, Class 1A1 0.545%, due 11/25/355		607,900		311,696
Nissan Auto Receivables Owner Trust, Series 2006-C, Class A4 5.450%, due 06/15/12		2,961,550		3,032,976
Sallie Mae Student Loan Trust, Series 2005-8, Class A4 1.254%, due 01/25/285		3,300,000		2,781,283
Series 2008-5, Class A2 1.604%, due 10/25/165		4,330,000		4,363,791
Series 2008-5, Class A3 1.804%, due 01/25/185		1,100,000		1,103,149
Series 2008-5, Class A4 2.204%, due 07/25/235		2,950,000		2,976,362
Total asset-backed securities (cost—$20,294,624)				19,476,763
Corporate notes—35.99%
Airlines—0.11%
Continental Airlines, Inc. 6.545%, due 02/02/19		463,238		426,179
Automotive—0.54%
DaimlerChrysler N.A. Holding 4.875%, due 06/15/10		800,000		808,177
5.750%, due 09/08/11		1,150,000		1,185,739
6.500%, due 11/15/13		200,000		211,564
				2,205,480

Security description	Face amount1		Value
Corporate notes—(continued)
Banking-non-US—3.02%
Barclays Bank PLC 7.434%, due 12/15/176,8,9	$	850,000	$	646,000
Deutsche Bank AG London 5.375%, due 10/12/12		2,450,000		2,626,366
Eksportfinans A/S 5.500%, due 05/25/16		1,275,000		1,336,149
Kreditanstalt fuer Wiederaufbau 3.500%, due 03/10/14		3,725,000		3,830,886
Landwirtschaftliche Rentenbank 4.125%, due 07/15/13		145,000		151,910
Landwirtschaftliche Rentenbank MTN 4.000%, due 02/02/15		290,000		297,172
4.375%, due 01/15/13		320,000		337,750
5.250%, due 07/02/12		500,000		539,818
Royal Bank of Scotland PLC 2.625%, due 05/11/126		380,000		383,815
Societe Financement de l'Economie Francaise 3.375%, due 05/05/146		2,100,000		2,124,423
				12,274,289
Banking-US—3.73%
Bank of America Corp. 5.750%, due 12/01/17		2,775,000		2,664,264
Citibank N.A. 1.375%, due 08/10/11		6,400,000		6,394,944
DEPFA Asset Covered Securities Bank 4.875%, due 10/28/156		1,300,000		1,046,562
JPMorgan Chase Bank N.A. 6.000%, due 07/05/17		1,825,000		1,883,159
6.000%, due 10/01/17		1,450,000		1,506,659
State Street Capital Trust 8.250%, due 03/15/118,9		1,725,000		1,613,047
				15,108,635
Beverages—0.54%
Bottling Group LLC 6.950%, due 03/15/14		650,000		754,908
Coca-Cola Enterprises, Inc. 3.750%, due 03/01/12		1,365,000		1,419,040
				2,173,948
Consumer products—0.10%
Xstrata Finance Canada 5.800%, due 11/15/166		415,000		397,369
Diversified financial services—2.99%
EnCana Holdings Financial Corp. 5.800%, due 05/01/14		450,000		489,703
General Electric Capital Corp. 2.125%, due 12/21/122		1,420,000		1,418,717
5.000%, due 11/15/11		4,555,000		4,763,063
6.375%, due 11/15/675		1,125,000		798,327

35

UBS PACE Select Advisors Trust

UBS PACE Intermediate Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate notes—(continued)
Diversified financial services—(concluded)
General Electric Capital Corp. MTN 5.000%, due 12/01/10	$	2,160,000	$	2,236,479
LeasePlan Corp. N.V. 3.000%, due 05/07/126		2,400,000		2,420,470
				12,126,759
Diversified manufacturing—0.25%
Honeywell International, Inc. 3.875%, due 02/15/14		990,000		1,015,066
Electric utilities—0.24%
Scottish Power Ltd. 4.910%, due 03/15/10		950,000		969,154
Electric-integrated—2.01%
EDP Finance BV 5.375%, due 11/02/126		5,300,000		5,618,768
Pacificorp 5.500%, due 01/15/19		1,400,000		1,512,195
Progress Energy Carolina 5.300%, due 01/15/19		975,000		1,038,234
				8,169,197
Energy—0.42%
Florida Power Corp. 4.800%, due 03/01/13		340,000		356,355
XTO Energy, Inc. 6.250%, due 08/01/17		1,250,000		1,360,445
				1,716,800
Financial services—4.98%
BP Capital Markets PLC 3.125%, due 03/10/12		1,690,000		1,737,344
Citigroup, Inc. 2.125%, due 04/30/12		3,865,000		3,882,957
Credit Suisse Guernsey 5.860%, due 05/15/178,9		2,290,000		1,534,300
Dexia Credit Local 2.375%, due 09/23/116		1,385,000		1,387,872
Goldman Sachs Group, Inc. 5.250%, due 10/15/13		2,530,000		2,648,409
JPMorgan Chase & Co. 7.900%, due 04/30/188,9		1,415,000		1,344,972
JPMorgan Chase Capital XXV 6.800%, due 10/01/37		600,000		548,491
Lehman Brothers Holdings, Inc. MTN 6.750%, due 12/28/1710		1,375,000		137
Morgan Stanley 0.788%, due 01/09/125		4,595,000		4,393,812
6.750%, due 04/15/11		250,000		264,434
Morgan Stanley MTN 5.550%, due 04/27/17		305,000		305,184
6.250%, due 08/28/17		740,000		769,550
SLM Corp. 1.383%, due 01/31/145		1,700,000		1,051,637

Security description	Face amount1			Value
Corporate notes—(continued)
Financial services—(concluded)
State Street Corp. 7.650%, due 06/15/10	$	345,000		$	357,937
					20,227,036
Food products—0.87%
Kraft Foods, Inc. 6.000%, due 02/11/13		575,000			622,417
6.500%, due 08/11/17		2,625,000			2,917,194
					3,539,611
Insurance—1.57%
Chubb Corp. 6.375%, due 03/29/675		425,000			344,250
Metropolitan Life Global Funding I 5.125%, due 04/10/136		1,850,000			1,886,181
Pricoa Global Funding I 5.400%, due 10/18/126		2,175,000			2,212,712
Progressive Corp. 6.700%, due 06/15/375		735,000			556,363
Prudential Financial, Inc. MTN 5.800%, due 06/15/12		975,000			977,917
Travelers Cos., Inc. 6.250%, due 03/15/375		450,000			382,782
					6,360,205
Media—1.36%
Comcast Corp. 5.450%, due 11/15/10		1,525,000			1,587,864
5.900%, due 03/15/16		550,000			588,681
News America Holdings 8.500%, due 02/23/25		200,000			228,039
9.500%, due 07/15/24		225,000			265,319
Rogers Communications 6.250%, due 06/15/13		825,000	��		887,422
Time Warner Cable, Inc. 5.850%, due 05/01/17		810,000			850,961
Time Warner, Inc. 6.875%, due 05/01/12		685,000			747,680
7.570%, due 02/01/24		350,000			360,955
					5,516,921
Medical providers—0.80%
Roche Holdings, Inc. 2.661%, due 02/25/115,6		395,000			400,871
5.000%, due 03/01/146		1,750,000			1,861,496
WellPoint, Inc. 5.000%, due 01/15/11		950,000			973,556
					3,235,923
Multi-line insurance—0.21%
MetLife, Inc. 7.717%, due 02/15/19		750,000			848,225

36

UBS PACE Select Advisors Trust

UBS PACE Intermediate Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate notes—(continued)
Oil & gas—0.89%
ConocoPhillips Co. 4.600%, due 01/15/15	$	2,025,000	$	2,144,360
8.750%, due 05/25/10		1,250,000		1,333,221
EnCana Corp. 4.600%, due 08/15/09		150,000		150,134
				3,627,715
Oil refining—0.10%
Canadian Natural Resources 5.700%, due 05/15/17		380,000		399,408
Oil services—0.69%
Halliburton Co. 5.500%, due 10/15/10		850,000		887,952
Shell International Finance BV 4.000%, due 03/21/14		1,825,000		1,917,850
				2,805,802
Pharmaceuticals—1.78%
Abbott Laboratories 5.600%, due 05/15/11		535,000		571,596
Eli Lilly & Co. 3.550%, due 03/06/12		810,000		841,123
GlaxoSmithKline Capital, Inc. 4.850%, due 05/15/13		1,075,000		1,140,779
Merck & Co., Inc. 4.000%, due 06/30/15		1,325,000		1,382,301
Pfizer, Inc. 5.350%, due 03/15/15		2,645,000		2,927,378
Schering-Plough Corp. 5.550%, due 12/01/135		340,000		369,008
				7,232,185
Real estate investment trusts—0.27%
AvalonBay Communities, Inc. MTN 6.125%, due 11/01/12		280,000		285,730
ERP Operating LP 6.625%, due 03/15/12		780,000		805,331
				1,091,061
Retail—0.50%
CVS Caremark Corp. 0.968%, due 06/01/105		2,025,000		2,018,340
Software—0.50%
Oracle Corp. 4.950%, due 04/15/132		250,000		267,770
Oracle Corp./Ozark Holdings 5.000%, due 01/15/11		1,700,000		1,778,753
				2,046,523
Special purpose entity—0.63%
AEP Texas Central Transition, Series A-4 5.170%, due 01/01/20		425,000		438,130

Security description	Face amount1		Value
Corporate notes—(continued)
Special purpose entity—(concluded)
BAE Systems Holdings, Inc. 5.200%, due 08/15/156	$	330,000	$	339,771
Goldman Sachs Capital II 5.793%, due 06/01/128,9		450,000		315,000
UnitedHealth Group 5.250%, due 03/15/11		1,425,000		1,473,647
				2,566,548
Telecommunications—4.12%
AT&T Broadband Corp. 8.375%, due 03/15/13		1,585,000		1,821,133
Cox Communications, Inc. 7.125%, due 10/01/12		350,000		388,876
7.750%, due 11/01/10		110,000		115,763
8.375%, due 03/01/396		850,000		1,062,117
SBC Communications, Inc. 5.875%, due 02/01/12		95,000		102,218
TCI Communications, Inc. 7.875%, due 08/01/13		100,000		114,120
8.750%, due 08/01/15		50,000		59,914
Telecom Italia Capital 5.250%, due 11/15/13		1,665,000		1,718,933
5.250%, due 10/01/15		205,000		208,748
6.200%, due 07/18/11		1,750,000		1,854,421
Telefonica Emisiones SAU 5.855%, due 02/04/13		925,000		998,048
5.984%, due 06/20/11		1,500,000		1,607,127
6.421%, due 06/20/16		950,000		1,065,712
Telefonica Europe BV 7.750%, due 09/15/10		235,000		249,152
Verizon Communications 6.350%, due 04/01/192		775,000		873,216
8.750%, due 11/01/18		1,800,000		2,301,885
Verizon New Jersey, Inc. 5.875%, due 01/17/12		2,030,000		2,152,117
				16,693,500
Tobacco—0.33%
Philip Morris International, Inc. 5.650%, due 05/16/18		1,250,000		1,329,905
Utilities—0.67%
Dominion Resources, Inc. 5.125%, due 12/15/09		650,000		657,181
Nisource Finance Corp. 1.231%, due 11/23/095		950,000		944,003
7.875%, due 11/15/10		1,075,000		1,124,455
				2,725,639
Wireless telecommunications—1.77%
Cellco Partnership/Verizon Wireless Capital LLC 3.750%, due 05/20/116		3,930,000		4,048,324

37

UBS PACE Select Advisors Trust

UBS PACE Intermediate Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate notes—(concluded)
Wireless telecommunications—(concluded)
Vodafone Group PLC 4.150%, due 06/10/14	$	2,150,000	$	2,191,626
7.750%, due 02/15/10		920,000		948,722
				7,188,672
Total corporate notes (cost—$144,701,461)				146,036,095
Non-US government obligations—0.86%
Bundesrepublik Deutschland 4.000%, due 01/04/37	EUR	1,050,000		1,485,250
4.250%, due 07/04/39	EUR	550,000		818,187
Japan Finance Corp. 2.000%, due 06/24/11		1,120,000		1,120,984
Province of Ontario 4.100%, due 06/16/14		75,000		78,054
Total non-US government obligations (cost—$3,381,624)				3,502,475
Short-term US government obligation—4.04%
US Treasury Bills 0.150%, due 08/20/0911(cost—$16,413,684)		16,415,000		16,413,684
Repurchase agreement—0.07%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $308,084 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$308,053); proceeds: $302,000 (cost—$302,000)		302,000		302,000

Security description	Number of shares			Value
Investment of cash collateral from securities loaned—1.95%
Money market fund—1.95%
UBS Private Money Market Fund LLC12 (cost—$7,903,377)		7,903,377		$	7,903,377
Total investments before investments sold short (cost—$455,749,274)— 112.01%					454,632,708
	Face amount1
Investments sold short—(9.65)%
FHLMC TBA* 5.000%, TBA	$	(6,800,000	)		(7,055,000	)
FNMA TBA* 4.500%, TBA		(9,110,000	)		(9,164,095	)
5.000%, TBA		(8,200,000	)		(8,515,192	)
6.000%, TBA		(13,800,000	)		(14,464,125	)
Total investments sold short (proceeds—$39,058,572)— (9.66)%					(39,198,412	)
Liabilities in excess of other assets—(2.35)%					(9,548,615	)
Net assets—100.00%				$	405,885,681

Aggregate cost for federal income tax purposes before investments sold short was $457,820,017; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	6,419,195
Gross unrealized depreciation		(9,606,504	)
Net unrealized depreciation	$	(3,187,309	)

*  On September 7, 2008, the Federal Housing Finance Agency placed the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation into conservatorship, and the US Treasury guaranteed the debt issued by those organizations.

1  In US Dollars unless otherwise indicated.

2  Security, or portion thereof, was on loan at July 31, 2009.

3  Partial amount delivered to broker as collateral for futures transactions.

4  Entire amount pledged as collateral for investments sold short.

5  Floating rate security. The interest rate shown is the current rate as of July 31, 2009.

38

UBS PACE Select Advisors Trust

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Portfolio of investments—July 31, 2009

6  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 7.33% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

7  Step-up bond that converts to the noted fixed rate at a designated future date.

8  Variable rate security. The interest rate shown is the current rate as of July 31, 2009, and resets at the next call date.

9  Perpetual bond security. The maturity date reflects the next call date.

10  Bond interest in default.

11  Rate shown is the discount rate at date of purchase.

12  The table below details the Portfolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	1,287,062	$	249,022,161	$	242,405,846	$	7,903,377	$	41,681

ARM  Adjustable Rate Mortgage—The interest rate shown is the current rate as of July 31, 2009.

EUR  Euro

FFCB  Federal Farm Credit Bank

FHLB  Federal Home Loan Bank

FHLMC  Federal Home Loan Mortgage Corporation

FNMA  Federal National Mortgage Association

GMAC  General Motors Acceptance Corporation

MTN  Medium Term Note

REMIC  Real Estate Mortgage Investment Conduit

TBA  (To Be Announced) Security is purchased on a forward commitment basis with an approximate principal amount (generally +/- 1.0%) and no definite maturity date. The actual principal amount and maturity date will be determined upon settlement when the specific mortgage pools are assigned.

TIAA  Teachers Insurance and Annuity Association

Futures contracts

Number of contracts	Currency	Buy contracts	Expiration dates	Cost		Current value		Unrealized appreciation (depreciation)
300	USD	US Treasury Note 5 Year Futures	September 2009	$	34,375,030	$	34,614,844	$	239,814
		Sale contracts		Proceeds
85	USD	US Treasury Note 2 Year Futures	September 2009	$	18,400,367	$	18,409,141	$	(8,774	)
32	USD	US Treasury Note 10 Year Futures	September 2009		3,739,342		3,753,000		(13,658	)
					22,139,709		22,162,141		(22,432	)
								$	217,382

Forward foreign currency contracts

	Contracts to deliver		In exchange for		Mautrity dates	Unrealized appreciation (depreciation)
Euro		2,350,500	USD	3,274,247	09/16/09	$	(76,146	)
Japanese Yen		381,168,500	USD	3,988,599	08/26/09		(40,410	)
United States Dollar		4,020,175	JPY	381,168,500	08/26/09		8,834
						$	(107,722	)

Currency type abbreviations:

JPY   Japanese Yen

USD   United States Dollar

39

UBS PACE Select Advisors Trust

UBS PACE Intermediate Fixed Income Investments

Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)			Unobservable inputs (Level 3)		Total
US government obligations	$	—	$	81,353,611		$	—	$	81,353,611
Federal farm credit bank certificate		—		5,914,332			—		5,914,332
Federal home loan bank certificates		—		10,803,739			—		10,803,739
Federal home loan mortgage corporation certificates		—		20,207,342			—		20,207,342
Federal national mortgage association certificates		—		56,297,472			—		56,297,472
Collateralized mortgage obligations		—		86,421,818			—		86,421,818
Asset-backed securities		—		19,476,763			—		19,476,763
Corporate notes		—		146,036,095			—		146,036,095
Non-US government obligations		—		3,502,475			—		3,502,475
Short-term US government obligation		—		16,413,684			—		16,413,684
Repurchase agreement		—		302,000			—		302,000
Investment of cash collateral from securities loaned		—		7,903,377			—		7,903,377
Federal home loan mortgage corporation and federal national mortgage association  certificates sold short		—		(39,198,412	)		—		(39,198,412	)
Other financial instruments, net13		217,382		(107,722	)		—		109,660
Total	$	217,382	$	415,326,574		$	—	$	415,543,956

13  Other financial instruments include open futures contracts and forward foreign currency contracts.

Issuer breakdown by country of origin (unaudited)

	Percentage of total investments
United States		90.2	%
Netherlands		2.2
Germany		2.2
United Kingdom		1.5
Luxembourg		0.8
Spain		0.8
France		0.8
Canada		0.5
Switzerland		0.3
Norway		0.3
Japan		0.2
Ireland		0.2
		100.0	%

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares returned 8.58% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio returned 6.96%). In comparison, the Barclays Capital US Government/Credit Index (formerly known as the Lehman Brothers Government/Credit Index) (the "benchmark") returned 7.14%, and the Lipper Intermediate Investment Grade Debt Funds category posted a median return of 6.92%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 44. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisor's comments

The Portfolio outperformed its benchmark during the reporting period, largely due to duration and sector positioning.

A duration position greater than that of the benchmark's toward the end of 2008 was positive for results as interest rates declined. (Duration measures a portfolio's sensitivity to interest rate changes. A longer duration means that changes in market interest rates are likely to have a larger effect on the value of assets in the portfolio.) However, the Portfolio's longer duration in the first half of 2009 had a negative impact on performance as the shorter end of the yield curve outperformed, with 10-year Treasury yields rising to an eight-month high. (The yield curve plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity dates.) The financial markets continued to price securities consistent with expectations of a cyclical economic recovery, rather than sustained deflation. The demand for Treasuries also waned as the prospect of an oversupply of Treasury securities outweig hed the likelihood of the extension of the Federal Reserve Board's Treasury Purchase Program, which was created to help improve conditions in private credit markets.

The Portfolio's exposure to the United Kingdom was positive for performance as rates fell during the end of 2008. However, rates in the United Kingdom rose during the first half of 2009, which tempered gains from these holdings.

UBS PACE Select Advisors Trust – UBS PACE Strategic Fixed Income Investments

Investment Sub-Advisor:

Pacific Investment Management Company LLC ("PIMCO")

Portfolio Manager:

Saumil H. Parikh

Objective:

Total return consisting of income and capital appreciation

Investment process:

The Portfolio invests primarily in investment grade fixed income securities of governmental and private issuers in the United States and foreign countries. Its duration (a measure of a portfolio's sensitivity to interest rate changes) is normally limited to within two years (plus or minus) of the effective duration of the Portfolio's benchmark index. PIMCO seeks to invest in the areas of the bond market it considers undervalued, based on such factors as quality, sector, coupon and maturity. PIMCO decides to buy or sell specific bonds based on an analysis of their values relative to other similar bonds. PIMCO monitors the prepayment experience of the Portfolio's mortgage-backed bonds, and will also buy and sell securities to adjust the average portfolio duration, credit quality, yield curve, sector and prepayment exposure, as appropriate.

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Sub-Advisor's comments – concluded

From a yield curve perspective, a steepening bias was positive for the Portfolio's performance, on both an absolute basis and relative to the Portfolio's benchmark. A focus on securities with shorter maturities added to returns as investors flocked to these securities, following concerns that increases in the money supply could lead to inflation over the longer term. (A "steepening yield curve" is one in which long-term bond yields increase relative to those of short-term bonds.)

A substantial overweight to high-quality agency mortgage pass-through securities added to relative returns over the reporting period as these bonds outperformed Treasuries. Overall, mortgage-backed securities ("MBS") posted their eighth consecutive month of outperformance relative to Treasuries in July 2009, and the success of the Federal Reserve's MBS Purchase Program—designed to provide support to the mortgage and housing markets, and to foster improved conditions in financial markets—has narrowed mortgage spreads.

An underweight to investment-grade corporate issues was positive for performance as corporate spreads—the difference between the yields paid on these securities versus those paid on US Treasuries—widened over the period. However, exposure to high-quality financial issues detracted from the Portfolio's performance as the financial services sector was hurt by write-downs, decreased profitability and funding issues over the 12-month reporting period.

Despite a rebound in the second quarter of 2009, the financial sector underperformed Treasuries for the reporting period as a whole. A modest allocation to high yield corporate bonds and emerging markets debt hurt returns as the global flight to quality continued through the second half of 2008. While emerging markets were relatively unscathed during the financial crisis, prospects of a global recession weighed on the asset class. The high yield corporate sector underperformed Treasuries of the same duration by 1.62%, and the emerging markets sector underperformed US Treasuries by 3.6% over the 12-month reporting period, as measured by the Barclays Capital U.S. Corporate High Yield Index and the Barclays Capital Global Emerging Markets Index, respectively.¹

¹  Formerly known as the Lehman Brothers U.S. Corporate High Yield Index and the Lehman Brothers Global Emerging Markets Index, respectively.

Special considerations

The Portfolio may be appropriate for long-term investors seeking total return consisting of income and capital appreciation and who are able to withstand short-term fluctuations in the fixed income markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. In addition, investments in foreign bonds involve special risks. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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UBS PACE Strategic Fixed Income Investments

Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Barclays Capital US Government/Credit Index (unaudited)

The graph depicts the performance of UBS PACE Strategic Fixed Income Investments Class P shares versus the Barclays Captial US Government/Credit Index (formerly known as the Lehman Brothers Government/Credit Index) over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Strategic Fixed Income Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		8.31	%		5.35	%	N/A				6.08	%
maximum sales charge	Class B3		7.45	%		4.55	%	N/A				5.37	%
or UBS PACE Select	Class C4		7.78	%		4.84	%	N/A				5.63	%
program fee	Class Y5		8.68	%		5.71	%	N/A				6.13	%
	Class P6		8.58	%		5.61	%		6.54	%		6.71	%
After deducting	Class A2		3.42	%		4.39	%	N/A				5.52	%
maximum sales charge	Class B3		2.70	%		4.23	%	N/A				5.37	%
or UBS PACE Select	Class C4		7.07	%		4.84	%	N/A				5.63	%
program fee	Class P6		6.96	%		4.04	%		4.95	%		5.12	%
Barclays Capital US Government/Credit Index7			7.14	%		4.95	%		6.16	%		6.22	%
Lipper Intermediate Investment Grade Debt Funds median			6.92	%		4.09	%		5.29	%		5.41	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, 0.24%; 5-year period, 3.93%; since inception, 5.17%; Class B—1-year period, (0.39)%; 5-year period, 3.81%; since inception, 5.02%; Class C—1-year period, 3.69%; 5-year period, 4.39%; since inception, 5.29%; Class Y—1-year period, 5.33%; 5-year period, 5.28%; since inception, 5.79%; Class P—1-year period, 3.67%; 5-year period, 3.62%; 10-year period, 4.56%; since inception, 4.91%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.08% and 1.06%; Class B—1.98% and 1.81%; Class C—1.56% and 1.56%; Class Y—0.73% and 0.73%; and Class P—0.84% and 0.81%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.06%; Class B—1.81%; Class C—1.56%; Class Y—0.81% and Class P—0.81%. The Po rtfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance or reissuance on August 24, 1995 for Class P shares, December 11, 2000 for Class A shares, January 30, 2001 for Class B shares, December 1, 2000 for Class C shares and February 2, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 4.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 0.75% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Barclays Capital US Government/Credit Index (formerly known as the Lehman Brothers Government/Credit Index) is composed of all investment-grade bonds that have at least one year to maturity. The Index's total return comprises price appreciation/depreciation and income as a percentage of the original investment. The Index is rebalanced monthly by market capitalization. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics		07/31/09
Weighted average duration			6.1	yrs.
Weighted average maturity			7.8	yrs.
Average coupon			4.47	%
Net assets (mm)		$	629.8
Number of holdings			281
Portfolio composition1		07/31/09
Bonds, notes and loan assignments			88.7	%
Preferred stock			0.9
Options, futures, swaps and forward foreign currency contracts			0.1
Investments sold short			(3.1	)
Cash equivalents and other assets less liabilities			13.4
Total			100.0	%
Quality diversification1		07/31/09
US government and agency securities			30.9	%
AAA			25.3
AA			5.7
A			11.5
BBB			6.8
BB			0.8
B			0.3
Below B/non-rated			7.4
Preferred stock			0.9
Options, futures, swaps and forward foreign currency contracts			0.1
Investments sold short			(3.1	)
Cash equivalents and other assets less liabilities			13.4
Total	��		100.0	%
Asset allocation1		07/31/09
Collateralized mortgage obligations			34.7	%
Corporate notes			33.6
US government agency mortgage pass-through certificates			7.3
Municipal bonds and notes			4.1
Asset-backed securities			4.0
US government obligations			2.6
Loan assignments			2.4
Preferred stock			0.9
Options, futures, swaps and forward foreign currency contracts			0.1
Investments sold short			(3.1	)
Cash equivalents and other assets less liabilities			13.4
Total			100.0	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time. Credit quality ratings shown are based on the ratings assigned to portfolio holdings by Standard & Poor's Ratings Group, an independent rating agency.

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
US government obligations—2.55%
US Treasury Notes 0.875%, due 04/30/112,3	$	1,958,000	$	1,954,339
0.875%, due 05/31/113		22,000		21,943
3.125%, due 05/15/192		14,000,000		13,566,840
4.000%, due 08/15/18		500,000		520,195
Total US government obligations (cost—$15,846,675)				16,063,317
Government national mortgage association certificates—0.05%
GNMA 8.000%, due 06/15/17		53,181		58,106
8.000%, due 07/15/17		42,249		46,642
8.000%, due 09/15/17		31,586		34,118
8.000%, due 11/15/17		68,874		75,388
GNMA II ARM 4.125%, due 11/20/23		9,235		9,351
4.375%, due 01/20/26		20,071		20,408
4.625%, due 07/20/25		11,219		11,481
5.375%, due 05/20/26		34,760		35,764
Total government national mortgage association certificates (cost—$284,205)				291,258
Federal home loan mortgage corporation certificates*—0.41%
FHLMC 0.703%, due 03/09/112,4		333,000		334,245
0.937%, due 08/05/114		6,000		6,003
5.500%, due 12/01/38		283,962		294,422
7.645%, due 05/01/25		1,413,331		1,512,265
FHLMC ARM 5.700%, due 03/01/36		439,902		460,072
Total federal home loan mortgage corporation certificates (cost—$2,495,986)				2,607,007
Federal housing administration certificates—0.02%
FHA GMAC 7.430%, due 06/01/21		89,294		89,294
FHA Reilly 7.430%, due 10/01/20		15,004		15,004
Total federal housing administration certificates (cost—$112,009)				104,298
Federal national mortgage association certificates*—6.80%
FNMA 5.396%, due 11/01/34		11,909,206		12,062,955
5.500%, due 03/01/375		1,348,918		1,399,312
5.500%, due 08/01/375		5,440,066		5,643,300
5.500%, due 12/01/375		5,323,020		5,521,882

Security description	Face amount1		Value
Federal national mortgage association certificates*—(concluded)
5.500%, due 02/01/385	$	367,155	$	380,871
6.000%, due 05/01/385		1,914,201		2,008,635
6.000%, due 08/01/385		3,583,664		3,760,460
6.970%, due 12/01/09		3,495,827		3,524,393
FNMA ARM 2.739%, due 08/01/40		260,503		259,611
3.926%, due 05/01/27		59,385		59,725
4.109%, due 04/01/27		41,108		41,342
4.902%, due 05/01/30		128,784		130,743
5.171%, due 10/01/35		581,869		603,349
5.221%, due 09/01/35		456,402		477,530
5.370%, due 11/01/35		624,710		653,821
5.399%, due 01/01/36		650,554		693,975
5.531%, due 03/01/36		439,747		459,828
5.564%, due 01/01/36		433,784		451,393
5.585%, due 02/01/36		858,968		899,035
5.607%, due 12/01/35		540,443		566,158
5.639%, due 03/01/36		536,329		563,474
5.714%, due 03/01/36		645,881		674,992
5.745%, due 03/01/36		734,445		768,475
5.929%, due 06/01/36		309,009		326,347
FNMA ARM COFI 4.683%, due 11/01/26		152,733		149,678
FNMA TBA 5.500%, TBA		600,000		621,563
6.000%, TBA		100,000		104,813
Total federal national mortgage association certificates (cost—$42,477,042)				42,807,660
Collateralized mortgage obligations—34.73%
ARM Trust, Series 2005-5, Class 2A1 5.148%, due 09/25/35		573,110		436,166
Banc of America Funding Corp., Series 2005-D, Class A1 3.678%, due 05/25/354		5,011,318		4,531,716
Bank of America Mortgage Securities, Inc., Series 2002-G, Class 1A3 4.765%, due 07/20/324		9,561		8,558
Bear Stearns Alternative Loan Trust-A Trust, Series 2005-7, Class 22A1 5.491%, due 09/25/364		1,911,225		1,218,489
Series 2006-1, Class 21A2 5.724%, due 02/25/364		1,950,115		1,081,809
Bear Stearns ARM Trust, Series 2003-5, Class 2A1 4.537%, due 08/25/33		1,167,325		1,064,859
Series 2004-9, Class 22A1 4.807%, due 11/25/34		98,667		86,338
Series 2005-5, Class A2 4.550%, due 08/25/35		5,397,023		4,755,622

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Collateralized mortgage obligations— (continued)
Series 2005-9, Class A1 4.625%, due 10/25/35	$	2,245,814	$	1,911,109
Bear Stearns Commerical Mortgage Securities, Series 2006-BBA7, Class A1 0.398%, due 03/15/194,6		3,933,408		3,349,913
Bear Stearns, Series 2003-1, Class 5A1 5.428%, due 04/25/334		67,360		63,587
Series 2003-1, Class 6A1 5.011%, due 04/25/334		154,080		143,246
Series 2003-3, Class 1A 4.209%, due 10/25/334		75,907		68,819
Series 2004-3, Class 1A2 4.174%, due 07/25/344		663,077		605,754
Series 2004-6, Class 2A1 4.607%, due 09/25/344		3,055,677		2,381,616
Series 2004-7, Class 1A1 5.486%, due 10/25/344		861,947		624,026
Series 2004-9, Class 2A1 5.075%, due 09/25/344		1,293,528		906,272
Citicorp Mortgage Securities, Inc., Series 2002-12, Class 2A1 5.250%, due 12/25/32		132,337		132,006
Citigroup Mortgage Loan Trust, Inc., Series 2005-6, Class A2 4.248%, due 08/25/354		360,345		299,629
Series 2005-6, Class A3 4.098%, due 08/25/354		72,080		59,566
Series 2005-11, Class A1A 2.990%, due 12/25/354		1,337,534		1,090,093
Series 2006-AR1, Class 1A1 4.900%, due 10/25/354		3,421,535		2,680,263
Countrywide Alternative Loan Trust, Series 2003-J3, Class 2A1 6.250%, due 12/25/33		563,909		499,920
Series 2006-41CB, Class 1A9 6.000%, due 01/25/37		1,877,622		1,122,759
Countrywide Home Loans, Series 2003-R4, Class 2A 6.500%, due 01/25/346		1,664,254		1,213,865
Series 2004-12, Class 11A2 4.016%, due 08/25/344		668,492		441,011
FHLMC REMIC,* Series 1278, Class K 7.000%, due 05/15/22		153,861		166,169
Series 1367, Class KA 6.500%, due 09/15/22		2,988		3,227
Series 1502, Class PXZ 7.000%, due 04/15/23		798,896		841,655
Series 1503, Class PZ 7.000%, due 05/15/23		275,149		288,633
Series 1534, Class Z 5.000%, due 06/15/23		281,085		284,523

Security description	Face amount1		Value
Collateralized mortgage obligations— (continued)
Series 1548, Class Z 7.000%, due 07/15/23	$	225,341	$	239,211
Series 1562, Class Z 7.000%, due 07/15/23		338,415		365,488
Series 1694, Class Z 6.500%, due 03/15/24		148,228		159,353
Series 2061, Class Z 6.500%, due 06/15/28		653,762		693,527
Series 2400, Class FQ 0.788%, due 01/15/324		281,187		277,548
Series 2579, Class DZ 5.000%, due 03/15/34		6,524,410		6,447,234
Series 2764, Class LZ 4.500%, due 03/15/34		2,541,357		2,391,204
Series 2764, Class ZG 5.500%, due 03/15/34		4,689,970		4,723,743
Series 2835, Class JZ 5.000%, due 08/15/34		3,578,494		3,630,427
Series 2921, Class PG 5.000%, due 01/15/35		6,200,000		6,339,218
Series 2983, Class TZ 6.000%, due 05/15/35		5,517,871		5,816,019
Series 3149, Class CZ 6.000%, due 05/15/36		7,684,423		8,073,552
Series G23, Class KZ 6.500%, due 11/25/23		211,736		229,015
Series T-054, Class 2A 6.500%, due 02/25/43		1,184,957		1,243,464
Series T-058, Class 2A 6.500%, due 09/25/43		4,677,212		5,048,612
Series T-075, Class A1 0.325%, due 12/25/364		3,157,394		2,959,070
First Horizon Mortgage Pass-Through Trust, Series 2005-AR3, Class 2A1 5.366%, due 08/25/354		145,056		118,389
FNMA REMIC,* Series 1998-066, Class FG 0.585%, due 12/25/284		132,559		130,208
Series 2000-034, Class F 0.735%, due 10/25/304		23,745		23,426
Series 2002-080, Class A1 6.500%, due 11/25/42		2,240,569		2,421,999
Series 2003-064, Class AH 6.000%, due 07/25/33		10,074,432		10,631,883
Series 2003-106, Class US 8.648%, due 11/25/237,8		333,000		299,770
Series 2003-W8, Class 2A 7.000%, due 10/25/42		156,152		170,693
Series 2004-T1, Class 1A1 6.000%, due 01/25/44		2,741,137		2,906,462
Series 2004-W8, Class 2A 6.500%, due 06/25/44		3,138,415		3,392,549

47

UBS PACE Select Advisors Trust

UBS PACE Strategic Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Collateralized mortgage obligations—(continued)
Series 2005-024, Class ZE 5.000%, due 04/25/35	$	1,412,680	$	1,398,175
Series 2005-116, Class TZ 5.500%, due 01/25/36		6,695,135		6,718,805
Series 2005-120, Class ZU 5.500%, due 01/25/36		7,303,784		7,328,955
Series 2006-065, Class GD 6.000%, due 07/25/26		2,800,000		2,979,386
Trust, Series 1991-065, Class Z 6.500%, due 06/25/21		13,752		14,713
Trust, Series 1992-040, Class ZC 7.000%, due 07/25/22		33,163		36,180
Trust, Series 1992-129, Class L 6.000%, due 07/25/22		17,122		17,815
Trust, Series 1993-037, Class PX 7.000%, due 03/25/23		47,519		51,877
Trust, Series 1993-060, Class Z 7.000%, due 05/25/23		261,726		284,917
Trust, Series 1993-065, Class ZZ 7.000%, due 06/25/13		227,381		241,122
Trust, Series 1993-070, Class Z 6.900%, due 05/25/23		42,393		46,090
Trust, Series 1993-096, Class PZ 7.000%, due 06/25/23		250,671		272,967
Trust, Series 1993-160, Class ZB 6.500%, due 09/25/23		68,188		70,149
Trust, Series 1993-163, Class ZB 7.000%, due 09/25/23		22,143		23,472
Trust, Series 1994-023, Class PX 6.000%, due 08/25/23		515,793		541,824
Trust, Series 1998-M7, Class Z 6.390%, due 05/25/36		621,303		648,841
Trust, Series 1999-W4, Class A9 6.250%, due 02/25/29		1,087,772		1,168,675
GNMA REMIC, Trust, Series 2000-009, Class FG 0.888%, due 02/16/304		177,339		177,268
Trust, Series 2002-031, Class FW 0.688%, due 06/16/314		180,482		178,857
Trust, Series 2003-98, Class Z 6.000%, due 11/20/33		14,037,579		14,726,452
Trust, Series 2005-26, Class ZA 5.500%, due 01/20/35		6,088,518		6,058,336
GS Mortgage Securities Corp. II, Series 2007-EOP, Class A1 0.394%, due 03/06/204,6		2,070,898		1,782,653
GS Residential Mortgage Loan Trust, Series 2005-AR6, Class 2A1 4.409%, due 09/25/354		2,790,197		2,526,713
Harborview Mortgage Loan Trust, Series 2005-4, Class 3A1 5.143%, due 07/19/354		867,185		541,036

Security description	Face amount1		Value
Collateralized mortgage obligations—(continued)
Housing Security, Inc., Series 1992-8, Class B 4.376%, due 06/25/244	$	326,337	$	314,579
JPMorgan Chase Commercial Mortgage Securities Corp., Series 2006-LDP9, Class A3 5.336%, due 05/15/47		5,200,000		4,223,735
Series 2007-CB19, Class A4 5.937%, due 02/12/494		3,200,000		2,556,235
Lehman Brothers Mortgage Trust, Series 1991-2, Class A3 8.936%, due 01/20/174		433,935		436,104
Merrill Lynch/Countrywide Commercial Mortgage Trust, Series 2006-4, Class A3 5.172%, due 12/12/494		7,900,000		6,223,423
Series 2007-8, Class A3 6.156%, due 08/12/494		11,500,000		8,600,695
Morgan Stanley Capital I, Series 2006-HQ9, Class A4 5.731%, due 07/12/44		1,900,000		1,779,879
Series 2006-IQ12, Class A4 5.332%, due 12/15/43		3,100,000		2,455,157
Residential Asset Securitization Trust, Series 2006-A14C, Class 2A6 0.735%, due 12/25/364		2,183,948		963,684
Residential Funding Mortgage Security I, Series 2004-S2, Class A1 5.250%, due 03/25/34		970,109		967,303
Series 2004-S9, Class 1A23 5.500%, due 12/25/34		2,300,000		1,687,996
Small Business Administration, Series 1999-20K, Class 1 7.060%, due 11/01/19		535,432		578,188
Series 2000-20K, Class 1 7.220%, due 11/01/20		729,291		793,333
Series 2001-P10B, Class 1 6.344%, due 08/10/11		441,509		462,154
Series 2002-20K, Class 1 5.080%, due 11/01/22		3,129,708		3,280,599
Series 2003-20I, Class 1 5.130%, due 09/01/23		581,354		610,024
Series 2003-20L, Class 1 4.890%, due 12/01/23		1,644,783		1,713,123
Series 2004-P10A, Class 1 4.504%, due 02/10/14		3,409,341		3,485,966
Series 2005-20H, Class 1 5.110%, due 08/01/25		2,106,292		2,201,481
Series 2007-20D, Class 1 5.320%, due 04/01/27		6,087,891		6,469,886
Structured ARM Loan Trust, Series 2004-8, Class 3A 3.687%, due 07/25/34		1,560,954		1,394,866

48

UBS PACE Select Advisors Trust

UBS PACE Strategic Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Collateralized mortgage obligations—(concluded)
Structured Asset Mortgage Investments, Inc., Series 2002-AR3, Class A1 0.949%, due 09/19/324	$	507,108	$	370,428
Series 2006-AR3, Class 11A1 0.495%, due 04/25/364		2,359,772		1,274,960
Structured Asset Securities Corp., Series 2001-SB1, Class A2 3.375%, due 08/25/31		2,763,121		2,204,791
Wachovia Bank Commercial Mortgage Trust, Series 2006-C28, Class A4 5.572%, due 10/15/48		7,100,000		5,959,359
Washington Mutual Mortgage Securities Corp., Series 2002-AR6, Class A 2.610%, due 06/25/424		86,107		65,650
Series 2005-AR1, Class A1A 0.605%, due 01/25/454		198,849		101,110
Series 2005-AR2, Class 2A1A 0.595%, due 01/25/454		245,913		128,306
Series 2006-AR7, Class 3A 3.332%, due 07/25/464		3,375,659		1,672,230
Series 2006-AR9, Class 1A 2.210%, due 08/25/464		2,447,484		1,093,834
Series 2006-AR9, Class 2A 3.332%, due 08/25/464		1,837,205		873,460
Wells Fargo Mortgage Backed Securities Trust, Series 2003-M, Class A1 4.695%, due 12/25/334		1,756,120		1,638,674
Series 2004-CC, Class A1 4.941%, due 01/25/354		640,866		582,811
Series 2006-AR2, Class 2A1 4.950%, due 03/25/36		3,349,209		2,658,476
Total collateralized mortgage obligations (cost—$234,414,901)				218,751,059
Asset-backed securities—4.00%
Chase Issuance Trust, Series 2008-A13, Class A13 2.129%, due 09/15/154		2,200,000		2,206,901
Countrywide Asset-Backed Certificates, Series 2007-5, Class 2A1 0.385%, due 03/25/374		1,294,124		1,155,121
CSAB Mortgage Backed Trust, Series 2006-1, Class A6A 6.172%, due 06/25/369		795,099		423,445

Security description	Face amount1		Value
Asset-backed securities—(concluded)
Delta Funding Home Equity Loan Trust, Series 1999-003, Class A1A 1.108%, due 09/15/294	$	60,720	$	21,717
Ford Credit Auto Owner Trust, Series 2008-C, Class A2B 1.188%, due 01/15/114		208,028		208,188
Series 2008-C, Class A3 1.708%, due 06/15/124		4,300,000		4,316,569
Franklin Auto Trust, Series 2008-A, Class A2 1.289%, due 10/20/114		368,059		368,575
Merrill Lynch Mortgage Investors, Inc., Series 2006-AHL1, Class A2A 0.335%, due 05/25/374		269,923		265,792
Mid-State Trust Series 4, Class A 8.330%, due 04/01/30		403,277		362,287
SLC Student Loan Trust, Series 2008-2, Class A2 1.079%, due 06/15/174		8,300,000		8,204,088
SLM Student Loan Trust, Series 2008-9, Class A 2.004%, due 04/25/234		7,542,846		7,649,916
Total asset-backed securities (cost—$25,620,379)				25,182,599
Corporate notes—33.61%
Airlines—0.53%
Northwest Airlines, Series 2000-1, Class G 7.150%, due 04/01/214		4,092,840		3,340,780
United Air Lines 1991 Equipment Trust 10.360%, due 11/27/127,10		231,906		557
				3,341,337
Banking-non-US—8.47%
Bank of Scotland Group PLC 0.689%, due 12/08/104,6		200,000		191,086
Barclays Bank PLC 7.434%, due 12/15/176,11,12		1,000,000		760,000
BNP Paribas 5.186%, due 06/29/156,11,12		3,100,000		2,099,807
Credit Agricole 0.714%, due 05/28/104,6		6,800,000		6,765,320
6.637%, due 05/31/176,11,12		900,000		567,000
Export-Import Bank of Korea 5.875%, due 01/14/15		1,000,000		1,007,500
ING Bank N.V. 3.900%, due 03/19/146		2,000,000		2,042,380
Lloyds Banking Group PLC 6.657%, due 05/21/376,11,12		2,400,000		984,000
National Australia Bank 1.048%, due 07/08/144,6		21,700,000		21,702,617

49

UBS PACE Select Advisors Trust

UBS PACE Strategic Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate notes—(continued)
Banking-non-US—(concluded)
Resona Bank Ltd. 5.850%, due 04/15/166,11,12	$	2,900,000	$	2,320,000
Royal Bank of Scotland Group PLC 7.640%, due 09/29/1711,12		5,500,000		2,530,000
Santander Perpetual 6.671%, due 10/24/176,11,12		6,700,000		5,595,317
Societe Financement de l'Economie Francaise 3.375%, due 05/05/146		6,700,000		6,777,921
				53,342,948
Banking-US—3.17%
Bank of America Corp. 5.750%, due 12/01/17		3,200,000		3,072,304
Bank of America N.A. 5.300%, due 03/15/17		3,500,000		3,187,551
6.100%, due 06/15/17		4,400,000		4,186,838
Credit Suisse New York MTN 5.000%, due 05/15/13		2,700,000		2,829,020
JPMorgan Chase Bank N.A. 0.959%, due 06/13/162,4		400,000		326,672
Wachovia Corp. 5.250%, due 08/01/14		900,000		906,221
Wachovia Corp. MTN 5.500%, due 05/01/13		5,200,000		5,449,428
				19,958,034
Computers—0.66%
Hewlett-Packard Co. 2.250%, due 05/27/11		4,100,000		4,160,155
Diversified financials—11.19%
American Express Co. 6.150%, due 08/28/17		5,400,000		5,317,801
General Electric Capital Corp. 5.500%, due 09/15/674,6	EUR	5,000,000		4,382,724
5.875%, due 01/14/38		5,400,000		4,678,176
General Electric Capital Corp. MTN 0.779%, due 09/15/144		2,300,000		1,989,700
1.124%, due 05/08/134		1,300,000		1,177,435
1.156%, due 05/11/164		500,000		407,890
1.616%, due 05/22/134		600,000		558,995
Goldman Sachs Group, Inc. 1.059%, due 03/22/164		1,000,000		888,507
5.625%, due 01/15/17		1,800,000		1,802,423
6.250%, due 09/01/17		14,400,000		15,421,493
LeasePlan Corp. N.V. MTN 3.250%, due 05/22/14		4,300,000		6,165,499
Lehman Brothers Holdings, Inc. MTN 5.625%, due 01/24/1310		4,500,000		787,500

Security description	Face amount1		Value
Corporate notes—(continued)
Diversified financials—(concluded)
Macquarie Bank Ltd. 2.600%, due 01/20/126	$	900,000	$	908,608
4.100%, due 12/17/136		6,700,000		6,934,768
4.100%, due 12/17/137		10,400,000		10,798,610
Merrill Lynch & Co. MTN 6.875%, due 04/25/18		8,200,000		8,265,592
				70,485,721
Education—0.88%
Stanford University 4.250%, due 05/01/16		3,500,000		3,514,070
4.750%, due 05/01/19		2,000,000		2,042,120
				5,556,190
Electric utilities—0.30%
PSE&G Power LLC 5.000%, due 04/01/142		1,800,000		1,867,230
Electric-integrated—0.03%
Centrais Eletricas Brasileiras SA 6.875%, due 07/30/196		200,000		205,162
Financial services—2.03%
Citigroup, Inc. 0.631%, due 12/28/094		600,000		596,527
0.944%, due 05/18/114		700,000		656,280
2.583%, due 05/15/184		900,000		694,282
General Motors Acceptance Corp. LLC 7.250%, due 03/02/112		1,300,000		1,209,758
Morgan Stanley MTN 1.570%, due 11/29/134	EUR	5,900,000		7,482,658
SLM Corp. 0.829%, due 03/15/114		2,600,000		2,158,811
				12,798,316
Insurance—2.45%
American International Group 8.175%, due 05/15/384		6,400,000		1,584,000
8.250%, due 08/15/18		5,700,000		3,368,973
8.625%, due 05/22/384,7	GBP	1,600,000		628,089
American International Group, Inc. MTN 4.000%, due 09/20/11		1,500,000		1,416,227
Metropolitan Life Global Funding I 0.894%, due 05/17/104,6		500,000		496,162
Progressive Corp. 6.700%, due 06/15/374		2,800,000		2,119,480
Prudential Financial, Inc. MTN 6.000%, due 12/01/17		6,000,000		5,847,534
				15,460,465

50

UBS PACE Select Advisors Trust

UBS PACE Strategic Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1			Value
Corporate notes—(concluded)
Media—0.76%
Historic TW, Inc. 9.125%, due 01/15/13	$	1,400,000		$	1,620,920
Time Warner, Inc. 5.500%, due 11/15/11		3,000,000			3,178,830
					4,799,750
Oil refining—0.04%
Valero Energy Corp. 6.625%, due 06/15/37		300,000			266,607
Oil services—1.92%
Cameron International Corp. 6.375%, due 07/15/18		8,400,000			8,442,177
El Paso Corp. 7.000%, due 06/15/17		1,700,000			1,633,358
Gaz Capital (Gazprom) 7.288%, due 08/16/376		2,600,000			2,034,500
					12,110,035
Paper & forest products—0.08%
Celulosa Arauco y Constitucion SA 7.250%, due 07/29/196		500,000			517,901
Retail—0.72%
Kroger Co. 6.400%, due 08/15/17		1,200,000			1,309,947
Macy's Retail Holdings, Inc. 8.875%, due 07/15/152,9		3,100,000			3,210,447
			��		4,520,394
Telecommunication services—0.14%
Verizon North, Inc. 5.634%, due 01/01/217,13		1,000,000			857,120
Tobacco—0.24%
Reynolds American, Inc. 7.250%, due 06/15/37		1,600,000			1,488,402
Total corporate notes (cost—$229,964,652)					211,735,767
Loan assignments4—2.36%
Diversified financials—1.07%
Chrysler Financial Term Loan 4.290%, due 08/03/12		6,267,212			5,902,961
First Data Corp. B2 Loan 3.035%, due 09/24/14		984,962			834,342
					6,737,303
Electric utilities—0.48%
NRG Energy Bank Debt 1.785%, due 02/01/13		559,622			533,460
NRG Energy, Inc. Term Loan 0.498%, due 06/23/10		1,208,715			1,152,207
NRG Energy, Inc. Term Loan B 2.098%, due 02/01/13		1,414,551			1,348,421
					3,034,088

Security description	Face amount1		Value
Loan assignments4—(concluded)
Health care—0.29%
Community Health Systems, Inc. Term Loan 2.535%, due 07/30/16	$	65,526	$	61,485
2.924%, due 07/25/14		853,666		801,020
Community Health Systems, Inc. Term Loan B 2.535%, due 07/25/14		46,909		44,016
HCA, Inc. Loan 2.848%, due 11/16/13		1,016,953		954,023
				1,860,544
Media—0.30%
Cablevision Term Loan B 2.038%, due 03/30/13		1,966,302		1,918,384
				1,918,384
Raw materials/paper—0.22%
Georgia Pacific Corp. Term Loan C 3.550%, due 12/31/20		117,170		114,769
3.589%, due 12/31/20		77,425		75,838
3.900%, due 12/31/20		292,386		286,392
Koch Forest Products, Inc. 2.300%, due 12/20/12		86,203		83,247
2.339%, due 12/20/12		63,805		61,617
2.650%, due 12/20/12		734,232		709,055
				1,330,918
Total loan assignments (cost—$14,939,909)				14,881,237
Municipal bonds and notes—4.11%
Education—1.80%
California Educational Facilities Authority Revenue (Clairmont McKenna College) 5.000%, due 01/01/38		200,000		189,546
Clark County School District, Limited Tax (Building), Series A 5.000%, due 06/15/19		300,000		314,196
Keller Independent School District School Building (PSF-GTD) 4.750%, due 08/15/30		1,300,000		1,312,090
Los Angeles Unified School District Refunding, Series A-1 (NATL-RE Insured) 4.500%, due 07/01/25		3,200,000		3,001,152
4.500%, due 01/01/28		3,800,000		3,438,506
New York City Transitional Finance Authority Building Aid Revenue Fiscal 2008, Series S-1 5.000%, due 01/15/25		100,000		101,303

51

UBS PACE Select Advisors Trust

UBS PACE Strategic Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Municipal bonds and notes—(continued)
Education—(concluded)
University of Toledo General Receipts Bonds (Build America Bonds) 6.750%, due 06/01/22	$	2,000,000	$	2,081,360
Will County Community High School District No. 210 Lincoln-Way (Capital Appreciation) (FSA Insured) 4.980%, due 01/01/2114		1,600,000		903,392
				11,341,545
General obligation—0.60%
California State 6.000%, due 04/01/38		1,100,000		1,136,520
California State Build America Bonds 7.500%, due 04/01/34		1,400,000		1,444,646
Cook County Build America Bonds (Recovery Zone Economic Development) 6.360%, due 11/15/33		1,200,000		1,228,356
				3,809,522
Tobacco—0.78%
Buckeye Tobacco Settlement Financing Authority (Asset Backed Series Turbo), Series A-2 5.875%, due 06/01/47		500,000		286,445
Tobacco Settlement Funding Corp., Louisiana, Series 2001-B 5.875%, due 05/15/39		1,075,000		850,863
Tobacco Settlement Funding Corp., Rhode Island, Series A 6.250%, due 06/01/42		200,000		146,014
Tobacco Settlement Revenue Management Authority, South Carolina Tobacco Settlement Revenue, Series B (Escrowed to Maturity) 6.375%, due 05/15/30		3,030,000		3,599,549
				4,882,871
Transportation—0.62%
Harris County Metropolitan Transportation Authority (Build America Bonds), Series C 6.875%, due 11/01/38		3,100,000		3,192,535

Security description	Face amount1		Value
Municipal bonds and notes—(concluded)
Transportation—(concluded)
Port Authority of New York & New Jersey Consolidated (One Hundred Fifty-Eight) 5.859%, due 12/01/24	$	700,000	$	723,177
				3,915,712
Utilities—0.31%
Cincinnati Water System Revenue (Build America Bonds), Series B 6.458%, due 12/01/34		100,000		101,326
Metropolitan Water District Southern California (Build America Bonds) 5.906%, due 07/01/25		1,700,000		1,729,988
New York City Municipal Water Finance Authority Water & Sewer Revenue, Series DD 5.000%, due 06/15/37		100,000		99,250
				1,930,564
Total municipal bonds and notes (cost—$25,369,822)				25,880,214
	Number of shares
Preferred stock15—0.85%
Commercial banks—0.85%
Wells Fargo & Co. (cost—$3,810,820)		6,400		5,375,680
	Face amount1
Short-term US government obligations16—0.21%
US Treasury Bills 0.147%, due 08/20/09	$	1,320,000		1,319,897
0.197%, due 09/03/093		11,000		10,998
Total short-term US government obligations (cost—$1,330,895)				1,330,895
Repurchase agreement—7.90%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $50,736,866 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$50,731,792); proceeds: $49,735,041 (cost—$49,735,000)		49,735,000		49,735,000

52

UBS PACE Select Advisors Trust

UBS PACE Strategic Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Investment of cash collateral from securities loaned—2.66%
Money market fund—2.66%
UBS Private Money Market Fund LLC17(cost—$16,758,475)		16,758,475	$	16,758,475
Total investments before investments sold short (cost—$663,160,770)— 100.26%				631,504,466

Security description	Face amount1			Value
Investments sold short—(3.05)%
FNMA TBA* 5.500%, TBA	$	(13,000,000	)	$	(13,467,194	)
6.000%, TBA		(5,500,000	)		(5,764,688	)
Total investments sold short (proceeds—$19,126,250)— (3.06)%					(19,231,882	)
Other assets in excess of liabilities—2.79%					17,571,400
Net assets—100.00%				$	629,843,984

Aggregate cost for federal income tax purposes before investments sold short was $663,181,177; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	16,706,697
Gross unrealized depreciation		(48,383,408	)
Net unrealized depreciation	$	(31,676,711	)

*  On September 7, 2008, the Federal Housing Finance Agency placed the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation into conservatorship, and the US Treasury guaranteed the debt issued by those organizations.

1  In US Dollars unless otherwise indicated.

2  Security, or portion thereof, was on loan at July 31, 2009.

3  Partial amount delivered to broker as collateral for futures transactions.

4  Floating rate security. The interest rate shown is the current rate as of July 31, 2009.

5  Entire amount pledged as collateral for investments sold short.

6  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 11.37% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

7  Illiquid securities representing 2.17% of net assets as of July 31, 2009.

8  Inverse variable rate security. The interest rate shown is the current rate as of July 31, 2009.

9  Step-up bond that converts to the noted fixed rate at a designated future date.

10  Bond interest in default.

11  Variable rate security. The interest rate shown is the current rate as of July 31, 2009 and resets at the next call date.

12  Perpetual bond security. The maturity date reflects the next call date.

13  Security exempt from registration under Rule 144A of the Securities Act of 1933. This security, which represents 0.14% of net assets as of July 31, 2009, is considered illiquid and restricted (see table below for more information).

Illiquid and restricted security	Acquisition date		Acquisition cost		Acquisition cost as a percentage of net assets			Value at 07/31/09		Value as a percentage of net assets
Verizon North, Inc. 5.634%, 01/01/21		04/25/03	$	1,000,000		0.16	%	$	857,120		0.14	%

14  Zero coupon bond; interest rate represents annualized yield at date of purchase.

15  Non cumulative preferred stock. Convertible until 12/31/49.

16  Rates shown are the discount rates at date of purchase.

17  The table below details the Portfolios's transaction activity in an affiliated issuer for the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	4,558,411	$	253,843,887	$	241,643,823	$	16,758,475	$	58,930

ARM  Adjustable Rate Mortgage—The interest rate shown is the current rate as of July 31, 2009.

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Portfolio of investments—July 31, 2009

COFI  Cost of Funds Index

EUR  Euro

FHA  Federal Housing Administration

FHLMC  Federal Home Loan Mortgage Corporation

FNMA  Federal National Mortgage Association

FSA  Financial Security Assurance

GBP  Great Britain Pound

GMAC  General Motors Acceptance Corporation

GNMA  Government National Mortgage Association

GS  Goldman Sachs

GTD  Guaranteed

MTN  Medium Term Note

NATL-RE  National Reinsurance

PSF  Permanent School Fund

REMIC  Real Estate Mortgage Investment Conduit

TBA  (To Be Announced) Security is purchased on a forward commitment basis with an approximate principal amount (generally +/- 1.0%) and no definite maturity date. The actual principal amount and maturity date will be determined upon settlement when the specific mortgage pools are assigned.

Written options⁷

Number of contracts (000)	Put options written	Counterparty	Pay/ receive floating rate	Expiration dates	Premiums received		Current value		Unrealized appreciation
020	GBP 90 Day Sterling Futures, strike @ GBP 92.00	N/A	N/A	12/16/09	$	16,474	$	0	$	16,474
41,400	USD 3 Month LIBOR19 Interest Rate Swap, strike @ 1.750%	Credit Suisse International	Pay	08/21/09		97,290		35,604		61,686
36,500	USD 3 Month LIBOR19 Interest Rate Swap, strike @ 4.250%	Barclays Bank PLC	Pay	08/21/09		405,150		15,330		389,820
					$	518,914	$	50,934	$	467,980

19  3 Month LIBOR (USD on London Interbank Offered Rate) at July 31, 2009 was 0.479%.

20  Amount represents less than 500 contracts.

LIBOR  London Interbank Offered Rate

N/A  Not applicable.

Currency type abbreviations:

GBP  Great Britain Pound

USD  United States Dollar

Written option activity for the year ended July 31, 2009 was as follows:

	Number of contracts (000)			Premiums received
Options outstanding at July 31, 2008		90,601		$	3,418,017
Options written		151,901			1,278,336
Options terminated in closing purchase transactions		(137,601	)		(3,341,953	)
Options expired prior to exercise		(27,001	)		(835,486	)
Options outstanding at July 31, 2009		77,900		$	518,914

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Portfolio of investments—July 31, 2009

Futures contracts

Number of contracts	Currency	Buy contracts	Expiration dates	Cost		Current value		Unrealized appreciation (depreciation)
266	USD	90 Day Euro Dollar Futures	December 2010	$	65,096,463	$	65,050,300	$	(46,163	)
79	USD	90 Day Euro Dollar Futures	September 2010		19,415,237		19,400,425		(14,812	)
273	USD	90 Day Euro Dollar Futures	March 2011		66,769,325		66,530,100		(239,225	)
				$	151,281,026	$	150,980,825	$	(300,200	)

Currency type abbreviation:

USD  United States Dollar

Forward foreign currency contracts

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
Australian Dollar		7,300,000	USD	5,988,920	08/28/09	$	(106,401	)
Brazilian Real		25,312,364	USD	11,412,247	08/04/09		(2,154,610	)
Brazilian Real		11,590,650	USD	5,800,000	08/04/09		(412,328	)
Brazilian Real		3,516,970	USD	1,765,547	08/04/09		(119,470	)
Canadian Dollar		12,900,000	USD	11,772,580	08/04/09		(202,356	)
Chinese Yuan Renminbi		41,659,040	USD	6,134,449	03/29/10		8,278
Euro		13,922,000	USD	19,797,321	09/04/09		(47,089	)
Great Britain Pound		189,000	USD	311,844	08/06/09		(3,869	)
Great Britain Pound		1,810,000	USD	2,980,595	08/06/09		(42,906	)
Japanese Yen		1,180,000,000	USD	12,408,383	08/04/09		(61,894	)
Japanese Yen		10,000,000	USD	106,352	09/02/09		644
Japanese Yen		1,180,000,000	USD	12,317,328	09/09/09		(157,104	)
Mexican Peso		70,039,900	USD	4,897,039	11/27/09		(322,491	)
Mexican Peso		4,418,790	USD	314,000	11/27/09		(15,298	)
Philippine Peso		3,000,000	USD	62,073	12/24/10		(323	)
Singapore Dollar		9,304	USD	6,455	11/18/09		(7	)
Singapore Dollar		367,716	USD	257,847	12/24/10		2,492
Taiwan Dollar		926,750	USD	27,500	08/10/09		(761	)
Taiwan Dollar		869,310	USD	26,000	08/10/09		(509	)
Taiwan Dollar		429,823	USD	12,777	08/10/09		(330	)
Taiwan Dollar		330,407	USD	9,854	08/10/09		(221	)
Taiwan Dollar		751,669	USD	23,026	11/16/09		(87	)
Taiwan Dollar		1,796,379	USD	54,790	11/16/09		(446	)
United States Dollar		110,043	AUD	136,000	08/25/09		3,538
United States Dollar		2,464,507	AUD	3,122,000	06/07/10		81,812
United States Dollar		3,597,339	AUD	4,550,000	06/07/10		113,663
United States Dollar		360,000	BRL	701,280	08/04/09		15,870
United States Dollar		7,297,000	BRL	14,462,654	08/04/09		454,657

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Portfolio of investments—July 31, 2009

Forward foreign currency contracts—(concluded)

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
United States Dollar		10,868,570	BRL	21,777,350	08/04/09	$	803,599
United States Dollar		1,720,000	BRL	3,478,700	08/04/09		144,505
United States Dollar		1,744,529	BRL	3,516,970	10/02/09		119,608
United States Dollar		11,216,399	CAD	12,547,000	08/04/09		430,851
United States Dollar		6,200,000	CNY	41,659,040	03/29/10		(73,830	)
United States Dollar		188,662	GBP	116,000	08/06/09		5,109
United States Dollar		2,804,065	GBP	1,700,000	08/06/09		35,687
United States Dollar		12,313,472	JPY	1,180,000,000	08/04/09		156,806
United States Dollar		6,254	KRW	7,910,000	11/18/09		184
United States Dollar		6,197,718	KRW	7,902,090,000	11/18/09		233,719
United States Dollar		2,527,140	MXN	34,128,641	11/27/09		16,203
United States Dollar		730,000	MXN	10,017,918	11/27/09		16,558
United States Dollar		668,848	MXN	9,039,474	11/27/09		4,794
United States Dollar		281,967	MXN	3,803,102	11/27/09		1,449
United States Dollar		1,130,972	MXN	15,271,125	11/27/09		7,067
United States Dollar		67,024	PHP	3,000,000	12/24/10		(4,628	)
United States Dollar		266,499	SGD	367,716	12/24/10		(11,144	)
United States Dollar		22,861	TWD	751,669	08/10/09		61
United States Dollar		54,650	TWD	1,804,621	08/10/09		381
						$	(1,080,567	)

Currency type abbreviations:

AUD  Australian Dollar

BRL  Brazilian Real

CAD  Canadian Dollar

CNY  Chinese Yuan Renminbi

GBP  Great Britain Pound

JPY  Japanese Yen

KRW  South Korean Won

MXN  Mexican Peso

PHP  Philippine Peso

SGD  Singapore Dollar

TWD  Taiwan Dollar

USD  United States Dollar

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Portfolio of investments—July 31, 2009

Interest rate swaps

				Rate type
Counterparty	Notional amount (000)		Termination dates	Payments made by the Portfolio			Payments received by the Portfolio			Upfront payments received (made)			Value			Unrealized appreciation (depreciation)
Barclays Bank PLC	GBP	400	03/18/14		1.099	%21		5.000	%	$	1,539		$	41,327		$	42,866
Barclays Bank PLC	GBP	22,900	09/16/14		1.099	21		3.500			188,931			(397,161	)		(208,230	)7
Barclays Bank PLC	USD	7,800	12/16/16		0.479	19		4.000			(117,780	)		193,476			75,696	7
Citibank N.A.	USD	24,700	12/16/14		0.479	19		4.000			(661,960	)		917,422			255,462
Deutsche Bank AG	USD	7,600	12/16/16		0.479	19		4.000			(117,420	)		188,515			71,095	7
Morgan Stanley Capital Services, Inc.	USD	17,200	12/16/16		0.479	19		4.000			(497,131	)		426,639			(70,492	)
Royal Bank of Scotland PLC	GBP	10,100	09/16/14		1.099	21		3.500			90,391			(175,167	)		(84,776	)7
Royal Bank of Scotland PLC	USD	101,700	12/16/14		0.479	19		4.000			(1,325,110	)		3,777,400			2,452,290
Royal Bank of Scotland PLC	USD	25,800	12/16/16		0.479	19		4.000			(761,100	)		639,958			(121,142	)7
Royal Bank of Scotland PLC	USD	1,300	12/16/19		0.479	19		4.000			(7,280	)		9,120			1,840
										$	(3,206,920	)	$	5,621,529		$	2,414,609

21  Rate based on 6 Month LIBOR (GBP on Interbank Offered Rate).

GBP  Great Britain Pound

USD  United States Dollar

Credit default swaps on corporate issues—buy protection²²

				Rate type
Counterparty	Notional amount (000)		Termination dates	Payments made by the Portfolio			Payments received by the Portfolio			Upfront payments made			Value			Unrealized appreciation (depreciation)
Barclays Bank PLC	USD	3,100	09/20/15		7.150	%23		0.000	%24	$	—		$	(709,444	)	$	(709,444	)
Citibank N.A.	USD	5,000	12/20/11		2.470	23		0.000	25		—			(182,046	)		(182,046	)
Citibank N.A.	USD	300	12/20/13		3.400	23		0.000	26		—			(13,367	)		(13,367	)
Credit Suisse First Boston	USD	1,400	03/20/13		1.450	23		0.000	27		—			(53,619	)		(53,619	)
Deutsche Bank AG	USD	1,200	09/20/17		0.775	23		0.000	28		—			(10,776	)		(10,776	)
Deutsche Bank AG	USD	3,200	12/20/17		1.020	23		0.000	29		—			56,395			56,395
Deutsche Bank AG	USD	1,000	06/20/18		1.370	23		0.000	30		(45,996	)		(4,784	)		(50,780	)
Deutsche Bank AG	USD	8,400	09/20/18		0.820	23		0.000	31		—			360,316			360,316
										$	(45,996	)	$	(557,325	)	$	(603,321	)

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Portfolio of investments—July 31, 2009

22  If the Portfolio is a buyer of protection and a credit event occurs, as defined under the terms of the particular swap agreement, the Portfolio will either (i) receive from the seller of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying securities comprising the referenced obligation or (ii) receive a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation.

23  Payments are made based on the notional amount.

24  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Macy's Retail Holdings, Inc bond, 8.875%, due 07/15/15.

25  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Wachovia Corp. bond, 5.300%, due 10/15/11.

26  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Valero Energy Corp.. bond, 8.750%, due 06/15/30.

27  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Historic TW, Inc. bond, 9.125%, due 01/15/13.

28  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Kroger Co. bond, 6.400%, due 05/15/17.

29  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Bank of America Corp. bond, 5.750%, due 12/01/17.

30  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Merrill Lynch & Co. bond, 6.875%, due 04/25/18.

31  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Cameron International Corp. bond, 6.375%, due 07/15/18.

USD  United States Dollar

Credit default swaps on corporate issues—sell protection³²

				Rate type
Counterparty	Notional amount (000)		Termination dates	Payments made by the Portfolio			Payments received by the Portfolio			Upfront payments received		Value			Unrealized appreciation (depreciation)			Credit spread33
Barclays Bank PLC	USD	3,900	03/20/13		0.000	%34		2.029	%35	$	—	$	(158,343	)	$	(158,343	)		3.29	%
BNP Paribas	USD	1,000	12/20/12		0.000	36		2.870	35		—		(210,281	)		(210,281	)		11.60
Citibank N.A.	USD	1,800	03/20/14		0.000	37		5.000	35		88,920		(38,998	)		49,922			5.59
Deutsche Bank AG	USD	300	09/20/11		0.000	38		1.500	35		—		(6,854	)		(6,854	)		2.62
Deutsche Bank AG	USD	1,000	12/20/12		0.000	36		2.900	35		—		(209,557	)		(209,557	)		11.60
Deutsche Bank AG	USD	3,000	03/20/13		0.000	34		2.073	35		—		(117,621	)		(117,621	)		3.29
Deutsche Bank AG	USD	1,800	09/20/13		0.000	39		1.000	35		45,267		7,075			52,342	7		0.90
Royal Bank of Scotland PLC	USD	800	03/20/10		0.000	40		8.250	35		—		39,317			39,317			0.68
										$	134,187	$	(695,262	)	$	(561,075	)

32  If the Portfolio is a seller of protection and a credit event occurs, as defined under the terms of the particular swap agreement, the Portfolio will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or (ii) pay a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation.

33  Credit spreads, where applicable, represented in absolute terms, utilized in determining the market value as of period end serve as an indicator of the current status of the payment/performance risk and represent the likelihood or risk of default for the credit derivative. The credit spread of a particular referenced entity reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into the agreement. Wider credit spreads represent a deterioration of the referenced entity's credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as "Defaulted" indicates a credit event has occurred for the referenced entity.

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Portfolio of investments—July 31, 2009

34  Payment to the counterparty will be made upon the occurrence of bankruptcy and/or by a restructuring event with respect to the MetLife, Inc. bond, 5.000%, due 06/15/15.

35  Payments received are based on the notional amount.

36  Payment to the counterparty will be made upon the occurrence of bankruptcy and/or by a restructuring event with respect to the SLM Corp. bond, 5.125%, due 08/27/12.

37  Payment to the counterparty will be made upon the occurrence of bankruptcy and/or by a restructuring event with respect to the El Paso Corp. bond, 6.875%, due 06/15/14.

38  Payment to the counterparty will be made upon the occurrence of bankruptcy and/or by a restructuring event with respect to the General Electric Capital Corp. bond, 6.000%, due 06/15/12.

39  Payment to the counterparty will be made upon the occurrence of bankruptcy and/or by a restructuring event with respect to the Wells Fargo & Co. bond, 0.702%, due 10/28/15.

40  Payment to the counterparty will be made upon the occurrence of bankruptcy and/or by a restructuring event with respect to the JPMorgan Chase & Co. bond, 4.750%, due 03/01/15.

USD  United States Dollar

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)			Significant other observable inputs (Level 2)			Unobservable inputs (Level 3)		Total
US government obligations	$	—		$	16,063,317		$	—	$	16,063,317
Government national mortgage association certificates		—			291,258			—		291,258
Federal home loan mortgage corporation certificates		—			1,094,742			1,512,265		2,607,007
Federal housing administration certificates		—			—			104,298		104,298
Federal national mortgage association certificates		—			42,657,982			149,678		42,807,660
Collateralized mortgage obligations					215,355,885			3,395,174		218,751,059
Asset-backed securities		—			25,182,599			—		25,182,599
Corporate notes					211,735,767					211,735,767
Loan assignments		—			14,881,237			—		14,881,237
Municipal bonds and notes		—			25,880,214			—		25,880,214
Preferred stock		—			5,375,680			—		5,375,680
Short-term US government obligations		—			1,330,895			—		1,330,895
Repurchase agreement		—			49,735,000			—		49,735,000
Investment of cash collateral from securities loaned		—			16,758,475			—		16,758,475
Federal national mortgage association certificates sold short		—			(19,231,882	)		—		(19,231,882	)
Other financial instruments, net41		(283,726	)		621,152			—		337,426
Total	$	(283,726	)	$	607,732,321		$	5,161,415	$	612,610,010

41  Other financial instruments include written options, open futures contracts, forward foreign currency contracts and open swap contracts.

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Portfolio of investments—July 31, 2009

The following is a rollforward of the Portfolio's investments that were valued using unobservable inputs (Level 3) for the period:

Measurements at 07/31/09
	Federal home loan mortgage corporation certificates			Federal housing administration certificates			Federal national mortgage association certificates			Collateralized mortgage obligations			Total
Beginning balance	$	1,555,360		$	125,403		$	179,964		$	560,051		$	2,420,778
Net purchases/(sales)		(42,493	)		(21,105	)		(27,231	)		(1,286,205	)		(1,377,034	)
Accrued discounts/(premiums)		—			(1,705	)		—			—			(1,705	)
Total realized gain/(loss)		—			—			—			—			—
Total unrealized appreciation/ (depreciation)		(602	)		1,705			(3,055	)		(64,045	)		(65,997	)
Net transfers in/(out) of Level 3		—			—			—			4,185,373			4,185,373
Ending balance	$	1,512,265		$	104,298		$	149,678		$	3,395,174		$	5,161,415

The change in unrealized appreciation/(depreciation) relating to the Level 3 investments held at July 31, 2009 was $(65,997).

Issuer breakdown by country of origin (unaudited)

	Percentage of total investments
United States		86.7	%
Australia		6.4
France		2.6
Netherlands		1.3
Spain		0.9
United Kingdom		0.7
Switzerland		0.4
Japan		0.4
Luxembourg		0.3
South Korea		0.2
Chile		0.1
Total		100.0	%

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares returned 6.14% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio returned 4.56%). In comparison, the Barclays Capital US Municipal 3-15 Year Blend Index (formerly known as the Lehman Brothers US Municipal 3-15 Year Blend Index) (the "benchmark") returned 7.07%, and the Lipper Intermediate Municipal Debt Funds category posted a median return of 4.56%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 64. Please note that the returns shown do not reflect the deduction of taxes that a shareholder could pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisor's comments

While the Portfolio delivered strong absolute performance, it lagged its benchmark during the reporting period. Following the severe flight to quality that culminated in late 2008, the Portfolio was hurt by an underweight to US Treasury-backed pre-refunded bonds. These securities outperformed all other municipal sectors as investors flocked to the highest grade assets.

Investors' risk aversion began to reverse course at the start of 2009, with demand for higher-yielding assets accelerating. The Portfolio was well-positioned to benefit from this shift in demand, driven by an overweight to revenue bonds, including those backed by essential service water and sewer projects, as well as utilities, hospitals and colleges. The strong performance from revenue bonds during the first half of 2009 helped mitigate the negative impact experienced during the most challenging liquidity conditions in the fourth quarter of 2008. Within the revenue bond sector, the Portfolio was aided by favorable security selection, particularly within the hospital, education and housing sectors.

During the reporting period, we reduced the Portfolio's exposure to bonds backed by corporate entities, such as industrial development and prepaid natural gas contracts. Despite this, exposure to these securities hurt the Portfolio's relative returns. However, the Portfolio benefited greatly from improving market conditions during 2009, when prices improved as the taxable credit markets rallied. Tobacco securitization bonds remained a key overweight in the Portfolio, and benefited greatly from the broad municipal market rally experienced during the first half of 2009.

UBS PACE Select Advisors Trust – UBS PACE Municipal Fixed Income Investments

Investment Sub-Advisor:

Standish Mellon Asset Management Company LLC ("Standish Mellon")

Portfolio Manager:

Christine L. Todd

Objective:

High current income exempt from federal income tax

Investment process:

In deciding which securities to buy for the Portfolio, Standish Mellon seeks to identify undervalued sectors or geographical regions of the municipal market, or undervalued individual securities. To do this, Standish Mellon uses credit research and valuation analysis, and monitors the relationship of the municipal yield curve to the Treasury yield curve. Standish Mellon may also make modest duration adjustments based on economic analyses and interest rate forecasts. Standish Mellon generally sells securities if it identifies more attractive investment opportunities within its investment criteria that may improve the Portfolio's return. Standish Mellon also may sell securities with weakening credit profiles or to adjust the average duration of the Portfolio.

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Sub-Advisor's comments – concluded

Weak economic conditions continued to pressure state and local government budgets, straining tax revenues during the reporting period. The Portfolio maintained a strategic underweight to general obligation bonds and benefited from less exposure to geographic areas prone to extended periods of economic weakness. In particular, a decision to underweight both California and New York City general obligation bonds helped performance relative to the benchmark as those credits suffered amidst heavy supply and weak economic conditions. While lower-quality bonds in the A- and BBB-rated categories performed well during the latter half of the reporting period, an overweight position detracted from the Portfolio's relative returns overall.¹ Bonds backed by the Commonwealth of Puerto Rico remained a key portfolio overweight. These bonds benefited relative returns as investor demand for lower-rated bonds increased during 2009.

Overall, we maintained the Portfolio's duration closely to that of the benchmark's. However, a modestly short duration position was detrimental as the market rallied during the reporting period. (Duration measures a portfolio's sensitivity to interest rate changes.) The Portfolio was positioned to benefit from a steepening yield curve, which added to performance as the spread between two-year and 10-year municipals increased substantially. (The yield curve plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity dates. A "steepening yield curve" is one in which long-term bond yields increase relative to those of short-term bonds.) The yield curve steepened due to the monetary policy of the Federal Reserve Board, which helped to keep short-term interest rates low. Municipal bonds with call features allowing the issuer to opportunistically redeem bonds at a set price were poor performers overall during the reporting period, and the Portfolio's underweight to these issues benefited returns relative to the benchmark.

¹  According to ratings assigned by Standard & Poor's Ratings Group, bonds rated A have a strong capacity to pay principal and interest, although they are somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions, while debt rated BB has less near-term vulnerability to default than other speculative grade debt. However, it faces major ongoing uncertainties or exposure to adverse business, financial or economic conditions which could lend to inadequate capacity to meet timely interest and principal payments.

Special considerations

The Portfolio may be appropriate for long-term investors seeking high current income exempt from federal income taxes. Investors should be able to withstand short-term fluctuations in the fixed income markets in return for potentially higher returns over the long term. The yield and value of the Portfolio change every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the issuers in which the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Barclays Capital US Municipal 3-15 Year Blend Index (unaudited)

The graph depicts the performance of UBS PACE Municipal Fixed Income Investments Class P shares versus the Barclays Captial US Municipal 3-15 Year Blend Index (formerly known as the Lehman Brothers US Municipal 3-15 Year Blend Index) over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder could pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Municipal Fixed Income Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		5.97	%		3.12	%	N/A				3.47	%
maximum sales charge	Class B3		5.17	%		2.35	%	N/A				2.92	%
or UBS PACE Select	Class C4		5.36	%		2.60	%	N/A				3.21	%
program fee	Class Y5		6.23	%		3.38	%	N/A				3.73	%
	Class P6		6.14	%		3.36	%		3.90	%		4.36	%
After deducting	Class A2		1.22	%		2.18	%	N/A				2.91	%
maximum sales charge	Class B3		0.17	%		1.98	%	N/A				2.92	%
or UBS PACE Select	Class C4		4.61	%		2.60	%	N/A				3.21	%
program fee	Class P6		4.56	%		1.82	%		2.36	%		2.81	%
Barclays Capital US Municipal 3-15 Year Blend Index7			7.07	%		4.55	%		5.27	%		5.40	%
Lipper Intermediate Municipal Debt Funds median			4.56	%		3.28	%		4.19	%		4.43	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (0.08)%; 5-year period, 1.95%; since inception, 2.71%; Class B—1-year period, (1.17)%; 5-year period, 1.76%; since inception, 2.72%; Class C—1-year period, 3.35%; 5-year period, 2.38%; since inception, 3.02%; Class Y—1-year period, 4.88%; 5-year period, 3.14%; since inception, 3.53%; Class P—1-year period, 3.32%; 5-year period, 1.60%; 10-year period, 2.19%; since inception, 2.69%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—0.96% and 0.93%; Class B—1.84% and 1.68%; Class C—1.47% and 1.43%; Class Y—0.91% and 0.68%; and Class P—0.74% and 0.68%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—0.93%; Class B—1.68%; Class C—1.43%; Class Y—0.68% and Class P—0.68%. The Po rtfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, January 23, 2001 for Class A shares, February 23, 2001 for Class B shares, December 4, 2000 for Class C shares and February 23, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 4.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 0.75% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Barclays Capital US Municipal 3-15 Year Blend Index (formerly known as the Lehman Brothers US Municipal 3-15 Year Blend Index) is a total return performance benchmark for the tax-exempt bond market. The Index includes municipal bonds with an effective maturity between 2 and 17 years that have at least one year to maturity and are investment grade. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder could pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Weighted average duration		5.3	yrs.
Weighted average maturity		6.7	yrs.
Average coupon		5.26	%
Net assets (mm)	$	291.7
Number of holdings		150
Portfolio composition1	07/31/09
Municipal bonds and notes		98.7	%
Tax-free money market fund		0.6
Other assets less liabilities		0.7
Total		100.0	%
Top five sectors1	07/31/09
Revenue		34.2	%
General obligations		24.1
Lease revenue/special revenue		19.6
Insured		12.8
Housing		3.1
Total		93.8	%
Top five states or territories1	07/31/09
Texas		16.5	%
California		8.6
Puerto Rico		7.3
Florida		7.2
Washington		6.9
Total		46.5	%
Quality diversification1	07/31/09
AAA and agency backed securities		34.2	%
AA		25.2
A		21.5
BBB		10.5
Non-rated		7.3
Tax-free money market fund		0.6
Other assets less liabilities		0.7
Total		100.0	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time. Credit quality ratings shown are based on the ratings assigned to portfolio holdings by Standard & Poor's Ratings Group, an independent rating agency.

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Municipal bonds and notes—98.72%
Alabama—0.72%
Birmingham Waterworks Board Water Revenue Series A (Assured Guaranty Insured) 5.000%, due 01/01/24	$	2,005,000	$	2,095,285
Alaska—3.03%
Alaska Housing Finance Corp. General Housing Series C (NATL-RE Insured) 5.000%, due 12/01/13		1,110,000		1,238,482
Alaska Housing Finance Corp. Mortgage Series A-2 5.650%, due 12/01/101		970,000		971,746
Alaska International Airports Revenue Refunding Series A (NATL-RE Insured) 5.500%, due 10/01/151		3,500,000		3,632,055
North Slope Boro Series A (NATL-RE Insured) 5.000%, due 06/30/16		2,000,000		2,273,540
Northern Tobacco Securitization Corp. Alaska Tobacco Settlement Asset-Backed Bonds Series A 4.625%, due 06/01/23		790,000		714,200
				8,830,023
Arizona—1.27%
Arizona State Transportation Board Excise Tax Revenue Maricopa County Regional Area Road Fund 5.000%, due 07/01/15		2,000,000		2,274,540
San Manuel Entertainment Series 04-C 4.500%, due 12/01/162		1,800,000		1,441,566
				3,716,106
Arkansas—0.00%
Springdale Residential Housing Mortgage Series A (FNMA Collateralized) 7.650%, due 09/01/11		1,375		1,408
California—8.64%
California State 5.000%, due 03/01/17		2,000,000		2,146,880
5.000%, due 08/01/19		3,000,000		3,143,610
5.500%, due 04/01/21		3,000,000		3,226,290
California Statewide Communities Development Authority Pollution Control Revenue Refunding Southern California Edison Company Series A (Mandatory Put 04/01/13 @ 100) (XL Capital Insured) 4.100%, due 04/01/28		1,000,000		1,007,750

Security description	Face amount		Value
Municipal bonds and notes—(continued)
California—(concluded)
California Statewide Communities Development Authority Revenue Kaiser Permanente Series A 5.000%, due 04/01/19	$	3,000,000	$	3,117,540
California Statewide Communities Development Authority Revenue St. Joseph Series F (FSA Insured) 5.250%, due 07/01/18		1,500,000		1,635,885
Golden State Tobacco Securitization Corp. Tobacco Settlement Revenue Asset-Backed Senior Series A-1 4.500%, due 06/01/27		5,915,000		4,945,354
Sacramento Utility District Electric Revenue, White Rock Project (Escrowed to Maturity) 6.750%, due 03/01/10		100,000		102,983
6.800%, due 05/01/10		50,000		52,305
San Diego Public Facilities Financing Authority Sewer Revenue Senior Series A 5.000%, due 05/15/25		2,500,000		2,564,050
Tobacco Securitization Authority Northern California Tobacco Settlement Revenue Asset-Backed Bonds Series A-1 4.750%, due 06/01/23		825,000		648,731
Tuolumne Wind Project Authority Revenue Tuolumne Co. Project Series A 5.250%, due 01/01/24		2,590,000		2,610,927
				25,202,305
Delaware—0.60%
Delaware State Series 2009B 5.000%, due 01/01/17		1,500,000		1,755,720
District of Columbia—0.37%
Metropolitan Airport Authority System Refunding Series A (NATL-RE-FGIC Insured) 5.750%, due 10/01/141		1,000,000		1,070,090
Florida—7.19%
Citizens Property Insurance Corp. Refunding Senior Secured High Risk Account Series A (NATL-RE Insured) 5.000%, due 03/01/14		2,000,000		2,012,440
Citizens Property Insurance Corp. Senior Secured High Account Series A-1 5.500%, due 06/01/14		1,000,000		1,027,330

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Florida—(concluded)
Florida Department of Children's & Family Services Certificates of Participation (Florida Civil Commitment Center) (NATL-RE Insured) 5.000%, due 04/01/14	$	1,065,000	$	1,178,092
Florida State Municipal Power Agency Revenue All Requirements Power Series A 5.250%, due 10/01/20		1,555,000		1,642,718
5.250%, due 10/01/21		2,000,000		2,082,080
Gainesville Utilities Systems Revenue Series B 6.500%, due 10/01/12		1,795,000		2,063,981
Miami-Dade County Water & Sewer Revenue Refunding Series C 5.250%, due 10/01/18		2,000,000		2,151,520
Miami-Dade County Water & Sewer Revenue Refunding Systems Series B (FSA Insured) 5.250%, due 10/01/18		2,500,000		2,783,975
Orlando & Orange County Expressway Authority Expressway Revenue Junior Lien (NATL-RE-IBC/FGIC Insured) 8.250%, due 07/01/16		2,595,000		3,239,520
Tampa Utilities Tax & Special Revenue Refunding Series B (AMBAC Insured) 5.750%, due 10/01/15		1,000,000		1,148,270
Tampa-Hillsborough County Expressway Authority Revenue (AMBAC Insured) 5.000%, due 07/01/14		1,535,000		1,629,587
				20,959,513
Georgia—1.88%
De Kalb County Water & Sewer Revenue Refunding Series B 5.250%, due 10/01/24		2,000,000		2,304,340
Fulton De Kalb Hospital Authority Hospital Revenue Refunding Certificates (FSA Insured) 5.250%, due 01/01/15		2,000,000		2,237,480
Main Street Natural Gas, Inc. Gas Project Revenue Series B 5.000%, due 03/15/15		1,000,000		947,230
				5,489,050

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Guam—0.34%
Guam Education Financing Foundation Certificates of Participation, Guam Public Schools Project Series A 5.000%, due 10/01/12	$	1,000,000	$	990,710
Hawaii—0.36%
Hawaii State Harbor Systems Revenue Series A (FSA Insured) 5.000%, due 01/01/131		1,000,000		1,050,840
Idaho—0.19%
Idaho Housing & Finance Association Single-Family Mortgage Series G-2, Class III 5.950%, due 07/01/191		425,000		441,707
Subseries D-3 5.150%, due 07/01/131		110,000		111,960
				553,667
Illinois—6.51%
Belleville St. Clair County (Escrowed to Maturity) (MGIC Insured) 7.250%, due 11/01/09		75,000		76,288
Cook County Forest Preservation District (AMBAC Insured) 5.000%, due 11/15/19		5,180,000		5,582,745
Illinois Development Finance Authority Revenue DePaul University Series C 5.500%, due 10/01/13		1,000,000		1,089,410
Illinois Development Finance Authority Revenue School District Program School District No. U-46 (FSA Insured) 5.150%, due 01/01/19		2,000,000		2,257,600
Illinois Educational Facilities Authority Revenue Evangelical Hospital Series A (Escrowed to Maturity) 6.750%, due 04/15/17		660,000		797,141
Illinois Health Facilities Authority Revenue University of Chicago Hospital & Health (NATL-RE Insured) 5.000%, due 08/15/12		2,000,000		2,117,120
Illinois Municipal Electric Agency Power Supply Refunding Series C (NATL-RE-FGIC Insured) 5.000%, due 02/01/16		1,200,000		1,300,932
Regional Transportation Authority Series A (FSA Insured) 5.750%, due 06/01/18		3,000,000		3,548,970

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Illinois—(concluded)
Springfield Electric Revenue Senior Lien Electric 5.000%, due 03/01/16	$	2,000,000	$	2,224,680
				18,994,886
Indiana—0.97%
Indiana State Finance Authority Environmental Facilities Revenue Refunding Industrial Power & Light Co. Series C 4.900%, due 01/01/16		1,500,000		1,508,805
Indiana University Revenues Student Fees Series S 5.000%, due 08/01/19		1,185,000		1,318,514
				2,827,319
Iowa—1.24%
Iowa Finance Authority Revenue Revolving Fund 5.250%, due 02/01/14		3,310,000		3,621,935
Kentucky—0.54%
Louisville & Jefferson County Regional Airport Authority Airport Systems Revenue Series A (FSA Insured) 5.750%, due 07/01/131		1,505,000		1,575,299
Louisiana—1.95%
Jefferson Parish Home Mortgage Authority Single-Family Mortgage Revenue Series A (GNMA/FNMA and FHA/VA/USDA Mortgages Insured) 5.125%, due 06/01/261		950,000		952,765
Louisiana Public Facilities Authority Revenue Hurricane Recovery Project (AMBAC Insured) 5.000%, due 06/01/15		2,880,000		3,026,851
New Orleans Aviation Board Revenue New Orleans Aviation Series B2 Refunding (FSA Insured) 5.000%, due 01/01/121		1,655,000		1,717,062
				5,696,678
Maryland—0.78%
Maryland State & Local Facilities Lien First Series 5.000%, due 08/01/15		2,000,000		2,284,960

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Massachusetts—5.28%
Massachusetts Bay Transportation Authority Massachusetts Sales Tax Revenue Series A 5.000%, due 07/01/22	$	2,000,000	$	2,267,200
Series B 5.250%, due 07/01/21		6,000,000		6,990,300
Massachusetts Health & Educational Facilities Authority Revenue Massachusetts Institute of Technology Series M 5.250%, due 07/01/29		1,000,000		1,145,110
Massachusetts Health & Educational Facilities Authority Revenue Partners Healthcare Systems Series G-5 5.000%, due 07/01/19		1,000,000		1,048,570
Massachusetts State Development Finance Agency Solid Waste Disposal Revenue Waste Management Income Project 5.450%, due 06/01/141		2,000,000		1,951,800
Massachusetts State Housing Finance Agency Series D 3.900%, due 12/01/171		2,000,000		1,998,180
				15,401,160
Michigan—3.26%
Detroit Sewer Disposal Revenue Refunding Senior Lien Series C-1 6.500%, due 07/01/24		2,250,000		2,461,500
Detroit Sewer Disposal Revenue Second Lien Series D-2 (Mandatory Put 01/01/12 @ 100) (NATL-RE Insured) 5.500%, due 07/01/323		2,000,000		2,037,900
Detroit Sewer Disposal Revenue Senior Lien Series A (FSA Insured) 5.250%, due 07/01/19		2,500,000		2,583,850
Michigan State Housing Development Authority Series A 4.550%, due 12/01/141		2,395,000		2,436,841
				9,520,091
Minnesota—0.01%
Moorhead Residential Mortgage (Escrowed to Maturity) (FHA/VA Insured) 7.100%, due 08/01/11		20,000		21,390

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Missouri—3.57%
Missouri State Health & Educational Facilities Authority Health Facilities Revenue St. Lukes Health Systems Series A (FSA Insured) 5.000%, due 11/15/16	$	2,000,000	$	2,166,000
5.000%, due 11/15/17		2,500,000		2,686,625
Missouri State Highways & Transit Commission State Road Revenue Second Lien 5.000%, due 05/01/16		2,000,000		2,316,780
Springfield Public Building Corp. Leasehold Revenue Springfield Branson Airport Series B (AMBAC Insured) 5.000%, due 07/01/131		2,075,000		2,159,079
St. Louis Airport Revenue Lambert International Airport Series A (FSA Insured) 5.000%, due 07/01/13		1,000,000		1,082,020
				10,410,504
Nevada—0.56%
Las Vegas Valley Water District Refunding & Improvement Series A 5.000%, due 02/01/17		1,500,000		1,622,610
New Jersey—0.69%
New Jersey Transportation Trust Fund Authority Transportation System Series B (AGC-ICC/FGIC Insured) 5.500%, due 12/15/20		1,500,000		1,695,690
Tobacco Settlement Financing Corp. Series 1-A 4.500%, due 06/01/23		380,000		324,759
				2,020,449
New York—5.91%
New York City Industrial Development Agency Special Facility Revenue Terminal One Group Association Project 5.000%, due 01/01/111		4,000,000		4,051,120
New York City Transitional Finance Authority Revenue Refunding Future Tax Secured Series A 5.500%, due 11/01/263		2,000,000		2,138,380
New York State Dorm Authority Lease Revenue Series B (Mandatory Put 07/01/13 @ 100) (XL Capital Insured) 5.250%, due 07/01/323		1,500,000		1,614,030

Security description	Face amount		Value
Municipal bonds and notes—(continued)
New York—(concluded)
New York State Dorm Authority State Personal Income Tax Revenue Education Series D 5.000%, due 03/15/15	$	2,500,000	$	2,838,475
New York State Urban Development Corp. Correctional & Youth Facilities Service (Pre-refunded with US Government Securities to 01/01/11 @ 100) Series A 5.500%, due 01/01/17		70,000		74,821
Port Authority of New York & New Jersey (NATL-RE-FGIC Insured) 5.000%, due 10/01/131		6,000,000		6,526,620
				17,243,446
North Carolina—0.39%
Iredell County Certificates of Participation Iredell County School Project (FSA Insured) 5.250%, due 06/01/15		1,000,000		1,144,170
Ohio—2.25%
Buckeye Tobacco Settlement Financing Authority Asset-Backed Securities Turbo Series A-2 5.125%, due 06/01/24		2,685,000		2,203,177
Cleveland Waterworks Revenue Refunding First Mortgage Series G (NATL-RE Insured) 5.500%, due 01/01/13		2,265,000		2,341,738
Franklin County Revenue Refunding Trinity Health Credit Series A 5.000%, due 06/01/11		1,680,000		1,747,368
Ohio Housing Finance Agency Mortgage Revenue Residential Series B-2 (GNMA Collateralized) 5.350%, due 09/01/181		275,000		281,388
				6,573,671
Oklahoma—0.39%
Oklahoma Department of Transportation Revenue Grant Anticipation Notes Series A 5.000%, due 09/01/13		1,000,000		1,125,420
Pennsylvania—3.08%
Allegheny County Sanitation Authority Sewer Revenue (Pre-refunded with US Government Securities and a Repurchase Agreement to 12/01/10 @ 101) (NATL-RE Insured) 5.750%, due 12/01/15		800,000		854,640

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Pennsylvania—(concluded)
Lancaster Sewer Authority (Escrowed to Maturity) 6.000%, due 04/01/12	$	30,000	$	32,070
Pennsylvania Intergovernmental Cooperative Authority Special Tax Revenue Refunding Philadelphia Funding Program 5.000%, due 06/15/17		2,000,000		2,237,780
Pennsylvania State Higher Educational Facilties Authority Revenue University of Pennsylvania Series A 5.000%, due 09/01/17		1,150,000		1,331,585
Pennsylvania Third Series (FSA Insured) 5.000%, due 09/01/15		2,000,000		2,270,980
University of Pittsburgh of the Commonwealth System of Higher Education Capital Project Series B 5.500%, due 09/15/21		2,000,000		2,256,480
				8,983,535
Puerto Rico—7.29%
Puerto Rico Commonwealth Government Development Bank Senior Notes Series B 5.000%, due 12/01/14		1,500,000		1,506,660
Series C 5.250%, due 01/01/151		1,000,000		1,014,060
Puerto Rico Commonwealth Highway & Transportation Authority Highway Revenue Refunding Series CC 5.000%, due 07/01/13		1,070,000		1,093,016
Puerto Rico Commonwealth Highway & Transportation Authority Transportation Revenue (Assured Guaranty FSA) 5.500%, due 07/01/25		2,000,000		2,081,960
Puerto Rico Commonwealth Refunding Public Improvement Series A 5.000%, due 07/01/13		1,000,000		1,021,510
Puerto Rico Commonwealth Refunding Series A (Mandatory Put 07/01/12 @ 100) 5.000%, due 07/01/303		1,000,000		1,003,990

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Puerto Rico—(concluded)
Puerto Rico Public Buildings Authority Revenue Guaranteed Refunding Government Facilities Series J (Mandatory Put 07/01/12 @ 100) (Commonwealth GTD) 5.000%, due 07/01/283	$	3,000,000	$	3,011,970
Series M (Commonwealth GTD) 5.750%, due 07/01/16		2,000,000		2,027,760
Puerto Rico Public Finance Corp. Refunding Commonwealth Appropriations Series A (Mandatory Put 02/01/12 @ 100) (Government Development Bank for Puerto Rico Insured) 5.750%, due 08/01/273		4,250,000		4,315,067
Puerto Rico Sales Tax Financing Corp. Sales Tax Revenue First Sub-Series A 5.500%, due 08/01/23		4,000,000		4,171,880
				21,247,873
South Carolina—0.84%
Richland County School District No. 002 Series A (SCSDE Insured) 5.000%, due 02/01/21		2,000,000		2,248,440
South Carolina Housing Finance & Development Authority Mortgage Revenue Series A-2 (FSA Insured) 4.700%, due 07/01/201		215,000		212,085
				2,460,525
South Dakota—0.86%
South Dakota Health & Educational Facilities Authority Revenue Refunding Prairie Lakes Health Care (ACA/CBI Insured) 5.450%, due 04/01/13		2,485,000		2,502,370
Tennessee—3.04%
Clarksville Natural Gas Acquisition Corp. Gas Revenue 5.000%, due 12/15/14		2,000,000		1,907,300
Metropolitan Government Nashville & Davidson County Water Sewer Revenue Cab Converter Refunding (NATL-RE-FGIC/TCRs) 7.700%, due 01/01/12		6,450,000		6,955,422
				8,862,722

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Texas—16.53%
Aldine Independent School District School Building (PSF-GTD) 5.000%, due 02/15/19	$	1,435,000	$	1,620,603
Cypress-Fairbanks Independent School District Refunding (PSF-GTD) 5.000%, due 02/15/22		2,000,000		2,156,140
Cypress-Fairbanks Independent School District Schoolhouse (PSF-GTD) 5.000%, due 02/15/18		2,500,000		2,839,600
Dallas-Fort Worth International Airport Revenue Refunding & Improvement Series A (NATL-RE-FGIC Insured) 5.750%, due 11/01/131		2,000,000		2,107,080
Dickinson Independent School District Refunding Schoolhouse (PSF-GTD) 5.000%, due 02/15/23		1,920,000		2,028,768
Fort Worth Independent School District (PSF-GTD) 5.000%, due 02/15/15		2,000,000		2,295,560
Harris County Flood Control District Refunding Contract Series A 5.250%, due 10/01/18		2,000,000		2,345,980
Harris County Hospital District Revenue Refunding Senior Lien Series A (NATL-RE Insured) 5.000%, due 02/15/18		1,675,000		1,746,506
Houston Texas Airport Systems Revenue (Escrowed to Maturity) 7.600%, due 07/01/10		45,000		47,468
Houston Utilities Systems Revenue Refunding Combined First Lien Series A (FSA Insured) 5.250%, due 11/15/17		2,500,000		2,867,475
Katy Independent School District School Building Series A (PSF-GTD) 5.000%, due 02/15/14		2,000,000		2,218,100
Keller Independent School District Refunding (PSF-GTD) 5.000%, due 08/15/16		1,500,000		1,706,535
Klein Independent School District Refunding Schoolhouse Series A (PSF-GTD) 5.000%, due 08/01/19		1,530,000		1,744,139
Lower Colorado River Authority Refunding LCRA Transmission Services (BHAC Insured) 5.000%, due 05/15/20		1,765,000		1,917,778

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Texas—(concluded)
North East Independent School District School Building Series A (PSF-GTD) 5.000%, due 08/01/21	$	2,000,000	$	2,204,100
North Texas Health Facilities Development Corp. Hospital Revenue United Regional Health Care Systems (FSA Insured) 5.000%, due 09/01/21		1,450,000		1,485,481
5.000%, due 09/01/22		1,400,000		1,424,808
Pasadena Independent School District Refunding (PSF-GTD) 5.000%, due 02/15/19		2,000,000		2,274,780
Round Rock Independent School District (PSF-GTD) 5.000%, due 08/01/16		2,750,000		3,184,775
San Antonio Electric & Gas Refunding Series A 5.000%, due 02/01/17		1,295,000		1,468,724
Schertz-Cibolo-Universal City Independent School District School Building Series A (PSF-GTD) 5.000%, due 02/01/14		1,500,000		1,705,200
Texas Municipal Power Agency Revenue (Escrowed to Maturity) (NATL-RE Insured) 6.100%, due 09/01/134		25,000		23,049
Texas Water Development Board Revenue State Revolving Fund Subseries A-1 5.000%, due 07/15/245		1,885,000		2,042,661
Tyler Independent School District School Building 5.000%, due 02/15/18		2,165,000		2,449,806
University of Texas Revenue Refunding Financing Systems Series D 5.000%, due 08/15/17		2,000,000		2,296,120
				48,201,236
Utah—0.18%
Utah State Housing Finance Agency Single-Family Mortgage Series G-3, Class III 5.700%, due 07/01/151		515,000		531,835
Virginia—0.71%
Fairfax County Economic Development Authority Resource Recovery Revenue Refunding Series A (AMBAC Insured) 6.100%, due 02/01/111		2,000,000		2,076,860

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Municipal bonds and notes—(continued)
Washington — 6.94%
Energy Northwest Electric Revenue Columbia Station Series A 5.000%, due 07/01/23	$	2,500,000	$	2,622,725
Energy Northwest Electric Revenue Refunding Columbia Station Series A 5.000%, due 07/01/21		2,000,000		2,124,080
Energy Northwest Electric Revenue Refunding Project 1 Series A 5.000%, due 07/01/16		1,515,000		1,711,026
Energy Northwest Electric Revenue Refunding Project 3 Series A 5.500%, due 07/01/13		1,000,000		1,139,710
King County School District No. 414 Lake Washington (School Board Guaranty) 5.000%, due 12/01/18		1,000,000		1,132,980
Washington Health Care Facilities Authority Overlake Hospital Medical Center Series A (Assured Guaranty Insured) 5.000%, due 07/01/16		1,000,000		1,043,620
Washington State Public Power Supply Systems Nuclear Project No. 1 Revenue Refunding Series B 7.125%, due 07/01/16		3,000,000		3,795,540
Washington State Series 93-A (Escrowed to Maturity) 5.750%, due 10/01/12		15,000		16,063
Series A-Various Purpose 5.000%, due 07/01/17		2,130,000		2,449,202
5.000%, due 07/01/20		2,625,000		2,932,807
Washington State Unrefunded Balance Series 93-A (FSA Insured) 5.750%, due 10/01/12		1,215,000		1,286,928
				20,254,681

Security description	Face amount		Value
Municipal bonds and notes—(concluded)
Wyoming—0.36%
Sweetwater County Improvement Projects Joint Powers Board Lease Revenue Bonds (NATL-RE Insured) 5.000%, due 06/15/13	$	1,000,000	$	1,050,720
Total municipal bonds and notes (cost—$283,783,786)				287,971,062
	Number of shares

Tax-free money market fund—0.63%
State Street Global Advisors Tax Free Money Market Fund (cost—$1,848,801)	1,848,801		1,848,801
Total investments (cost—$285,632,587)— 99.35%			289,819,863
Other assets in excess of liabilities—0.65%			1,883,302
Net assets—100.00%		$	291,703,165

Aggregate cost for federal income tax purposes was $285,633,119; and net unrealized appreciation consisted of:

Gross unrealized appreciation	$	7,697,901
Gross unrealized depreciation		(3,511,157	)
Net unrealized appreciation	$	4,186,744

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Portfolio of investments—July 31, 2009

1  Security subject to Alternative Minimum Tax.

2  Security exempt from registration under Rule 144A of the Securities Act of 1933. This security, which represents 0.49% of net assets as of July 31, 2009, is considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

3  Floating rate security. The interest rate shown is the current rate as of July 31, 2009.

4  Zero coupon bond; interest rate represents annualized yield at date of purchase.

5  Security purchased on a when-issued basis. When issued refers to a transaction made conditionally because a security, although authorized, has not yet been issued.

ACA  American Capital Access

AGC  Associated General Contractors

AMBAC  American Municipal Bond Assurance Corporation

BHAC  Berkshire Hathaway Assurance Corporation

CBI  Certificates of Bond Insurance

FGIC  Financial Guaranty Insurance Company

FHA  Federal Housing Administration

FNMA  Federal National Mortgage Association

FSA  Financial Security Assurance

GNMA  Government National Mortgage Association

GTD  Guaranteed

IBC  Insured Bond Certificate

ICC  International Code Council

MGIC  Mortgage Guaranty Insurance Corporation

NATL-RE  National Reinsurance

PSF  Permanent School Fund

SCSDE  South Carolina School District Enhancement

TCRs  Transferable Custodial Receipts

USDA  United States Department of Agriculture

VA  Veterans Administration

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
Municipal bonds and notes	$	—	$	287,971,062	$	—	$	287,971,062
Tax-free money market fund		—		1,848,801		—		1,848,801
Total	$	—	$	289,819,863	$	—	$	289,819,863

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares returned 2.60% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio returned 1.07%). In comparison, the Barclays Capital Global Aggregate ex-US Index (formerly known as the Lehman Brothers Global Aggregate ex-US Index) (the "benchmark") returned 3.04%, the Citigroup World Government Bond Index (WGBI)^SM returned 5.63%, and the Lipper International Income Funds category posted a median return of 3.33%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 77. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the repo rting period, please refer to page two.

Sub-Advisor's comments

The Portfolio slightly lagged its benchmark during the reporting period, due to country allocations and currency positioning.

In terms of country allocations, an overweight position to Australia produced mixed results. While it added value in the latter part of 2008, the overweight has underperformed during the first seven months of 2009. Having an overweight to Sweden was beneficial in the latter part of 2008, as it was among the best-performing developed markets. Elsewhere, underweights to the US and the United Kingdom, as well as an overweight exposure to the core European bond markets detracted from relative performance in the later months of 2008. However, they have added value thus far in 2009.

From a currency perspective, an overweight to the Australian dollar versus the Canadian dollar detracted from relative performance in the third quarter of 2008, but it has added back some value in 2009. An overweight to the Norwegian krone, which often moves in tandem with oil prices, also hurt relative performance in late 2008, as oil prices fell. However, this position has added value in 2009.

Within currency, the primary source of added value was an underweight position in the British pound. In late 2008, the British pound fell to an all-time low against the euro, and our portion of the Portfolio's significant underweight to this area—which we have subsequently reduced—proved to be beneficial. An underweight

UBS PACE Select Advisors Trust – UBS PACE Global Fixed Income Investments

Investment Sub-Advisor:

Rogge Global Partners plc ("Rogge Global Partners")

Portfolio Managers:

Olaf Rogge, John Graham, Richard Bell, Adrian James, Malie Conway and Richard Gray

Objective:

High total return

Investment process:

Rogge Global Partners seeks to invest the Portfolio assets in fixed income securities of financially healthy issuers, because it believes that these investments produce the highest bond and currency returns over time. In deciding which fixed income securities to buy for the Portfolio, Rogge Global Partners uses a top-down analysis to find value across countries and to forecast interest and currency-exchange rates over a one-year horizon in those countries. Rogge Global Partners also uses an optimization model to help determine country, currency and duration positions for the Portfolio. Rogge Global Partners generally sells securities that no longer meet these selection criteria or when it identifies more attractive investment opportunities, and may also sell securities to adjust the average duration of the Portfolio assets it manages.

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Sub-Advisor's comments – concluded

to the Japanese yen detracted from relative performance in late 2008, although with an improvement in the risk environment, this position has added value in 2009 as investors became less risk-averse.

The Portfolio's overall duration position was neutral compared to that of the benchmark for most of the reporting period. (Duration measures a portfolio's sensitivity to interest rate changes.) However, a longer-than-benchmark duration at the end of the reporting period added to returns.

An overweight to investment grade credit added to performance on a relative basis during the 12-month reporting period as a whole. While exposure to the financial sector detracted from the Portfolio's results during the second half of 2008 and the first quarter of 2009, the Portfolio's results have significantly recovered since then, as the financial sector rallied. An underweight to sterling-denominated bonds, which underperformed euro and US dollar-denominated bonds—to which we were overweight—added value relative to the benchmark, particularly in 2009.

An underweight exposure to more deeply subordinated financial debt detracted from performance during the second quarter of 2009. (Subordinated debt is debt which ranks after other debts should a company fall into receivership or be closed. Such debt is referred to as subordinate, because the debt providers—that is, the lenders—have subordinate status in relationship to the normal debt.) Finally, we added positions in US inflation-linked bonds in the first quarter of 2009. (In these bonds, the principal is indexed to inflation, and they are designed to cut out the inflation risk of an investment.) This also added value to the Portfolio as fears of inflation increased.

Special considerations

The Portfolio may be appropriate for long-term investors seeking high total return and who are able to withstand short-term fluctuations in the fixed income markets in return for potentially higher returns over the long term. The yield and value of the Portfolio change every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the issuers in which the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan. The value of the Portfolio's investments in foreign securities may fall due to adverse political, social and economic developments abroad and due to decreases in foreign currency values relative to the US dollar. These risks are greater for investments in emerging markets than in more developed countries.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio, the Barclays Capital Global Aggregate ex US Index, and the Citigroup World Government Bond Index (WGBI)^SM (unaudited)

The graph depicts the performance of UBS PACE Global Fixed Income Investments Class P shares versus the Barclays Capital Global Aggregate ex US Index (formerly known as the Lehman Brothers Global Aggregate ex US Index), and the Citigroup World Government Bond Index (WGBI)^SM over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Global Fixed Income Investments is a professionally managed portfolio while the Indicies are not available for investment and are unmanaged. The comparison is shown f or illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		2.35	%		5.46	%	N/A				6.61	%
maximum sales charge	Class B3		1.64	%		4.67	%	N/A				5.65	%
or UBS PACE Select	Class C4		1.85	%		4.94	%	N/A				6.15	%
program fee	Class Y5		2.71	%		5.81	%	N/A				6.64	%
	Class P6		2.60	%		5.70	%		5.31	%		5.36	%
After deducting	Class A2		(2.27	)%		4.50	%	N/A				6.05	%
maximum sales charge	Class B3		(3.28	)%		4.34	%	N/A				5.65	%
or UBS PACE Select	Class C4		1.12	%		4.94	%	N/A				6.15	%
program fee	Class P6		1.07	%		4.13	%		3.74	%		3.79	%
Barclays Capital Global Aggregate ex US Index7			3.04	%		6.54	%		5.92	%		5.60	%
Citigroup World Government Bond Index (WGBI)SM 8			5.63	%		6.54	%		6.46	%		5.97	%
Lipper International Income Funds median9			3.33	%		5.29	%		5.62	%		5.66	%
Lipper Global Income Funds median9			3.38	%		5.29	%		5.41	%		5.63	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (5.53)%; 5-year period, 3.63%; since inception, 5.63%; Class B—1-year period, (6.57)%; 5-year period, 3.48%; since inception, 5.22%; Class C—1-year period, (2.24)%; 5-year period, 4.08%; since inception, 5.73%; Class Y—1-year period, (0.79)%; 5-year period, 4.94%; since inception, 6.22%; Class P—1-year period, (2.37)%; 5-year period, 3.27%; 10-year period, 3.49%; since inception, 3.53%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.30% and 1.24%; Class B—2.10% and 2.00%; Class C—1.79% and 1.73%; Class Y—0.94% and 0.88%; and Class P—1.13% and 1.00%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees through November 30, 2009 to the extent necessary to reflect the lower sub-advisory fee paid by UBS Global AM to Rogge Global Partners. The Portfolio and UBS Global AM have also entered into an additional written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management f ees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.25%; Class B—2.00%; Class C—1.75%; Class Y—1.00% and Class P—1.00%. The Portfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses under the preceding sentence to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, December 11, 2000 for Class A shares, February 5, 2001 for Class B shares, December 1, 2000 for Class C shares and January 16, 2001 for Class Y shares. Since inception returns for the Indices and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P). Effective December 1, 2005, the Portfolio's benchmark was changed to the Barclays Capital Global Aggregate ex US Index (formerly known as the Lehman Brothers Global Aggregate ex US Index). The other index that is shown is for supplemental purposes only.

²  Maximum sales charge for Class A shares is 4.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 0.75% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Barclays Capital Global Aggregate ex US Index (formerly known as the Lehman Brothers Global Aggregate ex US Index) provides a broad-based measure of the global investment-grade fixed income markets excluding the US market. The two major components of this Index are the Pan-European Aggregate and the Asian-Pacific Aggregate Indices. The Index also includes Eurodollar and Euro-Yen corporate bonds, Canadian government, agency and corporate securities. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

⁸  The Citigroup World Government Bond Index (WGBI)^SM is a market capitalization-weighted index composed of straight (i.e., not floating rate or index-linked) government bonds with a one-year minimum maturity. The average maturity is seven years. The Index tracks the government bond markets of 23 developed countries. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

⁹  On September 18, 2009, Lipper changed the peer group classification for UBS PACE Global Fixed Income Investments from Lipper Global Income Funds category to the Lipper International Income Funds category.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Weighted average duration		6.11	yrs.
Weighted average maturity		7.98	yrs.
Average coupon		4.02	%
Net assets (mm)	$	483.5
Number of holdings		125
Portfolio composition1	07/31/09
Long-term global debt securities		92.4	%
Futures and forward foreign currency contracts		1.1
Cash equivalents and other assets less liabilities		6.5
Total		100.0	%
Quality diversification1	07/31/09
US government and agency securities		1.9	%
AAA		33.4
AA		22.7
A		23.2
BBB		5.4
BB		0.4
Non-rated		5.4
Futures and forward foreign currency contracts		1.1
Cash equivalents and other assets less liabilities		6.5
Total		100.0	%
Top five countries of origin1	07/31/09
United States		17.7	%
Japan		17.7
Germany		15.4
France		9.6
United Kingdom		9.1
Total		69.5	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time. Credit quality ratings shown are based on the ratings assigned to portfolio holdings by Standard & Poor's Ratings Group, an independent rating agency.

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Long-term global debt securities—92.44%
Australia—0.40%
Australia & New Zealand Banking Group Ltd. 4.450%, due 02/05/152	EUR	450,000	$	627,961
BHP Billiton Finance 4.125%, due 05/05/11	EUR	900,000		1,319,802
				1,947,763
Brazil—0.50%
Federal Republic of Brazil 8.000%, due 01/15/18	USD	991,666		1,123,062
11.000%, due 08/17/40	USD	1,000,000		1,309,000
				2,432,062
Canada—1.27%
Toronto-Dominion Bank 5.375%, due 05/14/15	EUR	4,000,000		6,158,662
Cayman Islands—0.13%
Pacific Life Funding LLC 5.125%, due 01/20/15	GBP	400,000		602,849
Denmark—8.71%
Kingdom of Denmark 4.000%, due 11/15/15		11,760,000		2,361,634
4.000%, due 11/15/17		176,000,000		35,088,802
5.000%, due 11/15/13		14,180,000		2,973,859
Nykredit A/S 4.000%, due 01/01/12		8,613,000		1,688,639
				42,112,934
France—9.16%
BNP Paribas 3.125%, due 12/06/152		750,000		1,052,771
Caisse d'Amortissement de la Dette Sociale 3.625%, due 04/25/15		4,500,000		6,595,314
Credit Agricole (London) 5.971%, due 01/02/18		3,000,000		4,601,456
Dexia Municipal Agency 4.500%, due 04/27/15		7,500,000		11,150,901
Electricite De France 5.375%, due 05/29/20		1,000,000		1,502,123
France Telecom 8.125%, due 01/28/33		350,000		683,182
Republic of France 4.000%, due 04/25/55		1,250,000		1,743,943
5.750%, due 10/25/32		2,520,000		4,438,834
Societe Financement de I' Economic Francaise 3.500%, due 11/24/11		3,000,000		4,428,864
Societe Generale 4.875%, due 12/18/142		2,100,000		2,957,899
5.250%, due 03/28/13		2,750,000		4,199,509
6.125%, due 08/20/18		600,000		932,401
				44,287,197

Security description	Face amount1		Value
Long-term global debt securities—(continued)
Germany—15.35%
Bayerische Landesbank 4.000%, due 01/16/12		7,340,000	$	10,935,508
5.750%, due 10/23/17		1,550,000		2,108,549
Bundesrepublik Deutschland, Series 03 4.500%, due 01/04/13		12,200,000		18,783,222
Series 07 4.000%, due 01/04/18		50,000		75,676
DEFPA Deutsche Pfandbriefbank AG 4.000%, due 03/15/13		6,605,000		9,601,537
Deutsche Bank AG 3.625%, due 03/09/172		4,900,000		6,378,590
4.500%, due 03/07/11		1,700,000		2,507,553
Deutsche Genossenschafts- Hypothekenbank 4.000%, due 10/31/16		4,050,000		5,955,230
Kreditanstalt Fuer Wiederaufbau 5.250%, due 07/04/12		4,100,000		6,341,531
L-Bank Fuer Baden- Wuerttemberg Foerderbank 4.125%, due 07/15/11	USD	2,300,000		2,384,635
NRW Bank 3.875%, due 01/27/20		2,300,000		3,259,804
SEB AG 4.250%, due 05/07/13		3,900,000		5,870,175
				74,202,010
Ireland—0.75%
Bank of Ireland Mortgage Bank 3.500%, due 09/22/09		2,550,000		3,638,711
Japan—17.68%
Bank of Tokyo- Mitsubishi UFJ 3.500%, due 12/16/152	EUR	2,300,000		3,240,040
Development Bank of Japan 1.750%, due 03/17/17		130,000,000		1,415,211
2.300%, due 03/19/26		500,000,000		5,298,631
Government of Japan 1.700%, due 12/20/16		1,755,000,000		19,420,992
1.700%, due 03/20/17		1,444,600,000		15,945,621
2.000%, due 03/20/16		2,906,000,000		32,808,702
2.200%, due 09/20/26		159,700,000		1,732,849
2.300%, due 12/20/36		380,000,000		3,992,464
Japan Finance Corp. Municipal Enterprises 1.900%, due 06/22/18		40,000,000		440,119
Sumitomo Mitsui Banking 4.375%, due 10/15/153,4	EUR	1,050,000		1,167,320
				85,461,949

79

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UBS PACE Global Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Long-term global debt securities—(continued)
Luxembourg—3.07%
European Investment Bank 1.400%, due 06/20/17	JPY	42,000,000	$	439,587
4.625%, due 03/21/12	USD	3,500,000		3,750,915
6.000%, due 12/07/28	GBP	3,200,000		6,158,130
Gaz Capital SA 8.125%, due 02/04/15		2,000,000		2,986,002
John Deere Bank SA 6.000%, due 06/23/11		1,000,000		1,510,056
				14,844,690
Mexico—0.43%
United Mexican States 5.500%, due 02/17/20	EUR	300,000		403,003
5.625%, due 01/15/17	USD	500,000		510,000
7.500%, due 03/08/10	EUR	800,000		1,175,872
				2,088,875
Netherlands—5.49%
Bank Nederlandse Gemeenten 3.750%, due 12/16/13		200,000		294,743
4.375%, due 01/19/15	GBP	660,000		1,126,780
Deutsche Telekom International Finance 8.125%, due 05/29/12		1,805,000		2,906,716
EDP Finance BV 5.375%, due 11/02/125	USD	3,600,000		3,816,522
ELM BV (Swiss Reinsurance Co.) 5.252%, due 05/29/163,4		700,000		642,994
ENBW International Finance BV 4.875%, due 01/16/25		1,580,000		2,262,366
Generali Finance BV 6.214%, due 06/16/163,4	GBP	550,000		678,036
Government of the Netherlands 5.500%, due 01/15/28		1,830,500		3,067,153
ING Bank NV 6.125%, due 05/29/232		800,000		1,064,756
Rabobank Nederland 5.000%, due 01/25/12		6,700,000		7,220,476
RWE Finance BV 5.125%, due 07/23/18		900,000		1,363,278
Urenco Finance NV 5.375%, due 05/22/15		1,500,000		2,118,600
				26,562,420
Peru—0.43%
Republic of Peru 6.550%, due 03/14/37	USD	550,000		539,000
7.350%, due 07/21/25	USD	400,000		431,000
8.750%, due 11/21/33	USD	900,000		1,100,250
				2,070,250

Security description	Face amount1		Value
Long-term global debt securities—(continued)
Philippines—0.45%
Republic of Philippines 8.375%, due 02/15/11	USD	2,000,000	$	2,160,000
Russia—1.03%
Gaz Capital (Gazprom) 4.560%, due 12/09/12	EUR	3,200,000		4,372,818
8.625%, due 04/28/34	USD	100,000		103,750
Russian Ministry of Finance 3.000%, due 05/14/11	USD	500,000		482,500
				4,959,068
Singapore—0.52%
DBS Bank Ltd. 5.000%, due 11/15/192,5	USD	1,250,000		1,225,011
United Overseas Bank Ltd. 5.375%, due 09/03/192,5	USD	1,300,000		1,264,318
				2,489,329
Spain—2.08%
Santander International Debt SA 5.625%, due 02/14/12		3,000,000		4,547,841
Santander Issuances 4.500%, due 09/30/192		1,600,000		2,193,349
Telefonica Emisiones SAU 6.221%, due 07/03/17	USD	3,000,000		3,329,583
				10,070,773
Sweden—1.75%
Nordea Bank AB 4.000%, due 09/30/162	EUR	1,900,000		2,629,302
Skandinaviska Enskilda 4.500%, due 04/25/13	EUR	3,880,000		5,806,714
				8,436,016
Switzerland—0.93%
Credit Suisse London 5.125%, due 09/18/17	EUR	3,000,000		4,516,708
United Kingdom—9.09%
Anglian Water Services Finance 6.250%, due 06/27/16	EUR	900,000		1,397,423
Aviva PLC 5.250%, due 10/02/232	EUR	1,500,000		1,795,877
Barclays Bank PLC 4.250%, due 10/24/11	EUR	360,000		539,919
4.500%, due 03/04/192	EUR	2,200,000		2,884,674
6.000%, due 01/23/18	EUR	3,000,000		4,489,813
Diageo Finance PLC 6.625%, due 12/05/14	EUR	3,100,000		4,970,634
HSBC Holdings PLC 3.625%, due 06/29/202	EUR	1,050,000		1,359,629
6.250%, due 03/19/18	EUR	4,000,000		6,172,573
Lloyds TSB Bank PLC 5.625%, due 03/05/182	EUR	1,800,000		2,446,652
National Grid Gas PLC 5.125%, due 05/14/13	EUR	1,700,000		2,544,232

80

UBS PACE Select Advisors Trust

UBS PACE Global Fixed Income Investments

Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Long-term global debt securities—(continued)
United Kingdom—(concluded)
Network Rail Infrastructure Finance 4.875%, due 11/27/15		705,000	$	1,247,483
Royal Bank of Scotland Group PLC 5.250%, due 05/15/13	EUR	2,300,000		3,469,458
6.934%, due 04/09/18	EUR	1,550,000		2,149,766
Scottish & Southern Energy 6.125%, due 07/29/13	EUR	900,000		1,392,215
Standard Chartered Bank 3.625%, due 02/03/172	EUR	1,400,000		1,827,165
United Kingdom Treasury Bonds 4.000%, due 09/07/16		100,000		173,548
4.250%, due 12/07/55		2,920,000		4,693,581
4.750%, due 09/07/15		230,000		419,693
				43,974,335
United States—13.22%
Bank of America Corp. 4.000%, due 03/28/182	EUR	2,600,000		3,098,831
5.650%, due 05/01/18		500,000		476,906
5.750%, due 12/01/17		5,000,000		4,800,475
Bank of New York Mellon 4.500%, due 04/01/13		1,820,000		1,896,922
5.125%, due 08/27/13		500,000		535,286
Citigroup, Inc. 2.400%, due 10/31/25	JPY	46,100,000		322,590
6.000%, due 08/15/17		700,000		640,745
6.125%, due 05/15/18		1,000,000		915,608
IBM Corp. 5.700%, due 09/14/17		3,000,000		3,282,666
Inter-American Development Bank 5.125%, due 09/13/16		7,000,000		7,589,169
JPMorgan Chase & Co. 3.125%, due 12/01/11		4,500,000		4,656,703
6.000%, due 01/15/18		1,500,000		1,588,475
JPMorgan Chase Bank N.A. 4.625%, due 05/29/172	EUR	1,000,000		1,411,309
6.000%, due 10/01/17		4,850,000		5,039,514
Pfizer, Inc. 5.350%, due 03/15/15		1,200,000		1,328,111
5.750%, due 06/03/21	EUR	700,000		1,109,134
Philip Morris International, Inc. 5.650%, due 05/16/18		1,200,000		1,276,709
6.875%, due 03/17/14		1,800,000		2,047,768
Procter & Gamble Co. 4.875%, due 05/11/27	EUR	1,610,000		2,254,918
SunTrust Bank 3.000%, due 11/16/11		5,600,000		5,775,918

Security description	Face amount1		Value
Long-term global debt securities—(concluded)
United States—(concluded)
US Treasury Inflation Index Notes (TIPS) 1.375%, due 07/15/186		9,420,485	$	9,170,258
Vodafone Group PLC 5.625%, due 02/27/17		980,000		1,040,231
Wells Fargo & Co. 4.375%, due 01/31/13		2,900,000		2,968,637
Wells Fargo Bank N.A. 5.750%, due 05/16/16		700,000		703,702
				63,930,585
Total long-term global debt securities (cost—$420,908,977)				446,947,186
Commercial paper7—0.41%
France—0.41%
Caisse Des Depots et Consignations 0.866%, due 08/17/09 (cost—$1,999,230)	USD	2,000,000		1,999,230
Repurchase agreement—3.74%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $18,460,527 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$18,458,681); proceeds: $18,096,015 (cost—$18,096,000)		18,096,000		18,096,000
	Number of shares

Investment of cash collateral from securities loaned—0.77%
Money market fund—0.77%
UBS Private Money Market Fund LLC8(cost—$3,705,975)	3,705,975		3,705,975
Total investments (cost—$444,710,182)— 97.36%			470,748,391
Other assets in excess of liabilities—2.64%			12,774,184
Net assets—100.00%		$	483,522,575

Aggregate cost for federal income tax purposes was $446,381,902; and net unrealized appreciation consisted of:

Gross unrealized appreciation	$	33,498,512
Gross unrealized depreciation		(9,132,023	)
Net unrealized appreciation	$	24,366,489

81

UBS PACE Select Advisors Trust

UBS PACE Global Fixed Income Investments

Portfolio of investments—July 31, 2009

  Note: The portfolio of investments is listed by the issuer's country of origin.

1  In local currency unless otherwise indicated.

2  Floating rate security. The interest rate shown is the current rate as of July 31, 2009.

3  Variable rate security. The interest rate shown is the current rate as of July 31, 2009, and resets periodically.

4  Perpetual bond security. The maturity date reflects the next call date.

5  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 1.30% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

6  Security, or portion thereof, was on loan at July 31, 2009.

7  Rate shown is the discount rate at date of purchase.

8  The table below details the Portfolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	0	$	15,543,458	$	11,837,483	$	3,705,975	$	3,562

EUR  Euro

GBP  Great Britain Pound

JPY  Japanese Yen

TIPS  Treasury inflation protected securities ("TIPS") are debt securities issued by the US Treasury whose principal and/or interest payments are adjusted for inflation, unlike debt securities that make fixed principal and interest payments. The interest rate paid by the TIPS is fixed, while the principal value rises or falls based on changes in a published Consumer Price Index ("CPI"). Thus, if inflation occurs, the principal and interest payments on TIPS are adjusted accordingly to protect investors from inflationary loss. During a deflationary period, the principal and interest payments decrease, although the TIPS principal amounts will not drop below their face amounts at maturity. In exchange for the inflation protection, the TIPS generally pay lower interest rates than typical US Treasury securities. Only if inflation occurs will TIPS offer a higher real yield than a conventional Treasury bond of the same maturit y.

USD  United States Dollar

Futures contracts

Number of contracts		Currency	Buy contracts	Expiration dates	Cost		Current value		Unrealized appreciation (depreciation)
	270	AUD	Australia Bond 10 Year Futures	September 2009	$	23,290,762	$	23,263,955	$	(26,807	)
	79	CAD	Canada Government Bond 10 Year Futures	September 2009		8,991,713		8,819,677		(172,036	)
	576	EUR	Euro Bund 10 Year Futures	September 2009		97,764,837		100,198,550		2,433,713
	11	JPY	Japan Government Bond 10 Year Futures	September 2009		15,758,837		16,035,039		276,202
						145,806,149		148,317,221		2,511,072
			Sale contracts		Proceeds
	20	EUR	Euro BOBL 5 Year Futures	September 2009	$	3,265,956	$	3,311,204	$	(45,248	)
	72	GBP	United Kingdom Long Gilt 10 Year Futures	September 2009		14,151,117		14,111,817		39,300
	126	USD	US Treasury Bond 20 Year Futures	September 2009		14,769,298		14,994,000		(224,702	)
	223	USD	US Treasury Note 5 Year Futures	September 2009		25,764,743		25,730,368		34,375
	533	USD	US Treasury Note 10 Year Futures	September 2009		62,463,743		62,510,906		(47,163	)
						120,414,857		120,658,295		(243,438	)
									$	2,267,634

82

UBS PACE Select Advisors Trust

UBS PACE Global Fixed Income Investments

Portfolio of investments—July 31, 2009

Currency type abbreviations:

AUD  Australian Dollar

CAD  Canadian Dollar

EUR  Euro

GBP  Great Britain Pound

JPY  Japanese Yen

USD  United States Dollar

Forward foreign currency contracts

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
Australian Dollar		9,990,000	CAD	9,118,909	09/16/09	$	136,527
Australian Dollar		33,911,149	EUR	18,979,767	09/16/09		(1,221,893	)
Australian Dollar		168,000	USD	128,288	09/16/09		(11,792	)
Australian Dollar		200,000	USD	159,446	09/16/09		(7,317	)
Australian Dollar		1,300,000	USD	1,016,507	09/16/09		(67,450	)
Australian Dollar		161,000	USD	129,747	09/16/09		(4,497	)
Canadian Dollar		9,253,154	AUD	10,665,231	09/16/09		301,851
Canadian Dollar		3,794,387	GBP	2,134,917	09/16/09		43,096
Canadian Dollar		6,382,141	NOK	37,004,932	09/16/09		105,053
Canadian Dollar		70,000	USD	62,978	09/16/09		(2,013	)
Canadian Dollar		119,000	USD	105,077	09/16/09		(5,407	)
Canadian Dollar		526,000	USD	467,499	09/16/09		(20,859	)
Danish Krone		61,492,797	GBP	7,190,542	09/16/09		251,188
Danish Krone		8,869,558	SEK	12,816,511	09/16/09		80,383
Danish Krone		175,664,172	USD	33,440,733	09/16/09		(151,167	)
Euro		4,844,044	CAD	7,508,268	09/16/09		66,267
Euro		6,743,535	CHF	10,182,738	09/16/09		(79,824	)
Euro		6,263,802	DKK	46,712,302	09/16/09		4,303
Euro		46,718,596	JPY	6,297,666,729	09/16/09		(11,663	)
Euro		2,880,000	JPY	385,689,600	09/16/09		(27,513	)
Euro		2,342,695	NOK	20,959,624	09/16/09		76,392
Euro		7,210,000	SEK	76,015,828	09/16/09		259,416
Euro		18,068,000	USD	25,381,284	09/16/09		(372,761	)
Euro		2,597,000	USD	3,593,677	09/16/09		(108,075	)
Euro		11,383,849	USD	16,000,000	09/16/09		(226,487	)
Euro		2,185,000	USD	3,060,893	09/16/09		(53,597	)
Great Britain Pound		11,930,636	AUD	24,480,473	09/16/09		484,456
Great Britain Pound		16,203,652	EUR	18,855,179	09/16/09		(188,799	)
Great Britain Pound		602,324	JPY	92,998,801	09/16/09		(22,848	)
Great Britain Pound		5,075,676	USD	8,330,000	09/16/09		(147,878	)
Indian Rupee		165,400,000	USD	3,421,597	08/06/09		(27,296	)
Japanese Yen		985,845,066	AUD	13,005,872	09/16/09		421,820
Japanese Yen		200,832,300	USD	2,094,204	09/16/09		(29,055	)
Japanese Yen		1,724,316,430	USD	18,240,944	09/16/09		10,956
Mexican Peso		44,700,000	USD	3,365,964	08/06/09		(17,204	)
Norwegian Krone		6,466,958	GBP	630,787	09/16/09		(279	)
Norwegian Krone		34,481,889	SEK	41,695,500	09/16/09		160,096

83

UBS PACE Select Advisors Trust

UBS PACE Global Fixed Income Investments

Portfolio of investments—July 31, 2009

Forward foreign currency contracts—(concluded)

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
Singapore Dollar		1,270,000	USD	883,171	11/17/09	$	1,052
South Korean Won		3,570,000,000	USD	2,857,486	08/06/09		(49,161	)
Swedish Krona		105,840,574	EUR	9,746,807	09/16/09		(777,456	)
Swiss Franc		10,093,048	EUR	6,680,000	09/16/09		73,223
United States Dollar		3,379,452	AUD	4,274,000	09/16/09		184,266
United States Dollar		13,185,727	AUD	16,158,979	09/16/09		287,845
United States Dollar		346,340	BRL	750,000	11/17/09		47,842
United States Dollar		3,109,655	BRL	6,590,000	11/17/09		353,896
United States Dollar		4,492,434	CAD	4,873,180	09/16/09		32,001
United States Dollar		4,498,705	CNY	30,400,000	11/17/09		(43,305	)
United States Dollar		2,406,792	CNY	16,300,000	11/17/09		(17,877	)
United States Dollar		77,251	DKK	417,000	09/16/09		2,491
United States Dollar		96,404,502	EUR	68,531,169	09/16/09		1,279,517
United States Dollar		4,824,036	EUR	3,402,000	09/16/09		25,159
United States Dollar		14,170,000	EUR	9,955,549	09/16/09		20,595
United States Dollar		29,549,985	EUR	21,007,000	09/16/09		393,298
United States Dollar		299,101	EUR	215,000	09/16/09		7,359
United States Dollar		29,970,733	GBP	18,259,250	09/16/09		527,608
United States Dollar		2,257,677	GBP	1,382,000	09/16/09		50,672
United States Dollar		3,313,778	INR	165,400,000	08/06/09		135,115
United States Dollar		3,365,893	INR	165,400,000	06/10/10		14,513
United States Dollar		2,328,207	JPY	223,147,000	09/16/09		30,970
United States Dollar		2,778,975	KRW	3,570,000,000	08/06/09		127,672
United States Dollar		407,166	KRW	500,000,000	11/17/09		(223	)
United States Dollar		6,865,478	KRW	8,472,000,000	11/17/09		29,770
United States Dollar		2,881,472	KRW	3,570,000,000	06/10/10		25,221
United States Dollar		3,256,845	MXN	44,700,000	08/06/09		126,324
United States Dollar		3,228,836	MXN	44,700,000	06/10/10		12,933
United States Dollar		1,420,455	MYR	5,000,000	11/17/09		(6,239	)
United States Dollar		13,907,355	NOK	86,730,387	09/16/09		226,552
United States Dollar		3,404,812	RUB	112,900,000	11/17/09		85,973
United States Dollar		674,920	SEK	5,181,128	09/16/09		43,233
United States Dollar		2,182,567	SGD	3,180,000	11/17/09		26,205
						$	2,873,174

84

UBS PACE Select Advisors Trust

UBS PACE Global Fixed Income Investments

Portfolio of investments—July 31, 2009

Currency type abbreviations:

AUD  Australian Dollar

BRL  Brazilian Real

CAD  Canadian Dollar

CHF  Swiss Franc

CNY  Chinese Yuan Renminbi

DKK  Danish Krone

EUR  Euro

GBP  Great Britain Pound

INR  Indian Rupee

JPY  Japanese Yen

KRW  South Korean Won

MXN  Mexican Peso

MYR  Malaysian Ringgit

NOK  Norwegian Krone

RUB  Russian Ruble

SEK  Swedish Krona

SGD  Singapore Dollar

USD  United States Dollar

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
Long-term global debt securities	$	—	$	446,947,186	$	—	$	446,947,186
Commercial paper		—		1,999,230		—		1,999,230
Repurchase agreement		—		18,096,000		—		18,096,000
Investment of cash collateral from securities loaned		—		3,705,975		—		3,705,975
Other financial instruments, net9		2,267,634		2,873,174		—		5,140,808
Total	$	2,267,634	$	473,621,565	$	—	$	475,889,199

9  Other financial instruments include open futures contracts and forward foreign currency contracts.

Investments by type of issuer (unaudited)

	Percentage of total investments
	Long-term			Short-term
Government and other public issuers		42.02	%		—
Repurchase agreement		—			3.84	%
Banks and other financial institutions		44.23			0.43
Industrial		8.69			—
Investment of cash collateral from securities loaned		—			0.79
		94.94	%		5.06	%

See accompanying notes to financial statements.
85

UBS PACE Select Advisors Trust

UBS PACE High Yield Investments

Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares returned 9.87% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio returned 8.24%). In comparison, the Merrill Lynch Global High Yield Index (hedged in USD) (the "benchmark") returned 5.32%, and the Lipper High Current Yield Funds category posted a median return of 0.24%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 89. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisor's comments

The Portfolio outperformed its benchmark during the reporting period. This was primarily due to our extremely defensive posture before last fall's selloff and the fact that we moved the Portfolio to a less defensive position in time to participate in most of the second quarter 2009 market rally.

Toward the end of 2008, we became more confident that global central banks' efforts to avert a financial system collapse were working. In our opinion, high yield prices were depressed to levels that seemed to anticipate a worst-case scenario, which we did not believe was likely to happen. In response, we began to increase the Portfolio's exposure to securities that offered more risk—and potentially more reward—late in October.

This strategy proved effective, particularly during April and May 2009, as the high yield market quickly gained almost 20% during those two months. In the beginning of 2009, the Portfolio had concentrations in the energy sector, including exploration and production, as well as the specialty chemicals and gas distribution sub-sectors, all of which performed very well during the downturn. As we repositioned the Portfolio, we subsequently lowered its allocation to the chemicals and gas distribution sectors and increased its allocation to the metals, mining and airline sectors.

UBS PACE Select Advisors Trust – UBS PACE High Yield Investments

Investment Sub-Advisor:

MacKay Shields LLC ("MacKay Shields")

Portfolio Managers:

Dan Roberts, Taylor Wagenseil, Michael Kimble and Louis Cohen

Objective:

Total return

Investment process:

MacKay Shields attempts to deliver attractive risk-adjusted returns by avoiding most of the unusually large losses in the high yield market, even if it means giving up much of the large gains. MacKay Shields believes that there is a very small subset of bonds that delivers outsized gains in the market. Due to the limited upside inherent in most bonds, over time, outsized gains are expected to be smaller than unusually large losses. By attempting to limit the Portfolio's participation in the extremes of the market, MacKay Shields strives to add value over a market cycle with lower volatility. MacKay Shields does this through a rigorous process that attempts to screen out what it believes to be the riskiest issuers in the market.

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Sub-Advisor's comments – concluded

In addition, we significantly increased the Portfolio's weightings to the financial sector, as bank downgrades in the first quarter of 2009 introduced many bank securities to the high yield market.

Special considerations

The Portfolio may be appropriate for long-term investors seeking total return and who are able to withstand short-term fluctuations in the fixed income markets in return for potentially higher returns over the long term. The Portfolio seeks to achieve its objective by investing primarily in a professionally managed, diversified portfolio of fixed income securities rated below investment grade or considered to be of comparable quality (commonly referred to as "junk bonds"). These securities are subject to higher risks than investment grade securities, including greater price volatility and a greater risk of loss of principal and nonpayment of interest. Issuers of such securities are typically in poor financial health, and their ability to pay interest and principal is uncertain. The prices of such securities may be more vulnerable to bad economic news, or even the expectation of bad news, than higher rated or investment grade bon ds and other fixed income securities. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the issuers in which the Portfolio invests. In addition, investments in foreign bonds involve special risks. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Merrill Lynch Global High Yield Index (hedged in USD) (unaudited)

The graph depicts the performance of UBS PACE High Yield Investments Class P shares versus the Merrill Lynch Global High Yield Index (hedged in USD) from April 30, 2006, which is the month-end after the inception date of the Class P shares, through July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE High Yield Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09	1 year			Since inception1
Before deducting  Class A2		9.49	%		4.20	%
maximum sales charge Class C3		N/A			25.40	%
or UBS PACE Select Class Y4		N/A			38.23	%
program fee Class P5		9.87	%		4.51	%
After deducting maximum sales charge Class A2		4.52	%		2.73	%
or UBS PACE Select Class C3		N/A			24.65	%
program fee Class P5		8.24	%		2.95	%
Merrill Lynch Global High Yield Index (hedged in USD)6		5.32	%		3.48	%
Lipper High Current Yield Funds median		0.24	%		1.67	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (2.13)%; since inception, 1.06%; Class C—since inception, 18.04%; Class Y—since inception, 30.89%; Class P—1-year period, 1.05%; since inception, 1.30%. Please note the since inception returns for Class C shares and Class Y shares have not been annualized.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.58% and 1.35%; Class B—2.33% and 2.10%; Class C—2.08% and 1.85%; Class Y—2.32% and 1.10%; and Class P—1.30% and 1.10%. Class B and Class C shares were not operational as of November 28, 2008. Therefore these amounts have been estimated. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would no t exceed Class A—1.35%; Class B—2.10%; Class C—1.85%; Class Y—1.10% and Class P—1.10%. The Portfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on April 10, 2006 for Class P shares, May 1, 2006 for Class A shares and January 21, 2009 for Class C shares. Class Y shares commenced issuance on April 3, 2006 and had fully redeemed by July 24, 2006 remaining inactive through December 25, 2008. The inception return of Class Y shares is calculated from December 26, 2008, which is the date the Class Y shares recommenced investment operations. Please note the since inception returns for Class C shares and Class Y shares have not been annualized. Since inception returns for the Index and Lipper median are shown as of April 30, 2006, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 4.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class C shares is 0.75% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁴  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁵  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁶  The Merrill Lynch Global High Yield Index (hedged in USD) covers US dollar, Canadian dollar, sterling and euro-denominated fixed rate debt of corporate issuers domiciled in an investment grade rated country (i.e., BBB or higher foreign currency long-term debt rating). Individual bonds must be rated below investment grade (i.e., BB or lower based on a composite of Moody's and S&P) but not in default and must have at least one year remaining term to maturity; a minimum face value outstanding of $100 million, C$50 million, 50 million pounds sterling or 50 million euros; and have available price quotations. New issues qualify for inclusion after they settle. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Total returns for the period of less than one year have not been annualized. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Weighted average duration		4.3	yrs.
Weighted average maturity		7.4	yrs.
Average coupon		7.32	%
Net assets (mm)	$	156.4
Number of holdings		244
Portfolio composition1	07/31/09
Bonds and loan assignments		98.0	%
Common stock		0.3
Forward foreign currency contracts		(0.2	)
Collateralized mortgage obligation		0.9
Cash equivalents and other assets less liabilities		1.0
Total		100.0	%
Quality diversification1	07/31/09
BB & higher		30.1	%
B		27.3
CCC & lower		18.0
Not rated		23.8
Forward foreign currency contracts		(0.2	)
Cash equivalents and other assets less liabilities		1.0
Total		100.0	%
Asset allocation1	07/31/09
Corporate bonds		90.2	%
Loan assignments		7.4
Collateralized mortgage obligation		0.9
Asset-backed security		0.4
Forward foreign currency contracts		(0.2	)
Common stock		0.3
Cash equivalents and other assets less liabilities		1.0
Total		100.0	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time. Credit quality ratings shown are based on the ratings assigned to portfolio holdings by Standard & Poor's Ratings Group, an independent rating agency.

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate bonds—90.20%
Aerospace & defense—1.13%
Alliant Techsystems, Inc. 6.750%, due 04/01/16	$	55,000	$	52,250
BE Aerospace, Inc. 8.500%, due 07/01/18		600,000		597,000
Hexcel Corp. 6.750%, due 02/01/15		1,190,000		1,121,575
				1,770,825
Airlines—2.06%
American Airlines Pass Through Trust 2001-01 6.977%, due 05/23/21		418,989		247,204
American Airlines, Inc., Series 2001-1, Class B 7.377%, due 05/23/19		420,418		210,209
British Airways 7.250%, due 08/23/16	GBP	510,000		695,745
Continental Airlines, Inc. 7.033%, due 06/15/11		150,969		119,265
Series ERJ1 9.798%, due 04/01/21		1,275,332		803,459
Series RJ03 7.875%, due 07/02/18		552,389		343,862
Series RJ04 9.558%, due 03/01/21		912,425		570,266
Delta Air Lines, Inc. 7.711%, due 09/18/112		280,000		235,200
				3,225,210
Auto & truck—4.37%
Ford Holdings, Inc. 9.300%, due 03/01/302		815,000		586,800
Ford Motor Co. 6.625%, due 10/01/28		4,345,000		2,998,050
7.125%, due 11/15/25		570,000		381,900
7.450%, due 07/16/312		970,000		727,500
General Motors 8.375%, due 07/05/333	EUR	2,000,000		320,692
8.375%, due 07/15/332,3		11,910,000		1,816,275
				6,831,217
Automotive parts—0.40%
Goodyear Tire & Rubber Co. 10.500%, due 05/15/16		590,000		632,775
Banking-non-US—0.67%
HT1 Funding GmbH 5.351%, due 06/30/174,5	EUR	850,000		580,444
IKB Deutsche Industriebank AG 4.500%, due 07/09/13	EUR	450,000		461,797
				1,042,241
Banking-US—0.29%
Wells Fargo & Co., Series K 7.980%, due 03/15/184,5		525,000		454,125

Security description	Face amount1		Value
Corporate bonds—(continued)
Beverages—1.34%
Constellation Brands, Inc. 7.250%, due 09/01/16	$	590,000	$	578,200
7.250%, due 05/15/17		225,000		219,937
8.375%, due 12/15/14		470,000		486,450
Constellation Brands, Inc., Series B 8.125%, due 01/15/122		800,000		808,000
				2,092,587
Broadcast—0.22%
Clear Channel Communications 5.500%, due 09/15/142		310,000		70,525
5.750%, due 01/15/13		90,000		22,500
6.875%, due 06/15/18		730,000		153,300
7.250%, due 10/15/27		445,000		93,450
				339,775
Building & construction—1.89%
D.R. Horton, Inc. 5.625%, due 01/15/16		195,000		167,700
6.500%, due 04/15/16		255,000		229,500
K. Hovnanian Enterprises 6.500%, due 01/15/14		770,000		411,950
7.750%, due 05/15/132		80,000		38,800
11.500%, due 05/01/13		785,000		724,162
PERI GmbH 5.625%, due 12/15/11	EUR	335,000		467,926
Taylor Wimpey PLC 10.925%, due 05/24/194	GBP	338,533		458,056
11.175%, due 07/03/124	GBP	286,141		387,167
William Lyon Homes, Inc. 10.750%, due 04/01/132		200,000		74,000
				2,959,261
Building materials—0.34%
Interface, Inc. 11.375%, due 11/01/136		510,000		536,775
Building products—1.97%
Mueller Water Products 7.375%, due 06/01/17		755,000		553,038
Nortek, Inc. 10.000%, due 12/01/13		1,375,000		1,213,437
US Concrete, Inc. 8.375%, due 04/01/14		1,050,000		674,625
USG Corp. 9.500%, due 01/15/187		690,000		634,800
				3,075,900
Building products-cement—0.49%
Texas Industries, Inc. 7.250%, due 07/15/136		60,000		55,200
7.250%, due 07/15/132		777,000		714,840
				770,040

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate bonds—(continued)
Cable—0.80%
CCH I Holdings LLC 9.920%, due 04/01/143	$	710,000	$	7,100
Central Euro Media Enterprises 8.250%, due 05/15/12	EUR	100,000		132,553
DIRECTV Holdings Finance 6.375%, due 06/15/15		310,000		296,825
8.375%, due 03/15/13		40,000		40,850
Dish DBS Corp. 6.625%, due 10/01/14		800,000		768,000
				1,245,328
Car rental—1.15%
Avis Budget Car Rental . 7.625%, due 05/15/142		605,000		465,850
Europcar Groupe SA 4.781%, due 05/15/137	EUR	300,000		303,589
Hertz Corp. 8.875%, due 01/01/14		1,065,000		1,025,062
				1,794,501
Chemicals—4.69%
Hexion US Finance Corp./ Nova Scotia 9.750%, due 11/15/14		630,000		422,100
Huntsman International LLC 6.875%, due 11/15/13	EUR	200,000		226,623
7.500%, due 01/01/15	EUR	650,000		694,833
Huntsman LLC 11.500%, due 07/15/12		1,810,000		1,862,037
Innophos, Inc. 8.875%, due 08/15/14		960,000		912,000
Invista 9.250%, due 05/01/126		675,000		648,000
Koppers Holdings, Inc. 9.875%, due 11/15/148		390,000		360,750
Koppers, Inc. 9.875%, due 10/15/13		915,000		915,000
Nalco Co. 7.750%, due 11/15/11		304,000		305,520
9.000%, due 11/15/13	EUR	430,000		622,072
Rockwood Specialties Group 7.625%, due 11/15/14	EUR	270,000		371,362
				7,340,297
Commercial services—2.80%
Ashtead Holdings PLC 8.625%, due 08/01/156		490,000		421,400
Corrections Corp. of America 6.250%, due 03/15/13		430,000		421,400
6.750%, due 01/31/14		685,000		673,013
Iron Mountain, Inc. 6.750%, due 10/15/18	EUR	495,000		649,081
7.750%, due 01/15/15		390,000		384,150

Security description	Face amount1		Value
Corporate bonds—(continued)
Commercial services—(concluded)
United Rentals North America, Inc. 6.500%, due 02/15/122	$	845,000	$	815,425
7.000%, due 02/15/14		155,000		127,875
7.750%, due 11/15/132		1,010,000		888,800
				4,381,144
Computer software & services—0.39%
Sungard Data Systems, Inc. 10.250%, due 08/15/152		600,000		615,000
Containers & packaging—1.95%
Ball Corp. 6.875%, due 12/15/12		40,000		40,200
Crown Euro Holdings SA 6.250%, due 09/01/11	EUR	440,000		614,589
IFCO Systems NV 10.000%, due 06/30/16	EUR	500,000		748,282
Impress Holdings BV 4.121%, due 10/15/097	EUR	700,000		912,904
Owens-Brockway Glass Container, Inc. 6.750%, due 12/01/14	EUR	435,000		582,805
OI European Group BV 6.875%, due 03/31/17	EUR	115,000		150,797
				3,049,577
Diversified financial services—1.40%
Bank of America Corp. 8.000%, due 01/30/182,4,5		345,000		295,075
GMAC, Inc. 8.000%, due 11/01/312		2,495,000		1,898,164
				2,193,239
Diversified operations—0.45%
Stena AB 5.875%, due 02/01/19	EUR	650,000		699,466
Electric utilities—3.87%
Edison Mission Energy 7.500%, due 06/15/13		1,385,000		1,263,812
Energy Future Holdings 11.250%, due 11/01/179		1,691,100		1,251,414
Series Q 6.500%, due 11/15/24		485,000		271,217
Series R 6.550%, due 11/15/34		2,210,000		1,175,508
NRG Energy, Inc. 7.250%, due 02/01/14		1,830,000		1,797,975
8.500%, due 06/15/19		295,000		290,206
				6,050,132
Electric-generation—0.54%
Intergen NV 8.500%, due 06/30/17	EUR	205,000		286,343
9.500%, due 06/30/17	GBP	340,000		550,914
				837,257

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate bonds—(continued)
Electronics—0.38%
SGL Carbon SE 2.531%, due 05/15/157	EUR	500,000	$	593,281
UCAR Finance, Inc. 10.250%, due 02/15/12		6,000		5,850
				599,131
Finance-captive automotive—2.64%
FCE Bank PLC 7.125%, due 01/15/13	EUR	800,000		997,710
Ford Motor Credit Co. 7.000%, due 10/01/13		755,000		675,127
Ford Motor Credit Co. LLC 8.000%, due 12/15/16		2,332,000		2,090,223
GMAC Canada Ltd. 6.000%, due 05/23/12	EUR	300,000		359,175
				4,122,235
Finance-noncaptive consumer—0.93%
CIT Group, Inc. 5.400%, due 02/13/122		475,000		260,554
5.500%, due 12/20/16	GBP	500,000		375,851
5.600%, due 04/27/112		455,000		256,303
5.800%, due 07/28/112		1,005,000		566,279
				1,458,987
Finance-other—4.08%
American General Finance Corp., Series H 4.000%, due 03/15/11		910,000		639,084
5.375%, due 10/01/12		175,000		112,326
Series J 5.200%, due 12/15/11		865,000		580,473
American Real Estate Partners Finance 7.125%, due 02/15/132		1,460,000		1,354,150
American Real Estate Partners LP 4.000%, due 08/15/136,7		230,000		167,900
FMG Finance Pty Ltd. 9.750%, due 09/01/13	EUR	725,000		971,342
10.000%, due 09/01/136		650,000		665,437
10.625%, due 09/01/166		685,000		707,262
KAR Holdings, Inc. 10.000%, due 05/01/15		1,340,000		1,179,200
				6,377,174
Financial services—0.71%
Bear Stearns Cos., Inc. 11.000%, due 02/02/174,10,11		320,000		310,400
HSBC Finance Capital Trust IX 5.911%, due 11/30/354		1,450,000		797,500
				1,107,900

Security description	Face amount1		Value
Corporate bonds—(continued)
Food—1.43%
Land O'Lakes Capital Trust I 7.450%, due 03/15/286	$	785,000	$	628,000
Smithfield Foods, Inc. 7.000%, due 08/01/11		1,695,000		1,610,250
				2,238,250
Gaming—5.64%
Harrah's Operating Co., Inc. 10.000%, due 12/15/186		250,000		175,000
10.000%, due 12/15/182,6		329,000		230,300
10.750%, due 02/01/16		1,435,000		921,987
Isle of Capri Casinos 7.000%, due 03/01/142		765,000		673,200
Mandalay Resort Group 6.375%, due 12/15/11		790,000		608,300
MGM Mirage, Inc. 5.875%, due 02/27/142		395,000		284,400
6.625%, due 07/15/152		790,000		572,750
7.500%, due 06/01/162		1,195,000		872,350
Mohegan Tribal Gaming 6.125%, due 02/15/132		1,475,000		1,209,500
8.000%, due 04/01/122		240,000		196,800
Pinnacle Entertainment, Inc. 7.500%, due 06/15/152		1,060,000		940,750
River Rock Entertainment 9.750%, due 11/01/11		830,000		632,875
Station Casinos 6.000%, due 04/01/122,3		575,000		172,500
Wynn Las Vegas LLC Corp. 6.625%, due 12/01/142		1,440,000		1,335,600
				8,826,312
Health care providers & services—1.83%
HCA, Inc. 6.500%, due 02/15/162		3,165,000		2,808,937
9.250%, due 11/15/16		55,000		57,338
				2,866,275
Hotels, restaurants & leisure—0.61%
Royal Caribbean Cruises Ltd. 5.625%, due 01/27/14	EUR	575,000		635,149
TUI AG 5.125%, due 12/10/12	EUR	380,000		324,968
				960,117
Insurance—0.59%
Liberty Mutual Group 7.800%, due 03/15/376		1,375,000		921,250
Machinery—1.00%
AGCO Corp. 6.875%, due 04/15/14	EUR	300,000		395,521
Terex Corp. 7.375%, due 01/15/142		1,220,000		1,162,050
				1,557,571

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate bonds—(continued)
Machinery-agriculture & construction—0.37%
Case Corp. 7.250%, due 01/15/16	$	625,000	$	579,688
Manufacturing-diversified—2.77%
American Railcar Industries, Inc. 7.500%, due 03/01/14		1,135,000		1,038,525
Bombardier, Inc. 7.250%, due 11/15/16	EUR	750,000		962,077
RBS Global & Rexnord Corp. 9.500%, due 08/01/14		1,590,000		1,383,300
SPX Corp. 7.625%, due 12/15/14		955,000		950,225
				4,334,127
Media—1.06%
Lamar Media Corp. 6.625%, due 08/15/152		285,000		250,800
7.250%, due 01/01/132		1,135,000		1,095,275
Series C, 6.625%, due 08/15/15		105,000		90,300
Lighthouse International Co. SA 8.000%, due 04/30/14	EUR	275,000		215,577
				1,651,952
Medical products—0.78%
Bausch & Lomb, Inc. 9.875%, due 11/01/152		1,215,000		1,211,963
Metals—2.54%
Century Aluminum Co. 7.500%, due 08/15/14		2,315,000		1,684,162
Novelis, Inc. 7.250%, due 02/15/15		2,670,000		2,176,050
RathGibson, Inc. 11.250%, due 02/15/142,3		335,000		118,925
				3,979,137
Metals & mining—3.33%
Arch Western Finance 6.750%, due 07/01/13		1,835,000		1,779,950
Foundation PA Coal Co. 7.250%, due 08/01/14		1,160,000		1,160,000
Freeport-McMoRan Copper & Gold, Inc. 8.250%, due 04/01/15		140,000		148,050
8.375%, due 04/01/17		535,000		567,100
Massey Energy Co. 6.875%, due 12/15/13		1,065,000		1,027,725
Teck Resources Ltd. 10.250%, due 05/15/166		155,000		175,537
10.750%, due 05/15/196		305,000		354,944
				5,213,306

Security description	Face amount1		Value
Corporate bonds—(continued)
Oil & gas—11.72%
Chesapeake Energy Corp. 6.250%, due 01/15/17	EUR	515,000	$	660,626
6.375%, due 06/15/152		2,240,000		2,088,800
7.500%, due 09/15/13		595,000		592,025
7.500%, due 06/15/14		515,000		508,562
Compton Petroleum Finance Corp. 7.625%, due 12/01/13	$	1,150,000		750,375
Delta Petroleum Corp. 7.000%, due 04/01/15		1,490,000		812,050
Denbury Resources, Inc. 7.500%, due 12/15/15		1,040,000		1,029,600
El Paso Corp. 6.875%, due 06/15/14		2,055,000		2,031,144
Forest Oil Corp. 8.000%, due 12/15/11		140,000		142,800
Hilcorp Energy Co. 9.000%, due 06/01/166		510,000		469,200
Inergy LP 6.875%, due 12/15/14		1,475,000		1,393,875
Linn Energy LLC 9.875%, due 07/01/18		990,000		930,600
Markwest Energy Partners 8.500%, due 07/15/16		975,000		901,875
Pacific Energy Partners 6.250%, due 09/15/15		65,000		68,166
Range Resources Corp. 7.375%, due 07/15/13		1,350,000		1,343,250
Regency Energy Partners 8.375%, due 12/15/13		1,198,000		1,203,990
Swift Energy Co. 7.625%, due 07/15/11		775,000		759,500
Targa Resources, Inc. 8.500%, due 11/01/13		820,000		729,800
Targa Resources Partners 8.250%, due 07/01/16		445,000		394,938
Tenaska Alabama Partners 7.000%, due 06/30/216		237,876		205,287
Williams Partners LP 7.500%, due 06/15/112		1,270,000		1,308,100
				18,324,563
Oil refining—1.91%
Frontier Oil Corp. 6.625%, due 10/01/11		145,000		145,725
Petroplus Finance Ltd. 6.750%, due 05/01/146		1,050,000		934,500
Tesoro Corp. 6.250%, due 11/01/12		1,835,000		1,770,775
6.500%, due 06/01/172		160,000		140,000
				2,991,000

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Corporate bonds—(continued)
Oil services—2.69%
Basic Energy Services 7.125%, due 04/15/16	$	1,115,000	$	791,650
CIE Generale de Geophysique 7.500%, due 05/15/15		1,270,000		1,219,200
Helix Energy Solutions 9.500%, due 01/15/166		1,005,000		924,600
Hornbeck Offshore Services, Series B 6.125%, due 12/01/14		1,375,000		1,278,750
				4,214,200
Paper & forest products—1.00%
Boise Cascade LLC 7.125%, due 10/15/14		1,105,000		712,725
Domtar Corp. 10.750%, due 06/01/17		375,000		380,625
Norske Skogindustrier ASA 7.000%, due 06/26/17	EUR	550,000		468,389
				1,561,739
Publishing—0.09%
R.H. Donnelley, Inc. 11.750%, due 05/15/153,6		257,000		133,640
Railroads—0.64%
RailAmerica, Inc. 9.250%, due 07/01/176		965,000		993,950
Retail—0.67%
Neiman Marcus Group, Inc. 9.000%, due 10/15/152,9		1,408,375		1,042,198
Special purpose entity—1.02%
Argon Capital PLC 8.162%, due 10/05/124,5	GBP	750,000		463,613
Barry Callebaut Services NV 6.000%, due 07/13/17	EUR	340,000		450,680
Glencore Finance Europe 6.500%, due 02/27/19	GBP	500,000		683,197
				1,597,490
Steel—1.63%
California Steel Industries 6.125%, due 03/15/14		1,280,000		1,139,200
US Steel Corp. 5.650%, due 06/01/13		300,000		284,826
7.000%, due 02/01/18		1,170,000		1,118,928
				2,542,954
Telecommunication services—2.15%
Nordic Telephone Co. Holdings 6.872%, due 05/01/167	EUR	535,000		728,221
8.875%, due 05/01/166		705,000		715,575
Softbank Corp. 7.750%, due 10/15/13	EUR	1,450,000		1,922,016
				3,365,812

Security description	Face amount1		Value
Corporate bonds—(concluded)
Telephone-integrated—1.34%
Frontier Communications Corp. 7.000%, due 11/01/25	$	540,000	$	402,300
7.050%, due 10/01/46		905,000		628,975
Virgin Media Finance PLC 9.500%, due 08/15/16	EUR	700,000		960,295
9.750%, due 04/15/14	GBP	50,000		83,105
Windstream Holdings Midwest 6.750%, due 04/01/28		40,000		27,658
				2,102,333
Transportation services—1.15%
Bristow Group, Inc. 6.125%, due 06/15/13		1,147,000		1,072,445
PHI, Inc. 7.125%, due 04/15/13		805,000		730,537
				1,802,982
Wireless telecommunication services—0.29%
Crown Castle International Corp. 9.000%, due 01/15/15		430,000		454,188
Total corporate bonds (cost—$142,526,034)				141,069,096
Loan assignments7—7.36%
Biotechnology—0.13%
Invitrogen Term Loan 5.250%, due 06/11/15		198,125		199,447
Cable—0.57%
Charter Communications Operating LLC Term Loan B 6.250%, due 04/27/11		731,349		669,279
6.250%, due 04/27/11		238,114		217,905
				887,184
Chemicals—0.65%
Lyondell Bassell Term Loan 13.000%, due 06/12/14		222,932		230,581
Lyondell Bassell Term Loan B2 3.786%, due 05/22/15		905,378		390,851
5.814%, due 12/22/14		334,017		281,229
5.990%, due 12/20/14		111,415		115,237
				1,017,898
Commercial services—0.75%
Aramark Term Loan 2.473%, due 01/26/14		263,666		249,906
2.473%, due 01/30/14		450,223		426,726
Aramark Term Loan B 2.025%, due 01/17/14		28,603		27,110
2.025%, due 01/26/14		45,353		42,986
2.473%, due 01/26/14		450,224		426,727
				1,173,455
Computer software & services—1.15%
Sungard Term Loan B 2.724%, due 02/28/14		1,093,630		1,048,244

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Portfolio of investments—July 31, 2009

Security description	Face amount1		Value
Loan assignments7—(concluded)
Computer software & services—(concluded)
3.921%, due 02/28/14	$	782,319	$	749,853
				1,798,097
Defense/aerospace—0.48%
Hawker Beechcraft Acquisition Co. Term Loan 2.598%, due 03/26/14		60,863		41,920
Hawker Beechcraft Term Loan 2.285%, due 03/26/14		342,045		235,583
2.285%, due 03/26/14		689,180		474,673
				752,176
Energy equipment & services—0.62%
Precision Drilling Term Loan 9.250%, due 09/30/14		975,000		975,000
Machinery—0.46%
Charter Per Loan 6.250%, due 04/30/14		119,482		109,342
Manitowoc Term Loan B 7.500%, due 04/14/14		680,000		611,578
				720,920
Metals—0.55%
Aleris International Term Loan 4.250%, due 02/12/10		356,095		213,657
4.250%, due 12/19/13		518,945		171,252
4.250%, due 02/12/15		255,431		16,176
13.000%, due 02/12/10		140,604		136,854
13.000%, due 12/19/13		46,868		45,617
Aleris Term Loan 13.000%, due 02/12/10		281,208		273,709
				857,265
Paper & packaging—0.85%
Georgia Pacific Corp. Term Loan 2.339%, due 12/23/13		40,179		38,801
2.650%, due 12/23/13		350,749		338,722
Georgia Pacific First Lien B Term Loan B 2.464%, due 02/15/14		58,880		56,861
Georgia Pacific Term Loan A 2.650%, due 12/23/10		923,020		891,370
				1,325,754
Printing & publishing—0.62%
Quebecor World Color Term Loan 9.000%, due 07/21/12		1,000,000		970,000
Wireless telecommunication services—0.53%
MetroPCS Term Loan 2.688%, due 11/15/13		309,478		295,800
3.438%, due 11/15/13		556,616		532,013
				827,813
Total loan assignments (cost—$12,172,502)				11,505,009

Security description	Face amount1		Value
Collateralized mortgage obligation—0.94%
Financial services—0.94%
Countrywide Alternative Loan Trust, Series 2006-OC6, Class 2A1 0.355%, due 07/25/367 (cost—$1,495,237)	$	1,728,597	$	1,473,508
Asset-backed security—0.41%
Commercial services—0.41%
Rutland Rated Investments, Series DRYD-1A, Class A1AL 0.959%, due 06/20/137,10,11 (cost—$1,053,654)		1,440,000		636,437
	Number of shares
Common stock—0.27%
Diversified financial services—0.27%
Citigroup, Inc.2 (cost—$222,447)		131,538		416,977
	Face amount1
Repurchase agreement—1.44%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $2,307,566 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$2,307,335); proceeds: $2,262,002 (cost—$2,262,000)	$	2,262,000		2,262,000
	Number of shares
Investment of cash collateral from securities loaned—13.92%
Money market fund—13.92%
UBS Private Money Market Fund LLC12 (cost—$21,770,202)		21,770,202		21,770,202
Total investments (cost—$181,502,076)— 114.54%				179,133,229
Liabilities in excess of other assets—(14.54)%				(22,740,038	)
Net assets—100.00%			$	156,393,191

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Portfolio of investments—July 31, 2009

Aggregate cost for federal income tax purposes was $182,123,138; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	10,061,000
Gross unrealized depreciation		(13,050,909	)
Net unrealized depreciation	$	(2,989,909	)

1  In US Dollars unless otherwise indicated.

2  Security, or portion thereof, was on loan at July 31, 2009.

3  Bond interest in default.

4  Variable rate security. The interest rate shown is the current rate as of July 31, 2009, and resets periodically.

5  Perpetual bond security. The maturity date reflects the next call date.

6  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 6.43% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

7  Floating rate security. The interest rate shown is the current rate as of July 31, 2009.

8  Denotes a step-up bond that converts to the noted fixed rate at a designated future date.

9  Payment-in-kind security for which part of the income earned may be paid as additional principal.

10  Illiquid securities representing 0.61% of net assets as of July 31, 2009.

11  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 0.61% of net assets as of July 31, 2009, are considered illiquid and restricted (see table below for more information).

Illiquid and restricted securities	Acquisition dates	Acquisition cost		Acquisition cost as a percentage of net assets			Value at 07/31/09		Value as a percentage of net assets
Bear Stearns Cos., Inc. 11.000%, 02/02/17	02/01/07	$	318,400		0.20	%	$	310,400		0.20	%
Rutland Rated Investments, Series DRYD-1A, Class A1AL 0.959%, 06/20/13	03/19/08		951,094		0.61			636,437		0.41
		$	1,269,494		0.81	%	$	946,837		0.61	%

12  The table below details the Portfolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	296,274	$	86,323,152	$	64,849,224	$	21,770,202	$	75,752

EUR  Euro

GBP  Great Britain Pound

GMAC  General Motors Acceptance Corporation

Forward foreign currency contract

	Contracts to deliver		In exchange for		Maturity date		Unrealized depreciation
Euro		13,000,000	USD	18,292,040		08/06/09	$	(236,935	)

Currency type abbreviation:

USD  United States Dollar

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Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)			Unobservable inputs (Level 3)		Total
Corporate bonds	$	—	$	141,069,096		$	—	$	141,069,096
Loan assignments		—		11,505,009			—		11,505,009
Collateralized mortgage obligation		—		1,473,508			—		1,473,508
Asset-backed security		—		—			636,437		636,437
Common stock		416,977		—			—		416,977
Repurchase agreement		—		2,262,000			—		2,262,000
Investment of cash collateral from securities loaned		—		21,770,202			—		21,770,202
Other financial instruments, net13		—		(236,935	)		—		(236,935	)
Total	$	416,977	$	177,842,880		$	636,437	$	178,896,294

13  Other financial instruments include forward foreign currency contracts.

The following is a rollforward of the Portfolio's investment that was valued using unobservable inputs (Level 3) for the period:

Measurements at 07/31/09
	Asset-backed security
Beginning balance	$	—
Net purchases/(sales)		—
Accrued discounts/(premiums)		72,317
Total realized gain/(loss)		—
Total unrealized appreciation/(depreciation)		(133,830	)
Net transfers in/(out) of Level 3		697,950
Ending balance	$	636,437

The change in unrealized appreciation/(depreciation) relating to the Level 3 investment held at July 31, 2009 was $(133,830).

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Portfolio of investments—July 31, 2009

Issuer breakdown by country or territory of origin (unaudited)

	Percentage of total investments
United States		84.6	%
Canada		2.7
United Kingdom		2.2
Netherlands		1.5
Germany		1.4
Australia		1.3
France		1.2
Japan		1.1
Denmark		0.8
Bermuda		0.6
Luxembourg		0.5
Sweden		0.4
Cayman Islands		0.4
Liberia		0.4
Norway		0.3
Ireland		0.3
Belgium		0.3
Total		100.0	%

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 19.01% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 20.22%). In comparison, the Russell 1000 Value Index (the "benchmark") declined 22.94%, and the Lipper Large-Cap Value Funds category posted a median decline of 20.75%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 105. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisors' comments

ICAP

Our portion of the Portfolio outperformed the benchmark during the reporting period, with stock selection and sector allocations benefiting performance for the reporting period overall.

Stock selection in the health care sector was the biggest driver of our portion of the Portfolio's relative performance. Our strategy is focused on diversified health care companies with little exposure to generic competition, which helped us to select a number of the best performers in the sector.

Our portion of the Portfolio had an overweight to the technology sector during the period, which was the second-largest contributor to outperformance. Within technology, we were able to find companies that had strong balance sheets and solid cash flow. This included QUALCOMM, Inc., which had a strong balance sheet with no debt and $13 billion in cash, and we sold the position from our portion of the Portfolio, taking gains during the reporting period. Intel Corp. also had a strong balance sheet and a significant amount of cash, and we held the stock as we believed that the company's margins would recover as a result of facility restructuring.

Other top contributors for the reporting period included Wyeth, Schering-Plough Corp., Total SA and Occidental Petroleum Corp. Total SA has consistently generated some of the best growth in the industry, and we believe

UBS PACE Select Advisors Trust – UBS PACE Large Co Value Equity Investments

Investment Sub-Advisors:

Institutional Capital LLC ("ICAP"), Westwood Management Corp. ("Westwood") and Pzena Investment Management, LLC ("Pzena")

Portfolio Managers:

ICAP: Jerrold Senser and Thomas Wenzel;

Westwood: Susan M. Byrne;

Pzena: Richard S. Pzena, John P. Goetz and Antonio DeSpirito, III

Objective:

Capital appreciation and dividend income

Investment process:

ICAP uses its proprietary valuation model to identify large capitalization companies that it believes offer the best relative values because they sell below the price-to-earnings ratio warranted by their prospects. ICAP looks for companies where there is a catalyst for positive change with potential to produce stock appreciation of 15% or more relative to the market over a 12- to 18-month period.

ICAP also uses internally generated research to evaluate the financial condition and business prospects of every company it considers. ICAP monitors each stock purchased and sells the stock when its target price is achieved, the catalyst becomes inoperative, or ICAP identifies another stock with greater opportunity for appreciation.

Westwood utilizes a value style of investing in which it chooses common stocks it believes are currently undervalued.

Other key metrics it considers are return on equity, debt/equity ratio and, in the case of

(continued on next page)

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Sub-Advisors' comments – continued

that its successful and timely start of projects will benefit the company. We felt that Occidental Petroleum Corp., with a track record of generating best-in-class capital returns, deserved to trade at a premium to its peers.

The largest detractors from performance included stocks in the communications and basic industries sectors. Our portion of the Portfolio's weighting in consumer services also detracted from relative performance. The largest individual detractors from performance during the reporting period included Capital One Financial Corp. as well as Johnson & Johnson, News Corp., Bank of America Corp. and Vodafone Group plc, the last four of which were sold from our portion of the Portfolio during the period. Bank of America Corp. was added as we thought it would benefit from recent acquisitions, which would, in turn, enhance long-term earnings growth. However, higher-than-expected credit costs led to capital impairment, and we eliminated the position. In the case of News Corp., we believed that improvement in cable networks ratings and affiliate fee growth were likely to provide earnings growth, but the company's exposure to old media o verwhelmed the growth divisions, and we sold News Corp. from our portion of the Portfolio.

Westwood

Our portion of the Portfolio underperformed the benchmark during the reporting period. A high degree of risk aversion during the first half of the reporting period benefited performance as we held high-quality securities with strong fundamentals. However, our portion of the Portfolio's performance relative to the benchmark was hindered in the second half of the reporting period as an increase in risk appetite led to strong performance for low-quality, higher-risk securities, which hurt performance overall.

During the reporting period as a whole, our portion of the Portfolio's performance relative to the benchmark was hindered by security selection in the energy, consumer discretionary, financial services and materials and processing sectors. Within energy, our portion of the Portfolio's holdings were impacted as crude oil fell from over $140 per barrel. In addition, underweights to Exxon Mobil Corp. and Chevron Corp. hindered results.

Our portion of the Portfolio's exposure to the consumer discretionary sector was heavily impacted by the low-quality, higher-risk rally during the second half of the reporting period, when lower-quality stocks posted their largest gains. More defensive holdings, such as Wal-Mart Stores, Inc., also underperformed given the market's preference for aggressive stocks during this time. Within financial services, security selection helped performance during the first half of the reporting period. During this time, investor risk aversion led to the outperformance of high-quality banks and other financial service companies outside the banking industry.

Later in the reporting period, however, securities such as State Street Corp. and Bank of America Corp.—both of which were sold from our portion of the Portfolio during the period—and PNC Financial Services Group, Inc.

Investment process (concluded)

common equities, positive earnings surprises without a corresponding increase in Wall Street estimates.

Westwood has disciplines in place that serve as sell signals, such as a security reaching a pre-determined price target or a change to a company's fundamentals that negatively impacts the original investment thesis.

Pzena follows a disciplined investment process to implement its value philosophy, focusing exclusively on companies that are underperforming their historically demonstrated earnings power. Pzena applies intensive fundamental research to these companies in an effort to determine whether the problems that caused the earnings shortfall are temporary or permanent. The research process incorporates perspectives on valuation, earnings, management strategy, and downside protection.

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Sub-Advisors' comments – continued

hindered performance as they either posted higher-than-expected credit losses or investors began to fear an increase in losses. Since March of 2009, large banks have outperformed on the heels of the government's stress test results and an increase in investor risk appetites. Our portion of the Portfolio's holdings in the materials and processing sector were impacted by poor performance from economically sensitive Freeport-McMoRan Copper & Gold, Inc. during the first half of the reporting period, before we eliminated the position.

On the upside, stock selection in the technology, producer durables and consumer staples sectors were strong performers. Within technology, a focus on large, stable, cash-generating securities aided results, as IBM Corp., EMC Corp., Oracle Corp. and Cisco Systems, Inc. all posted strong relative earnings results over the past 12 months. Holdings in the producer durables sector outperformed those in the benchmark, following strong performance by selected securities such as Union Pacific Corp. In addition, an underweight to poor performing General Electric Co., which we sold during the reporting period, benefited performance relative to the benchmark. Elsewhere, exposure to the consumer staples and utilities sectors was positive for performance following investors' flight to safety during the first half of the reporting period.

Pzena

Our portion of the Portfolio outperformed the benchmark during the reporting period, primarily due to stock selection.

The largest contributor to results was in the financial sector, as title insurance company Fidelity National Financial, Inc. performed well, acquiring the third-largest title insurer out of bankruptcy at what we believed to be a very good valuation. This acquisition has propelled the company to become the largest US title insurance company. The Federal Reserve Board's announcement in late 2008 that it would be purchasing mortgage-backed securities also benefited the stock. With Fidelity National Financial, Inc.'s revenue tied directly to mortgage activity, its shares moved higher, given investor optimism that increased refinancing will translate into margin expansion.

The largest detractor from performance was financial firm Citigroup, Inc. Its shares suffered from a combination of both industry and company-related news. The bank, in concert with many global financial names, was negatively impacted by massive asset write-downs.

Despite the recent strong rally, we believe that our portion of the Portfolio continues to be attractively valued. In areas such as health care, consumer discretionary and financials, we sold and trimmed positions among some of the strongest performers. The proceeds were then used to either purchase stocks that we believed were being overlooked, or to add to existing holdings that were lagging, but that we believed still had equally good business prospects compared to their faster-moving counterparts. These opportunities come from a diverse set of economic sectors, and we believe that they are all attractive franchises with healthy balance sheets.

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Sub-Advisors' comments – concluded

While valuations no longer reflect concerns over the risk of another "Great Depression," we believe that they continue to discount extremely depressed fundamentals. We believe that the road to recovery is winding and that stock prices will likely remain volatile, and that our portion of the Portfolio could be well-positioned to benefit when global economic conditions normalize.

Special considerations

The Portfolio may be appropriate for long-term investors seeking capital appreciation who are able to withstand short-term fluctuations in the equity markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Russell 1000 Value Index (unaudited)

The graph depicts the performance of UBS PACE Large Co Value Equity Investments Class P shares versus the Russell 1000 Value Index over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Large Co Value Equity Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		(19.27	)%		0.62	%	N/A				1.18	%
maximum sales charge	Class B3		(19.92	)%		(0.25	)%	N/A				0.62	%
or UBS PACE Select	Class C4		(19.89	)%		(0.16	)%	N/A				0.41	%
program fee	Class Y5		(18.93	)%		0.98	%	N/A				1.27	%
	Class P6		(19.01	)%		0.87	%		(0.02	)%		5.74	%
After deducting	Class A2		(23.71	)%		(0.51	)%	N/A				0.52	%
maximum sales charge	Class B3		(23.89	)%		(0.56	)%	N/A				0.62	%
or UBS PACE Select	Class C4		(20.68	)%		(0.16	)%	N/A				0.41	%
program fee	Class P6		(20.22	)%		(0.63	)%		(1.51	)%		4.16	%
Russell 1000 Value Index7			(22.94	)%		(0.29	)%		0.94	%		6.89	%
Lipper Large-Cap Value Funds median			(20.75	)%		(0.50	)%		0.42	%		5.62	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (29.67)%; 5-year period, (2.43)%; since inception, (0.38)%; Class B—1-year period, (29.82)%; 5-year period, (2.47)%; since inception, (0.27)%; Class C—1-year period, (26.95)%; 5-year period, (2.10)%; since inception, (0.48)%; Class Y—1-year period, (25.27)%; 5-year period, (0.97)%; since inception, 0.35%; Class P—1-year period, (26.53)%; 5-year period, (2.56)%; 10-year period, (2.70)%; since inception, 3.61%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.15% and 1.15%; Class B—2.09% and 2.02%; Class C—1.94% and 1.94%; Class Y—0.82% and 0.82%; and Class P—0.91% and 0.91%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.27%; Class B—2.02%; Class C—2.02%; Class Y—1.02% and Class P—1.02%. The Po rtfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, November 27, 2000 for Class A, B, and C shares and January 19, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Russell 1000 Value Index measures the performance of a large universe of stocks with lower price-to-book ratios and lower forecasted growth rates. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	1,006.7
Number of holdings		108
Portfolio composition1	07/31/09
Common stocks		95.6	%
ADRs		2.8
Cash equivalents and other assets less liabilities		1.6
Total		100.0	%
Top five sectors1	07/31/09
Financials		19.6	%
Information technology		15.5
Health care		13.0
Energy		12.1
Industrials		12.1
Total		72.3	%
Top ten equity holdings1	07/31/09
JPMorgan Chase & Co.		3.3	%
Wyeth		2.5
CVS Corp.		2.1
Cisco Systems, Inc.		1.9
Wells Fargo & Co.		1.8
Schering-Plough Corp.		1.8
ACE Ltd.		1.8
Occidental Petroleum Corp.		1.7
Apache Corp.		1.7
Covidien PLC		1.6
Total		20.2	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

ADR  American Depositary Receipt

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—98.37%
Aerospace & defense—7.67%
Boeing Co.1		296,100	$	12,705,651
Honeywell International, Inc.1		377,000		13,081,900
ITT Industries, Inc.		157,600		7,785,440
L-3 Communications Holdings, Inc.		109,279		8,250,565
Lockheed Martin Corp.		131,800		9,853,368
Northrop Grumman Corp.		307,200		13,694,976
Raytheon Co.1		83,600		3,925,020
United Technologies Corp.		144,398		7,865,359
				77,162,279
Auto components—2.13%
Johnson Controls, Inc.1		325,150		8,414,882
Magna International, Inc., Class A		256,075		13,049,582
				21,464,464
Beverages—2.05%
Coca-Cola Co.		191,100		9,524,424
PepsiCo, Inc.		195,750		11,108,812
				20,633,236
Capital markets—2.78%
Bank of New York Mellon Corp.		392,850		10,740,519
BlackRock, Inc.1		32,500		6,192,550
Morgan Stanley		275,125		7,841,062
State Street Corp.		64,700		3,254,410
				28,028,541
Chemicals—0.40%
Praxair, Inc.		51,700		4,041,906
Commercial banks—3.76%
BB&T Corp.1		186,200		4,260,256
Comerica, Inc.1		306,300		7,302,192
PNC Financial Services Group, Inc.		215,725		7,908,478
Wells Fargo & Co.1		753,050		18,419,603
				37,890,529
Communications equipment—4.29%
Alcatel-Lucent, ADR1,*		4,141,200		11,429,712
Cisco Systems, Inc.*		872,550		19,204,826
Motorola, Inc.		1,186,390		8,494,552
Research In Motion Ltd.*		52,800		4,012,800
				43,141,890
Computers & peripherals—3.29%
Dell, Inc.*		586,950		7,853,391
EMC Corp.*		257,700		3,880,962
Hewlett-Packard Co.		308,200		13,345,060
International Business Machines Corp.		67,950		8,013,343
				33,092,756

Security description	Number of shares		Value
Common stocks—(continued)
Consumer finance—1.42%
Capital One Financial Corp.1		466,275	$	14,314,643
Diversified financial services—4.95%
Bank of America Corp.		630,900		9,331,011
Citigroup, Inc.		2,441,739		7,740,313
JPMorgan Chase & Co.		848,393		32,790,389
				49,861,713
Diversified telecommunication services—1.21%
AT&T, Inc.		310,000		8,131,300
Verizon Communications, Inc.		126,901		4,069,715
				12,201,015
Electric utilities—1.12%
Exelon Corp.1		145,900		7,420,474
FPL Group, Inc.1		68,500		3,881,895
				11,302,369
Electronic equipment, instruments & components—0.91%
Tyco Electronics Ltd.		426,850		9,164,470
Energy equipment & services—1.92%
Baker Hughes, Inc.		322,850		13,075,425
BJ Services Co.1		442,625		6,276,423
				19,351,848
Food & staples retailing—2.85%
CVS Corp.		628,400		21,038,832
Sysco Corp.		163,700		3,889,512
Wal-Mart Stores, Inc.		75,600		3,770,928
				28,699,272
Food products—1.46%
Kraft Foods, Inc., Class A		248,025		7,029,029
Sara Lee Corp.		722,850		7,691,124
				14,720,153
Health care equipment & supplies—3.09%
Becton, Dickinson and Co.		113,600		7,401,040
Covidien PLC		438,300		16,572,123
Zimmer Holdings, Inc.*		152,400		7,101,840
				31,075,003
Health care providers & services—2.91%
Aetna, Inc.		174,350		4,702,220
AmerisourceBergen Corp.		303,150		5,978,118
Cardinal Health, Inc.		333,475		11,104,717
WellPoint, Inc.*		142,950		7,524,888
				29,309,943
Hotels, restaurants & leisure—0.76%
McDonald's Corp.		139,000		7,653,340
Household durables—0.87%
Whirlpool Corp.1		153,000		8,734,770
Household products—0.40%
Colgate-Palmolive Co.		54,900		3,976,956

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Insurance—6.63%
ACE Ltd.		361,200	$	17,720,472
Allstate Corp.		485,800		13,072,878
Aon Corp.		37,750		1,489,238
Fidelity National Financial, Inc., Class A		251,875		3,614,406
Hartford Financial Services Group, Inc.		271,325		4,474,149
MetLife, Inc.		221,150		7,508,042
The Travelers Cos., Inc.		178,300		7,679,381
Torchmark Corp.1		287,350		11,223,891
				66,782,457
IT services—0.78%
MasterCard, Inc., Class A1		40,500		7,858,215
Leisure equipment & products—0.46%
Mattel, Inc.		261,675		4,600,247
Machinery—2.26%
Caterpillar, Inc.1		228,800		10,080,928
Cummins, Inc.1		148,000		6,365,480
Deere & Co.1		144,200		6,307,308
				22,753,716
Media—2.91%
Omnicom Group, Inc.1		328,100		11,155,400
The DIRECTV Group, Inc.1,*		299,900		7,767,410
Viacom, Inc., Class B*		447,900		10,373,364
				29,296,174
Metals & mining—0.91%
Newmont Mining Corp.		221,400		9,154,890
Multi-utilities—2.48%
Dominion Resources, Inc.1		114,600		3,873,480
PG&E Corp.1		178,200		7,193,934
Sempra Energy		194,725		10,209,432
Wisconsin Energy Corp.		85,700		3,682,529
				24,959,375
Multiline retail—1.44%
J.C. Penney Co., Inc. (Holding Co.)		480,200		14,478,030
Oil, gas & consumable fuels—10.20%
Anadarko Petroleum Corp.		160,300		7,726,460
Apache Corp.		199,102		16,714,613
BP PLC, ADR1		200,850		10,050,534
Chevron Corp.		136,800		9,503,496
ConocoPhillips		176,400		7,710,444
Devon Energy Corp.		68,100		3,955,929
Exxon Mobil Corp.		129,862		9,140,986
Marathon Oil Corp.		360,350		11,621,287
Occidental Petroleum Corp.		246,597		17,592,230
Total SA, ADR		124,050		6,903,383
Valero Energy Corp.		98,325		1,769,850
				102,689,212

Security description	Number of shares		Value
Common stocks—(concluded)
Personal products—1.02%
Avon Products, Inc.		318,450	$	10,311,411
Pharmaceuticals—7.02%
Johnson & Johnson		239,700		14,595,333
Pfizer, Inc.1		825,250		13,146,232
Schering-Plough Corp.		680,300		18,034,753
Wyeth		535,700		24,936,835
				70,713,153
Road & rail—2.17%
CSX Corp.		361,150		14,489,338
Union Pacific Corp.		128,400		7,385,568
				21,874,906
Semiconductors & semiconductor equipment—3.13%
Intel Corp.		819,500		15,775,375
Lam Research Corp.1,*		85,650		2,574,639
Texas Instruments, Inc.		546,500		13,143,325
				31,493,339
Software—3.15%
CA, Inc.		550,325		11,633,871
Microsoft Corp.		687,077		16,160,051
Oracle Corp.		174,800		3,868,324
				31,662,246
Specialty retail—1.98%
Home Depot, Inc.		176,125		4,568,682
Lowe's Cos., Inc.		510,350		11,462,461
The Gap, Inc.		238,900		3,898,848
				19,929,991
Textiles, apparel & luxury goods—0.80%
Nike, Inc., Class B1		141,500		8,014,560
Tobacco—0.79%
Philip Morris International, Inc.		169,600		7,903,360
Total common stocks (cost—$1,007,594,922)				990,296,378
	Face amount
Repurchase agreement—1.79%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $18,450,326 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$18,448,481); proceeds: $18,086,015 (cost—$18,086,000)	$	18,086,000		18,086,000

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Investment of cash collateral from securities loaned—14.70%
Money market fund—14.70%
UBS Private Money Market Fund LLC2(cost—$147,996,105)		147,996,105	$	147,996,105
Total investments (cost—$1,173,677,027)— 114.86%				1,156,378,483
Liabilities in excess of other assets—(14.86)%				(149,649,134	)
Net assets—100.00%			$	1,006,729,349

Aggregate cost for federal income tax purposes was $1,237,768,638; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	24,304,735
Gross unrealized depreciation		(105,694,890	)
Net unrealized depreciation	$	(81,390,155	)

*  Non-income producing security.

1  Security, or portion thereof, was on loan at July 31, 2009.

2  The table below details the Portolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	53,422,826	$	1,155,488,752	$	1,060,915,473	$	147,996,105	$	919,223

ADR  American Depositary Receipt

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

	Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
Common stocks	$	990,296,378	$	—	$	—	$	990,296,378
Repurchase agreement		—		18,086,000		—		18,086,000
Investment of cash collateral from securities loaned		—		147,996,105		—		147,996,105
Total	$	990,296,378	$	166,082,105	$	—	$	1,156,378,483

Issuer breakdown by country of origin (unaudited)

	Percentage of total investments
United States		92.3	%
Switzerland		2.3
France		1.6
Canada		1.5
Ireland		1.4
United Kingdom		0.9
Total		100.0	%

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 19.19% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 20.39%). In comparison, the Russell 1000 Growth Index (the "benchmark") declined 17.57%, and the Lipper Large-Cap Growth Funds category posted a median decline of 19.78%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 115. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisors' comments

Wellington

Our portion of the Portfolio outperformed the benchmark during the reporting period, due largely to strong stock selection.

The health care sector was the largest contributor to relative performance during the period, as an underweight to the sector and strong stock selection benefited relative performance in this area. Significant positive contributors to relative performance included Abbott Laboratories, which was sold from our portion of the Portfolio, and Teva Pharmaceutical Industries Ltd. Strong stock selection within the consumer discretionary sector was also a contributor to our portion of the Portfolio's relative performance. Positions in TJX Companies, Inc., Coach, Inc., Nike, Inc. and Apollo Group, Inc. contributed the most to relative results within the sector.

The materials sector was the largest detractor from relative results. The underperformance in the sector was primarily the result of weak stock selection. In particular, owning Freeport-McMoRan Copper & Gold, Inc., Vale do Rio Doce and Agrium, Inc.—all of which were sold from our portion of the Portfolio during the reporting period—hurt relative results. An underweight to the consumer staples sector and an overweight to the energy and financials sectors also detracted from relative results within our portion of the Portfolio.

UBS PACE Select Advisors Trust – UBS PACE Large Co Growth Equity Investments

Investment Sub-Advisors:

Wellington Management Company, LLP ("Wellington"), Marsico Capital Management, LLC ("Marsico"), SSgA Funds Management, Inc. ("SSgA") and Delaware Management Company ("Delaware")

Portfolio Managers:

Wellington: Andrew Shilling;

Marsico: Thomas Marsico;

SSgA: Nick de Peyster and Brian Shannahan;

Delaware: Jeffrey Van Harte, Christopher Bonavico, Daniel Prislin and Christopher Ericksen

Objective:

Capital appreciation

Investment process:

Wellington applies in-depth fundamental research in its effort to identify corporate change early, differentiate sustainable growth opportunities from short-lived events, identify superior business models, and develop strict valuation parameters for the companies it evaluates. Wellington's strategy is focused on investing in companies that appear well-positioned to benefit from long-lasting trends and that have structural advantages to maintaining their position.

Marsico uses an approach that combines top-down macro-economic analysis with bottom-up stock selection. It considers macro-economic factors such as interest rates, inflation, demographics, the regulatory environment and the global competitive environment. It then seeks to identify companies with earnings growth potential that may not be recognizable by the market at large. Marsico's stock

(continued on next page)

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Sub-Advisors' comments – continued

The top contributors to the Portfolio's absolute performance during the period were NetApp Inc., Texas Instruments, Inc. and Schlumberger Ltd. The largest detractors from absolute returns were Transocean Ltd., Covidien PLC, and Electronic Arts, Inc., the last of which we eliminated during the reporting period.

At the end of the reporting period, our portion of the Portfolio was positioned with overweights to the information technology, energy, industrials, consumer discretionary and financials sectors. In contrast, it was underweight to the materials, consumer staples, health care, telecommunication services and utilities sectors.

Marsico

Our portion of the Portfolio underperformed the benchmark during the reporting period. There were several contributing factors to our underperformance, including sector allocation and stock selection.

Stock selection in the consumer discretionary sector hampered our portion of the Portfolio's results. Holdings in the consumer services industry, including Las Vegas Sands Corp. and retailer Target Corp., which were both subsequently sold from our portion of the Portfolio, detracted from performance, as did Wynn Resorts Ltd. An overweight in banks, the weakest-performing industry group in the benchmark, also hurt results. Stock selection in the industrials sector was another source of underperformance as positions in aerospace/defense companies General Dynamics Corp. and Lockheed Martin Corp. lagged the benchmark, as did railroad operators Union Pacific Corp. and Norfolk Southern Corp. Finally, relative performance was negatively impacted by an underweight to and stock selection in the information technology sector.

On the upside, with the benchmark declining almost 18% during the reporting period, our portion of the Portfolio's average holding of cash and short-term investments—which was approximately 8% of net assets—helped preserve capital to some degree. Elsewhere, stock selection in the diversified financials industry significantly outpaced that of the benchmark. A position in Goldman Sachs Group, Inc. was among the top individual contributors in the reporting period.

Investment process (concluded)

selection process may focus on factors such as market expertise or dominance, franchise durability and pricing power, solid company fundamentals, as well as strong management and reasonable valuations.

SSgA uses several quantitative measures based on valuation, sentiment and quality to identify investment opportunities within a large cap growth universe and combines factors to produce an overall rank. Using comprehensive research, it seeks to determine the optimal weighting of these perspectives to arrive at strategies that vary by industry. SSgA ranks all companies within the investable universe from top to bottom based on their relative attractiveness. SSgA then constructs its portion of the Portfolio by selecting the highest-ranked stocks from the universe, and manages deviations from the benchmark to maximize the risk/reward trade-off. The aim is to have a resulting Portfolio with characteristics similar to the benchmark. SSgA generally sells stocks that no longer meet its selection criteria or that it believes otherwise may adversely affect per formance relative to the benchmark.

Delaware invests primarily in common stocks of large capitalization growth-oriented companies that Delaware believes have long-term capital appreciation potential and are expected to grow faster than the US economy. Using a bottom-up approach, Delaware seeks to select securities of companies that it believes have attractive end market potential, dominant business models and strong free cash flow generation that are attractively priced compared to the intrinsic value of the securities. Delaware also considers a company's operational efficiencies, management's plans for capital allocation and the company's shareholder orientation.

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Sub-Advisors' comments – continued

On an individual stock basis, positions in biotechnology company Genentech Inc., which was sold from our portion of the Portfolio during the period, and Google Inc. benefited performance. Information technology company International Business Machines Corp., computer chipmaker QUALCOMM, Inc. and Apple Inc. also benefited our portion of the Portfolio's performance. Additionally, Dow Chemical Co., Australia-based resources company BHP Billiton PLC and pharmaceutical company Schering-Plough Corp., which was subsequently sold from the Portfolio, helped performance.

As of July 31, 2009, our portion of the Portfolio's sector allocations emphasized information technology, financials, consumer discretionary and industrials. In addition, our portion of the Portfolio had no exposure to the utilities and telecommunications services sectors.

SSgA

Our portion of the Portfolio underperformed its benchmark during the reporting period, primarily due to stock selection.

During the 12-month reporting period, the industrials, materials and financials sectors were among the biggest detractors from performance within our portion of the Portfolio. Within the industrials sector, positions in heavy equipment leaser United Rentals Inc., construction and engineering firm Foster Wheeler Ltd. and mining equipment maker Joy Global Inc. all performed poorly, detracting from returns, and all were sold from our portion of the Portfolio during the reporting period. In addition, makers of key materials used in construction, including Reliance Steel and Aluminum as well as Freeport-McMorRan Copper & Gold, Inc. underperformed, limiting returns within our portion of the Portfolio and were sold from the Portfolio during the reporting period as a result.

Additionally, stocks tied to agriculture slumped as investors feared shrinking demand and contracting prices. As a result, an overweight position in fertilizer producer Mosaic Co. fell significantly during the 12-month reporting period, and we eliminated the position. However, our portion of the Portfolio did benefit from stock selection in the technology and consumer discretionary sectors. Within technology, overweight positions in software company Oracle Corp. and developer of wireless technology InterDigital Inc., which was subsequently sold from our portion of the Portfolio, bolstered performance. Overweights to AutoZone Inc., retailer Gap Inc. and gaming company WMS Industries Inc., prior to being sold from our portion of the Portfolio, drove outperformance within the consumer discretionary sector.

Delaware

Our portion of the Portfolio outperformed the benchmark during the reporting period, primarily due to stock selection.

During the 12-month period, stock selection, particularly in the health care sector, drove positive relative performance. In addition, a significant underweight in the energy sector—which was the worst-performing sector in the benchmark—and a slight overweight in health care were beneficial for relative performance.

In terms of individual holdings, top contributors to performance included Intuitive Surgical, Inc. and IntercontinentalExchange, Inc. Intuitive Surgical, Inc., creator of robotic tools to assist in surgeries, was purchased after a significant selloff that occurred because of investors' concerns over a slower hospital capital investment cycle. The stock then appreciated significantly as the cycle did not meet worst-case expectations. Another significant contributor, IntercontinentalExchange Inc., benefited from an increase in

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Sub-Advisors' comments – concluded

investor risk appetite in the market, which fueled trading activity in the futures and derivatives markets. The company is also playing an important role in the evolution of credit default swaps trading and other complicated over-the-counter derivative instruments. Consequently, IntercontinentalExchange, Inc.'s early lead as an important gatekeeper in this new business helped drive positive investor sentiment for the stock.

The largest detractors from performance in our portion of the Portfolio were Seagate Technology and Research In Motion Ltd. Seagate Technology's weakness was a function of a difficult consumer and enterprise spending environment, combined with management mistakes in maneuvering the notebook hard drive product cycle. We ultimately sold the position as we believed that the company had weakened to the point where its viability was threatened. Research In Motion, Ltd.'s stock suffered in the weak economy, which affected sales of Blackberry devices and services. Management decreased expectations for future profitability as a more competitive market in smartphones is forcing it to increase component and feature development costs to effectively compete at current prices. As a result, we sold this holding during the reporting period.

Special considerations

The Portfolio may be appropriate for long-term investors seeking capital appreciation who are able to withstand short-term fluctuations in the equity markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. Also, to the extent the Portfolio invests a large portion of its assets in technology companies, the Portfolio may experience greater volatility and risk of loss due to unfavorable developments in the technology sector. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Russell 1000 Growth Index (unaudited)

The graph depicts the performance of UBS PACE Large Co Growth Equity Investments Class P shares versus the Russell 1000 Growth Index over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Large Co Growth Equity Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		(19.39	)%		0.42	%	N/A				(5.05	)%
maximum sales charge	Class B3		(20.05	)%		(0.45	)%	N/A				(5.59	)%
or UBS PACE Select	Class C4		(20.00	)%		(0.42	)%	N/A				(5.80	)%
program fee	Class Y5		(19.04	)%		0.81	%	N/A				(3.95	)%
	Class P6		(19.19	)%		0.70	%		(4.25	)%		3.34	%
After deducting	Class A2		(23.82	)%		(0.72	)%	N/A				(5.67	)%
maximum sales charge	Class B3		(24.03	)%		(0.84	)%	N/A				(5.59	)%
or UBS PACE Select	Class C4		(20.80	)%		(0.42	)%	N/A				(5.80	)%
program fee	Class P6		(20.39	)%		(0.80	)%		(5.67	)%		1.80	%
Russell 1000 Growth Index7			(17.57	)%		0.70	%		(3.21	)%		4.65	%
Lipper Large-Cap Growth Funds median			(19.78	)%		0.36	%		(2.21	)%		4.12	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (30.72)%; 5-year period, (3.12)%; since inception, (6.47)%; Class B—1-year period, (30.87)%; 5-year period, (3.23)%; since inception, (6.39)%; Class C—1-year period, (27.97)%; 5-year period, (2.83)%; since inception, (6.59)%; Class Y—1-year period, (26.42)%; 5-year period, (1.64)%; since inception, (4.78)%; Class P—1-year period, (27.57)%; 5-year period, (3.19)%; 10-year period, (6.70)%; since inception, 1.32%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.25% and 1.21%; Class B—2.24% and 2.05%; Class C—2.09% and 2.05%; Class Y—0.87% and 0.83%; and Class P—0.96% and 0.92%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees through November 30, 2009 to the extent necessary to reflect the lower sub-advisory fee paid by UBS Global AM to SSgA. The Portfolio and UBS Global AM have also entered into an additional written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimbu rse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.30%; Class B—2.05%; Class C—2.05%; Class Y—1.05% and Class P—1.05%. The Portfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, November 27, 2000 for Class A, B, and C shares and February 15, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Russell 1000 Growth Index measures the performance of a large universe of stocks with higher price-to-book ratios and higher forecasted growth rates. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	899.5
Number of holdings		222
Portfolio composition1	07/31/09
Common stocks		93.4	%
ADRs		4.4
Cash equivalents and other assets less liabilities		2.2
Total		100.0	%
Top five sectors1	07/31/09
Information technology		35.4	%
Consumer discretionary		13.6
Financials		11.5
Industrials		10.0
Health care		10.0
Total		80.5	%
Top ten equity holdings1	07/31/09
Apple, Inc.		3.9	%
Google, Inc.		3.0
QUALCOMM, Inc.		2.8
Visa, Inc.		2.3
International Business Machines Corp.		2.2
Oracle Corp.		2.0
Cisco Systems, Inc.		1.9
MasterCard, Inc.		1.8
Goldman Sachs Group, Inc.		1.6
Hewlett-Packard Co.		1.6
Total		23.1	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

ADR  American Depositary Receipt

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—97.81%
Aerospace & defense—3.81%
General Dynamics Corp.		206,924	$	11,461,520
Honeywell International, Inc.		52,840		1,833,548
Lockheed Martin Corp.		95,890		7,168,736
Northrop Grumman Corp.		37,800		1,685,124
Precision Castparts Corp.		72,350		5,774,254
Raytheon Co.1		85,500		4,014,225
United Technologies Corp.		43,000		2,342,210
				34,279,617
Air freight & logistics—1.82%
C.H. Robinson Worldwide, Inc.1		14,100		768,873
Expeditors International of Washington, Inc.1		185,000		6,277,050
FedEx Corp.		52,280		3,546,675
United Parcel Service, Inc., Class B		107,400		5,770,602
				16,363,200
Auto components—0.39%
Johnson Controls, Inc.1		129,280		3,345,766
TRW Automotive Holdings Corp.*		9,700		163,251
				3,509,017
Beverages—0.54%
Coca-Cola Co.		29,478		1,469,183
Coca-Cola Enterprises, Inc.		109,000		2,048,110
PepsiCo, Inc.		24,193		1,372,953
				4,890,246
Biotechnology—1.56%
Acorda Therapeutics, Inc.1,*		12,500		315,750
Amgen, Inc.*		11,700		729,027
Gilead Sciences, Inc.*		248,879		12,177,650
United Therapeutics Corp.*		8,400		778,008
				14,000,435
Capital markets—3.00%
Bank of New York Mellon Corp.1		275,200		7,523,968
BlackRock, Inc.1		3,300		628,782
Franklin Resources, Inc.		8,900		789,252
Goldman Sachs Group, Inc.		90,385		14,759,871
Morgan Stanley		67,712		1,929,792
Northern Trust Corp.		1,200		71,772
T. Rowe Price Group, Inc.1		9,300		434,403
TD Ameritrade Holding Corp.*		46,100		854,694
				26,992,534
Chemicals—2.45%
Dow Chemical Co.		244,105		5,167,703
Monsanto Co.		41,983		3,526,572
Potash Corp. of Saskatchewan, Inc.1		39,764		3,698,450
Praxair, Inc.		70,000		5,472,600
Syngenta AG, ADR		91,100		4,183,312
				22,048,637

Security description	Number of shares		Value
Common stocks—(continued)
Commercial banks—2.70%
Itau Unibanco Banco Multiplo SA		140,790	$	2,518,733
PNC Financial Services Group, Inc.		9,800		359,268
SunTrust Banks, Inc.		152,650		2,976,675
US Bancorp1		310,058		6,328,284
Wells Fargo & Co.1		493,384		12,068,173
				24,251,133
Commercial services & supplies—0.01%
Deluxe Corp.		6,900		107,985
Communications equipment—5.92%
Arris Group, Inc.1,*		32,100		390,978
Cisco Systems, Inc.*		760,394		16,736,272
Harris Corp.		46,600		1,459,046
Juniper Networks, Inc.1,*		210,990		5,513,169
Motorola, Inc.		54,200		388,072
QUALCOMM, Inc.		547,136		25,283,154
Research In Motion Ltd.*		45,740		3,476,240
				53,246,931
Computers & peripherals—9.50%
Apple, Inc.*		214,200		34,998,138
EMC Corp.*		77,200		1,162,632
Hewlett-Packard Co.		334,788		14,496,320
International Business Machines Corp.		165,602		19,529,444
NetApp, Inc.*		314,320		7,059,627
QLogic Corp.*		36,200		472,410
Teradata Corp.*		240,000		5,896,800
Western Digital Corp.*		61,900		1,872,475
				85,487,846
Construction & engineering—0.26%
Fluor Corp.		44,000		2,323,200
Consumer finance—0.25%
American Express Co.1		80,475		2,279,857
Containers & packaging—0.39%
Owens-Illinois, Inc.*		43,100		1,462,814
Pactiv Corp.*		48,300		1,216,194
Rock-Tenn Co., Class A1		9,300		418,128
Sealed Air Corp.		20,900		384,351
				3,481,487
Diversified consumer services—1.96%
Apollo Group, Inc., Class A1,*		158,091		10,914,603
ITT Educational Services, Inc.1,*		26,030		2,534,020
Weight Watchers International, Inc.1		150,000		4,182,000
				17,630,623

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Diversified financial services—4.55%
Bank of America Corp.		771,216	$	11,406,285
CME Group, Inc.		21,900		6,106,377
IntercontinentalExchange, Inc.*		82,500		7,759,950
JPMorgan Chase & Co.		302,525		11,692,591
Moody's Corp.1		166,780		3,959,357
				40,924,560
Diversified telecommunication services—0.01%
Qwest Communications International, Inc.1		25,700		99,202
Electrical equipment—0.51%
ABB Ltd., ADR		160,780		2,939,058
Emerson Electric Co.		37,050		1,347,879
Thomas & Betts Corp.*		11,800		314,352
				4,601,289
Electronic equipment, instruments & components—0.20%
Avnet, Inc.*		45,600		1,112,640
Ingram Micro, Inc., Class A*		19,900		334,718
Tech Data Corp.*		10,100		352,793
				1,800,151
Energy equipment & services—3.26%
Cameron International Corp.1,*		51,400		1,605,222
Halliburton Co.		172,640		3,813,618
National-Oilwell Varco, Inc.*		104,980		3,772,981
Schlumberger Ltd.		133,970		7,167,395
Transocean Ltd.*		163,086		12,996,323
				29,355,539
Food & staples retailing—2.47%
CVS Caremark Corp.		207,281		6,939,768
Safeway, Inc.		6,700		126,831
Wal-Mart Stores, Inc.		170,429		8,500,998
Walgreen Co.		213,300		6,622,965
				22,190,562
Food products—0.34%
Archer-Daniels-Midland Co.		21,400		644,568
Dean Foods Co.*		71,100		1,506,609
Del Monte Foods Co.		81,200		784,392
Lancaster Colony Corp.1		2,900		132,066
				3,067,635
Health care equipment & supplies—1.63%
American Medical Systems Holdings, Inc.1,*		51,800		792,022
Covidien PLC		87,950		3,325,389
Hospira, Inc.*		46,100		1,771,623
Intuitive Surgical, Inc.1,*		9,000		2,045,880
Medtronic, Inc.		46,400		1,643,488
St. Jude Medical, Inc.*		134,690		5,079,160
				14,657,562

Security description	Number of shares		Value
Common stocks—(continued)
Health care providers & services—2.45%
CIGNA Corp.		27,800	$	789,520
Laboratory Corp. of America Holdings1,*		3,800		255,322
Medco Health Solutions, Inc.*		146,300		7,733,418
Omnicare, Inc.1		27,600		658,812
Quest Diagnostics, Inc.1		5,600		305,872
UnitedHealth Group, Inc.		352,850		9,900,971
WellPoint, Inc.*		45,000		2,368,800
				22,012,715
Hotels, restaurants & leisure—2.38%
Brinker International, Inc.1		13,400		222,976
International Game Technology1		146,910		2,901,473
Marriott International, Inc., Class A		1		19
McDonald's Corp.		216,084		11,897,585
Starbucks Corp.*		113,200		2,003,640
Wynn Resorts Ltd.1,*		85,771		4,388,902
				21,414,595
Household durables—0.16%
Newell Rubbermaid, Inc.1		73,000		939,510
Tempur-Pedic International, Inc.		35,000		519,050
				1,458,560
Household products—0.98%
Kimberly-Clark Corp.		11,000		642,950
Procter & Gamble Co.		146,500		8,132,215
				8,775,165
Independent power producers & energy traders—0.16%
AES Corp.*		86,500		1,106,335
Constellation Energy Group, Inc.		12,700		364,490
				1,470,825
Industrial conglomerates—0.40%
Siemens AG, ADR1		44,990		3,575,805
Insurance—0.99%
AFLAC, Inc.		9,200		348,312
Hartford Financial Services Group, Inc.1		195,900		3,230,391
Marsh & McLennan Cos., Inc.		208,240		4,252,261
Principal Financial Group, Inc.		11,100		263,070
Prudential Financial, Inc.		17,300		765,871
				8,859,905
Internet & catalog retail—0.15%
Amazon.com, Inc.1,*		3,670		314,739
Priceline.com, Inc.1,*		8,000		1,036,960
				1,351,699
Internet software & services—4.15%
Google, Inc., Class A*		61,479		27,238,271
VeriSign, Inc.1,*		492,710		10,070,992
				37,309,263

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
IT services—6.31%
Accenture Ltd., Class A		219,970	$	7,714,348
Alliance Data Systems Corp.1,*		31,200		1,591,200
Broadridge Financial Solutions, Inc.		16,400		283,228
Computer Sciences Corp.1,*		47,200		2,273,624
Fidelity National Information Services, Inc.1		24,400		571,448
Fiserv, Inc.*		37,400		1,773,134
Global Payments, Inc.		8,400		355,320
Lender Processing Services, Inc.		6,800		232,424
MasterCard, Inc., Class A1		82,209		15,951,012
Visa, Inc., Class A1		318,410		20,843,119
Western Union Co.		278,990		4,876,745
Wright Express Corp.*		9,800		277,144
				56,742,746
Life sciences tools & services—0.39%
Life Technologies Corp.*		43,800		1,994,214
Millipore Corp.*		22,300		1,552,080
				3,546,294
Machinery—1.74%
Caterpillar, Inc.		46,210		2,036,013
Cummins, Inc.		62,960		2,707,910
Deere & Co.1		33,470		1,463,978
Eaton Corp.1		26,130		1,356,670
Illinois Tool Works, Inc.		103,290		4,188,409
PACCAR, Inc.1		112,690		3,904,708
				15,657,688
Media—0.78%
McGraw-Hill Cos., Inc.1		23,600		739,860
Omnicom Group, Inc.1		29,300		996,200
The DIRECTV Group, Inc.1,*		77,380		2,004,142
Viacom, Inc., Class B*		142,000		3,288,720
				7,028,922
Metals & mining—1.25%
BHP Billiton Ltd., ADR1		58,820		3,703,307
BHP Billiton PLC, ADR		85,200		4,507,080
Cliffs Natural Resources, Inc.1		6,200		169,818
Newmont Mining Corp.		70,180		2,901,943
				11,282,148
Multi-utilities—0.02%
Sempra Energy		3,600		188,748
Multiline retail—1.04%
Dollar Tree, Inc.1,*		31,300		1,443,556
Kohl's Corp.*		36,400		1,767,220
Macy's, Inc.		32,000		445,120
Sears Holdings Corp.1,*		6,500		431,210
Target Corp.		121,670		5,307,245
				9,394,351

Security description	Number of shares		Value
Common stocks—(continued)
Oil, gas & consumable fuels—3.91%
CONSOL Energy, Inc.		55,740	$	1,980,442
EOG Resources, Inc.		94,700		7,010,641
Exxon Mobil Corp.		59,053		4,156,741
Hess Corp.		79,090		4,365,768
Murphy Oil Corp.1		32,500		1,891,500
Occidental Petroleum Corp.		73,874		5,270,171
Peabody Energy Corp.1		30,900		1,023,099
Petroleo Brasileiro SA, ADR		214,781		8,857,569
Southern Union Co.1		30,300		587,214
				35,143,145
Personal products—0.10%
Nu Skin Enterprises, Inc., Class A		48,200		868,082
Pharmaceuticals—3.94%
Abbott Laboratories		102,816		4,625,692
Allergan, Inc.		176,600		9,435,738
Eli Lilly & Co.		35,100		1,224,639
Endo Pharmaceuticals Holdings, Inc.*		6,200		130,262
Forest Laboratories, Inc.*		8,400		216,972
Johnson & Johnson		74,967		4,564,741
Novo Nordisk A/S, ADR		98,700		5,763,093
Pfizer, Inc.1		167,443		2,667,367
Sepracor, Inc.*		13,600		235,960
Teva Pharmaceutical Industries Ltd., ADR		117,960		6,291,986
Watson Pharmaceuticals, Inc.*		2,900		100,717
Wyeth		4,200		195,510
				35,452,677
Professional services—0.07%
Manpower, Inc.1		13,800		661,710
Road & rail—1.39%
Avis Budget Group, Inc.*		43,600		372,780
J.B. Hunt Transport Services, Inc.1		6,500		181,675
Norfolk Southern Corp.		75,831		3,279,691
Union Pacific Corp.		151,098		8,691,157
				12,525,303
Semiconductors & semiconductor equipment—2.74%
Altera Corp.		219,890		4,109,744
Analog Devices, Inc.		177,810		4,866,660
Broadcom Corp., Class A*		63,400		1,789,782
Intel Corp.		241,727		4,653,245
Linear Technology Corp.1		7,600		204,212
Tessera Technologies, Inc.*		22,300		626,407
Texas Instruments, Inc.1		270,960		6,516,588
Xilinx, Inc.		84,440		1,831,503
				24,598,141

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Software—6.61%
Adobe Systems, Inc.*		171,000	$	5,543,820
BMC Software, Inc.*		101,370		3,449,621
Intuit, Inc.*		275,000		8,167,500
McAfee, Inc.1,*		97,244		4,335,138
Microsoft Corp.		589,765		13,871,273
Oracle Corp.		804,762		17,809,383
Symantec Corp.*		417,800		6,237,754
				59,414,489
Specialty retail—5.02%
Advance Auto Parts, Inc.1		46,500		2,149,695
Aeropostale, Inc.1,*		9,900		360,360
AutoNation, Inc.1,*		39,300		812,724
AutoZone, Inc.1,*		13,453		2,065,977
Bed Bath & Beyond, Inc.*		600		20,850
Best Buy Co., Inc.1		140,190		5,238,900
Limited Brands, Inc.		72,500		938,150
Lowe's Cos., Inc.		422,136		9,481,174
RadioShack Corp.		17,800		276,078
Ross Stores, Inc.1		43,400		1,913,506
Staples, Inc.1		588,430		12,368,799
The Gap, Inc.		116,631		1,903,418
The Sherwin-Williams Co.1		28,700		1,657,425
TJX Cos., Inc.		153,060		5,545,364
Tractor Supply Co.1,*		8,700		417,339
				45,149,759
Textiles, apparel & luxury goods—1.76%
Carter's, Inc.*		19,600		555,464
Coach, Inc.1		216,500		6,406,235
Nike, Inc., Class B1		156,350		8,855,664
				15,817,363
Tobacco—0.47%
Philip Morris International, Inc.		91,413		4,259,846

Security description	Number of shares		Value
Common stocks—(concluded)
Trading companies & distributors—0.02%
WESCO International, Inc.*		6,400	$	158,016
Wireless telecommunication services—0.90%
Crown Castle International Corp.*		280,800		8,070,192
Total common stocks (cost—$843,119,658)				879,777,400
	Face amount
Repurchase agreement—1.40%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $12,855,856 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09, (value—$12,854,570); proceeds: $12,602,011 (cost—$12,602,000)	$	12,602,000		12,602,000
	Number of shares
Investment of cash collateral from securities loaned—16.70%
Money market fund—16.70%
UBS Private Money Market Fund LLC2(cost—$150,213,457)		150,213,457		150,213,457
Total investments (cost—$1,005,935,115)— 115.91%				1,042,592,857
Liabilities in excess of other assets—(15.91)%				(143,108,506	)
Net assets—100.00%			$	899,484,351

Aggregate cost for federal income tax purposes was $1,048,883,416; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	39,172,447
Gross unrealized depreciation		(45,463,006	)
Net unrealized depreciation	$	(6,290,559	)

*  Non-income producing security.

1  Security, or portion thereof, was on loan at July 31, 2009.

2  The table below details the Portfolio's transaction activity in an affiliated issuer for the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	11,316,943	$	1,108,593,957	$	969,697,443	$	150,213,457	$	492,795

ADR  American Depositary Receipt

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Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
Common stocks	$	879,777,400	$	—	$	—	$	879,777,400
Repurchase agreement		—		12,602,000		—		12,602,000
Investment of cash collateral from securities loaned		—		150,213,457		—		150,213,457
Total	$	879,777,400	$	162,815,457	$	—	$	1,042,592,857

Issuer breakdown by country or territory of origin (unaudited)

	Percentage of total investments
United States		92.3	%
Switzerland		1.9
Brazil		1.1
Bermuda		0.7
Canada		0.7
Netherlands Antilles		0.7
Israel		0.6
Denmark		0.6
United Kingdom		0.4
Australia		0.4
Germany		0.3
Ireland		0.3
Total		100.0	%

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 15.14% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 16.40%). In comparison, the Russell 2500 Value Index (the "benchmark") declined 20.12% and the Lipper Small-Cap Value Funds category posted a median decline of 18.30%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 127. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisors' comments

Ariel

During the period from August 1, 2008 through May 29, 2009, our portion of the Portfolio slightly underperformed the benchmark, primarily due to stock selection.

While our portion of the Portfolio's overweight to the consumer discretionary sector was beneficial, overall stock selection within the sector hurt performance. In the downtrodden media area, some holdings fell quite sharply, including Gannett Co. Inc., Interpublic Group of Companies. Inc. and McClatchy Co., which was subsequently sold from our portion of the Portfolio.

The prices of other media stocks, namely CBS Corp. and Meredith Corporation, actually increased during the reporting period. In addition, some consumer holdings outside the media area rose, including International Game Technology and Nordstrom, Inc. Within the financial services sector, we should note that while our portion of the Portfolio had a weighting to the sector very close to that of the benchmark, most of our holdings were not banks at the center of the credit crisis, a key reason for outperformance in that area.

On the upside, two primary factors boosted our portion of the Portfolio's relative returns during the reporting period. These included a contrarian decision to overweight the consumer discretionary sector and strong stock selection in the volatile financial services area.

UBS PACE Select Advisors Trust – UBS PACE Small/Medium Co Value Equity Investments

Investment Sub-Advisors:

Ariel Investments, LLC ("Ariel") until May 29, 2009, Opus Capital Group, LLC ("Opus") until May 29, 2009, Metropolitan West Capital Management, LLC ("MetWest Capital"), Buckhead Capital Management, LLC ("Buckhead"), commencing May 28, 2009, and Systematic Financial Management, L.P. ("Systematic"), commencing May 28, 2009

Portfolio Managers:

Ariel: John W. Rogers, Jr.;

Opus: Len Haussler, Kevin P. Whelan and Jonathon M. Detter;

MetWest Capital: Samir Sikka;

Buckhead: Matthew D. Reams and David S. Griffin;

Systematic: Ronald M. Mushock and D. Kevin McCreesh

Objective:

Capital appreciation

Investment process:

Ariel seeks to invest in stocks of quality companies in industries where it believes it has expertise. Ariel buys stocks when it determines that these businesses appear to be selling at excellent values. It believes that quality companies share several attributes that should result in capital appreciation over time, such as solid financials, high entry barriers, competitive advantages and quality management teams.

Opus uses quantitative and qualitative analysis to construct a value-oriented portfolio of stocks that are believed to be fundamentally undervalued, financially strong, and exhibit strong earnings growth and positive earnings momentum.

(continued on next page)

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Sub-Advisors' comments – continued

Opus

During the period from August 1, 2008 through May 29, 2009, our portion of the Portfolio outperformed the benchmark, primarily as a result of strong stock selection.

In all sectors, we focused on companies with very little or no debt, strong cash flow generation, and higher returns on equity. The success of this strategy during times of market weakness outweighed underperformance relative to the benchmark during the low-quality rally that began on March 9, 2009.

From a sector perspective, we focused on avoiding regional banks and maintained an overweight in the health care sector. After being propped up by government bailouts in 2008, regional banks significantly underperformed the small-cap market in the first half of 2009. This underweight significantly aided our portion of the Portfolio's relative performance. We believe that rising unemployment and higher loan default rates will keep a lid on the recovery of banks.

The health care sector, however, has remained under the cloud of political uncertainty since the Obama administration took office. We took this opportunity to add to the health care weighting, as we found high-quality operators with what we considered to be good growth potential which were trading at historically low valuations. While this emphasis did not help performance during the 12-month reporting period, we believe that the long-term outlook for these health care stocks is strong.

MetWest Capital

Our portion of the Portfolio outperformed the benchmark during the reporting period. Our in-depth company research and analysis resulted in stock selection being the primary source of outperformance. Sector weighting was also beneficial, albeit to a lesser extent. All sector over- and underweights relative to the benchmark are the result of bottom-up stock selection, rather than tactical allocation decisions.

Security selection was strongest in the health care, consumer discretionary and energy sectors. Within health care, Emergency Medical Services Corp. (EMS) added the most value. EMS's well-managed operations, stable business and large market share contributed to the stock's appreciation. In the consumer discretionary sector, Borders Group Inc. was the primary contributor. The stock advanced in early 2009 as investors finally

MetWest Capital utilizes a bottom-up, fundamental, research-driven style that it believes is well suited to the small cap market segment. MetWest Capital seeks to identify high-quality companies selling below intrinsic value with clear catalysts to realize full value within its investment time horizon and constructs a portfolio of its highest conviction ideas.

Buckhead utilizes a fundamental, bottom-up, research-driven investment style and a disciplined investment process that is designed to identify companies that it believes are attractively valued, have strong underlying fundamental characteristics and are likely to have one or more catalysts that are expected to drive their share prices higher. Buckhead seeks to build concentrated portfolios with the largest positions in those companies that it believes have the highest likelihood of outperforming the market and/or the portfolio's benchmark.

Systematic employs a two-pronged investment approach that utilizes both quantitative screening and fundamental research. Systematic's investment philosophy is predicated on its belief that stock prices reflect the market's estimates of earnings, and as revisions to those estimates are made by the market, stock prices will follow suit.

Systematic conducts a quantitative screening of all companies within the small/mid capitalization universe, and then uses fundamental research analysis to gauge investor expectations by focusing on key revenue and margin assumptions underlying earnings estimates.

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Sub-Advisors' comments – continued

acknowledged its strong cash flow generated in the fourth quarter of 2008. Oceaneering International Inc. was the top contributor in the energy sector, as the oil service provider's stock rebounded after having been widely sold amidst tremendous oil price volatility. We also added value relative to the benchmark in the information technology sector through both stock selection and an overweight to the sector, while we benefited in the troubled financials sector relative to the benchmark due to stock selection and an underweight position.

During the reporting period, the most significant detractor from relative performance was stock selection in and an underweight to the traditionally defensive utilities sector, which held up well during this difficult period for the stock market. Our position in El Paso Electric Co. declined in response to news affecting short-term results during the reporting period, subtracting value. However, we believe that above-average customer growth and continued share repurchases should cause the stock to appreciate toward our estimate of intrinsic value in the coming years. Security selection in materials was also weak during this period.

Overall, the positives outweighed negatives during the reporting period, resulting in outperformance relative to the benchmark. Over the long term, we believe our focus on exceptional companies in good businesses will continue to offer some protection on the downside in declining markets and continue to add value for shareholders.

Buckhead

During the period from May 28, 2009 through July 31, 2009, when we managed a portion of the Portfolio, it outperformed the benchmark, primarily due to stock selection.

Our bottom-up approach identified what we considered to be exceptional stocks in the health care, industrial/producer durable and consumer staples sectors. In the health care sector, both Amedisys, Inc. and Integra Lifesciences Holdings were big percentage gainers. As opposition to President Obama's health care plan took hold, stocks in this market segment rallied after sustaining heavy losses earlier in the year.

In the industrial/producer durable sector, positions in Republic Services, Inc., Con-Way, Inc. and Ball Corp. turned in above-average results. Republic Services, Inc. posted strong quarterly results, and Con-Way, Inc. continued to gain market share in a difficult trucking market, while its major competitor stumbled. Finally, Ball Corp. announced an acquisition that would quickly add to the company's growing profitability. Wall Street greeted all of this news enthusiastically.

An investment in the consumer staples sector—namely, Fresh Del Monte Produce, Inc.—also outperformed the benchmark and added value to our portion of the Portfolio. Fresh Del Monte Produce, Inc. is a global sourcer, distributor, and marketer of fresh produce. The stock's price had become depressed as an oversupply of melons and a weak demand weighed on volumes of higher-priced products, such as pineapples. The company is an industry leader with a solid balance sheet, and we believe that it is capable of outlasting near-term pricing pressures. We expect that the commodity cycle will soon begin to reverse itself, and profitability will normalize to historic levels.

Our portion of the Portfolio had a neutral sector weighting relative to the bechmark. One exception, however, was an underweight to utilities. Although this positioning detracted from performance during the period, we remain skeptical of the belief that long-term gains can be realized in an industry that, while highly regulated by the government, may soon be forced to operate in a whole new environment.

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Sub-Advisors' comments – concluded

Systematic

During the period from May 28, 2009 through July 31, 2009, when we managed a portion of the Portfolio, it outperformed the benchmark, primarily due to stock selection.

During this period, the equity markets were buoyed by further signs of stabilization in the broader economy, and our portion of the Portfolio benefited accordingly. Given the improving economic environment, we have positioned our portion of the Portfolio in an effort to benefit from a sustained market rally, and it is focused on quality businesses with attractive fundamentals. Relative outperformance was due to stock selection, especially in the materials and financials sectors, where our portion of the Portfolio outperformed the benchmark by 1.53% and 2.01%, respectively. The information technology sector contributed favorable relative results as well.

While performance in the industrials and consumer discretionary sectors faced mild headwinds, a few lower-quality, contrarian constituents of the benchmark did well during the market rally. However, sector allocation within our portion of the Portfolio did not meaningfully add or detract value during the reporting period.

Stock selection was helped moderately by the quantitative fundamental metrics we use in our investment process. Most notably, we examined stocks' earnings in an attempt to uncover those stocks likely to outperform. This strategy was successful for our portion of the Portfolio, as companies with the best earnings revisions—that is, a change in earnings estimates for companies—outperformed those with the worst earnings revisions by 2.16% during the reporting period, relative to the Russell 2500 Value Index.

The two largest contributors in the period during which we managed a portion of the Portfolio were Thompson Creek Metals Co. Inc. and Walter Energy, Inc., while the two largest detractors were diversified energy business Delek US Holdings, Inc. and communications and energy infrastructure service provider MasTec, Inc.

Special considerations

The Portfolio may be appropriate for long-term investors seeking capital appreciation who are able to withstand short-term fluctuations in the equity markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan. In addition, small- and mid-cap companies are typically subject to a greater degree of change in earnings and business prospects than are larger, more established companies. Therefore, they are considered to have a higher level of volatility and risk.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Russell 2500 Value Index (unaudited)

The graph depicts the performance of UBS PACE Small/Medium Co Value Equity Investments Class P shares versus the Russell 2500 Value Index over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Small/Medium Co Value Equity Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		(15.29	)%		(0.41	)%	N/A				4.80	%
maximum sales charge	Class B3		(15.90	)%		(1.22	)%	N/A				4.28	%
or UBS PACE Select	Class C4		(15.98	)%		(1.18	)%	N/A				4.01	%
program fee	Class Y5		(14.92	)%		(0.04	)%	N/A				5.37	%
	Class P6		(15.14	)%		(0.25	)%		3.73	%		6.35	%
After deducting	Class A2		(19.94	)%		(1.53	)%	N/A				4.12	%
maximum sales charge	Class B3		(20.11	)%		(1.46	)%	N/A				4.28	%
or UBS PACE Select	Class C4		(16.82	)%		(1.18	)%	N/A				4.01	%
program fee	Class P6		(16.40	)%		(1.74	)%		2.18	%		4.76	%
Russell 2500 Value Index7			(20.12	)%		1.20	%		6.20	%		8.75	%
Lipper Small-Cap Value Funds median			(18.30	)%		1.09	%		6.46	%		7.71	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (25.62)%; 5-year period, (4.52)%; since inception, 2.94%; Class B—1-year period, (25.75)%; 5-year period, (4.46)%; since inception, 3.10%; Class C—1-year period, (22.67)%; 5-year period, (4.18)%; since inception, 2.84%; Class Y—1-year period, (20.94)%; 5-year period, (3.08)%; since inception, 4.17%; Class P—1-year period, (22.29)%; 5-year period, (4.72)%; 10-year period, 1.04%; since inception, 4.03%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.29% and 1.29%; Class B—2.20% and 2.16%; Class C—2.06% and 2.06%; Class Y—0.95% and 0.95%; and Class P—1.18% and 1.16%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the Portfolio's ordinary total operating expenses through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.41%; Class B—2.16%; Class C—2.16%; Class Y—1.16% and Class P—1.16%. The Port folio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, November 27, 2000 for Class A and C shares, November 28, 2000 for Class B shares, and December 20, 2000 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Russell 2500 Value Index measures the performance of those Russell 2500 companies with lower price-to-book ratios and lower forecasted growth rates. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	343.7
Number of holdings		173
Portfolio composition1	07/31/09
Common and preferred stocks		96.4	%
Cash equivalents and other assets less liabilities		3.6
Total		100.0	%
Top five sectors1	07/31/09
Financials		23.3	%
Information technology		16.8
Industrials		16.4
Consumer discretionary		14.0
Health care		6.7
Total		77.2	%
Top ten equity holdings1	07/31/09
Entegris, Inc.		1.7	%
Raymond James Financial, Inc.		1.4
VeriFone Holdings, Inc.		1.3
Tidewater, Inc.		1.3
Coinstar, Inc.		1.2
Republic Services, Inc.		1.2
Amedisys, Inc.		1.2
RPM International, Inc.		1.2
Ball Corp.		1.2
Solera Holdings, Inc.		1.2
Total		12.9	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—95.91%
Aerospace & defense—0.50%
Hexcel Corp.1,*		170,000	$	1,735,700
Air freight & logistics—0.71%
Forward Air Corp.1		105,000		2,428,650
Auto components—0.26%
Cooper Tire & Rubber Co.1		60,000		885,600
Automobiles—0.52%
Thor Industries, Inc.1		75,000		1,793,250
Beverages—0.59%
Dr. Pepper Snapple Group, Inc.*		81,900		2,015,559
Capital markets—2.92%
Invesco Ltd.		131,900		2,605,025
Raymond James Financial, Inc.1		230,550		4,730,886
Stifel Financial Corp.1,*		54,000		2,696,220
				10,032,131
Chemicals—1.85%
Celanese Corp., Series A		46,200		1,187,340
International Flavors & Fragrances, Inc.		28,275		996,977
RPM International, Inc.		261,200		4,168,752
				6,353,069
Commercial banks—7.27%
Bank of Hawaii Corp.1		50,125		1,923,296
Cathay General Bancorp1		281,000		2,562,720
CVB Financial Corp.1		310,400		2,340,416
East West Bancorp, Inc.1		19,100		168,844
First Horizon National Corp.1,*		171,768		2,202,066
International Bancshares Corp.1		167,000		2,201,060
Prosperity Bancshares, Inc.1		85,100		2,851,701
Synovus Financial Corp.1		884,300		3,103,893
Texas Capital Bancshares, Inc.1,*		137,400		2,282,214
United Community Banks, Inc.1,*		129,285		870,088
Wilmington Trust Corp.1		139,900		1,607,451
Zions Bancorporation1		211,500		2,872,170
				24,985,919
Commercial services & supplies—3.84%
ATC Technology Corp.*		85,000		1,778,200
Copart, Inc.1,*		76,000		2,683,560
Republic Services, Inc.1		158,325		4,211,445
Schawk, Inc.1		189,000		1,368,360
United Stationers, Inc. *		68,000		3,156,560
				13,198,125
Communications equipment—0.63%
Plantronics, Inc.		64,600		1,529,082
Tellabs, Inc.*		108,700		630,460
				2,159,542

Security description	Number of shares		Value
Common stocks—(continued)
Computers & peripherals—2.01%
Avid Technology, Inc.1,*		219,100	$	2,683,975
Electronics for Imaging, Inc.1,*		262,000		2,986,800
Western Digital Corp.*		41,300		1,249,325
				6,920,100
Construction & engineering—2.09%
Dycom Industries, Inc.*		212,800		2,708,944
Fluor Corp.		24,200		1,277,760
MasTec, Inc.1,*		85,000		879,750
Pike Electric Corp.1,*		220,000		2,316,600
				7,183,054
Containers & packaging—2.16%
Ball Corp.		84,500		4,086,420
Crown Holdings, Inc.1,*		59,500		1,493,450
Temple-Inland, Inc.1		117,600		1,841,616
				7,421,486
Diversified consumer services—1.24%
Coinstar, Inc.1,*		128,275		4,262,578
Diversified telecommunication services—0.80%
General Communication, Inc., Class A1,*		255,500		1,750,175
Premiere Global Services, Inc.*		105,555		1,012,272
				2,762,447
Electrical equipment—2.16%
AMETEK, Inc.1		73,000		2,362,280
Brady Corp., Class A		32,700		961,707
Cooper Industries Ltd., Class A1		56,800		1,871,560
General Cable Corp.1,*		57,900		2,244,783
				7,440,330
Electric utilities—1.42%
El Paso Electric Co.*		100,000		1,511,000
Northeast Utilities		53,500		1,231,035
NV Energy, Inc.1		106,700		1,227,050
Unitil Corp.		44,100		910,224
				4,879,309
Electronic equipment, instruments & components—2.60%
Ingram Micro, Inc., Class A*		196,400		3,303,448
Jabil Circuit, Inc.1		205,000		1,877,800
OSI Systems, Inc.1,*		36,900		730,989
Plexus Corp. *		51,000		1,310,190
Tyco Electronics Ltd.		79,500		1,706,865
				8,929,292
Energy equipment & services—2.92%
Noble Corp.		72,000		2,437,920
Oceaneering International, Inc.*		36,000		1,833,120
TETRA Technologies, Inc.1,*		188,500		1,453,335
Tidewater, Inc.		95,700		4,306,500
				10,030,875

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Food products—3.26%
American Italian Pasta Co., Class A1,*		28,900	$	909,194
Brooklyn Cheesecake & Desserts Co., Inc.2,*		34,680		5,202
Dean Foods Co.*		55,300		1,171,807
Flowers Foods, Inc.1		97,500		2,303,925
Fresh Del Monte Produce, Inc.*		121,900		2,609,879
J&J Snack Foods Corp.		39,500		1,711,930
Ralcorp Holdings, Inc.*		39,000		2,476,890
				11,188,827
Health care equipment & supplies—1.16%
Cooper Cos., Inc.1		48,500		1,330,840
ICU Medical, Inc.1,*		38,500		1,498,805
Integra LifeSciences Holdings1,*		36,870		1,167,304
				3,996,949
Health care providers & services—3.44%
Amedisys, Inc.1,*		93,590		4,184,409
AMN Healthcare Services, Inc.1,*		251,000		1,827,280
Chemed Corp.		48,000		2,116,800
Emergency Medical Services Corp., Class A1,*		31,000		1,213,340
Health Management Associates, Inc., Class A*		241,900		1,458,657
Sun Healthcare Group, Inc.1,*		104,800		1,019,704
				11,820,190
Hotels, restaurants & leisure—1.99%
Burger King Holdings, Inc.1		139,000		2,365,780
Cracker Barrel Old Country Store, Inc.1		29,275		844,877
Darden Restaurants, Inc.1		27,000		874,530
Papa John's International, Inc.1,*		64,000		1,626,240
Wyndham Worldwide Corp.		79,900		1,114,605
				6,826,032
Household durables—1.54%
Fortune Brands, Inc.		26,200		1,036,734
Jarden Corp.1,*		54,200		1,336,030
Snap-on, Inc.1		81,555		2,905,805
				5,278,569
Independent power producers & energy traders—0.64%
AES Corp.*		115,700		1,479,803
NRG Energy, Inc.1,*		27,000		734,670
				2,214,473
Insurance—6.74%
Alleghany Corp.*		6,840		1,850,220
Arch Capital Group Ltd.*		38,500		2,394,315
Arthur J. Gallagher & Co.1		59,300		1,357,970
Assurant, Inc.		65,100		1,661,352
Brown & Brown, Inc.1		155,675		2,985,847

Security description	Number of shares		Value
Common stocks—(continued)
Insurance—(concluded)
Hartford Financial Services Group, Inc.1		134,000	$	2,209,660
HCC Insurance Holdings, Inc.		80,000		2,008,000
Horace Mann Educators Corp.		178,000		2,020,300
Reinsurance Group of America, Inc.1		35,300		1,464,950
Selective Insurance Group, Inc.		113,000		1,688,220
Unum Group1		131,200		2,462,624
Zenith National Insurance Corp.1		44,860		1,070,808
				23,174,266
Internet software & services—0.99%
DealerTrack Holdings, Inc.1,*		172,500		3,420,675
IT services—3.59%
Amdocs Ltd.*		131,475		3,144,882
Broadridge Financial Solutions, Inc.		152,200		2,628,494
Perot Systems Corp., Class A*		64,600		1,032,308
Unisys Corp.1,*		670,000		1,199,300
VeriFone Holdings, Inc.1,*		480,800		4,332,008
				12,336,992
Leisure equipment & products—0.69%
RC2 Corp.*		155,000		2,366,850
Life sciences tools & services—2.05%
Bio-Rad Laboratories, Inc., Class A*		23,500		1,819,840
Covance, Inc.1,*		60,000		3,309,000
Life Technologies Corp.*		42,100		1,916,813
				7,045,653
Machinery—3.26%
Briggs & Stratton Corp.1		130,900		2,247,553
Chart Industries, Inc.*		19,400		373,644
Harsco Corp.		79,460		2,185,944
Kennametal, Inc.		131,500		2,803,580
SPX Corp.		19,800		1,045,836
Wabtec Corp.		56,000		1,884,400
Watts Water Technologies, Inc., Class A1		25,290		666,139
				11,207,096
Marine—0.49%
Kirby Corp.*		45,600		1,687,656
Media—2.24%
John Wiley & Sons, Inc., Class A1		57,625		1,837,661
Marvel Entertainment, Inc.1,*		37,550		1,485,478
McGraw-Hill Cos., Inc.1		31,400		984,390
Scholastic Corp.		87,140		1,965,007
Shaw Communications, Inc., Class B		81,100		1,421,683
				7,694,219

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Metals & mining—1.33%
Thompson Creek Metals Co., Inc.1,*		227,300	$	3,307,215
Walter Energy, Inc.		25,400		1,253,744
				4,560,959
Multi-utilities—0.62%
CMS Energy Corp.1		164,800		2,132,512
Multiline retail—0.78%
Fred's, Inc., Class A1		140,400		1,892,592
J.C. Penney Co., Inc.		26,500		798,975
				2,691,567
Oil, gas & consumable fuels—2.40%
Bill Barrett Corp.1,*		35,100		1,108,809
Comstock Resources, Inc.*		76,000		2,926,000
Delek US Holdings, Inc.1		82,300		701,196
El Paso Corp.1		114,000		1,146,840
Quicksilver Resources, Inc.1,*		100,000		1,146,000
Whiting Petroleum Corp.*		26,900		1,236,324
				8,265,169
Paper & forest products—0.81%
Glatfelter		178,000		1,842,300
Neenah Paper, Inc.		97,900		959,420
				2,801,720
Professional services—1.78%
MPS Group, Inc.*		199,000		1,721,350
Resources Connection, Inc.*		108,500		1,638,350
School Specialty, Inc.*		123,000		2,751,510
				6,111,210
Real estate investment trusts (REITs)—3.54%
Annaly Capital Management, Inc.		165,175		2,783,199
Boston Properties, Inc.1		20,300		1,073,870
DiamondRock Hospitality Co.1		150,000		1,014,000
Digital Realty Trust, Inc.1		56,500		2,291,075
Health Care REIT, Inc.1		56,000		2,243,360
MFA Financial, Inc.		300,525		2,223,885
National Retail Properties, Inc.1		27,300		538,083
				12,167,472
Road & rail—1.28%
Con-way, Inc.		50,605		2,305,058
Landstar System, Inc.1		57,000		2,090,760
				4,395,818
Semiconductors & semiconductor equipment—4.92%
Entegris, Inc.*		1,535,000		5,725,550
Marvell Technology Group Ltd.1,*		54,900		732,366

Security description	Number of shares		Value
Common stocks—(concluded)
Semiconductors & semiconductor equipment—(concluded)
NVIDIA Corp.*		89,050	$	1,151,417
ON Semiconductor Corp.*		516,675		3,771,727
Semtech Corp.*		133,800		2,461,920
Skyworks Solutions, Inc.*		46,200		558,096
Varian Semiconductor Equipment Associates, Inc.1,*		78,500		2,515,140
				16,916,216
Software—2.07%
Informatica Corp.*		114,500		2,105,655
Solera Holdings, Inc.*		150,500		4,052,965
TeleCommunication Systems, Inc., Class A*		114,000		943,920
				7,102,540
Specialty retail—3.61%
AutoNation, Inc.1,*		28,300		585,244
Borders Group, Inc.1,*		580,050		2,302,798
Foot Locker, Inc.1		106,000		1,174,480
Group 1 Automotive, Inc.1		95,000		2,798,700
Gymboree Corp.*		46,000		1,829,880
The Sherwin-Williams Co.1		64,200		3,707,550
				12,398,652
Textiles, apparel & luxury goods—1.09%
The Warnaco Group, Inc.*		65,700		2,386,881
Volcom, Inc.1,*		113,000		1,370,690
				3,757,571
Thrifts & mortgage finance—2.34%
First Niagara Financial Group, Inc.		215,000		2,827,250
Hudson City Bancorp, Inc.1		192,700		2,709,362
New York Community Bancorp, Inc.1		227,925		2,493,499
				8,030,111
Trading companies & distributors—0.28%
Huttig Building Products, Inc.2,*		162,000		140,940
Textainer Group Holdings Ltd.		68,000		817,360
				958,300
Wireless telecommunication services—0.49%
NTELOS Holdings Corp.		108,000		1,672,920
Total common stocks (cost—$319,418,531)				329,638,200
Preferred stock—0.50%
Commercial banks—0.50%
East West Bancorp, Inc., Series A2,3(cost—$2,188,000)		2,188		1,710,535

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Portfolio of investments—July 31, 2009

Security description	Face amount		Value
Repurchase agreement—2.48%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09 collateralized by $8,691,628 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$8,690,758); proceeds: $8,520,007 (cost—$8,520,000)	$	8,520,000	$	8,520,000

Security description	Number of shares		Value
Investment of cash collateral from securities loaned—25.23%
Money market fund—25.23%
UBS Private Money Market Fund LLC4(cost—$86,696,079)		86,696,079	$	86,696,079
Total investments (cost—$416,822,610)— 124.12%				426,564,814
Liabilities in excess of other assets—(24.12)%				(82,889,352	)
Net assets—100.00%			$	343,675,462

Aggregate cost for federal income tax purposes was $419,279,557; and net unrealized appreciation consisted of:

Gross unrealized appreciation	$	34,871,092
Gross unrealized depreciation		(27,585,835	)
Net unrealized appreciation	$	7,285,257

*  Non-income producing security.

1  Security, or portion thereof, was on loan at July 31, 2009.

2  Illiquid securities representing 0.54% of net assets as of July 31, 2009.

3  Non cumulative preferred stock. Convertible until 12/31/49.

4  The table below details the Portolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	75,003,218	$	416,153,524	$	404,460,663	$	86,696,079	$	478,638

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
Common stocks	$	329,492,058	$	146,142	$	—	$	329,638,200
Preferred stock		—		—		1,710,535		1,710,535
Repurchase agreement		—		8,520,000		—		8,520,000
Investment of cash collateral from securities loaned		—		86,696,079		—		86,696,079
Total	$	329,492,058	$	95,362,221	$	1,710,535	$	426,564,814

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Portfolio of investments—July 31, 2009

The following is a rollforward of the Portfolio's investment that was valued using unobservable inputs (Level 3) for the period:

Measurements at 07/31/09
	Preferred stock
Beginning balance	$	—
Net purchases/(sales)		—
Accrued discounts/(premiums)		—
Total realized gain/(loss)		—
Total unrealized appreciation/(depreciation)		69,535
Net transfers in/(out) of Level 3		1,641,000
Ending balance	$	1,710,535

The change in unrealized appreciation/(depreciation) relating to the Level 3 investment held at July 31, 2009 was $69,535.

Issuer breakdown by country or territory of origin (unaudited)

	Percentage of total investments
United States		94.6	%
Bermuda		2.0
Canada		1.1
China		1.0
Guernsey		0.7
Cayman Islands		0.6
Total		100.0	%

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 18.41% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 19.63%). In comparison, the Russell 2500 Growth Index (the "benchmark") declined 21.36%, and the Lipper Mid-Cap Growth Funds category posted a median decline of 23.89%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 139. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisors' comments

Copper Rock

Our portion of the Portfolio slightly underperformed the benchmark during the reporting period.

Stock selection in the information technology, industrials, energy, materials and financial sectors contributed to performance during this time. However, stock selection within the health care and consumer discretionary sectors detracted from results, despite pockets of outperformance in some segments of the consumer discretionary sector.

Within the technology sector, holdings in semiconductors and networking equipment companies, including PMC-Sierra, Inc., CommScope, Inc., and Akamai Technologies, Inc., benefited performance and were sold from our portion of the Portfolio. Despite the energy sector's downward slide in the summer of 2008, stock selection in energy services holdings contributed to our portion of the Portfolio's performance during the fourth quarter of 2008, and well into the first half of 2009. Our portion of the Portfolio held an underweight in the sector during the third quarter of 2008 as the fundamentals for natural gas and coal worsened and oil prices quickly plummeted. However, we found new opportunities in oil and oil services stocks toward the end of 2008, which enhanced results.

*  Note: During the reporting period, Palisade acquired AG Asset Management's Small/Smid Growth Equity investment team, which was responsible for the day-to-day management of the portion of the Portfolio allocated to AG Asset Management. Following the acquisition, Palisade assumed investment advisory responsibility with respect to this portion of the Portfolio. The key members of the Small/Smid Growth Equity investment team continue to sub-advise the portion of the Portfolio allocated to Palisade in their new positions with Palisade.

UBS PACE Select Advisors Trust – UBS PACE Small/Medium Co Growth
Equity Investments

Investment Sub-Advisors:

Copper Rock Capital Partners, LLC ("Copper Rock"), Riverbridge Partners, LLC ("Riverbridge"), and AG Asset Management LLC ("AG Asset Management") until February 1, 2009 and Palisade Capital Management, LLC ("Palisade") commencing February 2, 2009*

Portfolio Managers:

Copper Rock: Tucker Walsh;
Riverbridge: Mark Thompson;
Palisade: Sammy Oh

Objective:

Capital appreciation

Investment process:

Copper Rock employs a fundamental, bottom-up investment approach that focuses on identifying emerging companies that exhibit the potential for strong and sustainable revenue growth over each of the following two years. Copper Rock utilizes a "pure" growth investment style that emphasizes growth and momentum characteristics. Copper Rock attempts to manage risk by diversifying and understanding its holdings and employing a stringent sell discipline.

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Sub-Advisors' comments – continued

Strong stock selection, combined with overweight positions in industrials and transportation, contributed to our portion of the Portfolio's returns over the reporting period. Examples of strong performers included Regal-Beloit Corp., General Cable Corp. and J.B. Hunt Transport Services, Inc., which were sold from our portion of the Portfolio following gains during the reporting period, as well as Con-Way, Inc. Throughout the period, our portion of the Portfolio was underweight in the financials sector in light of the weakened outlook for that sector due to the recession. That said, a holding in investment banking firm Greenhill, Inc. proved beneficial. The company has added extensively to its team in order to support the demand for merger and acquisition (M&A) activity, which we expect will pick up as the economy rebounds.

Two sectors impacted directly by the recession and lower consumer spending have been health care and consumer discretionary. Health care has become an even more challenging sector to navigate following the administration change in Washington, D.C., as there is uncertainty over issues such as reimbursement rates, and a potential move toward universal health care. Collectively, these issues have impacted stock valuations in the health care sector.

For example, Wright Medical Group Inc., a medical device company that designs reconstructive joint devices and artificial limbs, was impacted by a slowdown in the orthopedics market. The company revised expected revenues downward based on unforeseen macroeconomic pressures, and we sold the stock from our portion of the Portfolio. In light of the uncertainty hovering over the health care sector, we remain underweight in health care relative to the benchmark. Within the consumer discretionary sector, a holding in Las Vegas Sands Corp. negatively impacted performance as the company's stock price was down following a greater-than-anticipated slowdown in tourism and gambling/casino revenues in light of the recession, and was eliminated from our portion of the Portfolio.

Riverbridge

Our portion of the Portfolio outperformed the benchmark during the reporting period due to sector allocation and stock selection.

During the 12-month period, our portion of the Portfolio benefited from an underweight exposure to the energy sector. Stock selection within the industrial sector also aided performance, while stock selection in the information technology sector detracted from performance. In addition, we believe that the excess

Investment process (concluded)

Riverbridge believes that earnings power determines the value of a franchise. Riverbridge focuses on companies that are viewed as building their earnings power and building the intrinsic value of the company over long periods of time. Riverbridge looks to invest in high-quality growth companies that demonstrate the ability to sustain strong secular earnings growth, regardless of overall economic conditions.

Palisade seeks fundamentally strong and dynamic small- and mid-cap companies that are trading at a discount to their growth rates. Palisade's goal is to ascertain a dynamic of change before it manifests in consensus estimates. Palisade believes that it can be successful because it views the small- and mid-cap market to be inherently less efficient than the large-cap market.

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Sub-Advisors' comments – continued

performance relative to the benchmark generated by our portion of the Portfolio is attributable to the consistent application of our investment process. We emphasize companies that have the ability to internally finance their growth, limiting the impact of the struggling credit markets.

Stocks benefiting our portion of the Portfolio included Allscripts Healthcare Solutions, Inc., which gained traction with new software, as well as United Natural Foods, Inc., which outperformed analysts' expectations during the 12-month reporting period. Shares of the Cheesecake Factory Inc., which held up well despite lower consumer spending, also benefited performance.

Detractors from our portion of the Portfolio's performance included Napco Security Systems, Inc., as a declining level of housing starts lowered spending on home alarm systems. In addition, Smith International, Inc., a provider of oil field services, saw its price fall along with energy prices, while print procurement company Innerworkings, Inc. also declined due to lowered demand for some of its products.

Going forward, we plan to continue to invest in those companies generating strong free cash flows. Pricing power is increasingly becoming an important criterion when selecting companies, and we seek those with the greatest ability to set their own prices for their goods and services. A continuing hallmark of our investment process will be the search for companies with the ability to internally finance their growth and not be reliant on debt to generate earnings growth.

Palisade

Our portion of the Portfolio outperformed the benchmark during the reporting period due to sector allocation and stock selection.

Strong relative performance in the technology, energy and financial sectors more than offset weakness in the industrial and health care sectors. In addition, our portion of the Portfolio benefited from both an overweight position to and strong stock selection within the technology sector. We believed that technology stocks were positioned to outperform the overall market given their growth dynamics, strong balance sheets and attractive valuations. Top performers within the sector included McAfee, Inc., Riverbed Technology, Inc. and Data Domain, Inc.—all of which were sold from our portion of the Portfolio during the period—as well as Brocade Communications Systems, Inc.

Although financial services securities were under significant duress during this reporting period, those in our portion of the Portfolio were up 0.78% versus those of the benchmark, which were down 21.2%. While we had maintained an underweight to financials for much of 2008, several fourth quarter 2008 purchases, including Affiliated Managers Group, Inc., Lazard Ltd. and Fidelity National Financial, Inc., the last of which we sold during the period, appreciated significantly.

Industrials was the weakest sector for our portion of the Portfolio during the reporting period, due to both an overweight to the sector and poor stock selection within it. Fears of a global economic slowdown pushed these stocks to historically low valuations, hurting performance. In particular, transportation holdings Kansas City

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Sub-Advisors' comments – concluded

Southern, as well as Con-Way, Inc. and Trinity Industries Inc., the last two of which were sold from our portion of the Portfolio during the period, fared poorly. Our portion of the Portfolio remains overweight in industrials as we continue to believe that they will help lead us out of the recession. Elsewhere, our portion of the Portfolio's health care positions lagged, primarily due to an underweight to biotechnology stocks.

We continue to position our portion of the Portfolio in companies that we believe have the wherewithal to survive this difficult economic environment and the ability to grow faster than their peers as we emerge from this downturn.

Special considerations

The Portfolio may be appropriate for long-term investors seeking capital appreciation who are able to withstand short-term fluctuations in the equity markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan. In addition, small- and mid-cap companies are typically subject to a greater degree of change in earnings and business prospects than are larger, more established companies. Therefore, they are considered to have a higher level of volatility and risk. Also, to the extent the Portfolio invests a large portion of its assets in technology companies, the Portfolio may experience greater volatility and risk of loss due to unfavorable developments in the technology sector.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the Russell 2500 Growth Index (unaudited)

The graph depicts the performance of UBS PACE Small/Medium Co Growth Equity Investments Class P shares versus the Russell 2500 Growth Index over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Small/Medium Co Growth Equity Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		(18.61	)%		1.20	%	N/A				(1.60	)%
maximum sales charge	Class B3		(19.18	)%		0.34	%	N/A				(2.17	)%
or UBS PACE Select	Class C4		(19.21	)%		0.42	%	N/A				(2.35	)%
program fee	Class Y5		(18.26	)%		1.58	%	N/A				0.34	%
	Class P6		(18.41	)%		1.39	%		2.25	%		6.17	%
After deducting	Class A2		(23.08	)%		0.06	%	N/A				(2.24	)%
maximum sales charge	Class B3		(23.22	)%		0.05	%	N/A				(2.17	)%
or UBS PACE Select	Class C4		(20.01	)%		0.42	%	N/A				(2.35	)%
program fee	Class P6		(19.63	)%		(0.12	)%		0.73	%		4.58	%
Russell 2500 Growth Index7			(21.36	)%		2.50	%		1.62	%		4.65	%
Lipper Mid-Cap Growth Funds median			(23.89	)%		2.06	%		1.80	%		5.54	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (29.94)%; 5-year period, (2.73)%; since inception, (3.05)%; Class B—1-year period, (30.10)%; 5-year period, (2.74)%; since inception, (2.98)%; Class C—1-year period, (27.15)%; 5-year period, (2.40)%; since inception, (3.15)%; Class Y—1-year period, (25.51)%; 5-year period, (1.23)%; since inception, (0.47)%; Class P—1-year period, (26.82)%; 5-year period, (2.90)%; 10-year period, 0.23%; since inception, 4.10%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.31% and 1.31%; Class B—2.43% and 2.13%; Class C—2.08% and 2.08%; Class Y—0.94% and 0.94%; and Class P—1.17% and 1.13%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.38%; Class B—2.13%; Class C—2.13%; Class Y—1.13% and Class P—1.13%. The Po rtfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, November 27, 2000 for Class A, B, and C shares and February 12, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The Russell 2500 Growth Index measures the performance of those Russell 2500 companies with higher price-to-book ratios and higher forecasted growth rates. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	347.6
Number of holdings		214
Portfolio composition1	07/31/09
Common stocks		97.4	%
ADRs		0.6
Cash equivalents and other assets less liabilities		2.0
Total		100.0	%
Top five sectors1	07/31/09
Information technology		26.0	%
Industrials		19.4
Health care		18.5
Consumer discretionary		14.2
Financials		7.9
Total		86.0	%
Top ten equity holdings1	07/31/09
Polycom, Inc.		1.5	%
Scientific Games Corp.		1.3
Affiliated Managers Group, Inc.		1.2
Nuance Communications, Inc.		1.2
Green Mountain Coffee Roasters, Inc.		1.2
Informatica Corp.		1.0
Atmel Corp.		1.0
Lubrizol Corp.		1.0
Priceline.com, Inc.		0.9
MSCI, Inc.		0.9
Total		11.2	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

ADR  American Depositary Receipt

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—98.05%
Aerospace & defense—1.48%
DigitalGlobe, Inc.*		54,300	$	988,260
Orbital Sciences Corp.*		110,300		1,493,462
TransDigm Group, Inc.1,*		69,525		2,662,112
				5,143,834
Air freight & logistics—1.16%
Atlas Air Worldwide Holdings, Inc.*		57,288		1,429,909
Dynamex, Inc.*		38,000		591,660
Forward Air Corp.1		40,000		925,200
Hub Group, Inc., Class A*		49,892		1,072,179
				4,018,948
Auto components—0.63%
Gentex Corp.		145,500		2,178,135
Biotechnology—3.75%
Acorda Therapeutics, Inc.1,*		47,990		1,212,227
Alexion Pharmaceuticals, Inc.1,*		51,700		2,277,385
Cephalon, Inc.1,*		16,258		953,532
Cepheid, Inc.1,*		239,820		2,534,897
Dendreon Corp.1,*		70,260		1,700,995
Human Genome Sciences, Inc.*		48,200		689,260
Medivation, Inc.*		51,959		1,285,985
United Therapeutics Corp.1,*		11,100		1,028,082
Vertex Pharmaceuticals, Inc.1,*		37,598		1,353,904
				13,036,267
Capital markets—4.19%
Affiliated Managers Group, Inc.1,*		65,280		4,309,786
Greenhill & Co., Inc.1		20,710		1,559,877
Investment Technology Group, Inc.*		67,345		1,505,161
Lazard Ltd., Class A1		43,685		1,615,908
MF Global Ltd.1,*		368,002		2,347,853
Raymond James Financial, Inc.1		62,020		1,272,650
SEI Investments Co.		102,881		1,944,451
				14,555,686
Chemicals—2.55%
Celanese Corp., Series A		74,100		1,904,370
Intrepid Potash, Inc.1,*		84,240		2,127,903
Landec Corp.*		112,000		707,840
Lubrizol Corp.		57,938		3,356,348
Zoltek Companies, Inc.1,*		77,500		768,800
				8,865,261
Commercial banks—1.43%
IBERIABANK Corp.		41,220		1,930,745
Pinnacle Financial Partners, Inc.1,*		95,400		1,488,240
Signature Bank1,*		52,193		1,538,649
				4,957,634

Security description	Number of shares		Value
Common stocks—(continued)
Commercial services & supplies—3.09%
Cenveo, Inc.1,*		248,450	$	1,200,014
Covanta Holding Corp.1,*		8,134		137,383
EnergySolutions, Inc.		189,525		1,631,810
G & K Services, Inc., Class A1		39,000		886,080
Innerworkings, Inc.1,*		100,000		517,000
Mobile Mini, Inc.1,*		49,000		792,820
Ritchie Brothers Auctioneers, Inc.1		44,614		1,070,736
Rollins, Inc.1		136,000		2,492,880
Waste Connections, Inc.*		71,369		2,013,319
				10,742,042
Communications equipment—5.02%
Aruba Networks, Inc.*		13,500		119,998
Blue Coat Systems, Inc.1,*		94,100		1,758,729
Brocade Communications Systems, Inc.*		348,290		2,737,559
CommScope, Inc.1,*		73,100		1,871,360
Digi International, Inc.*		171,500		1,751,015
F5 Networks, Inc.*		71,791		2,664,882
Polycom, Inc.1,*		216,565		5,143,419
Tellabs, Inc.*		241,300		1,399,540
				17,446,502
Computers & peripherals—0.56%
STEC, Inc.1,*		22,278		759,457
Stratasys, Inc.1,*		75,500		1,191,390
				1,950,847
Construction & engineering—0.84%
Foster Wheeler AG*		64,800		1,496,880
MasTec, Inc.1,*		137,900		1,427,265
				2,924,145
Containers & packaging—1.02%
Greif, Inc.1		30,282		1,554,375
Silgan Holdings, Inc.		39,350		1,977,731
				3,532,106
Distributors—0.59%
LKQ Corp.1,*		114,000		2,045,160
Diversified consumer services—1.71%
Bridgepoint Education, Inc.1,*		99,100		1,799,656
Capella Education Co.1,*		16,376		1,053,959
DeVry, Inc.1		51,221		2,547,733
Universal Technical Institute, Inc.1,*		34,200		542,754
				5,944,102
Diversified financial services—1.89%
IntercontinentalExchange, Inc.*		10,354		973,897
MSCI, Inc., Class A1,*		109,153		3,050,827
Portfolio Recovery Associates, Inc.1,*		55,000		2,538,250
				6,562,974

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Electrical equipment—2.38%
AMETEK, Inc.1		35,900	$	1,161,724
General Cable Corp.1,*		35,200		1,364,704
GrafTech International Ltd.*		199,405		2,737,831
Roper Industries, Inc.1		27,559		1,317,871
SunPower Corp. Class B*		61,400		1,676,220
				8,258,350
Electronic equipment, instruments & components—1.85%
Dolby Laboratories, Inc., Class A*		61,567		2,563,034
Echelon Corp.1,*		86,000		729,280
FARO Technologies, Inc.1,*		38,500		681,450
Napco Security Systems, Inc.*		103,200		134,160
National Instruments Corp.1		92,000		2,320,240
				6,428,164
Energy equipment & services—0.76%
Atwood Oceanics, Inc.1,*		30,652		884,004
Smith International, Inc.1		18,134		455,707
Superior Energy Services, Inc.1,*		79,325		1,316,002
				2,655,713
Food & staples retailing—0.74%
United Natural Foods, Inc.*		95,000		2,567,850
Food products—1.43%
Green Mountain Coffee Roasters, Inc.1,*		58,695		4,134,476
Hain Celestial Group, Inc.1,*		50,500		838,805
				4,973,281
Health care equipment & supplies—5.19%
Abaxis, Inc.1,*		46,000		1,231,420
AngioDynamics, Inc.*		122,000		1,522,560
Beckman Coulter, Inc.		18,890		1,189,881
Conceptus, Inc.1,*		56,345		946,033
Edwards Lifesciences Corp.*		15,432		1,009,407
Haemonetics Corp.*		27,655		1,631,922
Inverness Medical Innovations, Inc.1,*		83,703		2,816,606
Neogen Corp.1,*		73,000		2,127,220
NuVasive, Inc.1,*		19,275		797,792
ResMed, Inc.1,*		49,500		2,029,500
STERIS Corp.		49,500		1,389,960
West Pharmaceutical Services, Inc.1		36,690		1,339,185
				18,031,486
Health care providers & services—6.55%
Amedisys, Inc.1,*		30,300		1,354,713
Bio-Reference Laboratories, Inc.*		31,323		1,004,215
Centene Corp.*		50,563		976,372
Chemed Corp.		57,000		2,513,700
Community Health Systems, Inc.1,*		80,200		2,271,264

Security description	Number of shares		Value
Common stocks—(continued)
Health care providers & services—(concluded)
Health Management Associates, Inc., Class A*		238,300	$	1,436,949
Health Net, Inc.*		75,500		1,021,515
IPC The Hospitalist Co.*		40,000		1,114,000
Lincare Holdings, Inc.1,*		52,100		1,363,978
MEDNAX, Inc.*		43,000		1,993,050
Omnicare, Inc.1		89,885		2,145,555
PSS World Medical, Inc.1,*		75,700		1,529,897
Psychiatric Solutions, Inc.1,*		95,000		2,566,900
Universal Health Services, Inc., Class B		26,500		1,473,665
				22,765,773
Health care technology—0.53%
Allscripts Healthcare Solutions, Inc.1		108,000		1,860,840
Hotels, restaurants & leisure—5.04%
Burger King Holdings, Inc.1		81,634		1,389,411
Cheesecake Factory, Inc.1,*		82,000		1,588,340
Chipotle Mexican Grill, Inc., Class B*		16,374		1,338,575
Choice Hotels International, Inc.1		58,385		1,626,022
Orient-Express Hotels Ltd., Class A1		149,800		1,325,730
Panera Bread Co., Class A1,*		19,048		1,046,878
Penn National Gaming, Inc.*		64,468		2,044,280
Scientific Games Corp., Class A1,*		256,749		4,626,617
Wyndham Worldwide Corp.		180,958		2,524,364
				17,510,217
Insurance—0.37%
Brown & Brown, Inc.1		67,400		1,292,732
Internet & catalog retail—0.92%
Priceline.com, Inc.1,*		24,658		3,196,170
Internet software & services—1.95%
Art Technology Group, Inc.*		202,100		765,959
DealerTrack Holdings, Inc.1,*		73,000		1,447,590
Equinix, Inc.1,*		26,613		2,175,080
MercadoLibre, Inc.1,*		27,543		793,789
VistaPrint Ltd.1,*		38,378		1,583,093
				6,765,511
IT services—2.34%
Alliance Data Systems Corp.1,*		22,644		1,154,844
Cass Information Systems, Inc.1		37,500		1,299,000
Cognizant Technology Solutions Corp., Class A*		74,243		2,196,850
Forrester Research, Inc.*		50,500		1,139,785
MAXIMUS, Inc.		33,000		1,406,460
SAIC, Inc.*		52,153		943,448
				8,140,387

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Life sciences tools & services—2.18%
Covance, Inc.*		16,151	$	890,728
ICON PLC, ADR*		47,700		1,120,950
Illumina, Inc.1,*		29,042		1,049,578
MEDTOX Scientific, Inc.*		34,500		310,500
Mettler-Toledo International, Inc.*		16,600		1,395,396
Millipore Corp.*		14,894		1,036,622
Techne Corp.		28,000		1,786,960
				7,590,734
Machinery—3.13%
Bucyrus International, Inc.		46,612		1,374,122
IDEX Corp.		51,315		1,399,873
Kaydon Corp.1		40,305		1,316,764
Kennametal, Inc.		132,791		2,831,104
Terex Corp.1,*		174,185		2,644,128
Wabtec Corp.		39,575		1,331,699
				10,897,690
Marine—0.32%
Genco Shipping & Trading Ltd.1		46,462		1,110,906
Metals & mining—0.33%
Steel Dynamics, Inc.		70,300		1,150,108
Oil, gas & consumable fuels—3.57%
Arena Resources, Inc.1,*		18,139		591,876
Cabot Oil & Gas Corp.		26,533		932,104
Comstock Resources, Inc.*		55,000		2,117,500
Concho Resources, Inc.1,*		55,432		1,701,762
Denbury Resources, Inc.*		67,053		1,113,080
Foundation Coal Holdings, Inc.1		49,200		1,767,756
Plains Exploration & Production Co.*		95,185		2,727,050
Whiting Petroleum Corp.*		31,674		1,455,737
				12,406,865
Personal products—0.42%
Chattem, Inc.1,*		15,100		946,317
USANA Health Sciences, Inc.1,*		15,000		500,250
				1,446,567
Pharmaceuticals—0.32%
Sepracor, Inc.*		63,500		1,101,725
Professional services—3.87%
CoStar Group, Inc.1,*		24,500		899,885
Dun & Bradstreet Corp.		21,052		1,515,533
FTI Consulting, Inc.1,*		38,100		2,073,783
Huron Consulting Group, Inc.1,*		36,737		1,629,286
Manpower, Inc.1		30,000		1,438,500
Monster Worldwide, Inc.1,*		187,576		2,444,115
Resources Connection, Inc.*		104,500		1,577,950
Robert Half International, Inc.1		76,154		1,887,858
				13,466,910

Security description	Number of shares		Value
Common stocks—(continued)
Road & rail—2.14%
Con-way, Inc.		23,768	$	1,082,632
Kansas City Southern1,*		136,485		2,772,010
Landstar System, Inc.1		62,833		2,304,715
Old Dominion Freight Line, Inc.1,*		36,100		1,286,243
				7,445,600
Semiconductors & semiconductor equipment—6.40%
ARM Holdings PLC, ADR1		165,400		1,056,906
Atheros Communications1,*		47,080		1,177,000
Atmel Corp.*		810,830		3,381,161
Cabot Microelectronics Corp.*		34,000		1,153,280
Cymer, Inc.*		44,880		1,535,345
Cypress Semiconductor Corp.1,*		234,533		2,490,740
FormFactor, Inc.*		49,311		1,136,619
ON Semiconductor Corp.*		269,715		1,968,919
Power Integrations, Inc.1		57,000		1,669,530
Rudolph Technologies, Inc.*		45,500		371,735
Semtech Corp.*		126,500		2,327,600
Silicon Laboratories, Inc.1,*		35,264		1,510,357
Varian Semiconductor Equipment Associates, Inc.1,*		45,575		1,460,223
Xilinx, Inc.1		46,911		1,017,500
				22,256,915
Software—7.91%
ANSYS, Inc.1,*		24,000		750,240
ArcSight, Inc.*		80,270		1,522,722
Blackboard, Inc.1,*		70,323		2,388,872
Citrix Systems, Inc.*		37,150		1,322,540
Concur Technologies, Inc.1,*		23,000		793,270
Guidance Software, Inc.*		80,000		319,200
Informatica Corp.1,*		192,317		3,536,710
Manhattan Associates, Inc.1,*		51,000		943,500
NetSuite, Inc.*		74,900		910,784
Nuance Communications, Inc.1,*		318,357		4,202,313
Rosetta Stone, Inc.*		30,600		939,114
Sybase, Inc.1,*		61,494		2,201,485
Take-Two Interactive Software, Inc.1		132,900		1,265,208
THQ, Inc.*		404,837		2,716,456
TiVo, Inc.*		110,828		1,135,987
Ultimate Software Group, Inc.1,*		71,000		1,817,600
Verint Systems, Inc.*		61,578		736,473
				27,502,474
Specialty retail—4.37%
Aeropostale, Inc.1,*		47,091		1,714,112
American Eagle Outfitters, Inc.		70,928		1,020,654
AnnTaylor Stores Corp.*		123,100		1,485,817
Chico's FAS, Inc.1,*		155,800		1,787,026
Guess?, Inc.1		98,449		2,861,913
Gymboree Corp.*		28,223		1,122,711
Hibbett Sports, Inc.1,*		113,291		2,085,687

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(concluded)
Specialty retail—(concluded)
Ross Stores, Inc.1		34,600	$	1,525,514
Urban Outfitters, Inc.*		65,920		1,584,717
				15,188,151
Textiles, apparel & luxury goods—0.98%
Deckers Outdoor Corp.1,*		25,800		1,744,338
Phillips-Van Heusen Corp.		46,650		1,650,477
				3,394,815
Trading companies & distributors—0.51%
Beacon Roofing Supply, Inc.1,*		106,000		1,777,620
Transportation infrastructure—0.47%
Aegean Marine Petroleum Network, Inc.1		95,700		1,626,900
Wireless telecommunication services—1.17%
Leap Wireless International, Inc.1,*		82,175		1,968,091
SBA Communications Corp., Class A1,*		81,108		2,116,108
				4,084,199
Total common stocks (cost—$314,968,648)				340,798,296

Security description	Face amount		Value
Repurchase agreement—2.61%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $9,239,445 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$9,238,521); proceeds: $9,057,008 (cost—$9,057,000)	$	9,057,000	$	9,057,000
	Number of shares
Investment of cash collateral from securities loaned—28.36%
Money market fund—28.36%
UBS Private Money Market Fund LLC2 (cost—$98,587,174)		98,587,174		98,587,174
Total investments (cost—$422,612,822)— 129.02%				448,442,470
Liabilities in excess of other assets—(29.02)%				(100,867,788	)
Net assets—100.00%			$	347,574,682

Aggregate cost for federal income tax purposes was $432,121,600; and net unrealized appreciation consisted of:

Gross unrealized appreciation	$	39,911,800
Gross unrealized depreciation		(23,590,930	)
Net unrealized appreciation	$	16,320,870

*  Non-income producing security.

1  Security, or portion thereof, was on loan at July 31, 2009.

2  The table below details the Portolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	57,474,628	$	278,560,995	$	237,448,449	$	98,587,174	$	761,914

ADR  American Depositary Receipt

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Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
Common stocks	$	340,798,296	$	—	$	—	$	340,798,296
Repurchase agreement		—		9,057,000		—		9,057,000
Investment of cash collateral from securities loaned		—		98,587,174		—		98,587,174
Total	$	340,798,296	$	107,644,174	$	—	$	448,442,470

Issuer breakdown by country or territory of origin (unaudited)

	Percentage of total investments
United States		96.9	%
Bermuda		1.5
Marshall Islands		0.6
Switzerland		0.3
Ireland		0.3
Canada		0.2
United Kingdom		0.2
Total		100.0	%

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 23.81% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 24.95%). In comparison, the MSCI EAFE Index (net) (the "benchmark") declined 22.60%, and the Lipper International Large-Cap Core category posted a median decline of 22.82%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 150. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisors' comments

Martin Currie

Despite a marked improvement in performance during the second half of the reporting period, our portion of the Portfolio lagged the benchmark during the reporting period as a whole.

During the first half of the reporting period, investors gravitated to safer sectors, such as pharmaceuticals, utilities and food and beverage producers. Then, as the market rallied in the second half of the period, these sectors staged a spectacular recovery, with metals and mining stocks rallying strongly.

Our portion of the Portfolio's exposure to the financial sector detracted from results during the 12-month period. Major negatives included positions in National Bank of Greece, as well as Société Générale and DnB NOR ASA, which was sold from the Portfolio during the period along with Lloyds Banking Group PLC, which was driven to partial government ownership. This drag on performance was partially tempered by the positive contributions of banking giants HSBC Holdings PLC and Bank of China, Ltd.

The other negatives for performance were a selection of cyclical stocks which struggled against the prevailing economic headwinds, and were sold from our portion of the Portfolio. These included Boart Longyear Group, maker of drilling tools, fertilizer producer K+S, Tecnicas

UBS PACE Select Advisors Trust – UBS PACE International Equity Investments

Investment Sub-Advisors:

Martin Currie Inc. ("Martin Currie"), Mondrian Investment Partners Limited ("Mondrian") and J.P. Morgan Investment Management Inc. ("J.P. Morgan")

Portfolio Managers:

Martin Currie: James Fairweather; Mondrian: Nigel G. May, Hugh A. Serjeant and Emma R. E. Lewis;
J.P. Morgan: Beltran Lastra and Jaco Venter

Objective:

Capital appreciation

Investment process:

Martin Currie has a highly active "conviction" approach, seeking the best opportunities for growth across global stock markets. Martin Currie identifies change as the central dynamic behind stock price movement. This means recognizing change at the company level (management changes, product strategies, acquisitions, etc.) and at the macro level (legislative changes, economic prospects, sector dynamics, etc.). Determining the impact of these changes may lead to outperformance. Martin Currie believes its investment process allows it to identify, evaluate and exploit change at an early stage. In managing its segment of the Portfolio's assets, Martin Currie uses a fully integrated international investment process. So rather than running distinct regional portfolios, it compares and ranks stock opportunities across the whole investment universe. To help id entify and evaluate the best stock ideas, Martin Currie employs fundamental company and sector research, together with its own proprietary quantitative screening tool.

(continued on next page)

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Sub-Advisors' comments – continued

Reunidas, an industrial engineering contractor, and provider of drilling services Seadrill Ltd. In addition, electronics maker Siemens AG had a negative impact on performance during the reporting period.

We remained focused on high-quality stocks where we are seeing what we consider positive change and good growth prospects. Our portion of the Portfolio is well-stocked with market leaders, including Petroleo Brasileiro SA - Petrobras, Banco Santander Central Hispano SA, Toyota Motor Corp., Samsung Electronics Co. Ltd., ArcelorMittal and Credit Suisse Group. We believe that these holdings will ultimately be rewarded as investors recognize their greater competitiveness and readiness for the next economic cycle, and value them accordingly.

Mondrian

Our portion of the Portfolio outperformed the benchmark during the reporting period, with country and currency selection contributing positively to performance. In particular, weighting in the Pacific region was positive for performance, as were overweight positions in the outperforming markets of Australia and Singapore. An out-of-index position in Taiwan was also beneficial as our stock selection was rewarded. Elsewhere, underweight positions in the underperforming British pound and Japanese yen were rewarded.

Overall, stock selection detracted from performance. While stock selection was strong in Germany and Japan, it hurt performance in Belgium, the Netherlands and the United Kingdom. A handful of financial stocks in our portion of the Portfolio were especially weak. For example, UniCredito Italiano SpA in Italy was down 36.5%, ING Groep NV in the Netherlands fell 59.4% and Société Générale declined 32.6% during the reporting period.

However, stocks in other areas performed well. These included Nitto Denko Corp., a maker of films and adhesives in Japan, which rose 8.1% during the reporting period. Its strong balance sheet, with a significant net cash position, insulated it somewhat from the economic slowdown. Telefonica SA in Spain rose 4.1%, and Jardine Matheson Holdings Ltd., the diversified, Asia-based conglomerate, was up a modest 1.5% for the period.

Investment process (concluded)

Mondrian conducts research on a global basis in an effort to identify securities that have the potential for capital appreciation over a market cycle. The center of its research effort is a value-oriented dividend discount methodology toward individual securities and market analysis that attempts to identify value across country boundaries. This approach focuses on future anticipated dividends, and discounts the value of those dividends back to what they would be worth if they were being paid today. Comparisons of the values of different possible investments are then made. In an international portfolio, currency returns can be an integral component of an investment's total return. Mondrian uses a purchasing power parity approach to assess the value of individual currencies. Purchasing power parity attempts to identify the amount of goods and services that a dollar will buy in the United States, and compares that to the amount of a foreign currency required to buy the same amount of goods and services in another country.

J.P. Morgan manages its segment of the Portfolio's assets using a bottom-up, research-driven strategy that seeks to generate risk characteristics that closely match those of the benchmark, yet at the same time capitalize on the information advantage created by the firm's proprietary research capabilities to generate outperformance. The strategy is driven by valuation-based fundamental analysis, focused on normalized earnings and earnings growth. It seeks to maintain regional weights and sector/industry weights close to those of the benchmark. Stock selection is the focus, being the expected primary source of added value.

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Sub-Advisors' comments – concluded

From a sector perspective, underweight positions in the weak materials and financials sectors were helpful, and an overweight position in the telecommunications sector was positive relative to the benchmark. In contrast, stock selection within the financials, health care and consumer discretionary sectors detracted from performance. Stock selection was beneficial, however, in the information technology, utilities and materials sectors.

J.P. Morgan

Our portion of the Portfolio underperformed the benchmark during the reporting period. While our valuation-oriented approach suffered during the first half of the reporting period, absolute and relative returns have improved dramatically in 2009, as the fear and panic that gripped the market abated and market participants have begun to refocus on fundamentals and valuation.

Our portion of the Portfolio's sector and regional exposure is substantially similar to the benchmark, and we seek to add value through security selection. During the reporting period, stock selection within the industrial cyclical and consumer nondurable sectors detracted most substantially, while the insurance and basic industries sectors made the greatest positive contribution to results. Regionally, stock selection in Japan and Continental Europe detracted from performance, while the UK enhanced our results.

BNP Paribas, a French bank, was the largest detractor for the period as profits declined 42% in the fourth quarter of 2008, as the company wrote off €589 million to reflect the effects of the credit slump. The stock has rebounded sharply in recent months, in line with other financial stocks. This turnaround occurred as fears of a financial meltdown receded, giving way to the anticipation of an eventual economic recovery. BNP Paribas avoided most of the problems associated with the US subprime mortgage crisis and, while it has not been completely immune to the effects of the global recession, it has remained profitable and is in better shape than many of its rivals. Additionally, the company reported higher-than-expected earnings for the first quarter of 2009 and finalized its takeov er of Fortis Bank.

On the upside, Royal Dutch Shell PLC, the Anglo/Dutch oil and gas company, has been a large contributor to performance. Despite the plunge in oil prices last year, shares of large oil companies generally did well in the second half of 2008. In the face of the credit crisis, large oil companies, with their cash-laden balance sheets, represented "safe havens" and a source of secure dividends for many investors. However, now that the cycle is reversing, investors' risk appetite has returned, demand for safe haven names has declined and the sharp falloff in oil prices from last year's levels is being reflected in current earnings. In response, Royal Dutch Shell PLC continues to pursue an aggressive restructuring program. It has already eliminated 20% of senior management positions, and we believe that substantial further cuts are likely.

Special considerations

The Portfolio may be appropriate for long-term investors seeking capital appreciation who are able to withstand short-term fluctuations in the equity markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan. The value of the Portfolio's investments in foreign securities may fall due to adverse political, social, and economic developments abroad and due to decreases in foreign currency values relative to the US dollar. These risks are greater for investments in emerging market issuers than for issuers in more developed countries.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the MSCI EAFE Index (net) (unaudited)

The graph depicts the performance of UBS PACE International Equity Investments Class P shares versus the MSCI EAFE Index (net) over the 10 years ended July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE International Equity Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

SinceAverage annual total returns for periods ended 07/31/09		1 year			5 years			10 years			inception1
Before deducting	Class A2		(24.02	)%		3.99	%	N/A				0.55	%
maximum sales charge	Class B3		(24.80	)%		2.98	%	N/A				(0.11	)%
or UBS PACE Select	Class C4		(24.67	)%		3.13	%	N/A				(0.26	)%
program fee	Class Y5		(23.73	)%		4.40	%	N/A				1.15	%
	Class P6		(23.81	)%		4.29	%		0.86	%		3.88	%
After deducting	Class A2		(28.20	)%		2.82	%	N/A				(0.11	)%
maximum sales charge	Class B3		(28.49	)%		2.65	%	N/A				(0.11	)%
or UBS PACE Select	Class C4		(25.40	)%		3.13	%	N/A				(0.26	)%
program fee	Class P6		(24.95	)%		2.73	%		(0.64	)%		2.34	%
MSCI EAFE Index (net)7			(22.60	)%		4.80	%		1.77	%		4.11	%
Lipper International Large-Cap Core median8			(22.82	)%		4.40	%		1.46	%		4.27	%
Lipper International Large-Cap Growth Funds median8			(23.73	)%		5.07	%		1.80	%		5.08	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (36.45)%; 5-year period, 0.49%; since inception, (1.13)%; Class B—1-year period, (36.80)%; 5-year period, 0.29%; since inception, (1.13)%; Class C—1-year period, (33.99)%; 5-year period, 0.78%; since inception, (1.28)%; Class Y—1-year period, (32.47)%; 5-year period, 2.03%; since inception, 0.11%; Class P—1-year period, (33.62)%; 5-year period, 0.38%; 10-year period, (1.33)%; since inception, 1.70%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.37% and 1.37%; Class B—2.31% and 2.31%; Class C—2.18% and 2.18%; Class Y—1.02% and 1.02%; and Class P—1.12% and 1.12%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, November 27, 2000 for Class A, B, and C shares and January 17, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The MSCI EAFE Index (net) is an index of stocks from 21 countries designed to measure the investment returns of developed economies outside of North America. Dividends are reinvested after the deduction of withholding tax, using tax rates applicable to Luxembourg holding companies, as Luxembourg applies the highest rates. Investors should note that indices do not reflect the deduction of fees and expenses.

⁸  On September 15, 2009, Lipper changed the peer group classification for UBS PACE International Equity Investments from Lipper International Large-Cap Growth Funds category to the Lipper International Large-Cap Core category.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	793.2
Number of holdings		244
Portfolio composition1	07/31/09
Common stocks, preferred stocks and rights		95.8	%
ADRs and GDRs		3.1
Futures and forward foreign currency contracts		0.0	2
Cash equivalents and other assets less liabilities		1.1
Total		100.0	%
Regional allocation (equity investments)1	07/31/09
Europe and European territories		63.0	%
Asia		29.2
Oceania		6.0
The Americas		0.4
Africa		0.3
Total		98.9	%
Top five countries (equity investments)1	07/31/09
Japan		21.6	%
United Kingdom		17.9
France		10.0
Switzerland		8.0
Spain		6.7
Total		64.2	%
Top five sectors1	07/31/09
Financials		23.8	%
Consumer staples		11.2
Health care		10.1
Energy		9.6
Industrials		9.0
Total		63.7	%
Top ten equity holdings1	07/31/09
BP PLC		3.1	%
Banco Santander Central Hispano SA		2.6
GlaxoSmithKline PLC		2.5
Toyota Motor Corp.		2.1
Nestle SA		1.9
Telefonica SA		1.7
HSBC Holdings PLC		1.7
Total SA		1.6
Societe Generale		1.6
Novartis AG		1.6
Total		20.4	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

²  Weighting represents less than 0.05% of the Portfolio's net assets as of July 31, 2009.

ADR  American Depositary Receipt

GDR  Global Depositary Receipt

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Industry diversification—(unaudited)

As a percentage of net assets as of July 31, 2009

Common stocks

Aerospace & defense	0.05	%
Air freight & logistics	0.07
Airlines	0.19
Auto components	1.01
Automobiles	2.25
Beverages	1.19
Biotechnology	0.05
Building products	1.11
Capital markets	2.13
Chemicals	1.85
Commercial banks	13.91
Commercial services & supplies	0.56
Communications equipment	0.09
Computers & peripherals	0.72
Construction & engineering	0.26
Construction materials	0.20
Consumer finance	0.04
Containers & packaging	0.38
Diversified consumer services	0.07
Diversified financial services	0.78
Diversified telecommunication services	7.31
Electric utilities	3.86
Electrical equipment	2.13
Electronic equipment, instruments & components	0.18
Energy equipment & services	0.11
Food & staples retailing	4.08
Food products	4.34
Gas utilities	0.42
Health care equipment & supplies	0.12
Health care providers & services	0.07
Hotels, restaurants & leisure	1.27
Household durables	1.93
Household products	1.11
Independent power producers & energy traders	0.69
Industrial conglomerates	1.79
Insurance	4.47
Internet software & services	0.55
IT services	0.28
Leisure equipment & products	0.69
Machinery	1.02
Marine	0.11
Media	0.61
Metals & mining	3.01
Multi-utilities	1.28
Office electronics	1.54
Oil, gas & consumable fuels	9.48

Common stocks—(concluded)
Paper & forest products	0.35	%
Personal products	0.04
Pharmaceuticals	9.83
Real estate management & development	2.50
Road & rail	0.91
Semiconductors & semiconductor equipment	1.43
Software	0.67
Specialty retail	1.12
Tobacco	0.46
Trading companies & distributors	0.80
Transportation infrastructure	0.03
Water utilities	0.03
Wireless telecommunication services	1.25
Total common stocks	98.78
Preferred stocks
Automobiles	0.05
Multi-utilities	0.10
Total preferred stocks	0.15
Rights	0.00
Repurchase agreement	0.68
Investment of cash collateral from securities loaned	14.25
Liabilities in excess of other assets	(13.86	)
Net assets	100.0	%

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—98.78%
Australia—5.74%
Amcor Ltd.		695,665	$	2,880,005
Australia & New Zealand Banking Group Ltd.		46,138		715,026
BHP Billiton Ltd.		91,467		2,895,465
Commonwealth Bank of Australia		19,924		713,195
Foster's Group Ltd.		1,789,448		8,066,698
Macquarie Group Ltd.		13,176		485,089
National Australia Bank Ltd.		361,187		7,349,574
Qantas Airways Ltd.		454,085		881,075
Rio Tinto Ltd.1		21,139		1,067,848
Santos Ltd.		40,305		489,456
Telstra Corp. Ltd.		3,755,815		11,088,348
Wesfarmers Ltd.1		291,619		6,304,698
Westpac Banking Corp.		55,704		1,010,494
Woodside Petroleum Ltd.		14,488		553,749
Woolworths Ltd.		43,294		986,693
Total Australia common stocks				45,487,413
Austria—0.21%
Andritz AG		8,513		373,107
Intercell AG1,*		10,468		383,893
Vienna Insurance Group		14,019		647,393
Voestalpine AG		10,606		294,323
Total Austria common stocks				1,698,716
Belgium—0.27%
Anheuser-Busch InBev N.V.		13,332		530,443
Fortis*		407,261		1,584,680
Fortis STRIP VVPR*		151,262		216
Total Belgium common stocks				2,115,339
Bermuda—0.53%
Esprit Holdings Ltd.		74,869		538,087
Jardine Matheson Holdings Ltd.		128,000		3,686,400
Total Bermuda common stocks				4,224,487
Brazil—0.38%
Petroleo Brasileiro SA-Petrobas, ADR		89,900		3,029,630
Cayman Islands—0.55%
NetEase.com, Inc., ADR1,*		99,700		4,392,782
China—1.18%
Bank of China Ltd., Class H		11,461,000		5,708,280
China Life Insurance Co., Class H*		822,000		3,648,596
Total China common stocks				9,356,876
Czech Republic—0.64%
CEZ		94,048		5,065,690
Denmark—0.22%
Carlsberg A/S, Class B		12,076		837,857

Security description	Number of shares		Value
Common stocks—(continued)
Denmark—(concluded)
Novo-Nordisk A/S, Class B		14,935	$	879,000
Total Denmark common stocks				1,716,857
Finland—0.66%
KCI Konecranes Oyj1		29,147		794,721
Nokia Oyj		51,467		685,144
TietoEnator Oyj		17,853		305,859
UPM-Kymmene Oyj		267,641		2,803,794
YIT Oyj1		49,611		651,244
Total Finland common stocks				5,240,762
France—9.95%
Alstom		64,163		4,405,218
Arkema		5,914		169,596
Atos Origin SA*		28,818		1,313,761
AXA SA		28,089		593,723
BNP Paribas SA		8,165		595,262
Carrefour SA		221,245		10,385,735
Casino Guichard-Perrachon SA1		65,614		4,521,672
Cie de Saint-Gobain1		164,445		6,668,206
Compagnie Generale des Etablissements Michelin1		14,646		1,057,524
France Telecom		496,286		12,385,806
GDF Suez, STRIP VVPR*		23,226		33
Ipsos		5,658		147,698
Lafarge SA1		21,536		1,555,635
Renault SA*		8,174		348,580
Rhodia SA1,*		45,688		498,096
Sanofi-Aventis		124,857		8,178,977
Societe Generale		197,288		12,667,810
Technip SA		9,798		592,399
Total SA1		230,776		12,798,467
Total France common stocks				78,884,198
Germany—6.64%
Allianz SE		76,072		7,503,036
Bayer AG		23,310		1,430,614
Bilfinger Berger AG		11,937		626,108
Daimler AG		14,650		677,994
Deutsche Boerse AG		13,440		1,065,075
Deutsche Telekom AG		559,136		7,164,456
E.ON AG		289,171		10,946,843
Fielmann AG		5,681		374,735
MAN AG		8,147		563,178
Muenchener Rueckversicherungs- Gesellschaft AG (MunichRe)		608		91,936
RWE AG		119,797		10,116,735
Siemens AG		111,391		8,890,869
Tognum AG		233,124		3,249,615
Total Germany common stocks				52,701,194
Greece—0.85%
National Bank of Greece SA*		229,705		6,705,119

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Hong Kong—2.15%
Hang Lung Properties Ltd.		137,000	$	506,455
Hong Kong Electric Holdings		686,500		3,773,511
Hutchison Whampoa Ltd.		124,000		924,794
New World Development Co. Ltd.		318,000		757,451
Sun Hung Kai Properties Ltd.		382,000		5,791,575
Wharf Holdings Ltd.		1,131,875		5,330,732
Total Hong Kong common stocks				17,084,518
Ireland—0.02%
Smurfit Kappa Group PLC		25,020		145,497
Israel—0.55%
Teva Pharmaceutical Industries Ltd., ADR1		81,200		4,331,208
Italy—2.61%
Atlantia SpA		9,506		209,737
Eni SpA		326,527		7,599,961
Intesa Sanpaolo		208,432		588,215
Intesa Sanpaolo SpA EURO 52*		1,792,464		6,674,409
Snam Rete Gas SpA		363,845		1,593,362
UniCredito Italiano SpA		1,375,075		4,027,581
Total Italy common stocks				20,693,265
Japan—21.64%
Aisin Seiki Co. Ltd.		176,700		4,547,049
Asahi Glass Co. Ltd.		91,000		790,510
Astellas Pharma, Inc.		189,800		7,240,983
Benesse Corp.		13,300		576,275
Bridgestone Corp.1		60,100		1,044,168
Canon, Inc.		326,500		12,180,132
Chugai Pharmaceutical Co. Ltd.1		20,600		377,712
Daikin Industries Ltd.		38,095		1,384,907
DIC Corp.		192,000		269,865
East Japan Railway Co.		78,100		4,481,723
Elpida Memory, Inc.1,*		33,000		376,645
Fast Retailing Co. Ltd.		3,200		415,620
Hitachi Capital Corp.		25,600		349,810
INPEX Corp.		581		4,445,379
Itochu Corp.		678,000		5,072,909
Japan Tobacco, Inc.1		453		1,311,725
JFE Holdings, Inc.		44,400		1,787,730
Kao Corp.		377,000		8,545,997
Kawasaki Kisen Kaisha Ltd.1		148,000		558,373
KDDI Corp.		1,326		7,034,631
Kinden Corp.		31,000		260,777
Kubota Corp.1		42,000		378,166
Maruha Nichiro Holdings, Inc.		133,000		199,588
Minebea Co. Ltd.		171,000		695,746
Mitsubishi Electric Corp.		280,000		2,053,580
Mitsubishi Tokyo Financial Group, Inc.1		310,000		1,854,267
Mitsui & Co. Ltd.		13,700		171,856
Mitsui Fudosan Co. Ltd.1		289,000		5,314,240

Security description	Number of shares		Value
Common stocks—(continued)
Japan—(concluded)
NIDEC Corp.		7,900	$	571,889
Nikon Corp.		271,000		5,447,207
Nippon Oil Corp.		82,000		435,022
Nippon Telegraph & Telephone Corp. (NTT)		32,200		1,330,536
Nippon Yusen Kabushiki Kaisha		65,000		278,203
Nissan Motor Co. Ltd.		28,400		206,791
Nitori Co. Ltd.		9,300		666,357
Nitto Denko Corp.		131,000		4,222,457
Nomura Research Institute Ltd.1		18,700		463,424
Olympus Corp.1		16,500		474,293
Panasonic Corp.		444,700		7,049,406
Sekisui House Ltd.1		794,000		7,484,787
Seven & I Holdings Co. Ltd.1		285,100		6,688,740
Shin-Etsu Chemical Co. Ltd.		117,900		6,354,452
Shiseido Co. Ltd.1		21,000		342,658
Softbank Corp.1		35,900		764,476
Sony Financial Holdings, Inc.		135		416,164
Sumitomo Corp.1		84,000		831,789
Sumitomo Mitsui Financial Group, Inc.1		177,149		7,582,071
Sumitomo Realty & Development Co. Ltd.1		25,000		515,192
Sumitomo Rubber Industries Ltd.		55,300		480,387
Suzuken Co. Ltd.1		10,600		319,820
Takeda Pharmaceutical Co.		246,300		9,969,131
TDK Corp.		16,300		857,849
The Bank of Yokohama Ltd.		878,000		4,759,989
Tohoku Electric Power Co., Inc.		7,500		156,222
Tokio Marine Holdings, Inc.		221,800		6,445,971
Tokyo Electric Power Co., Inc.		30,900		791,889
Tokyo Gas Co. Ltd.		282,000		1,034,124
Tokyu Land Corp.1		104,000		419,847
Toyota Motor Corp.		395,007		16,656,042
Ube Industries Ltd.		420,000		1,216,169
West Japan Railway Co.1		853		2,722,388
Total Japan common stocks				171,676,105
Jersey—0.16%
Shire Ltd.		55,226		819,200
United Business Media Ltd.		63,201		447,898
Total Jersey common stocks				1,267,098
Luxembourg—1.00%
ArcelorMittal1		221,286		7,963,819
Netherlands—3.36%
Akzo Nobel N.V.		24,804		1,360,919
ASML Holding N.V.		12,872		337,025
Gemalto N.V.1,*		153,366		5,727,123
ING Groep N.V.		274,102		3,515,315
Koninklijke Ahold N.V.		71,997		818,783
Koninklijke DSM N.V.		12,110		432,890
Koninklijke (Royal) KPN N.V.1		74,722		1,123,055
Mediq N.V.		15,191		201,101

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Netherlands—(concluded)
Reed Elsevier N.V.		404,051	$	4,235,122
TNT N.V.1		23,404		555,906
Unilever N.V.1		306,083		8,363,102
Total Netherlands common stocks				26,670,341
New Zealand—0.29%
Telecom Corp. of New Zealand Ltd.		1,265,864		2,330,173
Norway—0.61%
Sevan Marine ASA1,*		217,644		284,063
Storebrand ASA*		839,115		4,551,889
Total Norway common stocks				4,835,952
Singapore—2.09%
Capitaland Ltd.1		93,000		246,854
City Developments Ltd.1		135,000		951,186
Oversea-Chinese Banking Corp.1		789,642		4,290,728
Singapore Airlines Ltd.1		62,740		588,535
Singapore Telecommunications Ltd.		2,449,120		5,956,238
United Overseas Bank Ltd.		371,000		4,557,746
Total Singapore common stocks				16,591,287
South Africa—0.36%
Sasol Ltd.		79,986		2,865,478
South Korea—0.65%
Samsung Electronics Co. Ltd., GDR2		17,485		5,175,560
Spain—6.67%
Banco Bilbao Vizcaya Argentaria SA1		121,714		1,998,477
Banco Santander Central Hispano SA1		1,441,704		20,877,375
Enagas		35,827		708,516
Iberdrola Renovables SA1		1,083,425		5,003,224
Iberdrola SA		1,147,724		9,847,819
Laboratorios Almirall SA		57,442		724,567
Telefonica SA		551,646		13,724,180
Total Spain common stocks				52,884,158
Sweden—1.91%
Atlas Copco AB, A Shares1		444,400		5,296,341
Electrolux AB, Series B*		42,979		804,069
Elekta AB, B Shares1		30,806		484,546
Hennes & Mauritz AB (H&M), Class B1		109,850		6,530,717
Intrum Justitia AB1		31,872		329,055
Nordea Bank AB1		126,545		1,227,571
Swedish Match AB1		25,387		484,626
Total Sweden common stocks				15,156,925
Switzerland—7.97%
ABB Ltd.*		392,401		7,167,611
Baloise Holding AG		5,632		449,021

Security description	Number of shares		Value
Common stocks—(continued)
Switzerland—(concluded)
Credit Suisse Group		198,568	$	9,383,506
Nestle SA		357,464		14,711,334
Novartis AG		271,994		12,456,264
Roche Holding Genussehein AG		72,752		11,471,213
Zurich Financial Services AG		38,558		7,577,018
Total Switzerland common stocks				63,215,967
Taiwan—0.98%
Chunghwa Telecom Co. Ltd., ADR1		163,790		2,859,774
Taiwan Semiconductor Manufacturing Co. Ltd., ADR		466,690		4,886,248
Total Taiwan common stocks				7,746,022
United Kingdom—17.94%
Admiral Group PLC		22,551		360,317
Afren PLC*		248,733		229,562
Anglo American PLC		23,487		757,214
ARM Holdings PLC		284,724		600,467
Autonomy Corp. PLC*		269,284		5,285,450
Aviva PLC		383,521		2,247,089
Babcock International Group PLC		518,742		4,079,203
Barclays PLC		153,905		777,185
Beazley PLC		238,788		407,858
BG Group PLC		406,844		6,789,330
BP PLC		2,980,212		24,752,087
British American Tobacco PLC		59,314		1,840,927
Carillion PLC		120,233		522,694
Cobham PLC		143,911		430,549
Compass Group PLC		1,524,877		8,214,820
Cookson Group PLC		137,912		717,043
Domino's Pizza UK & IRL PLC		191,437		765,887
Filtrona PLC		71,495		154,362
GKN PLC		529,418		908,686
GlaxoSmithKline PLC		1,047,975		20,114,280
HSBC Holdings PLC3		85,066		846,813
HSBC Holdings PLC4		1,309,770		13,253,238
ICAP PLC		90,833		688,863
InterContinental Hotels Group PLC		60,492		686,122
International Power PLC		110,420		470,811
J Sainsbury PLC		182,584		968,367
Lloyds TSB Group PLC		189,714		269,372
Logica PLC		104,184		176,210
Man Group PLC		1,374,292		6,353,312
Pennon Group PLC		33,682		256,846
Peter Hambro Mining PLC1		21,614		235,947
Prudential PLC		73,376		549,424
Reckitt Benckiser Group PLC		5,841		280,614
Rio Tinto PLC		202,707		8,428,052
Royal Dutch Shell PLC, A Shares1,4		55,639		1,461,051
Royal Dutch Shell PLC, A Shares1,5		351,113		9,228,134

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(concluded)
United Kingdom—(concluded)
Royal Dutch Shell PLC, B Shares4		20,349	$	528,236
SIG PLC		126,823		257,929
Standard Chartered PLC		54,307		1,289,091
Tesco PLC		140,591		863,075
Tui Travel PLC		99,855		378,642
Unilever PLC		421,496		11,124,592
Vodafone Group PLC		1,034,009		2,119,349
WH Smith PLC		51,947		369,227
William Morrison Supermarkets PLC		180,459		812,402
Xstrata PLC		34,098		460,343
Total United Kingdom common stocks				142,311,072
Total common stocks (cost—$791,776,259)				783,563,508
Preferred stocks—0.15%
Germany—0.15%
Porsche Automobil Holding SE		1,538		100,267
RWE AG		11,379		807,356
Volkswagen AG		3,273		256,529
Total preferred stocks (cost—$1,544,223)				1,164,152
	Number of rights
Rights*—0.00%
Belgium—0.00%
Fortis, expires 07/04/146(cost—$0)		407,261		0

Security description	Face Amount		Value
Repurchase agreement—0.68%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $5,514,899 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$5,514,347); proceeds: $5,406,005 (cost—$5,406,000)	$	5,406,000	$	5,406,000
	Number of shares
Investment of cash collateral from securities loaned—14.25%
Money market fund—14.25%
UBS Private Money Market Fund LLC7(cost—$113,067,670)		113,067,670		113,067,670
Total investments (cost—$911,794,152)— 113.86%				903,201,330
Liabilities in excess of other assets—(13.86)%				(109,957,118	)
Net assets—100.00%			$	793,244,212

Aggregate cost for federal income tax purposes was $937,288,696; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	52,204,284
Gross unrealized depreciation		(86,291,650	)
Net unrealized depreciation	$	(34,087,366	)

*  Non-income producing security.

1  Security, or portion thereof, was on loan at July 31, 2009.

2  Security exempt from registration under Rule 144A of the Securities Act of 1933. This security, which represents 0.65% of net assets as of July 31, 2009, is considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

3  Security is traded on the Hong Kong Exchange.

4  Security is traded on the London Exchange.

5  Security is traded on the Netherlands Exchange.

6  Illiquid security representing 0.00% of net assets as of July 31, 2009.

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Portfolio of investments—July 31, 2009

7  The table below details the Portfolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	10,293,589	$	580,393,504	$	477,619,423	$	113,067,670	$	816,220

ADR  American Depositary Receipt

GDR  Global Depositary Receipt

STRIP  Separate Trading of Registered Interest and Principal of Securities

VVPR  Verminderde Voorheffing Precompte Reduit (Belgium dividend coupon)

Futures contracts

Number of contracts		Currency	Buy contracts	Expiration dates	Cost		Current value		Unrealized appreciation
	32	EUR	Dow Jones Euro STOXX 50 Index Futures	September 2009	$	1,135,247	$	1,195,900	$	60,653
	4	GBP	FTSE 100 Index Futures	September 2009		300,118		303,453		3,335
	3	JPY	TOPIX Index Futures	September 2009		290,404		301,119		10,715
					$	1,725,769	$	1,800,472	$	74,703

Forward foreign currency contracts

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
Euro		816,889	USD	1,152,671	10/13/09	$	(11,707	)
Great Britain Pound		2,159,669	USD	3,474,761	10/13/09		(132,342	)
United States Dollar		1,143,135	AUD	1,466,949	10/13/09		77,480
United States Dollar		1,135,177	EUR	816,889	10/13/09		29,201
United States Dollar		1,328,528	GBP	806,024	10/13/09		17,701
United States Dollar		1,148,799	GBP	695,000	10/13/09		11,998
United States Dollar		1,545,416	SEK	12,243,503	10/13/09		151,864
						$	144,195

Currency type abbreviations:

AUD   Australian Dollar

EUR   Euro

GBP   Great Britain Pound

JPY   Japanese Yen

SEK   Swedish Krona

USD   United States Dollar

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Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)9		Significant other observable inputs (Level 2)8		Unobservable inputs (Level 3)9		Total
Common stocks	$	783,563,508	$	—	$	—	$	783,563,508
Preferred stocks		1,164,152		—		—		1,164,152
Rights		—		—		0		0
Repurchase agreement		—		5,406,000		—		5,406,000
Investment of cash collateral from securities loaned		—		113,067,670		—		113,067,670
Other financial instruments, net10		74,703		144,195				218,898
Total	$	784,802,363	$	118,617,865	$	0	$	903,420,228

8  The Portfolio may hold securities which are periodically fair valued in accordance with the Portfolio's fair valuation policy. This may result in movements between Level 1 and Level 2 throughout the fiscal year.

9  Security categorized as Level 3 has a value of $0.

10  Other financial instruments include open futures contracts and forward foreign currency contracts.

The following is a rollforward of the Portfolio's investment that was valued using unobservable inputs (Level 3) for the period:

Measurements at 07/31/09
	Rights
Beginning balance	$	—
Net purchases/(sales)		0
Accrued discounts/(premiums)		—
Total realized gain/(loss)		0
Total unrealized appreciation/(depreciation)		0
Net transfers in/(out) of Level 3		—
Ending balance	$	0

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 21.42% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 22.59%). In comparison, the MSCI Emerging Markets Index (the "benchmark") declined 16.57%, and the Lipper Emerging Markets Funds category posted a median decline of 19.89%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 163. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during the reporting period, please refer to page two.

Sub-Advisors' comments

Gartmore

Our portion of the Portfolio underperformed the benchmark during the reporting period, negatively impacted by sector allocation and stock selection.

During the latter stages of 2008, our portion of the Portfolio delivered disappointing performance, as a weakening global economic outlook caused commodity prices to fall. This, in turn, negatively impacted overweight positions in basic materials and energy companies, as well as overweight positions in Brazil and Russia. Two Russian stocks in particular hurt returns in our portion of the Portfolio: the automaker Sollers and fertilizer producer Uralkali GDR. More successful were our overweight positions in a number of companies with more resilient earnings, among them Telecom Egypt and China Resources Power Holdings Co. Ltd.

As the outlook for corporate earnings became difficult to predict, in the fourth quarter of 2008 we moved to a more defensive position. For example, we reduced our portion of the Portfolio's exposure to Brazil and Russia while increasing exposure to Chile, one of Latin America's most stable economies, and India, which was relatively insulated from the credit crisis. We also scaled back exposure to Taiwan, a country heavily dependent on global demand for consumer electronics.

UBS PACE Select Advisors Trust – UBS PACE International Emerging Markets Equity Investments

Investment Sub-Advisors:

Gartmore Global Partners ("Gartmore") and Mondrian Investment Partners Limited ("Mondrian")

Portfolio Managers:

Gartmore: Christopher Palmer;

Mondrian: Robert Akester, Ginny Chong, and Gregory Halton

Objective:

Capital appreciation

Investment process:

Gartmore seeks to identify companies where it believes the market has underestimated the prospects for earnings potential. Gartmore employs a stringent analysis of strategic factors, industry dynamics and the assessment of individual company franchises. It focuses on bottom-up stock picking within a risk-controlled environment.

Mondrian conducts research on a global basis in an effort to identify securities that have the potential for capital appreciation over a market cycle. The center of its research effort is a value-oriented dividend discount methodology toward individual securities and market analysis that identifies value across country boundaries. This approach focuses on future anticipated dividends, and discounts the value of those dividends back to what they would be worth if they were being paid today. Comparisons of the values of different possible investments are then made. In an international portfolio, currency returns can be an integral component of an investment's total return. Mondrian uses a

(continued on next page)

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Sub-Advisors' comments – continued

During the early stages of 2009, the outlook improved markedly and, amid signs of an economic rebound in China, equity and commodity markets staged very strong recoveries. In this environment, our stance proved too defensive. For example, underweight positions in Taiwan and Russia detracted from relative returns. However, our portion of the Portfolio benefited from being underweight to the health care and consumer staples sectors. At the stock level, notable successes included positions in the Brazilian house builder Cyrela Brazil Realty SA, and the traded unit of Kazakhstan's state energy company, KazMunaiGas Exploration.

In the final few months of the reporting period, we reduced the average weighted market capitalization of the stocks we held, and increased the level of risk in our portion of the Portfolio. In addition, we favored stocks that we considered to be value offerings, and increased our focus on factors such as earnings, income and sales when choosing stocks. Such changes translated into larger positions in the basic materials and energy sectors and larger weightings in Brazil and China. Conversely, our positions in Central and Eastern Europe were reduced.

At the end of the reporting period, our portion of the Portfolio held overweight positions in basic materials and consumer discretionary stocks, which we expect will benefit from improving rates of domestic and international economic growth. Conversely, we are underweight in financials as well as more defensive sectors, such as consumer staples, telecommunications and health care.

Mondrian

Our portion of the Portfolio outperformed the benchmark during the reporting period, primarily due to stock selection and market positioning.

Within our portion of the Portfolio, we maintained a defensive strategy during the first half of the reporting period, while capturing most of the market's gains in the second half of the period. Strong results were achieved in all regions, with the gains achieved from stock selection and market positioning being partially offset by the depreciation of many emerging market currencies against the US dollar. At the sector level, the greatest contribution came from the energy sector, to which our portion of the Portfolio was overweight as energy prices bottomed out in 2008. Stock selection within the defensive telecommunications and utilities sectors also benefited performance. However, this contribution was somewhat offset by the impact of underweight exposures to the consumer staples and health care sectors.

In Asia, an overweight position in China during the second half of 2008 benefited performance relative to the benchmark. However, this gain was partially offset by the impact of an underweight position in the strongly performing Indian market. Overweight exposure to and good stock selection within Taiwan helped relative performance, as holdings in technology companies Lite-On Technology Corp., MediaTek, Inc. and Taiwan Semiconductor Manufacturing Co. Ltd. produced solid gains during the reporting period. Our portion of the Portfolio also benefited from our holding in the Malaysian utility and gaming company Tanjong PLC. However, this positive impact was somewhat offset by the underperformance of key holdings in the telecommunications sector, principally Bharti Airtel Ltd. in India and China Mobile (Hong Kong) Ltd.

Investment process (concluded)

purchasing power parity approach to assess the value of individual currencies. Purchasing power parity attempts to identify the amount of goods and services that a dollar will buy in the United States, and compares that to the amount of a foreign currency required to buy the same amount of goods and services in another country.

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Sub-Advisors' comments – concluded

Stock selection in Mexico dominated our portion of the Portfolio's returns from Latin America, with telecommunications company America Movil, paper products manufacturer Kimberly-Clark de Mexico and airport operator Groupo Aeropuerto del Pacifico all significantly outperforming the benchmark. We were also rewarded for overweighting Colombia and underweighting Brazil, although these benefits were largely offset by currency depreciation and stock selection elsewhere.

In Europe, an overweight exposure to and stock selection within Turkey boosted our portion of the Portfolio's results, as holdings in Turkcell and Akbank T.A.S. outperformed the benchmark, despite a headwind from the weak lira. While Russian holdings LUKOIL and Mobile TeleSystems outperformed the local market, overweighting the market as a whole negatively impacted our returns. Elsewhere, our portion of the Portfolio gained from the strong performance of Egyptian mobile operator MobiNil, as it became the target of a takeover bid, and from underweighting the Israeli market, which performed weakly during this time.

Special considerations

The Portfolio may be appropriate for long-term investors seeking capital appreciation who are able to withstand short-term fluctuations in the equity markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies in whose securities the Portfolio invests. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan. The value of the Portfolio's investments in foreign securities may fall due to adverse political, social, and economic developments abroad and due to decreases in foreign currency values relative to the US dollar. These risks are greater for investments in emerging market issuers than for issuers in more developed countries.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio and the MSCI Emerging Markets Index (unaudited)

The graph depicts the performance of UBS PACE International Emerging Markets Equity Investments Class P shares versus the MSCI Emerging Markets Index over the 10 years ended July 31, 2009. (The composition of the MSCI EMF Index, like many indices, may change from time to time. For example, at one point Malaysia was excluded from the Index, but as of July 31, 2001, was included.) The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE International Emerging Markets Equity Investments is a professionally managed portfolio while the Index is no t available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			5 years			10 years			Since inception1
Before deducting	Class A2		(21.37	)%		14.85	%	N/A				9.25	%
maximum sales charge	Class B3		(22.05	)%		13.85	%	N/A				9.55	%
or UBS PACE Select	Class C4		(21.97	)%		13.97	%	N/A				9.29	%
program fee	Class Y5		(21.00	)%		15.33	%	N/A				9.61	%
	Class P6		(21.42	)%		14.89	%		5.94	%		4.38	%
After deducting	Class A2		(25.68	)%		13.57	%	N/A				8.54	%
maximum sales charge	Class B3		(24.73	)%		13.62	%	N/A				9.55	%
or UBS PACE Select	Class C4		(22.51	)%		13.97	%	N/A				9.29	%
program fee	Class P6		(22.59	)%		13.18	%		4.36	%		2.83	%
MSCI Emerging Markets Index7			(16.57	)%		18.00	%		10.50	%		6.92	%
Lipper Emerging Markets Funds median			(19.89	)%		15.57	%		9.87	%		6.55	%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (35.90)%; 5-year period, 10.59%; since inception, 7.29%; Class B—1-year period, (35.13)%; 5-year period, 10.65%; since inception, 8.30%; Class C—1-year period, (33.11)%; 5-year period, 10.99%; since inception, 8.06%; Class Y—1-year period, (31.81)%; 5-year period, 12.32%; since inception, 8.34%; Class P—1-year period, (33.17)%; 5-year period, 10.23%; 10-year period, 2.96%; since inception, 2.08%.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.76% and 1.76%; Class B—2.58% and 2.58%; Class C—2.50% and 2.50%; Class Y—1.40% and 1.40%; and Class P—1.68% and 1.68%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses.

¹  Since inception returns are calculated as of commencement of issuance on August 24, 1995 for Class P shares, December 11, 2000 for Class A shares, December 22, 2000 for Class B shares, December 1, 2000 for Class C shares and February 9, 2001 for Class Y shares. Since inception returns for the Index and Lipper median are shown as of August 31, 1995, which is the month-end after the inception date of the oldest share class (Class P).

²  Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴  Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷  The MSCI Emerging Markets Index is a market capitalization-weighted index composed of companies representative of the market structure of 22 emerging market countries in Europe, Latin America, and the Pacific Basin. The MSCI Emerging Markets Index excludes closed markets and those shares in otherwise free markets that are not purchasable by foreigners. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	265.2
Number of holdings		163
Portfolio composition1	07/31/09
Common stocks, preferred stocks and rights		77.7	%
ADRs, GDRs and NVDRs		20.7
Corporate bond		0.0	2
Cash equivalents and other assets less liabilities		1.6
Total		100.0	%
Regional allocation (equity investments)1	07/31/09
Asia		54.3	%
The Americas		19.7
Europe and European territories		9.5
Africa		8.2
Russia		6.7
Total		98.4	%
Top five countries (equity investments)1	07/31/09
Taiwan		10.0	%
China		9.8
Brazil		12.4
South Korea		11.0
Russia		6.7
Total		49.9	%
Top five sectors1	07/31/09
Financials		23.2	%
Energy		15.3
Telecommunication services		14.7
Information technology		13.4
Materials		9.5
Total		76.1	%
Top ten equity holdings1	07/31/09
China Construction Bank Corp.		2.8	%
Taiwan Semiconductor Manufacturing Co. Ltd.		2.0
China Mobile (Hong Kong) Ltd.		1.9
Petroleo Brasileiro SA - Petrobras		1.9
Samsung Electronics Co. Ltd.		1.8
America Movil SA de C.V., ADR		1.8
Turkcell Iletisim Hizmetleri A.S. (Turkcell)		1.6
Industrial & Commercial Bank of China Ltd.		1.5
China Shipping Development Co. Ltd.		1.5
Sasol Ltd.		1.4
Total		18.2	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

²  Weighting represents less than 0.05% of the Portfolio's net assets as of July 31, 2009.

ADR  American Depositary Receipt

GDR  Global Depositary Receipt

NVDR Non Voting Depositary Receipt

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Industry diversification—(unaudited)

As a percentage of net assets as of July 31, 2009

Common stocks

Automobiles	1.88	%
Beverages	0.26
Capital markets	0.40
Chemicals	1.34
Commercial banks	16.60
Computers & peripherals	2.26
Construction & engineering	0.64
Construction materials	1.06
Consumer finance	0.39
Diversified financial services	1.78
Diversified telecommunication services	3.09
Electric utilities	3.00
Electronic equipment, instruments & components	1.82
Food & staples retailing	1.99
Food products	1.09
Household durables	1.11
Household products	0.35
Independent power producers & energy traders	1.82
Industrial conglomerates	0.48
Insurance	0.51
Internet software & services	0.88
IT services	2.31
Machinery	0.80
Marine	1.87
Media	0.64
Metals & mining	5.86
Oil, gas & consumable fuels	15.03
Real estate management & development	2.46
Semiconductors & semiconductor equipment	4.70
Software	0.31
Textiles, apparel & luxury goods	0.52
Tobacco	1.29
Transportation infrastructure	3.41
Water utilities	0.20
Wireless telecommunication services	11.65
Total common stocks	93.80

Preferred stocks
Automobiles	0.78	%
Beverages	0.00
Commercial banks	0.98
Independent power producers & energy traders	0.21
Metals & mining	1.22
Oil, gas & consumable fuels	0.23
Semiconductors & semiconductor equipment	1.13
Total preferred stocks	4.55
Rights	0.03
Corporate bond
Metals & mining	0.00
Repurchase agreement	0.50
Investment of cash collateral from securities loaned	6.94
Liabilities in excess of other assets	(5.82	)
Net assets	100.0	%

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—93.80%
Bermuda—2.26%
China Yurun Food Group Ltd.		744,000	$	1,176,952
Cosco Pacific Ltd.		1,546,000		2,146,433
Credicorp Ltd.		10,200		680,340
Pacific Basin Shipping Ltd.		1,445,000		1,092,599
SRE Group Ltd.*		6,548,000		887,143
Total Bermuda common stocks				5,983,467
Brazil—9.75%
AES Tiete SA		41,600		397,995
BM&F BOVESPA SA		224,400		1,450,497
Cia Brasileira de Meios de Pagamento*		139,340		1,336,828
Companhia Brasileira de Distribuicao Grupo Pao de Acucar, ADR1		28,883		1,351,724
Companhia de Concessoes Rodoviarias (CCR)		162,820		2,661,670
Companhia Siderurgica Nacional SA (CSN), ADR1		20,841		533,530
CPFL Energia SA		70,200		1,241,269
CPFL Energia SA, ADR1		14,700		773,073
Cyrela Brazil Realty SA		177,000		1,826,209
Itau Unibanco Banco Multiplo SA, ADR		114,877		2,055,149
MPX Mineracao e Energia SA		58,000		506,402
Petroleo Brasileiro SA-Petrobras1		124,675		5,141,597
Redecard SA		185,200		2,754,549
Santos Brasil Participacoes SA		44,900		298,411
Tele Norte Leste Participacoes SA Tetemar, ADR1		79,761		1,227,522
Vale SA, ADR1		133,700		2,299,640
Total Brazil common stocks				25,856,065
Cayman Islands—2.41%
China Zhongwang Holdings Ltd.*		677,200		908,753
Foxconn International Holdings Ltd.*		999,000		698,651
Kingboard Chemical Holdings Ltd.		491,000		1,564,854
Li Ning Co. Ltd.		418,000		1,391,527
NetEase.com, Inc. ADR1,*		25,320		1,115,599
Want Want China Holdings Ltd.		1,200,000		716,899
Total Cayman Islands common stocks				6,396,283
Chile—0.62%
Banco Santander Chile SA, ADR		22,700		1,114,797
Inversiones Aguas Metropolitanas SA (IAM), ADR2		23,900		529,885
Total Chile common stocks				1,644,682
China—9.76%
Angang Steel Co. Ltd., Class H		400,000		907,349
Anhui Conch Cement Co. Ltd., Class H		800		5,827

Security description	Number of shares		Value
Common stocks—(continued)
China—(concluded)
Bank of Communications Co. Ltd., Class H		1,033,000	$	1,272,914
China Bluechemical Ltd., Class H		1,366,000		757,905
China Coal Energy Co., Class H		925,000		1,296,185
China Construction Bank Corp.		9,292,000		7,493,500
China Merchants Bank Co. Ltd., Class H		666,500		1,568,630
China Railway Group Ltd., Class H*		1,068,000		961,883
China Shenhua Energy Co. Ltd., Class H		606,000		2,490,448
China Shipping Development Co. Ltd., Class H		2,536,000		3,861,240
Industrial & Commercial Bank of China Ltd., Class H		5,437,930		3,915,284
PetroChina Co. Ltd., Class H		1,135,200		1,351,978
Total China common stocks				25,883,143
Colombia—0.71%
Bancolombia SA1		59,000		1,894,490
Czech Republic—2.68%
CEZ		65,229		3,513,418
Komercni Banka A.S.		12,473		2,153,893
Telefonica O2 Czech Republic A.S.		52,957		1,446,876
Total Czech Republic common stocks				7,114,187
Egypt—2.04%
Commercial International Bank		37,617		328,844
Egyptian Co. for Mobile Services (MobiNil)		24,400		941,124
Orascom Telecom Holding S.A.E., GDR*		84,497		2,923,596
Telecom Egypt, GDR		81,386		1,204,513
Total Egypt common stocks				5,398,077
Hong Kong—6.13%
China Merchants Holdings International Co. Ltd.		754,000		2,490,616
China Mobile (Hong Kong) Ltd.		490,400		5,163,404
China Power International Development Ltd.*		3,984,000		1,429,090
China Resources Power Holdings Co. Ltd.		632,200		1,635,552
CNOOC Ltd.		1,943,100		2,617,527
Denway Motors Ltd.		3,068,600		1,524,391
Sino-Ocean Land Holdings Ltd.		1,322,734		1,408,063
Total Hong Kong common stocks				16,268,643
Hungary—0.53%
OTP Bank Nyrt.1,*		66,100		1,415,042

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
India—5.27%
Axis Bank Ltd.		13,480	$	257,216
Bank of India		285,925		1,955,858
Bharti Airtel Ltd.		364,630		3,125,400
DLF Ltd.		138,600		1,146,377
Financial Technologies (India) Ltd.		27,468		816,307
Grasim Industries Ltd.		19,300		1,103,622
HCL Technologies Ltd.		115,519		578,197
Indiabulls Real Estate Ltd.		118,500		607,946
JSW Steel Ltd.		28,206		410,031
Mphasis Ltd.		146,525		1,452,569
Reliance Industries Ltd.*		27,733		1,141,709
Tata Power Co. Ltd.		49,920		1,381,831
Total India common stocks				13,977,063
Indonesia—0.87%
PT Bank Central Asia Tbk		2,641,000		1,004,511
PT Bumi Resources Tbk		4,600,000		1,297,733
Total Indonesia common stocks				2,302,244
Israel—0.95%
Bezeq Israeli Telecommunication Corp. Ltd.		980,862		1,953,929
Israel Chemicals Ltd.		48,497		552,416
Total Israel common stocks				2,506,345
Kazakhstan—1.40%
KazMunaiGas Exploration Production, GDR		172,309		3,713,259
Luxembourg—0.32%
Evraz Group SA, GDR		38,084		837,848
Malaysia—0.40%
Axiata Group Berhad*		1,279,000		1,067,498
Mexico—5.99%
America Movil SA de C.V., ADR, Series L		111,144		4,780,303
Banco Compartamos SA de C.V.		313,100		1,035,844
Grupo Aeroportuario del Pacifico SA de C.V., ADR1		51,500		1,437,365
Grupo Mexico SAB de C.V., Series B		1,056,724		1,504,006
Grupo Modelo SA de C.V., Series C*		175,300		685,593
Grupo Televisa SA, ADR		94,400		1,707,696
Industrias CH SA, Series B*		280,300		986,748
Kimberly-Clark de Mexico SA de C.V., Series A		220,500		918,124
Urbi, Desarrollos Urbanos, SA de C.V.*		650,185		1,124,251
Wal-Mart de Mexico SA de C.V., Series V1		503,279		1,715,317
Total Mexico common stocks				15,895,247

Security description	Number of shares		Value
Common stocks—(continued)
Morocco—0.27%
Compagnie Generale Immobiliere		2,934	$	707,104
Philippines—1.19%
Megaworld Corp.		29,813,900		855,723
Philippine Long Distance Telephone Co., ADR		43,900		2,312,213
Total Philippines common stocks				3,167,936
Poland—0.94%
Bank Pekao SA*		41,615		2,082,860
KGHM Polska Miedz SA		13,809		410,608
Total Poland common stocks				2,493,468
Russia—6.72%
Gazprom, ADR3		119,506		2,467,799
Gazprom, ADR4		147,550		3,046,908
LUKOIL, ADR		70,212		3,510,600
Mining & Metallurgical Co. Norilsk Nickel, ADR		112,300		1,124,123
Mobile TeleSystems, ADR		85,400		3,585,946
Rosneft Oil Co., GDR		260,477		1,591,515
RusHydro*		87		3
RusHydro, ADR*		292,349		1,040,762
Sollers JSC5,6		63,752		512,301
Uralkali, GDR		51,583		949,127
Total Russia common stocks				17,829,084
South Africa—5.92%
African Bank Investments Ltd.		846,519		3,269,352
Harmony Gold Mining Co. Ltd.*		68,942		623,676
Impala Platinum Holdings Ltd.		54,281		1,314,985
Kumba Iron Ore Ltd.		34,415		918,029
MTN Group Ltd.		82,742		1,364,816
Pretoria Portland Cement Co. Ltd.		271,281		1,015,206
Sasol Ltd.		104,254		3,734,873
Shoprite Holdings Ltd.		166,700		1,224,472
Standard Bank Group Ltd.		159,553		1,919,982
Telkom South Africa Ltd.		61,115		304,394
Total South Africa common stocks				15,689,785
South Korea—9.09%
Daelim Industrial Co. Ltd.		13,437		743,947
Hyundai Motor Co.		31,807		2,281,547
KB Financial Group, Inc.*		53,310		2,304,805
KB Financial Group, Inc., ADR1,*		36,761		1,577,414
KT&G Corp.		58,831		3,415,283
LG Corp.		23,821		1,283,952
NHN Corp.*		8,442		1,226,915
OCI Co. Ltd.		2,553		440,674
POSCO		5,015		2,049,772
Samsung Electronics Co. Ltd.		8,292		4,887,973

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
South Korea—(concluded)
Samsung Fire & Marine Insurance Co. Ltd.		8,116	$	1,361,257
Samsung Heavy Industries Co. Ltd.		56,240		1,485,905
Samsung Securities Co. Ltd.		16,900		1,056,766
Total South Korea common stocks				24,116,210
Taiwan—10.02%
Asustek Computer, Inc.		1,394,397		2,210,090
China Steel Corp.		723,842		699,396
Chinatrust Financial Holding Co. Ltd.		4,260,256		2,694,474
Chunghwa Telecom Co. Ltd., ADR1		117,325		2,048,486
Far EasTone Telecommunications Co. Ltd.		1,274,530		1,499,539
HON HAI Precision Industry Co. Ltd. (Foxconn)		573,070		1,973,815
HTC Corp.		87,000		1,186,677
Lite-On Technology Corp.		2,281,705		2,597,589
MediaTek, Inc.		154,286		2,217,320
Nan Ya Printed Circuit Board Corp.		180,000		581,566
President Chain Store Corp.		380,000		993,782
Shin Zu Shing Co., Ltd.		119,270		639,829
Taiwan Semiconductor Manufacturing Co. Ltd.		2,990,184		5,368,259
TSRC Corp.		727,000		856,454
Uni-President Enterprises Corp.		969,000		1,005,683
Total Taiwan common stocks				26,572,959
Thailand—3.12%
Banpu Public Co. Ltd., NVDR		142,891		1,574,614
Kasikornbank Public Co. Ltd., PLC		615,300		1,446,488
Preuksa Real Estate PLC		3,204,000		903,861
PTT Exploration and Production Public Co. Ltd. NVDR		304,400		1,234,417
PTT Public Co. Ltd.6		343,700		2,423,979
Siam Cement Public Co. Ltd., NVDR		126,100		681,822
Total Thailand common stocks				8,265,181
Turkey—4.11%
Akbank T.A.S.		604,691		3,412,037
Tofas Turk Otomobil Fabrikasi A.S.		321,085		672,315
Tupras-Turkiye Petrol Rafinerileri A.S.		93,970		1,213,794
Turkcell Iletisim Hizmetleri A.S. (Turkcell)		647,908		4,118,386
Turkiye Garanti Bankasi A.S.*		417,818		1,477,041
Total Turkey common stocks				10,893,573

Security description	Number of shares		Value
Common stocks—(concluded)
United Kingdom—0.33%
Tanjong PLC		199,800	$	862,160
Total common stocks (cost—$245,759,165)				248,751,043
Preferred stocks—4.55%
Brazil—2.64%
AES Tiete SA		50,500		544,044
Companhia de Bebida das Americas (AmBev)		72		5,102
Companhia Vale do Rio Doce (CVRD), Class A		186,854		3,244,845
Itausa-Investimentos Itau SA		508,056		2,605,974
Petroleo Brasileiro SA- Petrobras, ADR		18,132		611,048
Total Brazil preferred stocks				7,011,013
South Korea—1.91%
Hyundai Motor Co.		70,660		2,068,252
Samsung Electronics Co. Ltd.		7,912		2,992,285
Total South Korea preferred stocks				5,060,537
Total preferred stocks (cost—$13,057,331)				12,071,550
	Number of rights
Rights*—0.03%
South Korea—0.03%
KB Financial Group, Inc. expires 08/21/097		2,855		38,542
KB Financial Group, Inc. expires 08/27/098		4,141		53,440
Total rights (cost—$24,131)				91,982
	Face amount
Corporate bond5,6,9,10—0.00%
Brazil—0.00%
Companhia Vale do Rio Doce 1.000%, due 09/29/49 (cost—$0)	$	10,050		0
Repurchase agreement—0.50%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $1,352,711 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09, (value—$1,352,576); proceeds: $1,326,001 (cost—$1,326,000)		1,326,000		1,326,000

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Investment of cash collateral from securities loaned—6.94%
Money market fund—6.94%
UBS Private Money market Fund LLC11(cost—$18,398,485)		18,398,485	$	18,398,485
Total investments (cost—$278,565,112)— 105.82%				280,639,060
Liabilities in excess of other assets—(5.82)%				(15,446,733	)
Net assets—100.00%			$	265,192,327

Aggregate cost for federal income tax purposes was $290,209,722; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	15,368,921
Gross unrealized depreciation		(24,939,583	)
Net unrealized depreciation	$	(9,570,662	)

*  Non-income producing security.

1  Security, or portion thereof, was on loan at July 31, 2009.

2  Security exempt from registration under Rule 144A of the Securities Act of 1933. This security, which represents 0.20% of net assets as of July 31, 2009, is considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

3  Security is traded on the London Exchange.

4  Security is traded on the OTC Market.

5  Illiquid securities representing 0.19% of net assets as of July 31, 2009.

6  Security is being fair valued by a valuation committee under the direction of the board of trustees.

7  Security is traded on the New York Stock Exchange.

8  Security is traded on the Korea Stock Exchange.

9  Variable rate security. The interest rate shown is the current rate as of July 31, 2009, and resets periodically.

10  Perpetual bond security. The maturity date represents the final maturity.

11  The table below details the Portfolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	6,385,235	$	220,485,620	$	208,472,370	$	18,398,485	$	67,945

ADR  American Depositary Receipt

GDR  Global Depositary Receipt

JSC  Joint Stock Company

NVDR  Non Voting Depositary Receipt

OTC  Over The Counter

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Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)12		Significant other observable inputs (Level 2)12		Unobservable inputs (Level 3)13		Total
Common stocks	$	246,804,996	$	1,946,047	$	—	$	248,751,043
Preferred stocks		12,071,550		—		—		12,071,550
Rights		91,982		—		—		91,982
Corporate bond		—		—		0		0
Repurchase agreement		—		1,326,000		—		1,326,000
Investment of cash collateral from securities loaned		—		18,398,485		—		18,398,485
Total	$	258,968,528	$	21,670,532	$	0	$	280,639,060

12  The Portfolio may hold securities which are periodically fair valued in accordance with the Portfolio's fair valuation policy. This may result in movements between Level 1 and Level 2 throughout the fiscal year.

13  Security categorized as Level 3 has a value of $0.

The following is a rollforward of the Portfolio's investment that was valued using unobservable inputs (Level 3) for the period:

Measurements at 07/31/09
	Corporate bond
Beginning balance	$	0
Net purchases/(sales)		—
Accrued discounts/(premiums)		—
Total realized gain/(loss)		—
Total unrealized appreciation/(depreciation)		—
Net transfers in/(out) of Level 3		—
Ending balance	$	0

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 36.09% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 37.04%). In comparison, the FTSE EPRA/NAREIT Developed Index (formerly known as the FTSE EPRA/NAREIT Global Real Estate Index) (the "benchmark") declined 30.01%, while the FTSE NAREIT Equity REIT Index (the "Index") declined 39.46% and the Lipper Global Real Estate Funds category (which is inclusive of US and international funds) posted a median decline of 27.41%. (Returns for all share classes over various time periods are shown in the "Performance at a glance" table on page 174. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environm ent in general during the reporting period, please refer to page two.

Sub-Advisor's comments

The Portfolio underperformed its benchmark during the reporting period, primarily due to stock selection.

For the first seven months of the reporting period, through February 28, 2009, the global real estate securities market, as represented by the Portfolio's benchmark, declined 56.3%. The selloff was also apparent in the global equity markets, as the MSCI World Free Index (net) fell 44.4% over the same time period. As cash flows declined due to the weakening economy and the strained credit environment persisted, property values faced downward pressure.

However, beginning in March 2009, the global real estate market made a remarkable comeback. From March 1, 2009, through July 31, 2009, the Portfolio's benchmark returned 60.1%. During the same time period, it outperformed the MSCI World Free Index (net) by 19.25%. During this time, fear of a systemic collapse in the banking sector subsided, the pace of deterioration in the economy slowed and the capital markets showed signs of modest improvement. Additionally, real estate securities underwent successful equity offerings, which removed the prospect of looming liquidity issues for many companies.

During the reporting period as a whole, China and Hong Kong were the strongest performers within the benchmark, returning 39.7% and 7.8%, respectively. On the country level, an underweight position to China detracted from the Portfolio's relative performance. Australia performed poorly within the benchmark, declining 45.7%, and the Portfolio's relative underweight to the country benefited relative results.

Europe delivered mixed results, with Continental Europe outperforming with a decline of 30.1% within the benchmark, while the United Kingdom was the worst-performing market within the benchmark, as it fell 47.3%.

UBS PACE Select Advisors Trust – UBS PACE Global Real Estate Securities Investments

Investment Sub-Advisor:

Goldman Sachs Asset Management, L.P. ("GSAM")

Portfolio Managers:

David Kruth and James Otness

Objective:

Total return

Investment process:

The Portfolio invests primarily in real estate investment trusts (REITs) and other real estate related securities. Under normal market conditions, the Portfolio will maintain exposure to real estate related securities of issues in the US and at least three non-US countries.

GSAM employs a bottom-up investment process focusing on fundamental research seeking to identify undervalued, well-managed businesses with strong growth potential that offer an attractive level of income and capital appreciation.

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Sub-Advisor's comments – concluded

Within the Portfolio, however, stock selection contributed positively in the United Kingdom, where the Portfolio was underweight Liberty International PLC, which was later sold from the Portfolio during the reporting period. Stock selection also contributed positively in Continental Europe, where the Portfolio did not hold Immofinanz. Elsewhere, the US declined 40.5% within the benchmark, and the Portfolio's underweight to the US was positive for performance.

During the reporting period, stock selection detracted from performance in the US, where the Portfolio was overweight ProLogis. Other detractors from performance included an underweight to Nippon Building Fund, Inc. in Japan, an overweight to Tishman Speyer Office Fund in Australia, a position which we eliminated during the reporting period, and an underweight to Link REIT in Hong Kong and CapitaLand Ltd. in Singapore.

Special considerations

The Portfolio may be appropriate for long-term investors seeking to diversify a portion of their assets into real-estate related investments. Investors should be willing to withstand short-term fluctuations in the equity and real estate markets in return for potentially higher returns over the long term. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the companies or issuers in whose securities the Portfolio invests. The value of the Portfolio's investments in foreign securities may fall due to adverse political, social, and economic developments abroad and due to decreases in foreign currency values relative to the US dollar. These risks are greater for investments in emerging market issuers than for issuers in more developed countries. There are certain risks a ssociated with investing in real estate-related investments, including sensitivity to economic downturns, interest rates, declines in property values and variation in property management.

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Comparison of change in value of a $10,000 investment in the Class A shares of the Portfolio, the FTSE EPRA/NAREIT Developed Index (formerly known as the FTSE EPRA/NAREIT Global Real Estate Index) and the FTSE NAREIT Equity REIT Index (unaudited)

The graph depicts the performance of UBS PACE Global Real Estate Securities Investments Class A shares versus the FTSE EPRA/NAREIT Developed Index (formerly known as the FTSE EPRA/NAREIT Global Real Estate Index) and the FTSE NAREIT Equity REIT Index from December 31, 2006, the month-end after the inception date of the Class A shares, through July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Global Real Estate Securities Investments is a professionally managed portfolio while the Indices are not available for investment and are unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			Since inception1
Before deducting	Class A2		(36.25	)%		(22.11	)%
maximum sales charge	Class C3		(36.73	)%		(22.72	)%
or UBS PACE Select	Class Y4		N/A			11.95	%
program fee	Class P5		(36.09	)%		(24.05	)%
After deducting maximum sales charge	Class A2		(39.76	)%		(23.77	)%
or UBS PACE Select	Class C3		(37.36	)%		(22.72	)%
program fee	Class P5		(37.04	)%		(25.18	)%
FTSE EPRA/NAREIT Developed Index6,7			(30.01	)%		(19.74	)%
FTSE NAREIT Equity REIT Index8			(39.46	)%		(22.99	)%
Lipper Global Real Estate Funds median			(27.41	)%		(19.64	)%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (45.41)%; since inception, (27.24)%; Class C—1-year period, (43.27)%; since inception, (26.21)%; Class Y—since inception, 1.61%; Class P—1-year period, (42.96)%; since inception, (28.73)%. Please note the since inception return for the Class Y shares has not been annualized.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—1.74% and 1.45%; Class C—2.68% and 2.20%; Class Y—1.92% and 1.20%; and Class P—1.71% and 1.20%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.45%; Class C—2.20%; Class Y—1.20% and Class P—1.20%. The Portfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹  Since inception returns are calculated as of commencement of issuance on December 18, 2006 for Class A and C shares, and January 22, 2007 for Class Pshares. Class Y shares commenced issuance on November 30, 2006 and had fully redeemed by February 15, 2007 remaining inactive through December 25, 2008. The inception return of Class Y shares is calculated from December 26, 2008, which is the date the Class Y shares recommenced investment operations. Please note the since inception return for the Class Y shares has not been annualized. Since inception returns for the Indices and Lipper median are shown as of December 31, 2006, which is the month-end after the inception date of the oldest share classes (Class A & Class C).

²  Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³  Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁴  The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁵  Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁶  The FTSE EPRA/NAREIT Developed Index (formerly known as the FTSE EPRA/NAREIT Global Real Estate Index) is designed to track the performance of listed real estate companies and REITS worldwide. By making the index constituents free-float adjusted, liquidity, size and revenue screened, the series is suitable for use as the basis for investment products, such as derivatives and Exchange Traded Funds (ETFs). Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

⁷  Effective November 28, 2008, the Portfolio's benchmark was changed to the FTSE EPRA/NAREIT Developed Index (formerly known as the FTSE EPRA/NAREIT Global Real Estate Index) to more closely reflect its current strategy.

⁸  The FTSE NAREIT Equity REIT Index is an unmanaged market weighted index of publicly traded US equity real estate investment trusts ("REITs"). Equity REITs include those firms that own, manage and lease investment grade commercial real estate. A company is classified as an Equity REIT if 75% or more of its gross invested book assets is invested in real property. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Total returns for the period of less than one year have not been annualized. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	56.3
Number of holdings		94
Portfolio composition1	07/31/09
Common stocks		96.9	%
Cash equivalents and other assets less liabilities		3.1
Total		100.0	%
Top five countries (equity investments)1	07/31/09
United States		36.2	%
Hong Kong		13.2
Japan		12.3
Australia		8.3
France		6.3
Total		76.3	%
Top ten equity holdings1	07/31/09
Sun Hung Kai Properties Ltd.		5.8	%
Unibail Rodamco		4.7
Mitsui Fudosan Co. Ltd.		4.7
Simon Property Group, Inc.		3.8
Mitsubishi Estate Co. Ltd.		2.7
Sumitomo Realty & Development Co. Ltd.		2.5
Boston Properties, Inc.		2.4
Vornado Realty Trust		2.3
Public Storage, Inc.		2.2
Capitaland Ltd.		2.2
Total		33.3	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

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Industry diversification—(unaudited)

As a percentage of net assets as of July 31, 2009

Common stocks

Diversified	32.83	%
Health care	5.50
Hotels	3.44
Industrial	4.80
Office	22.29
Other	2.83
Residential	8.18
Retail	17.03
Total common stocks	96.90
Repurchase agreement	2.80
Investment of cash collateral from securities loaned	26.74
Liabilities in excess of other assets	(26.44	)
Net assets	100.0	%

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—96.90%
Australia—8.27%
CFS Retail Property Trust1		676,510	$	970,345
Commonwealth Property Office Fund		937,938		662,855
Dexus Property Group		1,300,792		794,180
ING Office Fund		1,085,705		440,394
Macquarie Office Trust		3,168,972		622,837
Stockland		51,250		135,018
Westfield Group		108,854		1,031,484
Total Australia common stocks				4,657,113
Bermuda—2.95%
Hongkong Land Holdings Ltd.		87,000		338,430
Hopson Development Holdings Ltd.		358,000		574,644
Kerry Properties Ltd.		145,000		750,253
Total Bermuda common stocks				1,663,327
Brazil—0.18%
BR Malls Participacoes SA*		9,561		99,415
Canada—2.36%
Allied Properties Real Estate Investment Trust		9,500		137,043
Boardwalk Real Estate Investment Trust		8,900		273,052
Cominar Real Estate Investment Trust2		3,500		55,428
Cominar Real Estate Investment Trust3		11,462		179,817
First Capital Realty, Inc.		16,200		258,659
InnVest Real Estate Investment Trust		104,300		359,204
RioCan Real Estate Investment Trust4,5		4,400		63,391
Total Canada common stocks				1,326,594
Cayman Islands—2.31%
China Resources Land Ltd.		368,000		892,691
Shimao Property Holdings Ltd.		203,500		409,623
Total Cayman Islands common stocks				1,302,314
France—6.26%
Klepierre		20,504		586,240
Mercialys		8,571		287,082
Unibail Rodamco		15,174		2,651,530
Total France common stocks				3,524,852
Hong Kong—13.16%
China Overseas Land & Investment Ltd.		376,000		925,682
Hang Lung Properties Ltd.		161,000		595,177
Henderson Land Development Co. Ltd.		160,000		1,060,122
Hysan Development Co.		148,321		402,856

Security description	Number of shares		Value
Common stocks—(continued)
Hong Kong—(concluded)
Link REIT		243,500	$	552,977
Sun Hung Kai Properties Ltd.		215,000		3,259,656
Wharf (Holdings) Ltd.		131,000		616,964
Total Hong Kong common stocks				7,413,434
Japan—12.30%
Frontier Real Estate Investment Corp.		19		122,684
Japan Logistics Fund, Inc.		21		142,035
Japan Real Estate Investment Corp.		33		276,206
Mitsubishi Estate Co. Ltd.		92,000		1,533,252
Mitsui Fudosan Co. Ltd.1		144,000		2,647,926
Nippon Building Fund, Inc.		46		413,210
Sumitomo Real Estate Sales Co., Ltd.1		3,030		135,129
Sumitomo Realty & Development Co. Ltd.1		67,000		1,380,714
TOKYU REIT, Inc.		50		277,939
Total Japan common stocks				6,929,095
Netherlands—0.99%
Vastned Offices/Industrial N.V.		36,620		556,654
Singapore—3.63%
Allgreen Properties Ltd.		164,000		136,748
Ascendas Real Estate Investment Trust (A-REIT)1		219,066		258,772
Capitaland Ltd.1		458,000		1,215,690
CapitaMall Trust		395,700		434,427
Total Singapore common stocks				2,045,637
Sweden—2.08%
Castellum AB		49,602		366,035
Hufvudstaden AB, Class A		102,845		674,136
Wihlborgs Fastigheter AB		8,404		129,857
Total Sweden common stocks				1,170,028
United Kingdom—6.20%
Berkeley Group Holdings PLC*		10,141		139,925
British Land Co. PLC		40,724		295,919
Derwent London PLC1		34,175		550,896
Great Portland Estates PLC		163,405		634,632
Hammerson PLC		104,255		600,392
Helical Bar PLC		21,570		122,507
Land Securities Group PLC		111,109		991,115
Segro PLC		33,343		153,588
Total United Kingdom common stocks				3,488,974
United States—36.21%
Acadia Realty Trust1		16,070		220,159
Alexandria Real Estate Equities, Inc.1		8,929		340,284
AMB Property Corp.1		13,474		266,920

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(concluded)
United States—(concluded)
American Campus Communities, Inc.1		14,787	$	339,066
AvalonBay Communities, Inc.1		8,443		491,383
Boston Properties, Inc.1		25,044		1,324,828
Brandywine Realty Trust		18,884		154,471
Camden Property Trust1		17,577		518,697
Corporate Office Properties Trust1		7,134		241,914
Corrections Corp. of America*		30,992		534,922
Cypress Sharpridge Investments, Inc.*		10,542		139,682
Digital Realty Trust, Inc.1		14,525		588,989
Douglas Emmett, Inc.1		57,183		580,979
Duke Realty Corp.1		39,233		372,321
Entertainment Properties Trust1		23,295		636,186
Equity Lifestyle Properties, Inc.1		9,943		414,325
Equity Residential1		25,087		602,088
Essex Property Trust, Inc.1		7,367		478,929
Federal Realty Investment Trust1		9,225		526,286
HCP, Inc.1		32,037		825,273
Health Care REIT, Inc.1		21,394		857,044
Hospitality Properties Trust		31,982		504,996
Host Hotels & Resorts, Inc.		77,355		702,383
Jones Lang LaSalle, Inc.1		3,920		148,803
Kimco Realty Corp.1		45,652		449,216
MFA Financial, Inc.		18,067		133,696
Nationwide Health Properties, Inc.1		13,684		397,110
ProLogis1		73,779		648,517
Public Storage, Inc.1		16,957		1,230,570
Regency Centers Corp.1		7,135		228,891
Simon Property Group, Inc.1		38,217		2,129,451
SL Green Realty Corp.1		5,731		147,745
Starwood Hotels & Resorts Worldwide, Inc.1		15,768		372,282
Tanger Factory Outlet Centers, Inc.1		6,437		228,771
Taubman Centers, Inc.1		12,277		326,691
Ventas, Inc.1		28,853		1,018,511
Vornado Realty Trust1		24,867		1,268,714
Total United States common stocks				20,391,093
Total common stocks (cost—$47,873,936)				54,568,530

Security description	Face amount		Value
Repurchase agreement—2.80%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co. 0.010%, due 08/03/09, collateralized by $1,604,687 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$1,604,526); proceeds: $1,573,001 (cost—$1,573,000)	$	1,573,000	$	1,573,000
	Number of shares
Investment of cash collateral from securities loaned—26.74%
Money market fund—26.74%
UBS Private Money Market Fund LLC,6 (cost—$15,057,573)		15,057,573		15,057,573
Total investments (cost—$64,504,509)— 126.44%				71,199,103
Liabilities in excess of other assets—(26.44)%				(14,886,331	)
Net assets—100.00%			$	56,312,772

Aggregate cost for federal income tax purposes was $78,730,431; and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	8,154,115
Gross unrealized depreciation		(15,685,443	)
Net unrealized depreciation	$	(7,531,328	)

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Portfolio of investments—July 31, 2009

*  Non-income producing security.

1  Security, or portion thereof, was on loan at July 31, 2009.

2  Security is traded on the Toronto Stock Exchange.

3  Security is traded on the OTC Market.

4  Security is being fair valued by a valuation committee under the direction of the board of trustees.

5  Security exempt from registration under Rule 144A of the Securities Act of 1933. This security, which represents 0.11% of net assets as of July 31, 2009, is considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

6  The table below details the Portfolio's transaction activity in an affiliated issuer for the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	1,692,918	$	85,801,777	$	72,437,122	$	15,057,573	$	37,922

OTC  Over the Counter

REIT  Real Estate Investment Trust

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)7		Significant other observable inputs (Level 2)7		Unobservable inputs (Level 3)		Total
Common stocks	$	54,325,322	$	243,208	$	—	$	54,568,530
Repurchase agreement		—		1,573,000		—		1,573,000
Investment of cash collateral from securities loaned		—		15,057,573		—		15,057,573
Total	$	54,325,322	$	16,873,781	$	—	$	71,199,103

7  The Portfolio may hold securities which are periodically fair valued in accordance with the Portfolio's fair valuation policy. This may result in movements between Level 1 and Level 2 throughout the fiscal year.

See accompanying notes to financial statements.
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Performance

For the 12 months ended July 31, 2009, the Portfolio's Class P shares declined 14.73% (before the deduction of the maximum UBS PACE Select program fee; after the deduction of the maximum UBS PACE Select program fee, the Portfolio declined 16.00%). In comparison, the MSCI World Free Index (net) declined 21.61%, the Barclays Capital Global Aggregate Index (formerly known as the Lehman Brothers Global Aggregate Index) returned 4.89%, the US Consumer Price Index (CPI) declined 2.10%, while the Lipper Global Flexible Portfolio Funds category posted a median decline of 10.44%. (Returns for all share classes over various time periods are also shown in the "Performance at a glance" table on page 185. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.) For a detailed commentary on the market environment in general during t he reporting period, please refer to page two.

Sub-Advisors' comments

Analytic Investors

At the beginning of the reporting period, we used a multi-strategy approach, comprised of long-short equities, long-short global index futures, long-short currencies and call options.¹ As the reporting period continued, we used long-short equities and call options. Over the final three months of the reporting period, we only used long-short equities. The equity positions, index futures and currencies detracted from our portion of the Portfolio's overall performance, while the call options added value over the reporting period.

During the 12-month reporting period, our emphasis on companies with above-average earnings quality, measured through cash flow and earnings to price ratios, contributed positively to performance. Short positions in companies where there was little consensus among analysts about expected earnings—as well as those that, in our opinion, had unattractive debt-to-equity ratios—contributed positively to our portion of the Portfolio's performance. This was a result of the fact that risk-averse investors avoided buying shares in companies for which analysts did not have a great deal of consensus about expected earnings. Investors also avoided

UBS PACE Select Advisors Trust – UBS PACE Alternative Strategies Investments

Investment Sub-Advisors:

Analytic Investors, LLC ("Analytic Investors"); Wellington Management Company, LLP ("Wellington Management"); Goldman Sachs Asset Management, L.P. ("GSAM") and First Quadrant L.P. ("First Quadrant"), commencing April 8, 2009

Portfolio Managers:

Analytic Investors: Dennis Bein;
Wellington Management: Scott M. Elliott and Evan S. Grace, CFA;
GSAM: Jonathan Beinner, Thomas Kenny, James Clark and Michael Swell;

First Quadrant: Ken Ferguson, Dori Levanoni and Chuck Fannin

Objective:

Long-term capital appreciation

Investment process:

Analytic Investors primarily employs a long/short global equity strategy. This strategy is implemented by taking long and short positions of equity securities publicly traded in the United States and in foreign markets both by direct equity investment and through derivatives. Analytic Investors' strategy may also employ the use of derivatives, such as swaps, futures, non-deliverable forwards ("NDFs"), and forward contracts.

(continued on next page)

¹  When a long position is taken, a security is purchased with the expectation that it will rise in value. A short position is taken when we believe, based on our research, that securities are overpriced, in hopes of making a profit when the security falls in value. When shorting an investment, we borrow the security, sell it, and then buy an equal number of shares later—hopefully at a lower price—to replace those we borrowed. A call option is a short-term contract in which the purchaser of the option, in return for a premium, has the right to buy the security underlying the option at a specified price at any time during the term of the option, or at specified times, or at the expiration of the option depending on the type of option involved.

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Sub-Advisors' comments – continued

companies that were leveraged—that is, companies that had above-average levels of debt relative to equity in their capital structure.

Stock selection subtracted value over the period within our portion of the Portfolio. Positions in the energy, financials and consumer discretionary sectors performed well; however, positions in the industrial, health care and material sectors had a negative impact on performance. The top equity performers were long positions in Ford Motor Co. and Yum Brands Inc., as well as a short position in Liberty Global Inc. Long positions in Henkel AG & Co., Wm. Morrison Supermarkets PLC, and Procter & Gamble Co. detracted from relative performance within our portion of the Portfolio.

Options positions, which were held in our portion of the Portfolio through the beginning of April 2009, added 2.51% to performance in the declining equity market. Using our forecasts of market volatility, we were able to opportunistically identify and sell those call options which we believed to be overvalued. In particular, calls written on the KBW Regional Bank, as well as the Germany Blue Chip and the OMX Stockholm 30 indices added value. In addition, calls written on natural gas and oil and gas sector indices helped performance. However, calls written on the gold and silver sectors, as well as the ISE SINdex Index and the S&P 500 Index subtracted value over the 12-month period.

Our global asset allocation overlay, which was applied to the Portfolio in August and a portion of September 2008, subtracted from overall performance, with both the equity and the currency components posting losses as rising risk aversion and weakening economic activity hurt returns.

From a currency perspective, negative returns in this area were mostly due to the fact that the US dollar gained strength during the reporting period, reversing its relative weakness. Our portion of the Portfolio did not benefit from the strengthening of the US dollar. It also was not positioned to benefit from the weakening of the Australian dollar against the Canadian dollar.

Investment process (concluded)

Wellington Management pursues an "opportunistic equity plus Alpha" strategy by opportunistically seeking non-core equity exposures that Wellington Management believes are attractively valued, have positive structural characteristics in the current market environment or are expected to benefit from anticipated economic cycles. In addition, Wellington Management may employ other investment approaches, for example, by allocating assets to fixed income securities or other non-equity investments that are expected to beat their respective benchmarks over time. Wellington Management may buy and sell, directly or indirectly, listed or unlisted equity and fixed income securities issued by entities around the world, as well as derivative instruments.

GSAM seeks to employ a number of diverse strategies and seeks to allocate capital tactically to strategies it believes offer the best opportunities at a given point in time in a given market or sector. GSAM focuses mainly on the global fixed income and currency markets, across variable investment grade and sub-investment grade sectors. GSAM invests mainly in currencies, fixed income securities, and derivative investments.

First Quadrant employs a global macro strategy that seeks to add value through a disciplined, active quantitative investment process. It uses independent alpha categories (comprised of more than 20 strategies believed by First Quadrant to be uncorrelated) that span a wide variety of asset classes. The global macro strategy tactically allocates risk between these different alpha categories and attempts to take advantage of inefficiencies when there are potential opportunities for gains. Currently, First Quadrant looks at the following alpha categories: (i) global asset class selection; (ii) stock country selection; (iii) bond country selection; (iv) currency selection; and (v) volatility management. However, the number and nature of alpha categories may change over time.

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Sub-Advisors' comments – continued

Wellington Management

Metals and energy-related holdings detracted from our portion of the Portfolio's absolute results during the reporting period, as commodity and energy prices declined amid slowing global economic growth. In particular, positions in Teck Resources Ltd., as well as in Alumina Limited and Eurasian Natural Resources Corp., both of which we sold during the period, performed poorly and were the largest detractors from Portfolio performance. Other significant detractors from absolute results included media audience rating services provider Arbitron Inc., as well as cable and connectivity product manufacturer Belden CTD, Inc.

Our portion of the Portfolio's holdings in Chinese equities had a positive impact on absolute returns during the 12-month period. These stocks performed well following indications that massive government stimulus spending had started to spur growth. Our consumer staples holdings, including the largest producer of baby diapers in China, Hengan International Group Co. Ltd. and holdings in the materials sector, including Angang Steel Co. Ltd., and Huabao International Holdings, Ltd., were the primary drivers of returns in these areas. At the same time, select financials, including Beijing-based China Life Insurance Co. Ltd. and property developer China Overseas Land & Investment Ltd., aided results.

Later in the reporting period, positions in outperforming Goldman Sachs Group, Inc. and Bank of America Corp. also significantly contributed to our portion of the Portfolio's absolute returns. These companies benefited from consolidation in the financial industry and having solid balance sheets relative to their peers.

GSAM

Within our portion of the Portfolio, duration and yield curve positioning were the largest positive contributors to performance. (Duration measures a portfolio's sensitivity to interest rate changes, while the yield curve plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity dates.) In late 2008, a long position in the two-year and 30-year portions of the European bond yield curve performed well as interest rates rallied significantly across the globe amid an extreme flight to quality. More recently, our portion of the Portfolio maintained a duration position that was shorter than that of the benchmark. This was also beneficial, as interest rates have risen in 2009 due to stimulus-related issuance and long-term inflationary concerns.

The decision to increase our portion of the Portfolio's exposure to corporate bonds during the reporting period enhanced performance. During this time, the Federal Reserve's Open Market Committee agreed to purchase $300 billion in longer-term Treasury securities over six months. Many interest rates are benchmarked to Treasuries, and the massive purchase was expected to drive these rates down and make borrowing cheaper. Corporate bond prices rallied significantly in response. Strong inflows into corporate bond mutual funds also helped spreads—that is, the difference between the yields paid on these securities versus those paid on Treasuries—to decrease. This, in turn, breathed life into the new issuance market, allowing many companies to refinance their liabilities.

We increased our portion of the Portfolio's exposure to credit-sensitive mortgages during the reporting period. However, exposure to nonagency mortgages significantly detracted from performance due to the extreme market stress of 2008. During that period, these securities suffered from deteriorating fundamentals, such as continued declines in home prices, rising delinquencies and default rates. In our view, this created an opportunity, as we believed securities in this sector were attractively priced, even under extremely conservative default and recovery assumptions. Therefore, we increased the allocation to nonagency mortgages, which proved to be beneficial in recent months as the supply and demand outlook improved.

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Sub-Advisors' comments – concluded

Elsewhere, our portion of the Portfolio's long positions in agency mortgage-backed securities and asset-backed securities detracted from performance. These sectors underperformed during the final months of 2008 as all spread sectors—that is, all non-Treasury investment grade sectors, including federal agency securities, corporate bonds, asset-backed securities, mortgage-backed securities and commercial mortgage-backed securities—underperformed their Treasury counterparts. However, these sectors have since performed well as investors' risk appetite has returned.

First Quadrant

We managed a portion of the Portfolio from April 8, 2009 through July 31, 2009. During that time, from an asset allocation perspective, our portion of the Portfolio benefited as global stocks rose and bonds slumped, particularly in April and May of 2009. In terms of country allocation within equities, over the entire period, our positions in Japan and Australia benefited performance. However, losses from positions in the United Kingdom and Spain offset those gains, and country allocation was negative for performance within our portion of the Portfolio.

In terms of country allocation within fixed income, our portion of the Portfolio ended the period on a positive note, with strong performance in July 2009. Profitable investments included positions in German, Canadian and Japanese bonds, while positions in the US and Australia detracted from performance.

Currency positioning within our portion of the Portfolio delivered mixed results, with detracting positions in the US dollar and the British pound offsetting gains from positions in the New Zealand and Australian dollars as well as the Swiss franc.

From a volatility management perspective, our portion of the Portfolio struggled, especially during May 2009. During that time, asset prices trended strongly upward, and positions that were taken with the expectation that market volatility would remain high suffered when the overall levels of expected volatility dropped, which hurt performance.

Special considerations

The Portfolio may be appropriate for investors seeking long term capital appreciation who are able to withstand short-term fluctuations in the equity markets and fixed income markets in return for potentially higher returns over the long-term. The Portfolio may employ investment strategies that involve greater risks than the strategies used by many other mutual funds, including increased use of short sales (which involve the risk of an unlimited increase in the market value of the security sold short, which could result in a theoretically unlimited loss), leverage and derivative transactions, and hedging strategies. The value of the Portfolio changes every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments, as well as specific matters relating to the issuers of securities in which the Portfolio invests. The value of the Portfolio's investments in foreign securities may fall due to adverse political, social and economic developments abroad and due to decreases in foreign currency values relative to the US dollar. It is important to note that an investment in the Portfolio is only one component of a balanced investment plan.

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Comparison of change in value of a $10,000 investment in the Class P shares of the Portfolio, the MSCI World Free Index (net), the Barclays Capital Global Aggregate Index and the US Consumer Price Index (CPI) (unaudited)

The graph depicts the performance of UBS PACE Alternative Strategies Investments Class P shares versus the MSCI World Free Index (net), the Barclays Capital Global Aggregate Index and the US Consumer Price Index (CPI) from April 30, 2006, the month-end after the inception date of the Class P shares, through July 31, 2009. The performance of the other classes will vary from the performance of the class shown based on the difference in sales charges and fees paid by shareholders investing in different share classes. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. It is important to note that UBS PACE Alternative Strategies Investments is a professionally managed portfolio while the Indices are not available for investment and are unmanaged. The comparison is shown for illustrative purposes only.

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Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09		1 year			Since inception1
Before deducting	Class A2		(14.95	)%		(2.65	)%
maximum sales charge	Class B3		(15.54	)%		(2.95	)%
or UBS PACE Select	Class C4		(15.61	)%		(3.27	)%
program fee	Class Y5		(14.81	)%		(14.56	)%
	Class P6		(14.73	)%		(2.41	)%
After deducting	Class A2		(19.63	)%		(4.30	)%
maximum sales charge	Class B3		(19.71	)%		(3.54	)%
or UBS PACE Select	Class C4		(16.44	)%		(3.27	)%
program fee	Class P6		(16.00	)%		(3.87	)%
MSCI World Free Index (net)7			(21.61	)%		(6.10	)%
Barclays Capital Global Aggregate Index8			4.89	%		7.03	%
US Consumer Price Index (CPI)9			(2.10	)%		2.07	%
Lipper Global Flexible Portfolio Funds median			(10.44	)%		(1.98	)%

Average annual total returns for periods ended June 30, 2009, after deduction of the maximum sales charge or UBS PACE Select program fee, were as follows: Class A—1-year period, (23.44)%; since inception, (5.26)%; Class B—1-year period, (23.56)%; since inception, (4.50)%: Class C—1-year period, (20.45)%; since inception, (4.20)%; Class Y—since inception, (17.31)%; Class P—1-year period, (20.05)%; since inception, (4.78)%. Please note that the since inception return for the Class Y shares has not been annualized.

The annualized gross and net expense ratios, respectively, for each class of shares as in the November 28, 2008 prospectuses, were as follows: Class A—2.42% and 2.41%; Class B—4.51% and 3.16%; Class C—3.16% and 3.16%; Class Y—2.69% and 2.16%; and Class P—2.13% and 2.13%. Net expenses reflect fee waivers and/or expense reimbursements, if any, pursuant to an agreement that is in effect to cap the expenses. The Portfolio and UBS Global AM have entered into a written fee waiver/expense reimbursement agreement pursuant to which UBS Global AM is contractually obligated to waive its management fees and/or reimburse the Portfolio so that the ordinary total operating expenses of each class through November 30, 2009 (excluding dividend expense, borrowing costs and interest expense, if any) would not exceed Class A—1.95%; Class B—2.70%; Class C—2.70%; Class Y—1.70% and Class P—1.70%. The Po rtfolio has agreed to repay UBS Global AM for any waived fees/reimbursed expenses to the extent that it can do so over the following three fiscal years without causing the Portfolio's expenses in any of those three years to exceed the expense caps described above.

¹Since inception returns are calculated as of commencement of issuance on April 10, 2006 for Class P and A shares, May 19, 2006 for Class B shares, April 11, 2006 for Class C shares. Class Y shares commenced issuance on April 3, 2006, and had fully redeemed by July 26, 2006 remaining inactive through July 22, 2008. The inception return of Class Y shares is calculated from July 23, 2008, which is the date the Class Y shares recommenced investment operations. Since inception returns for the Indices and Lipper median are shown as of April 30, 2006, which is the month-end after the inception date of the oldest share classes (Class P and Class A).

²Maximum sales charge for Class A shares is 5.5%. Class A shares bear ongoing 12b-1 service fees.

³Maximum contingent deferred sales charge for Class B shares is 5% imposed on redemptions and is reduced to 0% after a maximum of six years. Class B shares bear ongoing 12b-1 service and distribution fees.

⁴Maximum contingent deferred sales charge for Class C shares is 1% imposed on redemptions and is reduced to 0% after one year. Class C shares bear ongoing 12b-1 service and distribution fees.

⁵The Portfolio offers Class Y shares to a limited group of eligible investors, including certain qualifying retirement plans. Class Y shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees.

⁶Class P shares do not bear initial or contingent deferred sales charges or ongoing 12b-1 service and distribution fees, but are subject to a maximum annual UBS PACE Select program fee of 1.5% of the value of Class P shares.

⁷The MSCI World Free Index (net) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. As of June 2007, the Index consisted of 23 developed market country indices. Dividends are reinvested after deduction of withholding tax, using tax rates applicable to Luxembourg holding companies, as Luxembourg applies the highest rates. The Index excludes closed markets and those shares in otherwise free markets that are not purchasable by foreigners. Investors should note that indices do not reflect the deduction of fees and expenses.

⁸The Barclays Capital Global Aggregate Index (formerly known as the Lehman Brothers Global Aggregate Index) is a broad-based, market capitalization-weighted index which measures the broad global markets for US and non-US corporate, government, governmental agency, supranational, mortgage-backed and asset-backed fixed income securities. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

⁹The US Consumer Price Index (CPI) produces monthly data on changes in the prices paid by urban consumers for a representative basket of goods and services. The Index is calculated by the Bureau of Labor Statistics. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

If an investor sells or exchanges shares less than 90 days after purchase, a redemption fee of 1.00% of the amount sold or exchanged will be deducted at the time of the transaction, except as noted otherwise in the prospectuses.

Past performance does not predict future performance, and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares. The return and principal value of an investment will fluctuate, so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the ex-dividend dates. Total returns for the period of less than one year have not been annualized. Current performance may be higher or lower than the performance data quoted. For month-end performance figures, please visit http://www.ubs.com.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

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Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	442.1
Number of holdings		710
Portfolio composition1	07/31/09
Common and preferred stocks		33.4	%
Bonds and notes		29.5
ADRs and GDRs		1.9
Investment companies		0.8
Unit trusts		0.2
Investments sold short		(4.8	)
Options, futures, swaps and forward foreign currency contracts		(1.1	)
Cash equivalents and other assets less liabilities		40.1
Total		100.0	%

Top five countries (long holdings)1	07/31/09
United States		40.9	%
Canada		3.2
China		2.8
Japan		2.7
Australia		2.2
Total		51.8	%
Top five equity sectors (long holdings)1	07/31/09
Information technology		5.8	%
Financials		5.6
Materials		5.5
Industrials		4.3
Consumer discretionary		3.8
Total		25.0	%

Top five countries (short holdings)1	07/31/09
United States		(2.2	)%
Japan		(1.0	)
Canada		(0.5	)
Netherlands		(0.3	)
Germany		(0.3	)
Total		(4.3	)%
Top five equity sectors (short holdings)1	07/31/09
Industrials		(1.0	)%
Health care		(0.9	)
Information technology		(0.6	)
Consumer discretionary		(0.5	)
Financials		(0.5	)
Total		(3.5	)%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

ADR  American Depositary Receipt

GDR  Global Depositary Receipt

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Portfolio statistics (unaudited) (concluded)

Top ten equity holdings (long holdings)1	07/31/09
Apple, Inc.		0.6	%
Ford Motor Co.		0.6
Goldcorp., Inc.		0.5
Fluor Corp.		0.4
Google, Inc.		0.4
China Moblie Ltd., ADR		0.4
Seagate Technology		0.4
Freeport-McMoRan Copper & Gold, Inc.		0.4
General Dynamics, Inc.		0.4
Amazon.com, Inc.		0.3
Total		4.4	%
Top ten equity holdings (short holdings)1	07/31/09
ASML Holding N.V.		(0.3	)%
Celgene Corp.		(0.2	)
SBA Communications Corp.		(0.2	)
Vertex Pharmaceuticals, Inc.		(0.2	)
George Weston Ltd.		(0.2	)
Plains Exploration & Production Co.		(0.2	)
Caterpillar, Inc.		(0.2	)
Bayerische Motoren Werke (BMW) AG		(0.1	)
Hokuriku Electric Power Co.		(0.1	)
Gerdau Ameristeel Corp.		(0.1	)
Total		(1.8	)%
Top ten long-term fixed income holdings (long holdings)1	07/31/09
FNMA, 5.000%, due 06/01/23		1.3	%
US Treaury Inflation Index Notes (TIPS), 0.875%, due 04/15/10		1.2
FFCB, 4.500%, due 05/21/15		1.1
Societe Financement de l'Economie Francaise, 1.500%, due 10/29/10		1.0
FNMA, 5.000%, due 12/01/18		0.9
FNMA, 2.000%, due 04/01/11		0.9
FNMA, 4.241%, due 04/01/37		0.7
US Treasury Principal Strip, 6.500%, due 11/15/26		0.7
FNMA, 5.000%, due 12/01/19		0.7
Suncorp-Metway Ltd., 1.759%, due 04/15/11		0.6
Total		9.1	%

¹  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

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Industry diversification—(unaudited)

As a percentage of net assets as of July 31, 2009

Common stocks

Aerospace & defense	0.65	%
Air freight & logistics	0.25
Airlines	0.06
Auto components	0.05
Automobiles	0.58
Beverages	0.01
Biotechnology	0.51
Capital markets	0.75
Chemicals	0.94
Commercial banks	2.18
Commercial services & supplies	0.26
Communications equipment	0.53
Computers & peripherals	1.63
Construction & engineering	0.84
Construction materials	0.10
Containers & packaging	0.07
Distributors	0.05
Diversified consumer services	0.02
Diversified financial services	0.81
Diversified telecommunication services	0.68
Electric utilities	0.94
Electrical equipment	0.67
Electronic equipment, instruments & components	0.27
Energy equipment & services	0.45
Food & staples retailing	0.87
Food products	1.01
Gas utilities	0.06
Health care equipment & supplies	0.83
Health care providers & services	0.04
Hotels, restaurants & leisure	0.77
Household durables	0.16
Independent power producers & energy traders	0.18
Industrial conglomerates	0.56
Insurance	1.03
Internet & catalog retail	0.57
Internet software & services	1.28
IT services	0.45
Leisure equipment & products	0.16
Life sciences tools & services	0.11
Machinery	0.45
Media	0.92
Metals & mining	4.29
Multiline retail	0.05
Multi-utilities	0.09
Office electronics	0.02
Oil, gas & consumable fuels	2.24

Common stocks—(concluded)
Paper & forest products	0.06	%
Personal products	0.40
Pharmaceuticals	1.01
Professional services	0.28
Real estate investment trusts (REITs)	0.25
Real estate management & development	0.53
Road & rail	0.11
Semiconductors & semiconductor equipment	0.81
Software	0.77
Specialty retail	0.36
Textiles, apparel & luxury goods	0.09
Tobacco	0.15
Trading companies & distributors	0.10
Transportation infrastructure	0.01
Water utilities	0.05
Wireless telecommunication services	0.88
Total common stocks	35.30
Preferred stock
Telecommunication services	0.01
Investment companies	0.84
Unit trusts	0.20
US government obligations	3.46
Federal farm credit bank certificates	1.12
Federal home loan mortgage corporation certificates	0.41
Federal national mortgage association certificates	7.47
Collateralized mortgage obligations	6.61
Asset-backed securities	1.27
Corporate notes
Appliances	0.04
Banking-non US	1.72
Banking-US	0.50
Cable	0.46
Chemicals	0.09
Containers	0.07
Defense/aerospace	0.06
Diversified financials	0.15
Electric-integrated	0.50
Electronics	0.09
Finance-leasing company	0.16

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Industry diversification—(unaudited)

As a percentage of net assets as of July 31, 2009

Corporate notes—(concluded)
Financial services	1.01	%
Food processors/beverage/bottling	0.14
Gaming	0.04
Industrial products & services	0.02
Insurance	0.13
Media	0.11
Medical products	0.06
Metals	0.03
Multi-line insurance	0.02
Oil & gas	0.75
Pipelines	0.30
Publishing	0.08
Real estate	0.15
Reinsurance	0.02
Retail-restaurants	0.05
Special purpose banks	1.02
Special purpose entity	0.14
Steel	0.13
Telecommunication services	0.06
Telephone-integrated	0.39
Tobacco	0.18
Wireless telecommunication services	0.12
Total corporate notes	8.79
Municipal bonds and notes	0.09
Non-US government obligations	0.31
Time deposit	2.18
Short-term US government obligations	17.34
Repurchase agreement	13.11
Options
Call options purchased	0.05
Put options purchased	0.00	*
Total options	0.05
Total investments before securities sold short	98.56
Investments sold short
Common stocks
Automobiles	(0.21	)
Beverages	(0.08	)
Biotechnology	(0.58	)

*  Amount represents less than 0.005% of net assets.

Investments sold short—(concluded)
Common stocks—(concluded)
Building products	(0.02	)%
Capital markets	(0.01	)
Chemicals	(0.06	)
Commercial services & supplies	(0.17	)
Computers & peripherals	(0.02	)
Construction & engineering	(0.04	)
Electric utilities	(0.19	)
Electrical equipment	(0.07	)
Electronic equipment, instruments & components	(0.05	)
Food & staples retailing	(0.26	)
Food products	(0.02	)
Health care equipment & supplies	(0.14	)
Household durables	(0.10	)
Independent power producers & energy traders	(0.09	)
Industrial conglomerates	(0.01	)
Insurance	(0.27	)
Internet software & services	(0.14	)
Life sciences tools & services	(0.16	)
Machinery	(0.34	)
Marine	(0.06	)
Media	(0.17	)
Metals & mining	(0.18	)
Oil, gas & consumable fuels	(0.24	)
Pharmaceuticals	(0.01	)
Professional services	(0.13	)
Real estate investment trusts (REITs)	(0.19	)
Road & rail	(0.10	)
Semiconductors & semiconductor equipment	(0.27	)
Software	(0.10	)
Trading companies & distributors	(0.03	)
Wireless telecommunication services	(0.24	)
Total common stocks	(4.75	)
Unit trust	(0.02	)
Total investments sold short	(4.77	)
Other assets in excess of liabilities	6.21
Net assets	100.00	%

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—35.30%
Antigua and Barbuda—0.01%
Sinovac Biotech Ltd.*		8,700	$	40,716
Australia—1.33%
ABB Grain Ltd.		11,302		84,221
Bendigo and Adelaide Bank Ltd.		20,708		142,017
BHP Billiton Ltd.		39,740		1,258,003
BHP Billiton Ltd., ADR		20,800		1,309,568
CSL Ltd.		13,022		332,718
Energy Resources of Australia Ltd.		29,723		628,928
Fortescue Metals Group Ltd.*		151,202		533,652
Incitec Pivot Ltd.		52,966		122,263
Orica Ltd.		30,532		573,526
Paladin Resources Ltd.*		99,345		378,878
Rio Tinto Ltd.		4,080		206,103
Wesfarmers Ltd.		15,225		329,032
Total Australia common stocks				5,898,909
Austria—0.17%
Oesterreichische Elektrizitaetswirtschafts-AG (Verbund), Class A		12,234		596,175
OMV AG		4,144		164,494
Total Austria common stocks				760,669
Belgium—0.05%
Fortis*		53,805		209,359
Bermuda—0.25%
Bunge Ltd.		4,024		281,559
China Yurun Food Group Ltd.		20,089		31,779
Huabao International Holdings Ltd.		263,000		277,591
Shangri-La Asia Ltd.		223,603		354,877
Sinofert Holdings Ltd.		294,000		160,846
Total Bermuda common stocks				1,106,652
Brazil—0.75%
All America Latina Logistica (ALL)		7,200		45,459
BM&F BOVESPA SA		6,787		43,870
Brasil Foods SA		7,157		158,810
Companhia Brasileira de Distribuicao Grupo Pao de Acucar, ADR		792		37,066
Companhia de Saneamento de Minas Gerais-Copasa MG		15,900		215,182
Companhia Energetica de Minas Gerais-CEMIG, ADR		10,400		148,512
Cosan SA Industria e Comercio*		10,000		91,170
Cyrela Brazil Realty SA		4,512		46,553
Gerdau SA, ADR		85,500		997,785
Itau Unibanco Banco Multiplo SA, ADR		60,897		1,089,447
Marfrig Frigorificos e Comercio de Alimentos SA*		4,803		40,700

Security description	Number of shares		Value
Common stocks—(continued)
Brazil—(concluded)
Petroleo Brasileiro SA, ADR		2,702	$	111,431
SLC Agricola SA		16,273		155,687
Tam SA, ADR*		2,728		33,527
Vale SA, ADR		4,069		80,281
Weg SA		2,400		19,424
Total Brazil common stocks				3,314,904
Canada—2.51%
Agnico-Eagle Mines Ltd.		24,600		1,440,330
Agrium, Inc1		1,706		78,800
Agrium, Inc.2		1,400		64,343
Barrick Gold Corp.		31,470		1,098,400
Brookfield Asset Management, Inc.		3,600		75,744
Cameco Corp.		2,000		55,300
Canadian Imperial Bank of Commerce		2,000		123,110
Canadian Natural Resources Ltd.		14,900		895,729
Enerplus Resources Fund		1,500		32,708
Goldcorp, Inc.		61,500		2,324,887
Kinross Gold Corp.		50,100		983,964
Manitoba Telecom Services, Inc.		4,200		134,899
Potash Corp. of Saskatchewan, Inc.		3,000		279,489
Precision Drilling Trust		16,800		95,287
Research In Motion Ltd. (RIM)*		9,800		744,336
Shoppers Drug Mart Corp.		10,700		447,071
Suncor Energy, Inc.		14,900		483,952
Teck Cominco Ltd., Class B*		1,380		36,318
Telus Corp.		34,900		1,007,556
TransAlta Corp.		16,200		322,722
Ultra Petroleum Corp.*		1,842		81,269
Uranium One, Inc.*		108,160		289,163
Total Canada common stocks				11,095,377
Cayman Islands—1.32%
Alibaba.com Ltd.*		180,500		414,565
Baidu, Inc., ADR*		1,400		487,396
Chaoda Modern Agriculture (Holdings) Ltd.		88,960		60,722
China Dongxiang Group Co.		8,000		6,080
China High Speed Transmission Equipment Group Co. Ltd.		15,538		38,935
China Mengniu Dairy Co. Ltd.*		10,000		23,948
Ctrip.com International Ltd., ADR*		7,060		361,825
Daphne International Holdings Ltd.		68,000		46,152
Golden Meditech Co. Ltd.*		381,332		71,838
Hengan International Group Co. Ltd.		124,000		721,595
Lee & Man Paper Manufacturing Ltd.		56,837		89,325
NetEase.com, Inc., ADR*		850		37,451

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Cayman Islands—(concluded)
Seagate Technology3		136,200	$	1,639,848
Tencent Holdings Ltd.		66,600		899,739
Tingyi (Cayman Islands) Holding Corp.		250,000		463,223
Want Want China Holdings Ltd.		597,000		356,657
Yingli Green Energy Holding Co. Ltd., ADR*		9,000		119,430
Total Cayman Islands common stocks				5,838,729
China—2.76%
Air China Ltd., Class H*		322,000		208,572
Angang Steel Co. Ltd., Class H		182,000		412,844
Anhui Conch Cement Co. Ltd., Class H		58,000		422,462
Bank of China Ltd., Class H		2,886,000		1,437,405
China Communications Construction Co. Ltd., Class H		168,000		218,073
China Construction Bank Corp., Class H		1,436,119		1,158,153
China Life Insurance Co., Class H		256,023		1,136,404
China Life Insurance Co. Ltd. ADR		11,100		738,816
China Merchants Bank Co. Ltd., Class H		528,000		1,242,666
China Oilfield Services Ltd., Class H		86,000		93,878
China Railway Construction Corp. Ltd., Class H		11,287		18,117
China Railway Group Ltd., Class H*		1,059,000		953,777
China Shenhua Energy Co. Ltd., Class H		129,468		532,068
China South Locomotive and Rolling Stock Corp. Ltd., Series H		797,000		497,736
China Telecom Corp. Ltd., Class H		596,000		312,225
Datang International Power Generation Co. Ltd., Class H		302,000		198,345
Industrial & Commercial Bank of China, Class H		1,305,460		939,925
PetroChina Co. Ltd., ADR		312		36,738
PetroChina Co. Ltd., Class H		354,000		421,600
Shandong Weigao Group Medical Polymer Co. Ltd., Class H		116,000		303,843
Shanghai Electric Group Co. Ltd., Class H		414,000		217,415
Weichai Power Co. Ltd., Class H		33,842		153,926
Zijin Mining Group Co. Ltd.		52,000		48,712
ZTE Corp., Class H		113,600		497,638
Total China common stocks				12,201,338

Security description	Number of shares		Value
Common stocks—(continued)
Denmark—0.16%
Novo Nordisk A/S, Class B		6,584	$	387,502
Vestas Wind Systems A/S*		4,360		307,095
Total Denmark common stocks				694,597
Egypt—0.03%
Egyptian Financial Group-Hermes Holding		10,296		46,933
Orascom Construction Industries (OCI)		1,738		66,723
Orascom Telecom Holding SAE, GDR*		739		25,569
Total Egypt common stocks				139,225
Finland—0.08%
Fortum Oyj		9,127		211,392
Orion Oyj, Class B		7,346		128,784
Total Finland common stocks				340,176
France—0.52%
Alstom SA		6,827		468,719
Danone SA		874		46,895
GDF Suez		2,856		109,114
Gecina SA		2,848		234,462
L'Oreal SA		12,131		1,051,424
PagesJaunes Groupe		33,474		361,168
Suez Environnement SA		2,015		38,398
Total SA		13		721
Total France common stocks				2,310,901
Germany—0.48%
Deutsche Bank AG		909		58,807
Deutsche Post AG		25,496		403,549
E.ON AG		34,741		1,315,153
K+S AG		2,191		122,977
Q-Cells SE*		1,808		32,547
Siemens AG		1,126		89,874
SMA Solar Technology AG		1,149		91,890
Total Germany common stocks				2,114,797
Hong Kong—1.83%
Beijing Enterprises Holdings Ltd.		189,000		953,529
China Mobile Ltd.		102,500		1,079,219
China Mobile Ltd. ADR		33,739		1,770,285
China Overseas Land & Investment Ltd.		592,792		1,459,406
China Resources Enterprise Ltd.		90,000		226,683
China Resources Power Holdings Co. Ltd.		68,000		175,922
CNOOC Ltd.		611,000		823,071
CNOOC Ltd., ADR		298		39,732
Galaxy Entertainment Group Ltd.*		82,000		24,970
Henderson Land Development Co. Ltd.		43,000		284,908

191

UBS PACE Select Advisors Trust

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Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Hong Kong—(concluded)
Hong Kong Exchanges & Clearing Ltd.		32,000	$	602,422
MTR Corp.		124,000		449,597
Sino-Ocean Land Holdings Ltd.		174,833		186,111
Total Hong Kong common stocks				8,075,855
India—0.08%
Bharti Airtel Ltd.		3,842		32,931
Educomp Solutions Ltd.*		779		66,349
Glenmark Pharmaceuticals Ltd.*		5,062		26,392
ICICI Bank Ltd., ADR		507		15,895
Infrastructure Development Finance Co. Ltd.		8,155		22,960
Lanco Infratech Ltd.*		6,588		56,139
Mahindra & Mahindra Ltd.		1,665		29,557
Nicholas Piramal India Ltd.		5,351		34,740
Reliance Industries Ltd.*		961		39,562
Sterlite Industries (India) Ltd.		3,090		41,565
Total India common stocks				366,090
Indonesia—0.01%
PT Bank Mandiri		54,925		23,104
Ireland—0.20%
Covidien PLC3		23,600		892,316
Israel—0.04%
Bezeq Israeli Telecommunication Corp. Ltd.		17,441		34,743
Israel Chemicals Ltd.		4,821		54,915
Teva Pharmaceutical Industries Ltd., ADR		1,861		99,266
Total Israel common stocks				188,924
Italy—0.05%
ACEA SpA		12,314		140,058
Banca Carige SpA		22,956		65,406
ENI SpA		22		512
Total Italy common stocks				205,976
Japan—2.68%
AEON Mall Co. Ltd.		5,700		120,475
Astellas Pharma, Inc.		16,700		637,115
Daito Trust Construction Co. Ltd.		4,000		196,988
DeNA Co. Ltd.		82		250,701
FamilyMart Co. Ltd.		29,800		969,976
Fast Retailing Co. Ltd.		2,500		324,703
Hisamitsu Pharmaceutical Co., Inc.		4,300		148,597
INPEX Corp.		27		206,584
Japan Steel Works Ltd.		28,000		366,922
Japan Tobacco, Inc.		227		657,310
Lawson, Inc.		9,200		382,098
MEIJI Holdings Co. Ltd.*		12,400		500,586
Mitsubishi UFJ Financial Group, Inc. (MUFG)		33,500		200,380

Security description	Number of shares		Value
Common stocks—(continued)
Japan—(concluded)
Nintendo Co. Ltd.		3,400	$	919,482
Nippon Mining Holdings, Inc.		109,000		518,362
Rakuten, Inc.		1,245		799,958
SOFTBANK Corp.		36,000		766,605
Sompo Japan Insurance, Inc.		77,000		511,028
Sony Financial Holdings, Inc.		27		83,233
Suruga Bank Ltd.		47,000		499,678
T&D Holdings, Inc.		1,350		39,662
Takeda Pharmaceutical Co. Ltd.		26,600		1,076,650
The 77 Bank Ltd.		37,000		218,970
The Iyo Bank Ltd.		9,000		94,161
Tokio Marine Holdings, Inc.		3,500		101,717
Tokyo Steel Manufacturing Co. Ltd.		14,300		158,679
Toyo Suisan Kaisha Ltd.		2,000		49,987
Yahoo Japan Corp.		2,065		677,604
Yamaguchi Financial Group, Inc.		26,000		355,826
Total Japan common stocks				11,834,037
Jersey—0.08%
Randgold Resources Ltd., ADR		5,800		360,296
Luxembourg—0.35%
ArcelorMittal		38,030		1,370,118
Tenaris SA		11,290		171,215
Total Luxembourg common stocks				1,541,333
Malaysia—0.01%
Genting Berhad		16,032		29,584
Mauritius—0.03%
Golden Agri-Resources Ltd.		484,167		142,981
Mexico—0.03%
America Movil SA de C.V., ADR, Series L		2,626		112,944
Cemex SAB de C.V.*		19,252		18,117
Total Mexico common stocks				131,061
Netherlands—0.14%
Aegon N.V.		30,185		221,911
Unilever N.V.		14,663		400,637
Total Netherlands common stocks				622,548
New Zealand—0.02%
Auckland International Airport Ltd.		57,053		64,222
Norway—0.18%
Aker Solutions ASA		53,200		456,537
Marine Harvest*		67,599		42,460
Renewable Energy Corp. AS*		14,200		112,753
Telenor ASA*		12,000		110,692
Yara International ASA		2,704		83,818
Total Norway common stocks				806,260

192

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
Papua New Guinea—0.01%
New Britain Palm Oil Ltd.		4,055	$	23,708
Peru—0.01%
Compania de Minas Buenaventura SA, ADR		2,200		57,310
Philippines—0.01%
Philippine Long Distance Telephone Co., ADR		600		31,602
Portugal—0.23%
Banco Comercial Portugues SA (BCP)		965,020		1,032,957
Russia—0.06%
Gazprom, ADR		3,358		69,343
Mechel, ADR		3,419		36,515
Mining & Metallurgical Co. Norilsk Nickel, ADR		7,836		78,438
Rosneft Oil Co., GDR		13,288		81,190
Total Russia common stocks				265,486
Singapore—0.66%
SembCorp Industries Ltd.		83,000		185,130
SembCorp Marine Ltd.		49,000		106,229
Singapore Exchange Ltd.		194,000		1,175,472
Singapore Telecommunications Ltd.		552,000		1,342,459
Wilmar International Ltd.		26,391		109,844
Total Singapore common stocks				2,919,134
South Africa—0.12%
Adcock Ingram Holdings Ltd.		4,844		28,714
Anglo Platinum Ltd.		732		52,306
Aspen Pharmacare Holdings Ltd.*		7,913		60,673
Barloworld Ltd.		8,241		48,320
Gold Fields Ltd.		1,739		20,718
Impala Platinum Holdings Ltd.		2,181		52,836
MTN Group Ltd.		1,213		20,008
Naspers Ltd., N Shares		700		20,883
Sasol Ltd.		4,695		168,197
Truworths International Ltd.		12,819		66,061
Total South Africa common stocks				538,716
South Korea—0.05%
LG Display Co. Ltd.		1,102		31,808
LG Electronics, Inc.		508		53,563
Samsung Electronics Co. Ltd.		84		49,516
Samsung Securities Co. Ltd.		589		36,831
Shinsegae Co. Ltd.		60		25,940
Total South Korea common stocks				197,658
Spain—0.80%
Banco Santander SA		38,101		551,742
Enagas		998		19,736

Security description	Number of shares		Value
Common stocks—(continued)
Spain—(concluded)
Gamesa Corp. Tecnologica SA (Gamesa)		14,811	$	320,451
Grifols SA		40,906		744,825
Iberdrola SA		80,714		692,551
Repsol YPF SA		36,933		857,515
Zardoya Otis SA		15,581		353,989
Total Spain common stocks				3,540,809
Sweden—0.21%
SSAB Svenskt Staal AB, Series B		74,997		896,409
Tele2 AB, B Shares		2,301		30,963
Volvo AB, A Shares		2,543		18,061
Total Sweden common stocks				945,433
Switzerland—0.45%
Credit Suisse Group AG		4,500		212,652
Nestle SA		11,412		469,658
Noble Corp.		8,500		287,810
Swiss Life Holding AG*		2,706		271,195
Syngenta AG		748		172,607
Tyco International Ltd.3		19,300		583,246
Total Switzerland common stocks				1,997,168
Taiwan—0.09%
Advanced Semiconductor Engineering, Inc.		34,336		24,751
Cathay Financial Holding Co. Ltd.*		17,365		26,676
Chinatrust Financial Holding Co. Ltd.		43,120		27,272
Chunghwa Telecom Co. Ltd., ADR		1,466		25,588
HON HAI Precision Industry Co. Ltd. (Foxconn)		27,141		93,481
HTC Corp.		3,000		40,920
MediaTek, Inc.		2,669		38,358
Taiwan Mobile Co. Ltd.		25,436		38,920
Taiwan Semiconductor Manufacturing Co. Ltd., ADR		7,810		81,776
Total Taiwan common stocks				397,742
Thailand—0.01%
Bangkok Bank Public Co. Ltd.		14,270		47,175
United Kingdom—1.30%
Anglo American PLC		45,381		1,463,069
BAE Systems PLC		43,869		224,973
Berkeley Group Holdings PLC*		29,641		408,984
BG Group PLC		51		851
BHP Billiton PLC		7,410		193,469
BP PLC		109		905
Man Group PLC		77,686		359,140
National Grid PLC		9,035		84,292
Reed Elsevier PLC		175,520		1,240,958
Rio Tinto PLC		11,370		472,736

193

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
United Kingdom—(concluded)
Royal Dutch Shell PLC		26	$	675
Royal Dutch Shell PLC, A Shares		28,130		738,679
Scottish & Southern Energy PLC		8,779		162,340
Xstrata PLC		28,390		383,282
Total United Kingdom common stocks				5,734,353
United States—15.14%
Acco Brands Corp.*		45,600		199,272
Acuity Brands, Inc.		5,600		165,256
Advance Auto Parts, Inc.3		12,200		564,006
Aflac, Inc.3		11,700		442,962
Alleghany Corp.*		576		155,808
Allegheny Energy, Inc.		7,000		176,470
Allstate Corp.		3,900		104,949
Amazon.com, Inc.*		17,300		1,483,648
Ameriprise Financial, Inc.		6,900		191,820
Apple, Inc.3,*		16,900		2,761,291
Applied Materials, Inc.		8,000		110,400
Arbitron, Inc.		29,400		478,632
Archer-Daniels-Midland Co.		7,300		219,876
Bank of America Corp.		36,000		532,440
Belden CDT, Inc.		26,300		461,302
Berkshire Hathaway, Inc., Class B*		110		349,855
Biogen Idec, Inc.3,*		1,900		90,345
BlackRock, Inc.3		3,000		571,620
BorgWarner, Inc.		3,203		106,308
C.H. Robinson Worldwide, Inc.3		3,300		179,949
CA, Inc.		8,100		171,234
Cabot Oil & Gas Corp.		1,900		66,747
Cardinal Health, Inc.		5,600		186,480
Carlisle Cos., Inc.		20,200		632,866
CF Industries Holdings, Inc.		1,400		110,516
CONSOL Energy, Inc.		31,700		1,126,301
Corn Products International, Inc.		1,700		47,600
Corning, Inc.		29,800		506,600
Costco Wholesale Corp.3		11,000		544,500
Covanta Holding Corp.*		8,438		142,518
Cree, Inc.*		1,999		64,088
Cummins, Inc.		2,172		93,418
CVS Caremark Corp.3		18,900		632,772
Deere & Co.		3,100		135,594
Dell, Inc.*		33,100		442,878
Deltic Timber Corp.		3,699		166,344
Diamond Offshore Drilling, Inc.3		6,600		593,142
Diebold, Inc.		7,100		196,812
DISH Network Corp., Class A*		49,400		837,330
Dolby Laboratories, Inc., Class A3,*		6,200		258,106
Dow Chemical Co.		3,800		80,446
Dun & Bradstreet Corp.3		17,100		1,231,029
eBay, Inc.*		24,200		514,250
El Paso Corp.		58,500		588,510

Security description	Number of shares		Value
Common stocks—(continued)
United States—(continued)
EMC Corp.*		95,000	$	1,430,700
Energy Conversion Devices, Inc.*		4,100		58,384
Entergy Corp.		1,106		88,845
EOG Resources, Inc.		800		59,224
EQT Corp.		3,800		145,844
ESCO Technologies, Inc.*		3,800		156,142
Exelon Corp.		4,500		228,870
Expeditors International of Washington, Inc.		15,700		532,701
Exterran Holdings, Inc.*		1,600		27,824
Fidelity National Financial, Inc., Class A		3,700		53,095
First Solar, Inc.*		1,416		218,616
Fiserv, Inc.*		11,100		526,251
FLIR Systems, Inc.3,*		8,700		186,963
Flowserve Corp.3		1,300		105,001
Fluor Corp.3		36,800		1,943,040
FMC Corp.3		7,300		355,072
Ford Motor Co.3,*		315,700		2,525,600
Forest Laboratories, Inc.3,*		40,700		1,051,281
FPL Group, Inc.		3,414		193,471
Franklin Resources, Inc.3		2,700		239,436
Freeport-McMoRan Copper & Gold, Inc.		26,180		1,578,654
GameStop Corp., Class A*		13,700		299,893
GATX Corp.		18,378		463,493
General Dynamics Corp.3		28,200		1,561,998
Gilead Sciences, Inc.3,*		6,000		293,580
Goldman Sachs Group, Inc.		3,300		538,890
Google, Inc., Class A*		4,200		1,860,810
Hansen Natural Corp.3,*		1,500		46,515
Hewlett-Packard Co.3		16,500		714,450
International Game Technology		29,300		578,675
Intuitive Surgical, Inc.3,*		1,200		272,784
ITC Holdings Corp.		3,000		143,100
Itron, Inc.*		2,400		125,208
Jacobs Engineering Group, Inc.3,*		8,200		336,036
Johnson & Johnson3		9,000		548,010
Kroger Co.		5,032		107,584
Lance, Inc.		6,200		157,108
Liberty Global, Inc., Series C*		20,200		420,968
Lincoln National Corp.		5,100		108,069
Mattel, Inc.		39,100		687,378
Maxim Integrated Products, Inc.3		78,100		1,383,932
McAfee, Inc.*		5,300		236,274
Merck & Co., Inc.		5,300		159,053
Monsanto Co.		4,595		385,980
Moody's Corp.3		18,900		448,686
National-Oilwell Varco, Inc.*		2,600		93,444
Newell Rubbermaid, Inc.3		16,400		211,068
Newmont Mining Corp.		24,350		1,006,872
Northeast Utilities		8,000		184,080
NVIDIA Corp.*		99,500		1,286,535

194

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Number of shares		Value
Common stocks—(continued)
United States—(continued)
O'Reilly Automotive, Inc.*		3,300	$	134,178
ON Semiconductor Corp.*		21,982		160,469
Oracle Corp.		65,400		1,447,302
Ormat Technologies, Inc.		1,911		75,656
Owens-Illinois, Inc.3,*		9,800		332,612
Peabody Energy Corp.3		9,000		297,990
Penske Automotive Group, Inc.		8,981		185,727
PG&E Corp.		900		36,333
Pharmaceutical Product Development, Inc. (PPD)3		23,200		481,864
Pitney Bowes, Inc.3		39,900		823,935
Polo Ralph Lauren Corp.3		4,100		258,505
Precision Castparts Corp.3		500		39,905
Prudential Financial, Inc.		2,400		106,248
Public Storage3		12,000		870,840
QUALCOMM, Inc.		23,700		1,095,177
Quanta Services, Inc.*		5,254		122,471
Questar Corp.		3,000		99,210
Ralcorp Holdings, Inc.*		6,513		413,641
Raytheon Co.3		22,500		1,056,375
Ross Stores, Inc.		400		17,636
Safeway, Inc.		16,000		302,880
SEACOR Holdings, Inc.*		2,100		166,908
Sears Holdings Corp.3,*		3,500		232,190
SEI Investments Co.		2,200		41,580
Simcere Pharmaceutical Group, ADR*		9,800		92,904
Sohu.com, Inc.*		800		48,936
St. Mary Land & Exploration Co.		3,800		90,706
Starbucks Corp.*		47,900		847,830
Stryker Corp.3		28,500		1,108,080
SunPower Corp., Class A*		7,100		228,620
SunPower Corp., Class B*		3,732		101,884
T. Rowe Price Group, Inc.3		21,800		1,018,278
Texas Instruments, Inc.		15,100		363,155
The J.M. Smucker Co.		1,382		69,141
The Mosaic Co.		19,956		1,040,705
The NASDAQ OMX Group, Inc.3,*		26,800		566,284
Time Warner Cable, Inc.		4,700		155,382
Time Warner, Inc.3		20,000		533,200
Torchmark Corp.3		2,700		105,462
Total System Services, Inc.3		17,900		262,772
TRW Automotive Holdings Corp.*		6,600		111,078
Tyson Foods, Inc., Class A3		9,139		104,459
UniFirst Corp.		1,900		73,948
Varian Medical Systems, Inc.3,*		9,300		328,011
Vertex Pharmaceuticals, Inc.*		21,000		756,210
VMware, Inc., Class A*		15,800		509,234
Websense, Inc.*		8,400		124,320
Wells Fargo & Co.		15,200		371,792
Western Union Co.3		69,100		1,207,868
Xerox Corp.		9,300		76,167

Security description	Number of shares		Value
Common stocks—(concluded)
United States—(concluded)
Yahoo!, Inc.*		49,300	$	705,976
Yum! Brands, Inc.		34,200		1,212,732
Zep, Inc.		11,700		188,136
Zimmer Holdings, Inc.3,*		14,900		694,340
Total United States common stocks				66,979,019
Total common stocks (cost—$139,526,483)				156,059,206
Preferred stock—0.01%
Brazil—0.01%
Vivo Participacoes SA (cost—$22,420)		1,181		26,902
Investment companies—0.84%
United States—0.84%
Energy Select Sector SPDR Fund		47,300		2,389,123
SPDR Metals & Mining ETF		33,200		1,316,048
Total investment companies (cost—$3,384,274)				3,705,171
Unit trusts—0.20%
Canada—0.20%
Canadian Oil Sands Trust		22,500		566,442
Penn West Energy Trust		23,000		299,977
Total unit trusts (cost—$607,171)				866,419
	Face amount4
US government obligations—3.46%
US Treasury Bonds
6.375%, due 08/15/27	$	2,000,000		2,528,124
6.625%, due 02/15/27		1,200,000		1,550,250
US Treasury Inflation Index Bonds (TIPS)
2.000%, due 01/15/26		861,904		836,047
US Treasury Inflation Index Notes (TIPS)
0.875%, due 04/15/10		5,305,125		5,316,733
1.625%, due 01/15/15		559,940		557,840
2.500%, due 07/15/16		211,770		222,292
4.250%, due 01/15/10		1,270,980		1,294,017
US Treasury Principal STRIPS
due 11/15/265		6,500,000		3,000,010
Total US government obligations (cost—$15,433,110)				15,305,313
Federal farm credit bank certificates—1.12%
FFCB
4.500%, due 05/21/15 (cost—$4,751,416)		4,700,000		4,941,726

195

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Face amount4		Value
Federal home loan mortgage corporation certificates**—0.41%
FHLMC
4.500%, due 05/01/23	$	33,940	$	34,860
5.000%, due 09/01/38		674,065		690,122
5.500%, due 06/01/38		886,618		919,276
6.000%, due 11/01/36		22,479		23,599
6.000%, due 11/01/37		107,514		112,790
6.000%, due 04/01/38		24,101		25,284
6.000%, due 02/01/39		25,564		26,817
Total federal home loan mortgage corporation certificates (cost—$1,778,212)				1,832,748
Federal national mortgage association certificates**—7.47%
FNMA
1.750%, due 04/15/11		2,000,000		2,009,016
1.875%, due 04/08/11		2,500,000		2,513,390
2.000%, due 04/01/11		3,800,000		3,828,409
2.125%, due 04/15/11		2,000,000		2,018,572
4.120%, due 05/06/13		2,000,000		2,016,642
4.241%, due 04/01/376		3,037,260		3,142,530
4.500%, due 10/01/18		405,166		423,065
4.500%, due 11/01/18		93,522		97,653
4.500%, due 12/01/18		152,601		159,343
4.500%, due 05/01/19		588,507		613,216
4.500%, due 06/01/19		285,914		297,920
4.500%, due 08/01/19		202,251		210,744
4.500%, due 06/01/23		655,382		673,750
5.000%, due 12/01/18		3,677,318		3,866,772
5.000%, due 12/01/19		2,755,379		2,897,336
5.000%, due 06/01/23		5,617,736		5,899,261
5.000%, due 07/01/34		733,372		753,288
5.500%, due 02/01/38		774,191		802,950
6.000%, due 03/01/32		158		167
6.000%, due 05/01/33		15,318		16,202
6.000%, due 12/01/33		7,080		7,480
6.000%, due 04/01/35		11,728		12,343
6.000%, due 07/01/35		63,829		67,171
6.000%, due 08/01/35		779		820
6.000%, due 11/01/35		140,312		147,658
6.000%, due 01/01/36		184,985		194,671
6.000%, due 02/01/36		16,238		17,063
6.000%, due 09/01/36		20,236		21,264
6.000%, due 10/01/36		19,470		20,459
6.000%, due 08/01/37		77,103		80,947
6.000%, due 09/01/37		90,283		94,784
6.000%, due 10/01/37		20,386		21,403
6.000%, due 11/01/37		39,166		41,119
6.000%, due 01/01/38		21,448		22,517
6.000%, due 02/01/38		28,014		29,411
6.000%, due 01/01/39		24,500		25,722
Total federal national mortgage association certificates (cost—$32,370,849)				33,045,058

Security description	Face amount4		Value
Collateralized mortgage obligations—6.61%
American Home Mortgage Assets, Series 2006-3, Class 1A1 2.180%, due 10/25/466	$	779,778	$	368,896
Series 2006-3, Class 2A11 2.150%, due 10/25/466		796,175		371,102
Series 2006-4, Class 1A11 0.475%, due 10/25/466		1,389,861		647,180
Series 2007-1, Class A1 1.910%, due 02/25/476		807,923		325,605
American Home Mortgage Investment Trust, Series 2004-3, Class 1A 0.655%, due 10/25/346		55,531		40,853
Series 2005-4, Class 1A1 0.575%, due 11/25/456		1,077,865		546,750
Banc of America Funding Corp., Series 2007-D, Class 1A5 0.569%, due 06/20/476		600,000		102,455
BCAP LLC Trust, Series 2006-RR1, Class CF 0.925%, due 11/25/366		207,270		170,286
Bear Stearns Alternative Trust-A Trust, Series 2005-8, Class 11A1 0.555%, due 10/25/356		965,672		490,798
Citimortgage Alternative Loan Trust, Series 2006-A7, Class 1A12 6.000%, due 12/25/36		1,319,093		956,297
Countrywide Alternative Loan Trust, Series 2005-46C8, Class A8 5.500%, due 10/25/35		824,495		667,622
Series 2005-61, Class 1A1 0.545%, due 12/25/356		1,256,086		650,961
Series 2006-23CB, Class 1A6 6.000%, due 08/25/36		364,830		229,941
Series 2006-5T2, Class A3 6.000%, due 04/25/36		1,115,667		715,231
Series 2007-0A11, Class A1A 2.590%, due 11/25/476		945,906		338,298
Series 2007-6, Class A4 5.750%, due 04/25/47		1,200,000		512,814
Countrywide Home Loan, Series 2007-14, Class A19 6.000%, due 09/25/37		830,937		579,968
Credit Suisse Mortgage Capital Certificates, Series 2006-8, Class 4A1 6.500%, due 10/25/21		1,367,887		837,831
DSLA Mortgage Loan Trust, Series 2004-AR2, Class A2A 0.679%, due 11/19/446		1,263,842		612,118
Series 2006-AR2, Class 2A1A 0.489%, due 11/19/376		626,463		293,886

196

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Face amount4		Value
Collateralized mortgage obligations—(continued)
First Horizon Alternative Mortgage Securities, Series 2005-AA9, Class AA9 5.618%, due 11/25/366	$	1,226,042	$	752,842
FNMA REMIC, Series 2008-56, Class FD** 1.225%, due 07/25/486		1,789,535		1,784,154
Greenpoint Mortgage Funding Trust, Series 2007-AR3, Class A1 0.505%, due 06/25/376		656,798		307,936
Harborview Mortgage Loan Trust, Series 2005-10, Class 2A1A 0.599%, due 11/19/356		2,849,263		1,588,194
Series 2005-11, Class 2A1A 0.599%, due 08/19/456		310,983		166,231
Series 2005-16, Class 3A1A 0.539%, due 01/19/366		754,083		373,740
Series 2005-3, Class 2A1A 0.529%, due 06/19/356		1,556,717		801,634
Series 2005-9, Class 2A1A 0.629%, due 06/20/356		649,030		351,957
Series 2006-1, Class 2A1A 0.529%, due 03/19/376		1,409,752		689,299
Series 2006-12, Class 2A2A 0.479%, due 01/19/386		708,705		346,249
Series 2006-14, Class 2A1A 0.439%, due 01/25/476		2,701,227		1,257,335
Indymac Index Mortgage Loan Trust, Series 2006-AR4, Class A1A 0.495%, due 05/25/466		2,332,776		1,125,026
Lehman Mortgage Trust, Series 2006-8, Class 2A1 0.705%, due 12/25/366		1,542,705		626,061
Luminent Mortgage Trust, Series 2006-2, Class A1A 0.485%, due 02/25/466		2,438,369		1,182,414
Series 2006-5, Class A1A 0.475%, due 07/25/366		906,141		426,451
Morgan Stanley Capital I, Series 2005-HQ7, Class A4 5.378%, due 11/14/426		500,000		478,875
Morgan Stanley Mortgage Loan Trust, Series 2007-15AR, Class 2A1 6.195%, due 11/25/376		862,008		551,592
MortgageIT Trust, Series 2005-AR1, Class 1A1 0.535%, due 11/25/356		826,951		405,796
Residential Accredit Loans, Inc., Series 2005-Q05, Class A1 2.210%, due 01/25/466		2,550,204		1,349,972
Series 2007-QH9, Class A1 6.536%, due 11/25/376		935,695		426,396
Series 2007-QS1, Class 2A2 0.645%, due 01/25/376		2,194,228		1,075,648

Security description	Face amount4		Value
Collateralized mortgage obligations—(concluded)
Residential Asset Securitization Trust, Series 2007-A2, Class 1A3 6.000%, due 04/25/37	$	1,262,390	$	649,116
Sequoia Mortgage Trust, Series 2004-10, Class A3A 1.971%, due 11/20/346		116,874		82,359
Structured Adjustable Rate Mortgage Loan Trust, Series 2005-21, Class 7A1 6.006%, due 11/25/35		2,209,791		1,487,019
WaMu Mortgage Pass Through Certificates, Series 2007-OA6, Class 1A 2.020%, due 07/25/476		884,366		433,084
Wells Fargo Alternative Loan Trust, Series 2007-PA2, Class 1A1 6.000%, due 06/25/37		1,464,563		1,051,510
Total collateralized mortgage obligations (cost—$42,844,206)				29,229,782
Asset-backed securities—1.27%
Bank of America Auto Trust, Series 2009-1A, Class A2 1.700%, due 12/15/117,8		1,800,000		1,802,917
Chase Issuance Trust, Series 2009-A5, Class A5 1.088%, due 06/15/126		2,500,000		2,497,831
CIT Mortgage Loan Trust, Series 2007-1, Class 2A1 1.285%, due 10/01/376,7,8		275,707		209,537
Series 2007-1, Class 2A2 1.535%, due 10/01/376,7,8		130,000		44,200
Series 2007-1, Class 2A3 1.735%, due 10/01/376,7,8		230,000		69,000
GMAC Mortgage Corp. Loan Trust, Series 2007-HE3, Class 1A1 7.000%, due 09/25/37		63,657		29,600
Series 2007-HE3, Class 2A1 7.000%, due 09/25/37		105,607		36,195
Household Home Equity Loan Trust, Series 2007-3, Class APT 1.489%, due 11/20/366		364,213		275,568
USAA Auto Owner Trust, Series 2007-2, Class A3 4.900%, due 02/15/12		619,762		630,532
Total asset-backed securities (cost—$6,088,789)				5,595,380
Corporate notes—8.79%
Australia—0.90%
QBE Insurance Group Ltd. 9.750%, due 03/14/147,8		105,000		114,009

197

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Face amount4		Value
Corporate notes—(continued)
Australia—(concluded)
Suncorp-Metway Ltd. 0.989%, due 12/17/106,9	$	1,000,000	$	1,000,160
1.759%, due 04/15/116,9		2,500,000		2,533,727
Westfield Capital/Westfield Financial 4.375%, due 11/15/109		325,000		322,411
Total Australia corporate notes				3,970,307
Bermuda—0.09%
Endurance Specialty Holdings 7.000%, due 07/15/34		125,000		90,258
Qtel International Finance 6.500%, due 06/10/149		170,000		179,057
White Mountains Re Group 6.375%, due 03/20/179		150,000		114,776
Total Bermuda corporate notes				384,091
Canada—0.44%
Canadian Natural Resources 5.150%, due 02/01/13		250,000		258,378
5.700%, due 05/15/17		40,000		42,043
Nexen, Inc. 6.400%, due 05/15/37		225,000		211,988
Rogers Communications, Inc. 6.800%, due 08/15/18		450,000		515,268
Thomson Reuters Corp. 6.500%, due 07/15/18		450,000		496,787
TransCanada Pipelines 7.625%, due 01/15/39		175,000		222,257
Transocean, Inc. 6.800%, due 03/15/38		200,000		228,734
Total Canada corporate notes				1,975,455
Cayman Islands—0.05%
Resona Preferred Global Securities 7.191%, due 07/30/159,10,11		275,000		200,750
Denmark—0.04%
Nordic Telephone Co. Holdings 8.250%, due 05/01/16	EUR	125,000		181,726
France—1.36%
Dexia Credit Local 2.375%, due 09/23/119		1,500,000		1,503,111
Societe Financement de l'Economie Francaise 1.500%, due 10/29/109		4,500,000		4,500,863
Total France corporate notes				6,003,974
Germany—0.35%
NRW Bank MTN 5.375%, due 07/19/10		1,500,000		1,551,952
Ireland—0.02%
VIP Fin (Vimpelcom) 9.125%, due 04/30/18		100,000		90,500

Security description	Face amount4		Value
Corporate notes—(continued)
Luxembourg—0.37%
ArcelorMittal 6.125%, due 06/01/18	$	575,000	$	555,363
Hellas Telecom V 4.496%, due 10/15/126	EUR	250,000		251,209
Telecom Italia Capital 6.000%, due 09/30/34		200,000		187,252
6.200%, due 07/18/11		325,000		344,392
7.721%, due 06/04/38		275,000		309,908
Total Luxembourg corporate notes				1,648,124
Mexico—0.13%
Petroleos Mexicanos 8.000%, due 05/03/199		510,000		575,025
Netherlands—0.23%
Impress Holdings BV 4.121%, due 09/15/136		250,000		326,037
LeasePlan Corp. N.V. 3.000%, due 05/07/129		700,000		705,971
Total Netherlands corporate notes				1,032,008
New Zealand—0.14%
ANZ National (International) Ltd. 3.250%, due 04/02/127,8		600,000		614,826
United Arab Emirates—0.04%
Dolphin Energy Ltd. 5.888%, due 06/15/197,8		170,000		169,745
United Kingdom—0.12%
HSBC Holdings PLC 6.500%, due 09/15/37		250,000		235,575
Royal Bank of Scotland Group PLC 9.118%, due 03/31/1010		200,000		184,000
Swiss Re Capital I LP 6.854%, due 05/25/169,10,11		175,000		105,000
Total United Kingdom corporate notes				524,575
United States—4.51%
Allied Waste Industries, Inc. 4.250%, due 04/15/34		85,000		84,363
Altria Group, Inc. 9.700%, due 11/10/18		275,000		334,403
Anheuser-Busch InBev Worldwide, Inc. 7.750%, due 01/15/199		550,000		642,398
ANZ Capital Trust II 5.360%, due 12/15/139,10,11		200,000		174,632
Bank of America Corp. 5.750%, due 12/01/17		200,000		192,019
Bear Stearns Co., Inc. 6.400%, due 10/02/17		25,000		26,732
7.250%, due 02/01/18		950,000		1,064,976

198

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Face amount4		Value
Corporate notes—(continued)
United States—(continued)
Boardwalk Pipelines LP 5.875%, due 11/15/16	$	225,000	$	214,757
Boston Scientific Corp. 6.250%, due 11/15/35		125,000		109,375
Chubb Corp. 6.500%, due 05/15/38		150,000		164,369
Citigroup Funding, Inc. 2.125%, due 07/12/12		600,000		602,270
CNA Financial Corp. 7.250%, due 11/15/23		100,000		73,053
Comcast Corp. 5.500%, due 03/15/11		225,000		236,578
6.450%, due 03/15/37		200,000		214,086
Comcast Holdings Corp. 10.625%, due 07/15/12		250,000		301,929
Commonwealth Edison Co. 5.800%, due 03/15/18		350,000		376,962
5.900%, due 03/15/36		150,000		156,859
COX Communications, Inc. 4.625%, due 01/15/10		400,000		403,944
6.250%, due 06/01/189		375,000		397,102
CSC Holdings, Inc., Series B 7.625%, due 04/01/11		250,000		253,125
Darden Restaurants, Inc. 5.625%, due 10/15/12		225,000		232,825
Dow Chemical Co. 7.600%, due 05/15/14		375,000		407,482
EchoStar DBS Corp. 7.125%, due 02/01/16		250,000		242,500
Energy Transfer Partners 5.950%, due 02/01/15		300,000		317,706
6.700%, due 07/01/18		350,000		374,155
Enterprise Products Operating LLC 6.300%, due 09/15/17		175,000		188,195
6.500%, due 01/31/19		225,000		247,567
8.375%, due 08/01/666		200,000		174,000
Enterprise Products Operating LLC, Series B 5.000%, due 03/01/15		175,000		173,564
FirstEnergy Corp. 7.375%, due 11/15/31		100,000		109,984
Fiserv, Inc. 6.125%, due 11/20/12		250,000		266,724
Freeport-McMoRan Copper & Gold, Inc. 4.995%, due 04/01/156		125,000		120,233
GMAC, Inc. 6.875%, due 09/15/11		750,000		682,900
HCA, Inc. 9.625%, due 11/15/1612		131,000		136,567
International Game Technology 7.500%, due 06/15/19		175,000		186,263

Security description	Face amount4		Value
Corporate notes—(continued)
United States—(continued)
International Lease Finance Corp. MTN 4.950%, due 02/01/11	$	175,000	$	135,624
JPMorgan Chase Bank NA 6.000%, due 10/01/17		250,000		259,769
L-3 Communications Corp. 7.625%, due 06/15/12		375,000		379,219
Merrill Lynch & Co., Inc. 5.450%, due 02/05/13		450,000		454,345
6.400%, due 08/28/17		100,000		98,210
MetLife Capital Trust X 9.250%, due 04/08/336,9		300,000		288,375
MidAmerican Energy Holdings Co. 5.750%, due 04/01/18		300,000		319,949
6.125%, due 04/01/36		225,000		239,031
Morgan Stanley MTN 5.950%, due 12/28/17		225,000		231,678
6.250%, due 08/28/17		200,000		207,986
6.625%, due 04/01/18		100,000		106,428
Nevada Power Co. 6.500%, due 05/15/18		375,000		403,469
Nisource Finance Corp. 10.750%, due 03/15/16		150,000		174,713
ONEOK Partners, LP 6.150%, due 10/01/16		75,000		80,591
6.850%, due 10/15/37		50,000		52,792
Philip Morris International, Inc. 5.650%, due 05/16/18		425,000		452,168
PNC Bank NA 6.875%, due 04/01/18		250,000		269,826
Progress Energy, Inc. 7.050%, due 03/15/19		300,000		343,965
Puget Sound Energy, Inc., Series A 6.974%, due 06/01/676		150,000		109,638
Qwest Capital Funding, Inc. 7.900%, due 08/15/10		375,000		377,812
Reed Elsevier Capital, Inc. 8.625%, due 01/15/19		300,000		362,166
Simon Property Group LP 6.125%, due 05/30/18		725,000		685,507
SLM Corp. MTN 0.664%, due 07/26/106		100,000		88,188
5.125%, due 08/27/12		425,000		319,443
8.450%, due 06/15/18		25,000		20,000
Tennessee Gas Pipeline 8.375%, due 06/15/32		350,000		412,618
TEPPCO Partners LP 6.650%, due 04/15/18		425,000		452,333
Verizon Wireless Capital 8.500%, due 11/15/189		250,000		317,476
Wachovia Corp. MTN 5.500%, due 05/01/13		975,000		1,021,768
Wells Fargo & Co. 5.625%, due 12/11/17		100,000		101,501

199

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Face amount4		Value
Corporate notes—(concluded)
United States—(concluded)
Wells Fargo Capital XIII 7.700%, due 03/26/1310,11	$	425,000	$	369,750
Whirlpool Corp. 8.000%, due 05/01/12		75,000		79,020
8.600%, due 05/01/14		100,000		107,342
Williams Cos., Inc. 6.375%, due 10/01/109		250,000		254,977
ZFS Finance USA Trust I 6.150%, due 12/15/109,11		550,000		489,500
Total United States corporate notes				19,951,774
Total corporate notes (cost—$37,817,349)				38,874,832
Municipal bonds and notes—0.09%
United States—0.09%
California (Build America Bonds) 7.500%, due 04/01/34		200,000		206,378
7.550%, due 04/01/39		200,000		206,748
Total municipal bonds and notes (cost—$379,139)				413,126
Non-US government obligations—0.31%
Argentina—0.11%
Republic of Argentina 7.000%, due 10/03/15		930,000		513,825
Japan—0.14%
Japan Finance Corp. 2.000%, due 06/24/11		600,000		605,549
Peru—0.06%
Republic of Peru 7.125%, due 03/30/19		250,000		270,000
Total non-US government obligations (cost—$1,226,223)				1,389,374
Time deposit—2.18%
Rabobank Nederland N.V. 0.120%, due 08/03/09 (cost—$9,639,955)		9,639,955		9,639,955
Short-term US government obligations13—17.34%
US Treasury Bills
0.145%, due 08/13/09		5,000,000		4,999,758
0.155%, due 08/13/09		20,000,000		19,998,967
0.175%, due 10/29/093		8,675,000		8,671,247
0.235%, due 11/12/09		8,000,000		7,994,621
0.260%, due 11/12/09		35,000,000		34,973,964
Total short-term US government obligations (cost—$76,638,557)				76,638,557

Security description	Face amount4			Value
Repurchase agreement—13.11%
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $59,111,228 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$59,105,317); proceeds: $57,944,048 (cost—$57,944,000)	$	57,944,000		$	57,944,000
	Number of contracts
Options*—0.05%
Call options purchased—0.05%
DJ Euro Stoxx 50 Index, strike @ EUR 650, expires 08/21/09		80			64,081
Russell 2000 Index, strike @ $560, expires 08/22/09		9			9,855
S&P 500 Index, strike @ $975, expires 08/22/09		49			133,281
Total call options purchased					207,217
Put options purchased—0.00%***
DJ Euro Stoxx 50 Index, strike @ EUR 900, expires 09/18/09		213			10,018
Russell 2000 Index, strike @ $380, expires 09/19/09		12			300
S&P 500 Index, strike @ $700, expires 09/19/09		84			6,720
Total put options purchased					17,038
Total options (cost—$204,825)					224,255
Total investments before investments sold short (cost—$430,656,978)—98.56%					435,731,804
	Number of shares
Investments sold short—(4.77)%
Common stocks—(4.75)%
Belgium—(0.08)%
Anheuser-Busch InBev N.V		(8,865	)		(352,714	)
Bermuda—(0.05)%
PartnerRe Ltd.		(2,900	)		(198,911	)
Canada—(0.46)%
Biovail Corp.		(4,100	)		(54,616	)
George Weston Ltd.		(17,100	)		(931,948	)
Gerdau Ameristeel Corp.		(80,100	)		(555,439	)
Ivanhoe Mines Ltd.		(30,800	)		(248,744	)

200

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

Security description	Number of shares			Value
Investments sold short—(continued)
Common stocks—(continued)
Canada—(concluded)
Loblaw Cos. Ltd.		(4,200	)	$	(133,340	)
Open Text Corp.		(3,500	)		(132,657	)
Total Canada common stocks					(2,056,744	)
Finland—(0.02)%
Kesko Oyj, B Shares		(3,587	)		(94,582	)
France—(0.05)%
Eutelsat Communications		(8,550	)		(238,913	)
Germany—(0.25)%
Bayerische Motoren Werke (BMW) AG		(13,440	)		(621,230	)
United Internet AG		(38,062	)		(485,535	)
Total Germany common stocks					(1,106,765	)
Japan—(0.98)%
Amada Co. Ltd.		(43,000	)		(273,564	)
Chugoku Electric Power Co., Inc.		(7,200	)		(150,810	)
Citizen Holdings Co. Ltd.		(33,800	)		(183,601	)
Dai Nippon Printing Co. Ltd.		(8,000	)		(117,178	)
East Japan Railway Co.		(7,400	)		(424,645	)
Furukawa Electric Co. Ltd.		(58,000	)		(280,116	)
Haseko Corp.		(451,000	)		(428,956	)
Hino Motors Ltd.		(6,000	)		(20,037	)
Hokuriku Electric Power Co.		(24,600	)		(562,843	)
Kawasaki Kisen Kaisha Ltd.		(23,000	)		(86,774	)
Mitsubishi Gas Chemical Co., Inc.		(18,000	)		(110,901	)
Murata Manufacturing Co. Ltd.		(1,100	)		(53,939	)
Nippon Sheet Glass Co. Ltd.		(32,000	)		(95,704	)
Nippon Yusen		(44,000	)		(188,322	)
NSK Ltd.		(24,000	)		(130,114	)
NTN Corp.		(74,000	)		(299,519	)
Obayashi Corp.		(40,000	)		(178,811	)
Seiko Epson Corp.		(6,700	)		(103,093	)
THK Co. Ltd.		(7,600	)		(124,813	)
Tohoku Electric Power Co., Inc.		(5,000	)		(104,148	)
Toyota Tsusho Corp.		(6,900	)		(106,025	)
Ushio, Inc.		(1,000	)		(18,864	)
Yamaha Motor Co. Ltd.		(24,300	)		(302,514	)
Total Japan common stocks					(4,345,291	)
Netherlands—(0.27)%
ASML Holding N.V.		(45,718	)		(1,197,023	)
Switzerland—(0.11)%
Adecco SA		(3,288	)		(158,454	)
Givaudan SA		(253	)		(169,156	)
Nobel Biocare Holding AG		(5,858	)		(139,125	)
Total Switzerland common stocks					(466,735	)

Security description	Number of shares			Value
Investments sold short—(concluded)
Common stocks—(concluded)
United Kingdom—(0.24)%
F&C Asset Management PLC		(47,236	)	$	(57,996	)
Friends Provident Group PLC		(472,360	)		(553,521	)
Prudential PLC		(57,188	)		(428,212	)
Total United Kingdom common stocks					(1,039,729	)
United States—(2.24)%
Amylin Pharmaceuticals, Inc.		(33,800	)		(497,198	)
Annaly Capital Management, Inc.		(21,600	)		(363,960	)
Cadence Design Systems, Inc.		(75,400	)		(444,860	)
Caterpillar, Inc.		(15,200	)		(669,712	)
Celgene Corp.		(19,200	)		(1,093,633	)
Charles River Laboratories International, Inc.		(15,600	)		(515,892	)
Constellation Energy Group, Inc.		(14,200	)		(407,540	)
Edwards Lifesciences Corp.		(7,500	)		(490,575	)
FTI Consulting, Inc.		(7,700	)		(419,111	)
Iron Mountain, Inc.		(5,500	)		(160,655	)
Liberty Media Corp.— Entertainment, Series A		(17,800	)		(497,866	)
Life Technologies Corp.		(3,800	)		(173,014	)
Petrohawk Energy Corp.		(9,900	)		(240,372	)
Plains Exploration & Production Co.		(27,800	)		(796,470	)
Ralcorp Holdings, Inc.		(1,600	)		(101,616	)
Republic Services, Inc.		(9,600	)		(255,360	)
SBA Communications Corp., Class A		(41,200	)		(1,074,908	)
Stericycle, Inc.		(4,300	)		(220,160	)
Textron, Inc.		(3,700	)		(49,728	)
UDR, Inc.		(45,900	)		(479,655	)
Vertex Pharmaceuticals, Inc.		(27,000	)		(972,270	)
Total United States common stocks					(9,924,555	)
Total common stocks (proceeds—$17,854,116)				$	(21,021,962	)
Unit Trust—(0.02)%
Canada—(0.02)%
Yellow Pages Income Fund (proceeds—$93,750)		(21,700	)		(100,719	)
Total investments sold short (proceeds—$17,947,866)— (4.77)%					(21,122,681	)
Other assets in excess of liabilities—6.21%					27,473,234
Net assets—100.00%				$	442,082,357

Aggregate cost for federal income tax purposes before investments sold short was $437,208,110 and net unrealized depreciation consisted of:

Gross unrealized appreciation	$	24,413,808
Gross unrealized depreciation		(25,890,114	)
Net unrealized depreciation	$	(1,476,306	)

201

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Portfolio of investments—July 31, 2009

*  Non-income producing security.

**  On September 7, 2008, the Federal Housing Finance Agency placed the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation into conservatorship, and the US Treasury guaranteed the debt issued by those organizations.

***  Amount represents less than 0.005%.

1  Security is traded on the New York Stock Exchange.

2  Security is traded on the Toronto Stock Exchange.

3  Security, or portion thereof, pledged as collateral for investments sold short, written options and futures.

4  In US Dollars unless otherwise indicated.

5  Security issued with zero coupon. Income is recognized through the accretion of discount.

6  Floating rate security. The interest rate shown is the current rate as of July 31, 2009.

7  Illiquid securities representing 1.70% of net assets as of July 31, 2009.

8  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 0.68% of net assets as of July 31, 2009, are considered illiquid and restricted (see table below for more information).

Illiquid and restricted securities	Acquisition dates	Acquisition cost		Acquisition cost as a percentage of net assets			Value at 07/31/09		Value as a percentage of net assets
ANZ National (International) Ltd., 3.250%, 04/02/12	07/30/09	$	614,760		0.14	%	$	614,826		0.14	%
Bank of America Auto Trust, Series 2009-IA, Class A2, 1.700%, 12/15/11	07/07/09		1,799,843		0.41			1,802,917		0.41
CIT Mortgage Loan Trust, Series 2007-1, Class 2A1, 1.285%, 10/01/37	10/05/07		275,707		0.06			209,537		0.05
CIT Mortgage Loan Trust, Series 2007-1, Class 2A2, 1.535%, 10/01/37	10/05/07		130,000		0.03			44,200		0.01
CIT Mortgage Loan Trust, Series 2007-1, Class 2A3, 1.735%, 10/01/37	10/05/07		230,000		0.05			69,000		0.01
Dolphin Energy Ltd., 5.888%, 06/15/19	07/23/09		170,000		0.04			169,745		0.04
QBE Insurance Group Ltd., 9.750%, 03/14/14	12/30/08		92,264		0.02			114,009		0.02
		$	3,312,574		0.75	%	$	3,024,234		0.68	%

9  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 3.24% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

10  Perpetual bond security. The maturity date reflects the next call date.

11  Variable rate security. The interest rate shown is the current rate as of July 31, 2009, and resets at the next call date.

12  Payment-in-kind security for which part of the income earned may be paid as additional principal.

13  Rates shown are the discount rates at date of purchase.

ADR  American Depositary Receipt

EUR  Euro

FFCB  Federal Farm Credit Bank

FHLMC  Federal Home Loan Mortgage Corporation

FNMA  Federal National Mortgage Association

GDR  Global Depositary Receipt

GMAC  General Motors Acceptance Corporation

MTN  Medium Term Note

REMIC  Real Estate Mortgage Investment Conduit

SPDR  Standard & Poor's Depository Receipts

STRIPS  Separate Trading of Registered Interest and Principal of Securities

TIPS  Treasury inflation protected securities ("TIPS") are debt securities issued by the US Treasury whose principal and/or interest payments are adjusted for inflation, unlike debt securities that make fixed principal and interest payments. The interest rate paid by the TIPS is fixed, while the principal value rises or falls based on changes in a published Consumer Price Index ("CPI"). Thus, if inflation occurs, the principal and interest payments on TIPS are adjusted accordingly to protect investors from inflationary loss. During a deflationary period, the principal and interest payments decrease, although the TIPS principal amounts will not drop below their face amounts at maturity. In exchange for the inflation protection, the TIPS generally pay lower interest rates than typical US Treasury securities. Only if inflation occurs will TIPS offer a higher real yield than a conventional Treasury bond of the same maturit y.

202

UBS PACE Select Advisors Trust

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Portfolio of investments—July 31, 2009

Written options

Number of contracts		Call options written	Expiration dates	Premiums received		Current value		Unrealized appreciation (depreciation)
	80	DJ Euro Stoxx 50 Index, strike @ EUR 2,550	08/21/09	$	39,857	$	135,917	$	(96,060	)
	9	Russell 2000 Index Option, strike @ $540	08/22/09		6,418		21,600		(15,182	)
	49	S&P 500 Index, strike @ $950	08/22/09		79,763		209,818		(130,055	)
				$	126,038	$	367,335	$	(241,297	)
		Put options written
	213	DJ Euro Stoxx 50 Index, strike @ EUR 2,000	08/21/09	$	52,085	$	2,732	$	49,353
	12	Russell 2000 Index, strike @ $410	08/22/09		6,091		120		5,971
	84	S&P 500 Index, strike @ $750	08/22/09		47,158		2,520		44,638
					105,334		5,372		99,962
				$	231,372	$	372,707	$	(141,335	)

Currency type abbreviation:

EUR   Euro

Written option activity for the year ended July 31, 2009 was as follows:

	Number of contracts			Premiums received
Options outstanding at July 31, 2008		6,140		$	3,206,903
Options written		16,540,543			47,990,023
Options terminated in closing purchase transactions		(16,521,166	)		(29,535,592	)
Options expired prior to exercise		(25,070	)		(21,429,962	)
Options outstanding at July 31, 2009		447		$	231,372

Futures contracts

Number of contracts		Currency	Buy contracts	Expiration dates	Cost		Current value		Unrealized appreciation (depreciation)
	220	AUD	Australian Bond 10 Year Futures	September 2009	$	18,845,798	$	18,886,523	$	40,725
	3	EUR	DAX Index Futures	September 2009		523,372		568,022		44,650
	12	EUR	FTSE MIB Index Futures	September 2009		1,658,450		1,752,764		94,314
	98	EUR	German Euro Bobl Futures	September 2009		15,891,357		16,137,822		246,465
	149	EUR	German Euro Bund Futures	September 2009		25,197,103		25,780,308		583,205
	145	GBP	90 Day Sterling Futures	December 2010		29,320,010		29,355,699		35,689
	58	GBP	FTSE 100 Index Futures	September 2009		4,157,004		4,400,066		243,062
	20	GBP	United Kingdom Long Gilt 10 Year Futures	September 2009		3,884,049		3,893,294		9,245
	15	HKD	Hang Seng Index Futures	August 2009		1,965,059		1,970,600		5,541
	37	USD	90 Day Euro Dollar Futures	August 2009		9,194,330		9,206,988		12,658
	22	USD	90 Day Euro Dollar Futures	September 2009		5,465,933		5,472,775		6,842
	58	USD	MSCI EAFE E Mini Index Futures	September 2009		4,086,796		4,143,810		57,014
	6	USD	S&P 500 Index Futures	September 2009		1,411,064		1,476,600		65,536
	17	USD	US Treasury Bond 30 Year Futures	September 2009		1,980,482		2,023,000		42,518
	368	USD	US Treasury Note 10 Year Futures	September 2009		43,341,034		43,159,500		(181,534	)
					$	166,921,841	$	168,227,771	$	1,305,930

203

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Portfolio of investments—July 31, 2009

Futures contracts—(concluded)

Number of contracts		Currency	Sale contracts	Expiration dates	Proceeds		Current value		Unrealized appreciation (depreciation)
	39	AUD	ASX SPI 200 Index Futures	September 2009	$	3,234,554	$	3,410,052	$	(175,498	)
	112	AUD	Australian Bond 3 Year Futures	September 2009		9,693,196		9,620,994		72,202
	221	CAD	Canada Government Bond 10 Year Futures	September 2009		24,792,614		24,622,560		170,054
	32	EUR	AEX Index Futures	August 2009		2,268,369		2,562,385		(294,016	)
	22	EUR	CAC 40 Index Futures	August 2009		957,317		1,067,495		(110,178	)
	16	EUR	German Euro Bobl Futures	September 2009		2,637,738		2,648,963		(11,225	)
	16	EUR	German Euro Bund Futures	September 2009		2,755,035		2,768,355		(13,320	)
	10	EUR	IBEX 35 Index Futures	August 2009		1,360,151		1,535,211		(175,060	)
	145	GBP	90 Day Sterling Futures	December 2009		29,917,916		29,948,682		(30,766	)
	76	GBP	United Kingdom Long Gilt 10 Year Futures	September 2009		14,833,045		14,815,842		17,203
	178	JPY	Japan Government Bond 10 Year Mini Futures	September 2009		25,620,216		25,815,092		(194,876	)
	1	JPY	TOPIX Index Futures	September 2009		96,616		100,373		(3,757	)
	10	USD	90 Day Euro Dollar Futures	December 2009		2,465,133		2,482,250		(17,117	)
	10	USD	90 Day Euro Dollar Futures	March 2010		2,463,557		2,475,375		(11,818	)
	259	USD	S&P 500 E Mini Index Futures	September 2009		11,898,877		12,747,980		(849,103	)
	312	USD	US Treasury Bond 30 Year Futures	September 2009		36,860,260		37,128,000		(267,740	)
	51	USD	US Treasury Note 2 Year Futures	September 2009		11,070,403		11,045,484		24,919
	301	USD	US Treasury Note 5 Year Futures	September 2009		34,430,518		34,730,227		(299,709	)
	33	USD	US Treasury Note 10 Year Futures	September 2009		3,878,787		3,870,281		8,506
					$	221,234,302	$	223,395,601	$	(2,161,299	)
									$	(855,369	)

Currency type abbreviations:

AUD  Australian Dollar

CAD  Canadian Dollar

EUR   Euro

GBP   Great Britain Pound

HKD   Hong Kong Dollar

JPY   Japanese Yen

USD   United States Dollar

Forward foreign currency contracts

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
Australian Dollar		2,799,000	CHF	2,386,427	09/16/09	$	(99,835	)
Australian Dollar		5,347,519	EUR	3,050,000	09/16/09		(111,376	)
Australian Dollar		4,206,000	JPY	322,762,627	09/16/09		(94,676	)
Australian Dollar		6,258,840	USD	5,063,838	09/16/09		(154,866	)
Australian Dollar		4,211,500	USD	3,320,174	09/16/09		(191,431	)
Canadian Dollar		1,596,200	CHF	1,515,065	09/16/09		(63,669	)
Canadian Dollar		2,307,705	EUR	1,485,000	09/16/09		(25,844	)
Canadian Dollar		4,722,600	USD	4,219,600	09/16/09		(165,031	)

204

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Portfolio of investments—July 31, 2009

Forward foreign currency contracts—(continued)

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
Canadian Dollar		7,747,900	USD	7,003,710	09/16/09	$	(189,719	)
Chinese Yuan Renminbi		10,650,000	USD	1,552,026	09/02/09		(6,963	)
Chinese Yuan Renminbi		34,660,000	USD	4,915,681	09/02/09		(157,985	)
Chinese Yuan Renminbi		12,640,000	USD	1,814,207	09/02/09		(36,086	)
Euro		1,296,000	CAD	2,095,567	09/16/09		98,287
Euro		686,000	JPY	92,380,190	09/16/09		(1,150	)
Euro		1,054,000	USD	1,343,218	09/02/09		(159,147	)
Euro		1,512,000	USD	2,152,332	09/02/09		(2,862	)
Euro		1,126,000	USD	1,628,196	09/02/09		23,204
Euro		1,119,243	USD	1,580,433	09/04/09		(14,936	)
Euro		4,014,000	USD	5,561,824	09/16/09		(159,713	)
Euro		10,513,176	USD	14,758,946	09/16/09		(226,488	)
Great Britain Pound		903,176	EUR	1,061,000	09/16/09		3,773
Great Britain Pound		584,000	JPY	92,334,488	09/16/09		735
Great Britain Pound		692,000	NZD	1,761,832	09/16/09		7,613
Great Britain Pound		728,647	USD	1,208,992	08/07/09		(8,167	)
Great Britain Pound		2,895,326	USD	4,704,859	09/16/09		(131,189	)
Great Britain Pound		8,301,800	USD	13,444,200	09/16/09		(422,258	)
Japanese Yen		84,530,611	AUD	1,103,000	09/16/09		26,013
Japanese Yen		274,273,359	CHF	3,009,000	09/16/09		(82,880	)
Japanese Yen		354,423,307	EUR	2,613,000	09/16/09		(22,511	)
Japanese Yen		272,579,984	GBP	1,736,000	09/16/09		17,836
Japanese Yen		1,104,593,488	USD	11,384,719	09/16/09		(293,374	)
Japanese Yen		127,400,000	USD	1,311,593	09/16/09		(35,318	)
New Zealand Dollar		2,931,350	EUR	1,326,000	09/16/09		(45,695	)
New Zealand Dollar		1,156,000	USD	739,840	09/16/09		(23,545	)
New Zealand Dollar		3,680,100	USD	2,334,249	09/16/09		(95,970	)
Norwegian Krone		14,084,000	SEK	17,308,178	09/16/09		103,897
Swedish Krona		13,769,520	USD	1,772,362	09/16/09		(136,224	)
Swedish Krona		57,959,500	USD	7,452,207	09/16/09		(581,530	)
Swiss Franc		1,972,599	GBP	1,118,000	09/16/09		20,778
Swiss Franc		8,330,916	USD	7,692,328	09/16/09		(106,504	)
Swiss Franc		18,775,220	USD	17,480,180	09/16/09		(95,893	)
Swiss Franc		2,103,000	USD	1,948,034	10/23/09		(21,399	)
United States Dollar		11,558,153	AUD	14,333,911	09/16/09		393,652
United States Dollar		11,984,236	AUD	15,104,400	09/16/09		610,015
United States Dollar		933,063	AUD	1,173,000	10/23/09		42,174
United States Dollar		936,375	BRL	1,847,000	10/23/09		38,851
United States Dollar		4,596,000	CAD	5,152,895	09/16/09		188,133
United States Dollar		4,071,719	CAD	4,500,700	09/16/09		106,892
United States Dollar		1,862,000	CHF	1,993,178	09/16/09		3,876
United States Dollar		2,657,339	CHF	2,892,900	09/16/09		50,796
United States Dollar		3,071,980	CNY	20,997,000	09/02/09		1,642
United States Dollar		3,753,862	CNY	25,613,000	09/02/09		(4,530	)

205

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Portfolio of investments—July 31, 2009

Forward foreign currency contracts—(concluded)

	Contracts to deliver		In exchange for		Maturity dates	Unrealized appreciation (depreciation)
United States Dollar		1,703,214	CNY	11,340,000	09/02/09	$	(43,221	)
United States Dollar		790,316	EUR	610,000	09/02/09		79,174
United States Dollar		2,301,753	EUR	1,802,000	09/02/09		266,805
United States Dollar		1,861,120	EUR	1,280,000	09/02/09		(36,617	)
United States Dollar		496,652	EUR	351,723	09/04/09		4,694
United States Dollar		3,499,439	EUR	2,460,000	09/16/09		7,034
United States Dollar		2,462,856	EUR	1,750,100	09/16/09		31,728
United States Dollar		1,042,928	GBP	630,095	08/07/09		9,608
United States Dollar		9,243,455	GBP	5,695,502	09/16/09		269,716
United States Dollar		9,833,474	GBP	5,990,300	09/16/09		172,096
United States Dollar		453,779	INR	22,242,000	10/23/09		7,338
United States Dollar		7,572,000	JPY	725,184,145	09/16/09		94,863
United States Dollar		7,330,458	JPY	699,600,000	09/16/09		65,922
United States Dollar		900,750	KRW	1,132,693,000	10/23/09		21,121
United States Dollar		851,840	MXN	11,611,000	10/23/09		17,700
United States Dollar		5,776,700	NOK	36,757,491	09/16/09		213,437
United States Dollar		895,265	NOK	5,657,000	10/23/09		25,722
United States Dollar		4,009,336	NZD	6,274,995	09/16/09		134,469
United States Dollar		10,037,151	NZD	15,966,700	09/16/09		506,742
United States Dollar		265,225	PHP	12,821,000	10/08/09		(341	)
United States Dollar		944,229	PLN	2,868,000	10/23/09		36,656
United States Dollar		3,261,000	SEK	24,415,646	09/16/09		123,240
United States Dollar		4,978,787	SEK	38,367,000	09/16/09		339,245
						$	116,534

Currency type abbreviations:

AUD   Australian Dollar

BRL   Brazilian Real

CAD   Canadian Dollar

CHF   Swiss Franc

CNY   Chinese Yuan Renminbi

EUR   Euro

GBP   Great Britain Pound

INR   Indian Rupee

JPY   Japanese Yen

KRW   South Korean Won

MXN   Mexican Peso

NOK   Norwegian Krone

NZD   New Zealand Dollar

PHP   Philippine Peso

PLN   Polish Zloty

SEK   Swedish Krona

USD   United States Dollar

206

UBS PACE Select Advisors Trust

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Portfolio of investments—July 31, 2009

Interest rate swaps⁷

				Rate type
Counterparty	Notional amount (000)		Termination dates	Payments made by the Portfolio			Payments received by the Portfolio			Upfront payments received (made)			Value			Unrealized appreciation (depreciation)
Deutsche Bank AG	GBP	10	12/17/11		5.250	%		1.099	%14	$	963		$	(1,055	)	$	(92	)
Deutsche Bank AG	JPY	1,898,000	12/16/14		1.000			0.638	15		124,992			(3,838	)		121,154
Deutsche Bank AG	KRW	660,000	01/28/11		2.410	16		2.820			0			(4,033	)		(4,033	)
Deutsche Bank AG	KRW	200,000	06/12/11		2.410	16		3.869			0			1,054			1,054
Deutsche Bank AG	KRW	1,420,000	06/26/11		2.410	16		3.692			0			2,965			2,965
Deutsche Bank AG	KRW	613,856	07/06/11		2.410	16		3.620			0			308			308
Deutsche Bank AG	KRW	1,025,603	07/07/11		2.410	16		3.626			0			573			573
Deutsche Bank AG	USD	3,200	12/16/14		3.000			0.479	17		(6,193	)		29,923			23,730
Deutsche Bank AG	USD	7,300	12/16/19		3.500			0.479	17		(454,874	)		254,893			(199,981	)
Deutsche Bank AG	USD	600	12/16/39		4.000			0.479	17		54,362			25,883			80,245
JPMorgan Chase Bank	GBP	9,170	12/16/14		1.099	14		3.500			202,038			(299,258	)		(97,220	)
JPMorgan Chase Bank	KRW	641,000	01/28/11		2.410	16		2.830			0			(3,841	)		(3,841	)
JPMorgan Chase Bank	KRW	500,000	06/15/11		2.410	16		3.900			0			2,700			2,700
JPMorgan Chase Bank	KRW	1,500,000	06/22/11		2.410	16		3.719			0			4,138			4,138
JPMorgan Chase Bank	KRW	487,792	07/08/11		2.410	16		3.660			0			502			502
Morgan Stanley Capital Services, Inc.	EUR	5,723	12/16/14		1.131	18		3.000			27,357			10,793			38,150
Morgan Stanley Capital Services, Inc.	EUR	11,500	12/16/14		3.000			1.131	18		(146,323	)		(21,687	)		(168,010	)
										$	(197,678	)	$	20		$	(197,658	)

14  Rate based on 6 Month LIBOR (GBP on Interbank Offered Rate).

15  Rate based on 6 Month LIBOR (JPY on Interbank Offered Rate).

16  Rate based on 3 Month Korean Won CD.

17  Rate based on 3 Month LIBOR (London Interbank Offered Rate).

18  Rate based on 6 Month LIBOR (EUR on Interbank Offered Rate).

EUR  Euro

GBP  Great Britain Pound

JPY  Japanese Yen

KRW  South Korean Won

USD  United States Dollar

Credit default swaps on credit indicies—buy protection^7,19

					Rate type
Counterparty	Notional amount (000)		Termination date		Payment made by the Portfolio			Payment received by the Portfolio			Upfront payment made			Value			Unrealized depreciation
Deutsche Bank AG	USD	27,000		12/20/13		1.500	%20		0.000	%21	$	(831,776	)	$	(22,920	)	$	(854,696	)

19  If the Portfolio is a buyer of protection and a credit event occurs, as defined under the terms of the particular swap agreement, the Portfolio will either (i) receive from the seller of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying securities comprising the referenced obligation or (ii) receive a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index.

20  Payments are made based on the notional amount.

21  Payment from the counterparty will be received upon the occurrence of bankruptcy and/or by a restructuring event with respect to the CDX North America Investment Grade Index.

USD  United States Dollar

207

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Portfolio of investments—July 31, 2009

Credit default swaps on credit indicies—sell protection^7,22

				Rate type
Counterparty	Notional amount (000)		Termination dates	Payments made by the Portfolio			Payments received by the Portfolio			Upfront payments received		Value			Unrealized depreciation			Credit spread23
Citibank N.A.	USD	1,500	08/25/37		0.000	%24		0.090	%25	$	761,276	$	(1,013,250	)	$	(251,974	)		8.08	%
Citibank N.A.	USD	1,500	08/25/37		0.000	24		0.090	25		772,526		(1,013,250	)		(240,724	)		8.08
Citibank N.A.	USD	3,000	08/25/37		0.000	24		0.090	25		1,545,053		(2,026,500	)		(481,447	)		8.08
Citibank N.A.	USD	4,500	08/25/37		0.000	24		0.090	25		2,295,079		(3,039,750	)		(744,671	)		8.08
Deutsche Bank AG	USD	2,000	08/25/37		0.000	24		0.090	25		464,875		(1,351,000	)		(886,125	)		8.08
Deutsche Bank AG	USD	1,500	08/25/37		0.000	24		0.090	25		776,276		(1,013,250	)		(236,974	)		8.08
Deutsche Bank AG	USD	1,500	08/25/37		0.000	24		0.090	25		772,526		(1,013,250	)		(240,724	)		8.08
										$	7,387,611	$	(10,470,250	)	$	(3,082,639	)

22  If the Portfolio is a seller of protection and a credit event occurs, as defined under the terms of the particular swap agreement, the Portfolio will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or (ii) pay a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation.

23   Credit spreads, where applicable, represented in absolute terms, utilized in determining the market value as of period end serve as an indicator of the current status of the payment/performance risk and represent the likelihood or risk of default for the credit derivative. The credit spread of a particular referenced entity reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into the agreement. Wider credit spreads represent a deterioration of the referenced entity's credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement. A credit spread identified as "Defaulted" indicates a credit event has occurred for the referenced entity.

24   Payment to the counterparty will be made upon the occurrence of bankruptcy and/or by a restructuring event with respect to the bonds on the Asset Backed Securities Index.

25   Payments received are based on the notional amount.

USD   United States Dollar

208

UBS PACE Select Advisors Trust

UBS PACE Alternative Strategies Investments

Portfolio of investments—July 31, 2009

The following is a summary of the fair valuations according to the inputs used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)26			Significant other observable inputs (Level 2)26			Unobservable inputs (Level 3)		Total
Common stocks	$	156,059,206		$	—		$	—	$	156,059,206
Preferred stocks		26,902			—			—		26,902
Investment companies		3,705,171			—			—		3,705,171
Unit trusts		866,419			—			—		866,419
US government obligations		—			15,305,313			—		15,305,313
Federal farm credit bank certificates		—			4,941,726			—		4,941,726
Federal home loan mortgage corporation certificates		—			1,832,748			—		1,832,748
Federal national mortgage association certificates		—			33,045,058			—		33,045,058
Collateralized mortgage obligations		—			29,229,782			—		29,229,782
Asset-backed securities		—			5,272,643			322,737		5,595,380
Corporate notes		—			38,874,832			—		38,874,832
Municipal bonds and notes		—			413,126			—		413,126
Non-US government obligations		—			1,389,374			—		1,389,374
Time deposit		—			9,639,955			—		9,639,955
Short-term US government obligations		—			76,638,557			—		76,638,557
Repurchase agreement		—			57,944,000			—		57,944,000
Options purchased		224,255			—			—		224,255
Common stocks sold short		(21,122,681	)		—			—		(21,122,681	)
Other financial instruments, net27		(996,704	)		(4,018,459	)		—		(5,015,163	)
Total	$	138,762,568		$	270,508,655		$	322,737	$	409,593,960

26  The Portfolio may hold securities which are periodically fair valued in accordance with the Portfolio's fair valuation policy. This may result in movements between Level 1 and Level 2 throughout the fiscal year.

27  Other financial instruments include written options, open futures contracts, forward foreign currency contracts and open swap contracts.

The following is a rollforward of the Portfolio's investments that were valued using unobservable inputs (Level 3) for the period:

Measurements at 07/31/09
	Asset-backed securities
Beginning balance	$	521,265
Net purchases/(sales)		(145,193	)
Accrued discounts/(premiums)		—
Total realized gain/(loss)		—
Total unrealized appreciation/(depreciation)		(53,335	)
Net transfers in/(out) of Level 3		—
Ending balance	$	322,737

The change in unrealized appreciation/(depreciation) relating to the Level 3 investments held at July 31, 2009 was $(53,335).

See accompanying notes to financial statements.
209

UBS PACE Select Advisors Trust

Understanding your Portfolio's expenses (unaudited)

As a shareholder of a Portfolio, you incur two types of costs: (1) transactional costs (as applicable), including sales charges (loads), or ongoing program fees; and (2) ongoing Portfolio costs, including management fees; service and/or distribution (12b-1) fees (if applicable); and other Portfolio expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in each Portfolio and to compare these costs with the ongoing costs of investing in other mutual funds.

The examples below are based on an investment of $1,000 invested at the beginning of the period and held for the entire period, February 1, 2009 to July 31, 2009.

Actual expenses

The first line for each class of shares in the table below for each Portfolio provides information about its actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over a period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line for each class of shares for each respective Portfolio under the heading entitled "Expenses paid during period" to estimate the expenses you paid on your account during the period.

Hypothetical example for comparison purposes

The second line for each class of shares in the table below for each Portfolio provides information about hypothetical account values and hypothetical expenses based on that Portfolio's actual expense ratios for each class of shares and an assumed rate of return of 5% per year before expenses, which is not that Portfolio's actual return for each class of shares. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Portfolio and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing Portfolio costs only and do not reflect any transactional costs (as applicable), such as sales charges (loads), or program fees. Therefore, the second line in the table for each class of shares for each Portfolio is useful in comparing ongoing Portfolio costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs or program fees were included, your costs would have been higher.

210

UBS PACE Select Advisors Trust

		Beginning account value February 1, 2009		Ending account value July 31, 2009		Expenses paid during period102/01/09 to 07/31/09		Expense ratio during the period
UBS PACE Money Market Investments
Class P	Actual	$	1,000.00	$	1,000.60	$	2.73		0.55	%
	Hypothetical (5% annual return before expenses)		1,000.00		1,022.07		2.76		0.55
UBS PACE Government Securities Fixed Income Investments
Class A	Actual		1,000.00		1,056.60		5.20		1.02
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.74		5.11		1.02
Class B	Actual		1,000.00		1,052.60		9.01		1.77
	Hypothetical (5% annual return before expenses)		1,000.00		1,016.02		8.85		1.77
Class C	Actual		1,000.00		1,054.00		7.74		1.52
	Hypothetical (5% annual return before expenses)		1,000.00		1,017.26		7.60		1.52
Class Y	Actual		1,000.00		1,057.90		3.93		0.77
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.98		3.86		0.77
Class P	Actual		1,000.00		1,057.90		3.93		0.77
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.98		3.86		0.77
UBS PACE Intermediate Fixed Income Investments
Class A	Actual		1,000.00		1,059.50		4.75		0.93
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.18		4.66		0.93
Class B	Actual		1,000.00		1,055.40		8.56		1.68
	Hypothetical (5% annual return before expenses)		1,000.00		1,016.46		8.40		1.68
Class C	Actual		1,000.00		1,056.90		7.29		1.43
	Hypothetical (5% annual return before expenses)		1,000.00		1,017.70		7.15		1.43
Class Y	Actual		1,000.00		1,060.80		3.47		0.68
	Hypothetical (5% annual return before expenses)		1,000.00		1,021.42		3.41		0.68
Class P	Actual		1,000.00		1,060.80		3.47		0.68
	Hypothetical (5% annual return before expenses)		1,000.00		1,021.42		3.41		0.68

211

UBS PACE Select Advisors Trust

		Beginning account value February 1, 2009		Ending account value July 31, 2009		Expenses paid during period102/01/09 to 07/31/09		Expense ratio during the period
UBS PACE Strategic Fixed Income Investments
Class A	Actual	$	1,000.00	$	1,088.30	$	5.49		1.06	%
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.54		5.31		1.06
Class B	Actual		1,000.00		1,084.40		9.35		1.81
	Hypothetical (5% annual return before expenses)		1,000.00		1,015.82		9.05		1.81
Class C	Actual		1,000.00		1,085.70		8.07		1.56
	Hypothetical (5% annual return before expenses)		1,000.00		1,017.06		7.80		1.56
Class Y	Actual		1,000.00		1,090.10		3.89		0.75
	Hypothetical (5% annual return before expenses)		1,000.00		1,021.08		3.76		0.75
Class P	Actual		1,000.00		1,089.70		4.20		0.81
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.78		4.06		0.81
UBS PACE Municipal Fixed Income Investments
Class A	Actual		1,000.00		1,024.60		4.67		0.93
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.18		4.66		0.93
Class B	Actual		1,000.00		1,021.70		8.42		1.68
	Hypothetical (5% annual return before expenses)		1,000.00		1,016.46		8.40		1.68
Class C	Actual		1,000.00		1,022.10		7.17		1.43
	Hypothetical (5% annual return before expenses)		1,000.00		1,017.70		7.15		1.43
Class Y	Actual		1,000.00		1,026.70		3.42		0.68
	Hypothetical (5% annual return before expenses)		1,000.00		1,021.42		3.41		0.68
Class P	Actual		1,000.00		1,025.90		3.42		0.68
	Hypothetical (5% annual return before expenses)		1,000.00		1,021.42		3.41		0.68
UBS PACE Global Fixed Income Investments
Class A	Actual		1,000.00		1,122.50		6.58		1.25
	Hypothetical (5% annual return before expenses)		1,000.00		1,018.60		6.26		1.25
Class B	Actual		1,000.00		1,118.00		10.50		2.00
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.88		9.99		2.00
Class C	Actual		1,000.00		1,119.80		9.20		1.75
	Hypothetical (5% annual return before expenses)		1,000.00		1,016.12		8.75		1.75
Class Y	Actual		1,000.00		1,124.50		4.79		0.91
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.28		4.56		0.91
Class P	Actual		1,000.00		1,122.90		5.26		1.00
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.84		5.01		1.00

212

UBS PACE Select Advisors Trust

		Beginning account value February 1, 2009		Ending account value July 31, 2009		Expenses paid during period102/01/09 to 07/31/09		Expense ratio during the period
UBS PACE High Yield Investments
Class A	Actual	$	1,000.00	$	1,252.90	$	7.54		1.35	%
	Hypothetical (5% annual return before expenses)		1,000.00		1,018.10		6.76		1.35
Class C	Actual		1,000.00		1,250.80		10.32		1.85
	Hypothetical (5% annual return before expenses)		1,000.00		1,015.62		9.25		1.85
Class Y	Actual		1,000.00		1,253.70		6.15		1.10
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.34		5.51		1.10
Class P	Actual		1,000.00		1,255.70		6.15		1.10
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.34		5.51		1.10
UBS PACE Large Co Value Equity Investments
Class A	Actual		1,000.00		1,248.60		7.14		1.28
	Hypothetical (5% annual return before expenses)		1,000.00		1,018.45		6.41		1.28
Class B	Actual		1,000.00		1,244.10		11.24		2.02
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.78		10.09		2.02
Class C	Actual		1,000.00		1,245.30		11.25		2.02
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.78		10.09		2.02
Class Y	Actual		1,000.00		1,252.10		4.91		0.88
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.43		4.41		0.88
Class P	Actual		1,000.00		1,251.00		5.69		1.02
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.74		5.11		1.02
UBS PACE Large Co Growth Equity Investments
Class A	Actual		1,000.00		1,229.10		7.13		1.29
	Hypothetical (5% annual return before expenses)		1,000.00		1,018.40		6.46		1.29
Class B	Actual		1,000.00		1,223.90		11.30		2.05
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.63		10.24		2.05
Class C	Actual		1,000.00		1,224.20		11.31		2.05
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.63		10.24		2.05
Class Y	Actual		1,000.00		1,231.50		4.76		0.86
	Hypothetical (5% annual return before expenses)		1,000.00		1,020.53		4.31		0.86
Class P	Actual		1,000.00		1,229.90		5.47		0.99
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.89		4.96		0.99

213

UBS PACE Select Advisors Trust

		Beginning account value February 1, 2009		Ending account value July 31, 2009		Expenses paid during period102/01/09 to 07/31/09		Expense ratio during the period
UBS PACE Small/Medium Co Value Equity Investments
Class A	Actual	$	1,000.00	$	1,335.20	$	8.28		1.43	%
	Hypothetical (5% annual return before expenses)		1,000.00		1,017.70		7.15		1.43
Class B	Actual		1,000.00		1,330.50		12.48		2.16
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.08		10.79		2.16
Class C	Actual		1,000.00		1,328.90		12.65		2.19
	Hypothetical (5% annual return before expenses)		1,000.00		1,013.93		10.94		2.19
Class Y	Actual		1,000.00		1,337.30		5.85		1.01
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.79		5.06		1.01
Class P	Actual		1,000.00		1,336.30		6.72		1.16
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.04		5.81		1.16
UBS PACE Small/Medium Co Growth Equity Investments
Class A	Actual		1,000.00		1,312.30		7.97		1.39
	Hypothetical (5% annual return before expenses)		1,000.00		1,017.90		6.95		1.39
Class B	Actual		1,000.00		1,307.70		12.19		2.13
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.23		10.64		2.13
Class C	Actual		1,000.00		1,308.30		12.19		2.13
	Hypothetical (5% annual return before expenses)		1,000.00		1,014.23		10.64		2.13
Class Y	Actual		1,000.00		1,315.40		5.63		0.98
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.93		4.91		0.98
Class P	Actual		1,000.00		1,314.80		6.49		1.13
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.19		5.66		1.13
UBS PACE International Equity Investments
Class A	Actual		1,000.00		1,285.10		8.39		1.48
	Hypothetical (5% annual return before expenses)		1,000.00		1,017.46		7.40		1.48
Class B	Actual		1,000.00		1,279.90		13.57		2.40
	Hypothetical (5% annual return before expenses)		1,000.00		1,012.89		11.98		2.40
Class C	Actual		1,000.00		1,279.50		13.17		2.33
	Hypothetical (5% annual return before expenses)		1,000.00		1,013.24		11.63		2.33
Class Y	Actual		1,000.00		1,287.90		6.01		1.06
	Hypothetical (5% annual return before expenses)		1,000.00		1,019.54		5.31		1.06
Class P	Actual		1,000.00		1,287.10		6.92		1.22
	Hypothetical (5% annual return before expenses)		1,000.00		1,018.74		6.11		1.22

214

UBS PACE Select Advisors Trust

			Beginning account value February 1, 2009		Ending account value July 31, 2009		Expenses paid during period102/01/09 to 07/31/09		Expense ratio during the period
UBS PACE International Emerging Markets Equity Investments
Class A		Actual	$	1,000.00	$	1,565.10	$	12.40		1.95	%
		Hypothetical (5% annual return before expenses)		1,000.00		1,015.12		9.74		1.95
Class B		Actual		1,000.00		1,560.60		17.14		2.70
		Hypothetical (5% annual return before expenses)		1,000.00		1,011.41		13.47		2.70
Class C		Actual		1,000.00		1,559.10		17.07		2.69
		Hypothetical (5% annual return before expenses)		1,000.00		1,011.46		13.42		2.69
Class Y		Actual		1,000.00		1,569.10		9.43		1.48
		Hypothetical (5% annual return before expenses)		1,000.00		1,017.46		7.40		1.48
Class P		Actual		1,000.00		1,565.00		12.53		1.97
		Hypothetical (5% annual return before expenses)		1,000.00		1,015.03		9.84		1.97
UBS PACE Global Real Estate Securities Investments
Class A		Actual		1,000.00		1,252.60		8.10		1.45
		Hypothetical (5% annual return before expenses)		1,000.00		1,017.60		7.25		1.45
Class C		Actual		1,000.00		1,250.00		12.27		2.20
		Hypothetical (5% annual return before expenses)		1,000.00		1,013.88		10.99		2.20
Class Y		Actual		1,000.00		1,255.20		6.71		1.20
		Hypothetical (5% annual return before expenses)		1,000.00		1,018.84		6.01		1.20
Class P		Actual		1,000.00		1,252.60		6.70		1.20
		Hypothetical (5% annual return before expenses)		1,000.00		1,018.84		6.01		1.20
UBS PACE Alternative Strategies Investments
Class A		Actual		1,000.00		1,086.40		11.48		2.22
		Hypothetical (5% annual return before expenses)		1,000.00		1,013.79		11.08		2.22
Class B		Actual		1,000.00		1,082.60		15.28		2.96
	��	Hypothetical (5% annual return before expenses)		1,000.00		1,010.12		14.75		2.96
Class C		Actual		1,000.00		1,081.30		15.38		2.98
		Hypothetical (5% annual return before expenses)		1,000.00		1,010.02		14.85		2.98
Class Y		Actual		1,000.00		1,086.30		10.50		2.03
		Hypothetical (5% annual return before expenses)		1,000.00		1,014.73		10.14		2.03
Class P		Actual		1,000.00		1,086.10		10.29		1.99
		Hypothetical (5% annual return before expenses)		1,000.00		1,014.93		9.94		1.99

¹  Expenses are equal to the Portfolios' annualized net expense ratios, multiplied by the average account value over the period, multiplied by 181 divided by 365 (to reflect the one-half year period).

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Statement of assets and liabilities

July 31, 2009

	UBS PACE Money Market Investments		UBS PACE Government Securities Fixed Income Investments		UBS PACE Intermediate Fixed Income Investments		UBS PACE Strategic Fixed Income Investments
Assets:
Investments in unaffiliated securities, at value (cost – $460,672,205; $757,777,873; $447,543,897; $596,667,295; $285,632,587; $422,908,207; $157,469,874, respectively)1	$	460,672,205	$	751,210,982	$	446,427,331	$	565,010,991
Investment in an affiliated security, at value (cost – $9,894,000; $0; $7,903,377; $16,758,475; $0; $3,705,975; $21,770,202, respectively)		9,894,000		—		7,903,377		16,758,475
Repurchase agreements, at value (cost – $74,865,000; $3,821,000; $302,000; $49,735,000; $0; $18,096,000; $2,262,000, respectively)		74,865,000		3,821,000		302,000		49,735,000
Total investments in securities, at value (cost – $545,431,205; $761,598,873; $455,749,274; $663,160,770; $285,632,587; $444,710,182; $181,502,076, respectively)	$	545,431,205	$	755,031,982	$	454,632,708	$	631,504,466
Cash		650		826		4,195,490		10,465
Foreign currency, at value (cost – $0; $0; $131; $1,073,620; $0; $745,362; $270,803, respectively)		—		—		155		1,095,401
Receivable from affiliates		17,719		—		—		—
Receivable for investments sold		—		382,833,936		52,145,895		40,785,667
Receivable for shares of beneficial interest sold		1,139,276		1,089,932		949,076		1,281,028
Receivable for interest		200,010		2,424,957		3,440,307		4,730,649
Swap contracts, at value3		—		2,555,560		—		6,656,960
Due from broker		—		90,700		—		44,320
Unrealized appreciation on forward foreign currency contracts		—		—		8,834		2,657,535
Receivable for variation margin		—		—		137,031		241,549
Receivable for foreign tax reclaims		—		—		7,523		34,460
Other assets		71,049		40,023		37,321		517,751
Total assets		546,859,909		1,144,067,916		515,554,340		689,560,251
Liabilities:
Payable for cash collateral from securities loaned		9,894,000		—		7,903,377		16,758,475
Payable for shares of beneficial interest repurchased		4,487,995		981,403		679,925		1,179,396
Payable for investments purchased		1,999,847		448,311,484		61,431,611		15,164,094
Dividends payable to shareholders		2,574		—		—		—
Investments sold short, at value (proceeds - $0; $115,045,547; $39,058,572; $19,126,250; $0; $0; $0, respectively)		—		115,813,442		39,198,412		19,231,882
Due to broker		—		2,140,423		—		630,579
Payable to affiliates		—		266,404		156,912		296,744
Options written, at value (premiums received - $0; $25,587; $0; $518,914; $0; $0; $0, respectively)		—		2,156		—		50,934
Unrealized depreciation of forward foreign currency contracts		—		—		116,556		3,738,102
Payable for foreign withholding taxes		—		—		3,685		—
Swap contracts, at value3		—		—		—		2,288,018
Accrued expenses and other liabilities		516,984		293,577		178,181		378,043
Total liabilities		16,901,400		567,808,889		109,668,659		59,716,267

1 Includes $9,695,781; $0; $7,795,459; $15,612,407; $0; $3,675,829; $21,757,940, respectively of investments in securities on loan, at value.

2 Includes restricted cash of $7,794,676 delivered to broker as initial margin for futures contracts for UBS PACE Global Fixed Income Investments.

3 Includes net upfront payments made by UBS PACE Government Securities Fixed Income Investments of $3,792,628 and net upfront payments made by UBS PACE Strategic Fixed Income Investments of $3,118,729.

See accompanying notes to financial statements
216

	UBS PACE Municipal Fixed Income Investments		UBS PACE Global Fixed Income Investments			UBS PACE High Yield Investments
Assets:
Investments in unaffiliated securities, at value (cost – $460,672,205; $757,777,873; $447,543,897; $596,667,295; $285,632,587; $422,908,207; $157,469,874, respectively)1	$	289,819,863	$	448,946,416		$	155,101,027
Investment in an affiliated security, at value (cost – $9,894,000; $0; $7,903,377; $16,758,475; $0; $3,705,975; $21,770,202, respectively)		—		3,705,975			21,770,202
Repurchase agreements, at value (cost – $74,865,000; $3,821,000; $302,000; $49,735,000; $0; $18,096,000; $2,262,000, respectively)		—		18,096,000		��	2,262,000
Total investments in securities, at value (cost – $545,431,205; $761,598,873; $455,749,274; $663,160,770; $285,632,587; $444,710,182; $181,502,076, respectively)	$	289,819,863	$	470,748,391		$	179,133,229
Cash		—		7,795,028	2		943
Foreign currency, at value (cost – $0; $0; $131; $1,073,620; $0; $745,362; $270,803, respectively)		—		754,482			273,984
Receivable from affiliates		—		—			—
Receivable for investments sold		979,263		—			—
Receivable for shares of beneficial interest sold		384,506		739,525			449,169
Receivable for interest		3,364,203		7,372,931			3,286,385
Swap contracts, at value3		—		—			—
Due from broker		—		—			—
Unrealized appreciation on forward foreign currency contracts		—		6,573,109			—
Receivable for variation margin		—		2,267,634			—
Receivable for foreign tax reclaims		—		103,655			3,281
Other assets		39,602		36,784			27,944
Total assets		294,587,437		496,391,539			183,174,935
Liabilities:
Payable for cash collateral from securities loaned		—		3,705,975			21,770,202
Payable for shares of beneficial interest repurchased		574,219		768,931			273,218
Payable for investments purchased		2,028,298		—			4,270,427
Dividends payable to shareholders		—		—			—
Investments sold short, at value (proceeds - $0; $115,045,547; $39,058,572; $19,126,250; $0; $0; $0, respectively)		—		—			—
Due to broker		—		3,977,587			—
Payable to affiliates		154,031		317,288			74,573
Options written, at value (premiums received - $0; $25,587; $0; $518,914; $0; $0; $0, respectively)		—		—			—
Unrealized depreciation of forward foreign currency contracts		—		3,699,935			236,935
Payable for foreign withholding taxes		—		27,265			2,708
Swap contracts, at value3		—		—			—
Accrued expenses and other liabilities		127,724		371,983			153,681
Total liabilities		2,884,272		12,868,964			26,781,744

217

UBS PACE Select Advisors Trust

Statement of assets and liabilities (continued)

July 31, 2009

	UBS PACE Money Market Investments		UBS PACE Government Securities Fixed Income Investments			UBS PACE Intermediate Fixed Income Investments			UBS PACE Strategic Fixed Income Investments
Net assets:
Beneficial interest shares of $0.001 par value (unlimited amount authorized)	$	529,948,020	$	565,544,521		$	430,039,156		$	666,522,723
Accumulated undistributed (distributions in excess of) net investment income		—		1,237,067			1,710,474			5,309,230
Accumulated net realized gains (losses) from investments, futures, options written, short sales, swaps, forward foreign currency contracts and foreign currency transactions		10,489		18,025,862			(24,719,012	)		(10,618,624	)
Net unrealized appreciation (depreciation) of investments, other assets and liabilities denominated in foreign currency, futures, options written, short sales, swaps and forward foreign currency contracts		—		(8,548,423	)		(1,144,937	)		(31,369,345	)
Net assets	$	529,958,509	$	576,259,027		$	405,885,681		$	629,843,984
Class A
Net assets	$	—	$	90,385,837		$	45,164,690		$	33,293,067
Shares outstanding		—		6,767,608			3,899,487			2,544,211
Net asset value per share	$	—	$	13.36		$	11.58		$	13.09
Maximum offering price per share	$	—	$	13.99		$	12.13		$	13.71
Class B
Net assets	$	—	$	173,132		$	154,588		$	332,885
Shares outstanding		—		12,956			13,323			25,449
Net asset value and offering price per share	$	—	$	13.36		$	11.60		$	13.08
Class C
Net assets	$	—	$	24,476,585		$	5,185,281		$	8,797,149
Shares outstanding		—		1,831,029			447,204			672,121
Net asset value and offering price per share	$	—	$	13.37		$	11.59		$	13.09
Class Y
Net assets	$	—	$	39,199,299		$	2,313,357		$	3,185,978
Shares outstanding		—		2,934,480			199,658			243,554
Net asset value, offering price and redemption value per share1	$	—	$	13.36		$	11.59		$	13.08
Class P
Net assets	$	529,958,509	$	422,024,174		$	353,067,765		$	584,234,905
Shares outstanding		529,948,181		31,584,823			30,473,660			44,668,980
Net asset value, offering price and redemption value per share1	$	1.00	$	13.36		$	11.59		$	13.08

1 Assumes shares were held a sufficient period or are otherwise not subject to a redemption fee.

See accompanying notes to financial statements
218

	UBS PACE Municipal Fixed Income Investments			UBS PACE Global Fixed Income Investments			UBS PACE High Yield Investments
Net assets:
Beneficial interest shares of $0.001 par value (unlimited amount authorized)	$	290,696,150		$	480,322,286		$	169,154,754
Accumulated undistributed (distributions in excess of) net investment income		—			(6,709,415	)		(1,125,494	)
Accumulated net realized gains (losses) from investments, futures, options written, short sales, swaps, forward foreign currency contracts and foreign currency transactions		(3,180,261	)		(21,557,771	)		(9,103,024	)
Net unrealized appreciation (depreciation) of investments, other assets and liabilities denominated in foreign currency, futures, options written, short sales, swaps and forward foreign currency contracts		4,187,276			31,467,475			(2,533,045	)
Net assets	$	291,703,165		$	483,522,575		$	156,393,191
Class A
Net assets	$	88,167,334		$	103,707,674		$	7,538,042
Shares outstanding		7,083,362			8,905,855			843,352
Net asset value per share	$	12.45		$	11.64		$	8.94
Maximum offering price per share	$	13.04		$	12.19		$	9.36
Class B
Net assets	$	103,022		$	191,343		$	—
Shares outstanding		8,270			16,387			—
Net asset value and offering price per share	$	12.46		$	11.68		$	—
Class C
Net assets	$	15,473,601		$	7,234,041		$	1,819,499
Shares outstanding		1,243,034			621,216			203,791
Net asset value and offering price per share	$	12.45		$	11.64		$	8.93
Class Y
Net assets	$	145,198		$	7,773,194		$	6,913
Shares outstanding		11,658			668,549			772
Net asset value, offering price and redemption value per share1	$	12.45		$	11.63		$	8.95
Class P
Net assets	$	187,814,010		$	364,616,323		$	147,028,737
Shares outstanding		15,084,504			31,317,020			16,434,825
Net asset value, offering price and redemption value per share1	$	12.45		$	11.64		$	8.95

219

UBS PACE Select Advisors Trust

Statement of assets and liabilities (continued)

July 31, 2009

	UBS PACE Large Co Value Equity Investments		UBS PACE Large Co Growth Equity Investments		UBS PACE Small/Medium Co Value Equity Investments		UBS PACE Small/Medium Co Growth Equity Investments
Assets:
Investments in unaffiliated securities, at value (cost – $1,007,594,922; $843,119,658; $321,606,531; $314,968,648; $793,320,482; $258,840,627; $47,873,936; $372,712,978, respectively)1	$	990,296,378	$	879,777,400	$	331,348,735	$	340,798,296
Investment in an affiliated security, at value (cost – $147,996,105; $150,213,457; $86,696,079; $98,587,174; $113,067,670; $18,398,485; $15,057,573; $0, respectively)		147,996,105		150,213,457		86,696,079		98,587,174
Repurchase agreements, at value (cost – $18,086,000; $12,602,000; $8,520,000; $9,057,000; $5,406,000; $1,326,000; $1,573,000; $57,944,000, respectively)		18,086,000		12,602,000		8,520,000		9,057,000
Total investments in securities, at value (cost – $1,173,677,027; $1,005,935,115; $416,822,610; $422,612,822; $911,794,152; $278,565,112; $64,504,509; $430,656,978, respectively)	$	1,156,378,483	$	1,042,592,857	$	426,564,814	$	448,442,470
Cash		1,278		644,293		688		512
Foreign currency, at value (cost – $0; $0; $0; $0; $698,671; $1,812,424; $106,031; $99,577, respectively)		—		—		—		—
Receivable from affiliates		—		—		—		—
Receivable for investments sold		5,554,296		14,262,859		8,154,185		13,537,381
Receivable for shares of beneficial interest sold		1,517,179		1,569,563		551,515		576,116
Receivable for dividends and interest		1,037,007		762,580		211,565		37,132
Swap contracts, at value3		—		—		—		—
Due from broker		—		—		—		—
Unrealized appreciation on forward foreign currency contracts		—		—		—		—
Receivable for variation margin		—		—		—		—
Receivable for foreign tax reclaims		—		108		—		—
Other assets		46,173		45,262		32,712		32,959
Total assets		1,164,534,416		1,059,877,522		435,515,479		462,626,570
Liabilities:
Payable for cash collateral from securities loaned		147,996,105		150,213,457		86,696,079		98,587,174
Payable for investments purchased		6,999,539		7,824,243		4,049,174		15,399,858
Payable for shares of beneficial interest repurchased		1,717,432		1,399,968		567,537		527,913
Payable to affiliates		685,364		570,821		209,256		222,964
Payable for foreign withholding taxes		—		12,308		—		—
Unrealized depreciation of forward foreign currency contracts		—		—		—		—
Payable for bank loan		—		—		—		—
Investments sold short, at value (proceeds - $0; $0; $0; $0; $0; $0; $0; $17,947,866, respectively)		—		—		—		—
Swap contracts, at value3		—		—		—		—
Options written, at value (premiums received - $0; $0; $0; $0; $0; $0; $0; $231,372, respectively)		—		—		—		—
Due to broker		—		—		—		—
Accrued expenses and other liabilities		406,627		372,374		317,971		313,979
Total liabilities		157,805,067		160,393,171		91,840,017		115,051,888

1 Includes $144,327,280; $146,480,661; $82,966,906; $93,595,990; $109,214,107; $18,150,079; $14,631,632, $0, respectively, of investments in securities on loan, at value.

2 Includes restricted cash of $169,000 and $28,332,468 delivered to broker as initial margin for investments sold short, futures contracts and/or swaps for UBS PACE International Equity Investments and UBS PACE Alternative Strategies Investments, respectively.

3 Includes net upfront payments received by UBS PACE Alternative Strategies Investments of $6,358,157.

See accompanying notes to financial statements
220

	UBS PACE International Equity Investments			UBS PACE International Emerging Markets Equity Investments		UBS PACE Global Real Estate Securities Investments		UBS PACE Alternative Strategies Investments
Assets:
Investments in unaffiliated securities, at value (cost – $1,007,594,922; $843,119,658; $321,606,531; $314,968,648; $793,320,482; $258,840,627; $47,873,936; $372,712,978, respectively)1	$	784,727,660		$	260,914,575	$	54,568,530	$	377,787,804
Investment in an affiliated security, at value (cost – $147,996,105; $150,213,457; $86,696,079; $98,587,174; $113,067,670; $18,398,485; $15,057,573; $0, respectively)		113,067,670			18,398,485		15,057,573		—
Repurchase agreements, at value (cost – $18,086,000; $12,602,000; $8,520,000; $9,057,000; $5,406,000; $1,326,000; $1,573,000; $57,944,000, respectively)		5,406,000			1,326,000		1,573,000		57,944,000
Total investments in securities, at value (cost – $1,173,677,027; $1,005,935,115; $416,822,610; $422,612,822; $911,794,152; $278,565,112; $64,504,509; $430,656,978, respectively)	$	903,201,330		$	280,639,060	$	71,199,103	$	435,731,804
Cash		170,785	2		494		184		28,380,932	2
Foreign currency, at value (cost – $0; $0; $0; $0; $698,671; $1,812,424; $106,031; $99,577, respectively)		706,415			1,815,487		110,199		100,127
Receivable from affiliates		—			—		9,585		—
Receivable for investments sold		2,420,666			4,499,161		123,404		16,466,074
Receivable for shares of beneficial interest sold		1,245,137			472,809		184,894		908,270
Receivable for dividends and interest		1,901,126			1,692,582		199,769		1,028,547
Swap contracts, at value3		—			—		—		333,732
Due from broker		—			—		—		17,713
Unrealized appreciation on forward foreign currency contracts		288,244			—		—		4,165,477
Receivable for variation margin		29,679			—		—		318,661
Receivable for foreign tax reclaims		610,791			20,397		11,536		178,284
Other assets		47,171			38,807		16,359		44,170
Total assets		910,621,344			289,178,797		71,855,033		487,673,791
Liabilities:
Payable for cash collateral from securities loaned		113,067,670			18,398,485		15,057,573		—
Payable for investments purchased		1,879,223			2,462,938		139,414		7,060,224
Payable for shares of beneficial interest repurchased		1,075,485			405,547		132,882		1,245,714
Payable to affiliates		583,658			240,105		747		556,843
Payable for foreign withholding taxes		173,060			470,428		65,000		8,578
Unrealized depreciation of forward foreign currency contracts		144,049			—		—		4,048,943
Payable for bank loan		—			1,659,464		—		—
Investments sold short, at value (proceeds - $0; $0; $0; $0; $0; $0; $0; $17,947,866, respectively)		—			—		—		21,122,681
Swap contracts, at value3		—			—		—		10,826,882
Options written, at value (premiums received - $0; $0; $0; $0; $0; $0; $0; $231,372, respectively)		—			—		—		372,707
Due to broker		—			—		—		65,326
Accrued expenses and other liabilities		453,987			349,503		146,645		283,536
Total liabilities		117,377,132			23,986,470		15,542,261		45,591,434

221

UBS PACE Select Advisors Trust

Statement of assets and liabilities (concluded)

July 31, 2009

	UBS PACE Large Co Value Equity Investments			UBS PACE Large Co Growth Equity Investments			UBS PACE Small/Medium Co Value Equity Investments			UBS PACE Small/Medium Co Growth Equity Investments
Net assets:
Beneficial interest shares of $0.001 par value (unlimited amount authorized)	$	1,469,303,944		$	1,180,592,480		$	481,143,931		$	474,621,740
Accumulated undistributed net investment income		7,394,177			4,314,260			662,945			—
Accumulated net realized loss from investments, futures, options written, short sales, swaps, forward foreign currency contracts and foreign currency transactions		(452,670,228	)		(322,080,131	)		(147,873,618	)		(152,876,706	)
Net unrealized appreciation (depreciation) of investments, other assets and liabilities denominated in foreign currency, futures, options written, short sales, swaps and forward foreign currency contracts		(17,298,544	)		36,657,742			9,742,204			25,829,648
Net assets	$	1,006,729,349		$	899,484,351		$	343,675,462		$	347,574,682
Class A
Net assets	$	146,510,169		$	56,038,262		$	24,661,307		$	29,428,678
Shares outstanding		11,132,459			4,195,468			2,057,358			2,767,585
Net asset value per share	$	13.16		$	13.36		$	11.99		$	10.63
Maximum offering price per share	$	13.93		$	14.14		$	12.69		$	11.25
Class B
Net assets	$	405,399		$	198,628		$	96,728		$	67,925
Shares outstanding		30,708			16,001			8,776			7,009
Net asset value and offering price per share	$	13.20		$	12.41		$	11.02		$	9.69
Class C
Net assets	$	16,559,792		$	4,169,801		$	5,602,837		$	3,284,523
Shares outstanding		1,259,736			335,006			506,020			336,563
Net asset value and offering price per share	$	13.15		$	12.45		$	11.07		$	9.76
Class Y
Net assets	$	23,834,181		$	16,885,370		$	3,255,153		$	4,368,671
Shares outstanding		1,804,665			1,235,504			264,932			396,555
Net asset value, offering price and redemption value per share1	$	13.21		$	13.67		$	12.29		$	11.02
Class P
Net assets	$	819,419,808		$	822,192,290		$	310,059,437		$	310,424,885
Shares outstanding		62,274,246			60,488,658			25,412,459			28,468,018
Net asset value, offering price and redemption value per share1	$	13.16		$	13.59		$	12.20		$	10.90

1 Assumes shares were held a sufficient period or are otherwise not subject to a redemption fee.

See accompanying notes to financial statements
222

	UBS PACE International Equity Investments			UBS PACE International Emerging Markets Equity Investments			UBS PACE Global Real Estate Securities Investments			UBS PACE Alternative Strategies Investments
Net assets:
Beneficial interest shares of $0.001 par value (unlimited amount authorized)	$	1,105,012,607		$	322,558,877		$	102,956,552		$	579,914,583
Accumulated undistributed net investment income		13,620,567			3,826,880			1,070,627			3,750,219
Accumulated net realized loss from investments, futures, options written, short sales, swaps, forward foreign currency contracts and foreign currency transactions		(317,062,744	)		(63,025,874	)		(54,415,547	)		(138,481,005	)
Net unrealized appreciation (depreciation) of investments, other assets and liabilities denominated in foreign currency, futures, options written, short sales, swaps and forward foreign currency contracts		(8,326,218	)		1,832,444			6,701,140			(3,101,440	)
Net assets	$	793,244,212		$	265,192,327		$	56,312,772		$	442,082,357
Class A
Net assets	$	71,465,909		$	17,783,669		$	3,238,321		$	65,428,905
Shares outstanding		6,097,837			1,680,685			666,159			7,445,839
Net asset value per share	$	11.72		$	10.58		$	4.86		$	8.79
Maximum offering price per share	$	12.40		$	11.20		$	5.14		$	9.30
Class B
Net assets	$	65,670		$	134,725		$	—		$	29,298
Shares outstanding		5,635			13,599			—			3,392
Net asset value and offering price per share	$	11.65		$	9.91		$	—		$	8.64
Class C
Net assets	$	4,342,090		$	3,524,939		$	136,387		$	6,564,992
Shares outstanding		378,063			355,884			28,147			759,426
Net asset value and offering price per share	$	11.49		$	9.90		$	4.85		$	8.64
Class Y
Net assets	$	33,011,754		$	33,069,480		$	13,016		$	13,707,421
Shares outstanding		2,815,889			3,067,396			2,675			1,556,837
Net asset value, offering price and redemption value per share1	$	11.72		$	10.78		$	4.87		$	8.80
Class P
Net assets	$	684,358,789		$	210,679,514		$	52,925,048		$	356,351,741
Shares outstanding		58,507,522			19,655,050			10,881,454			40,398,796
Net asset value, offering price and redemption value per share1	$	11.70		$	10.72		$	4.86		$	8.82

223

UBS PACE Select Advisors Trust

Statement of operations

For the year ended July 31, 2009

	UBS PACE Money Market Investments			UBS PACE Government Securities Fixed Income Investments			UBS PACE Intermediate Fixed Income Investments			UBS PACE Strategic Fixed Income Investments
Investment income:
Interest (net of foreign withholding taxes of: $0; $1,083; $25,648; $12,352; $0; $8,530; $2,708, respectively)	$	8,987,395		$	33,885,628		$	19,823,587		$	38,938,453
Securities lending income (includes $5,504; $206; $41,681; $58,930; $0; $3,562; $75,752, respectively, earned from an affiliated entity)		5,504			206			46,196			66,602
Dividends		—			—			33,516			276,250
		8,992,899			33,885,834			19,903,299			39,281,305
Expenses:
Investment management and administration fees		2,298,428			3,837,279			2,155,865			4,132,309
Service fees–Class A		—			228,947			110,627			71,676
Service and distribution fees–Class B		—			4,131			1,845			2,398
Service and distribution fees–Class C		—			183,079			32,707			49,618
Transfer agency and related services fees		2,735,628			877,582			390,923			1,043,003
Reports and notices to shareholders		349,482			92,135			42,672			88,364
US Treasury Temporary Guarantee Program Participation fees		197,324			—			—			—
Professional fees		101,796			187,525			156,505			166,682
Custody and accounting fees		91,158			252,879			160,446			283,491
State registration fees		48,364			61,727			61,452			62,431
Trustees' fees		18,245			17,775			16,135			17,972
Insurance expense		15,524			17,315			11,625			20,109
Interest expense		—			1,705			—			36,146
Other expenses		10,870			22,646			20,732			22,116
		5,866,819			5,784,725			3,161,534			5,996,315
Less: Fee waivers and/or expense reimbursements by investment manager and administrator		(1,987,435	)		(563,029	)		(254,379	)		(369,976	)
Net expenses		3,879,384			5,221,696			2,907,155			5,626,339
Net investment income		5,113,515			28,664,138			16,996,144			33,654,966
Net realized and unrealized gains (losses) from investment activities:
Net realized gains (losses) from:
Investments		43,603			33,272,964			(14,695,110	)		(5,626,682	)
Futures		—			4,997,687			7,129,567			40,390,360
Options written		—			89,032			—			(945,536	)
Short sales		—			(706,028	)		(296,413	)		(3,503,789	)
Swaps		—			(13,814,653	)		—			(21,065,915	)
Forward foreign currency contracts and foreign currency transactions		—			—			543,179			(1,280,842	)
Net change in unrealized appreciation/depreciation of:
Investments		—			2,708,649			7,792,830			4,007,924
Futures		—			(516,000	)		168,258			(3,305,805	)
Options written		—			23,431			—			(383,960	)
Short sales		—			(603,407	)		(152,281	)		(400,505	)
Swaps		—			(1,153,921	)		—			2,133,077
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		—			—			(128,237	)		(170,695	)
Net realized and unrealized gains (losses) from investment activities		43,603			24,297,754			361,793			9,847,632
Net increase (decrease) in net assets resulting from operations	$	5,157,118		$	52,961,892		$	17,357,937		$	43,502,598

See accompanying notes to financial statements
224

	UBS PACE Municipal Fixed Income Investments			UBS PACE Global Fixed Income Investments			UBS PACE High Yield Investments
Investment income:
Interest (net of foreign withholding taxes of: $0; $1,083; $25,648; $12,352; $0; $8,530; $2,708, respectively)	$	13,157,534		$	21,069,200		$	12,530,489
Securities lending income (includes $5,504; $206; $41,681; $58,930; $0; $3,562; $75,752, respectively, earned from an affiliated entity)		—			3,588			77,726
Dividends		—			—			7,993
		13,157,534			21,072,788			12,616,208
Expenses:
Investment management and administration fees		1,659,569			3,864,008			1,020,138
Service fees–Class A		213,824			253,576			9,192
Service and distribution fees–Class B		1,500			2,633			—
Service and distribution fees–Class C		110,456			50,763			3,131	��
Transfer agency and related services fees		205,669			1,126,385			348,477
Reports and notices to shareholders		30,120			124,818			36,804
US Treasury Temporary Guarantee Program Participation fees		—			—			—
Professional fees		124,396			150,454			145,964
Custody and accounting fees		120,317			508,268			62,108
State registration fees		62,053			63,215			54,683
Trustees' fees		15,207			16,930			14,017
Insurance expense		8,868			15,491			3,047
Interest expense		—			2,564			427
Other expenses		19,716			22,594			18,194
		2,571,695			6,201,699			1,716,182
Less: Fee waivers and/or expense reimbursements by investment manager and administrator		(158,901	)		(744,658	)		(300,796	)
Net expenses		2,412,794			5,457,041			1,415,386
Net investment income		10,744,740			15,615,747			11,200,822
Net realized and unrealized gains (losses) from investment activities:
Net realized gains (losses) from:
Investments		(1,123,099	)		6,213,048			(5,849,633	)
Futures		—			(1,281,317	)		—
Options written		—			—			—
Short sales		—			—			—
Swaps		—			—			—	��
Forward foreign currency contracts and foreign currency transactions		—			(31,297,039	)		842,004
Net change in unrealized appreciation/depreciation of:
Investments		7,206,351			(4,409,443	)		6,482,884
Futures		—			1,255,329			—
Options written		—			—			—
Short sales		—			—			—
Swaps		—			—			—
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		—			8,217,362			(262,270	)
Net realized and unrealized gains (losses) from investment activities		6,083,252			(21,302,060	)		1,212,985
Net increase (decrease) in net assets resulting from operations	$	16,827,992		$	(5,686,313	)	$	12,413,807

225

UBS PACE Select Advisors Trust

Statement of operations (concluded)

For the year ended July 31, 2009

	UBS PACE Large Co Value Equity Investments			UBS PACE Large Co Growth Equity Investments			UBS PACE Small/Medium Co Value Equity Investments			UBS PACE Small/Medium Co Growth Equity Investments
Investment income:
Interest (net of foreign withholding taxes of $0; $0; $0; $0; 1,232; $25; $0; $5,166, respectively)	$	42,019		$	91,637		$	26,525		$	50,754
Dividends (net of foreign witholding taxes of $92,529; $159,898; $2,520; $1,245; $2,756,839; $994,158; $160,785; $397,121, respectively)		26,151,195			12,703,013			5,426,367			1,896,574
Securities lending income (includes $919,223; $492,795; $478,638; $761,914; $816,220; $67,945; $37,922; $0, respectively, earned from an affiliated entity)		1,161,581			604,059			565,684			842,722
		27,354,795			13,398,709			6,018,576			2,790,050
Expenses:
Investment management and administration fees		7,530,470			7,168,481			2,649,914			2,717,394
Service fees–Class A		371,084			136,584			62,391			69,877
Service and distribution fees–Class B		4,889			2,137			1,628			756
Service and distribution fees–Class C		168,593			42,104			56,597			33,032
Transfer agency and related services fees		1,402,327			1,258,061			1,170,522			1,173,954
Custody and accounting fees		397,303			363,298			132,369			135,739
Reports and notices to shareholders		212,241			135,986			112,198			116,071
Professional fees		157,282			136,232			132,796			136,468
State registration fees		70,013			67,982			57,537			57,309
Insurance expense		39,508			35,080			12,228			13,215
Trustees' fees		20,696			20,162			15,630			15,720
Interest expense		—			1,017			1,419			4,217
Dividend and interest expense for securities sold short		—			—			—			—
Other expenses		28,243			35,233			21,429			21,297
		10,402,649			9,402,357			4,426,658			4,495,049
Less: Fee waivers and/or expense reimbursements by investment manager and administrator		(6,824	)		(352,267	)		(475,632	)		(555,588	)
Net expenses		10,395,825			9,050,090			3,951,026			3,939,461
Net investment income (loss)		16,958,970			4,348,619			2,067,550			(1,149,411	)
Net realized and unrealized gains (losses) from investment activities:
Net realized gains (losses) from:
Investments (net of foreign tax expense of $0; $0; $0; $0; $0; $53,817; $0; $0, respectively)		(420,460,079	)		(308,021,719	)		(126,673,018	)		(117,266,224	)
Commissions recaptured		422,304			51,121			146,516			294,692
Futures		—			—			—			—
Options written		—			—			—			—
Short sales		—			—			—			—
Swaps		—			—			—			—
Forward foreign currency contracts and foreign currency transactions		—			(720	)		300			—
Net change in unrealized appreciation/depreciation of:
Investments		122,875,680			32,566,206			47,722,997			17,977,754
Futures		—			—			—			—
Options written		—			—			—			—
Short sales		—			—			—			—
Swaps		—			—			—			—
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		—			—			—			—
Net realized and unrealized losses from investment activities		(297,162,095	)		(275,405,112	)		(78,803,205	)		(98,993,778	)
Net decrease in net assets resulting from operations	$	(280,203,125	)	$	(271,056,493	)	$	(76,735,655	)	$	(100,143,189	)

See accompanying notes to financial statements
226

	UBS PACE International Equity Investments			UBS PACE International Emerging Markets Equity Investments			UBS PACE Global Real Estate Securities Investments			UBS PACE Alternative Strategies Investments
Investment income:
Interest (net of foreign withholding taxes of $0; $0; $0; $0; 1,232; $25; $0; $5,166, respectively)	$	26,528		$	6,273		$	7,004		$	10,150,717
Dividends (net of foreign witholding taxes of $92,529; $159,898; $2,520; $1,245; $2,756,839; $994,158; $160,785; $397,121, respectively)		29,230,608			9,204,122			2,342,022			5,000,199
Securities lending income (includes $919,223; $492,795; $478,638; $761,914; $816,220; $67,945; $37,922; $0, respectively, earned from an affiliated entity)		889,437			103,370			45,875			—
		30,146,573			9,313,765			2,394,901			15,150,916
Expenses:
Investment management and administration fees		6,821,226			2,541,874			393,810			7,333,286
Service fees–Class A		169,927			40,854			8,389			226,165
Service and distribution fees–Class B		837			1,525			—			401
Service and distribution fees–Class C		42,643			31,572			1,336			66,194
Transfer agency and related services fees		1,227,062			1,035,419			350,523			576,486
Custody and accounting fees		759,408			467,541			30,355			527,562
Reports and notices to shareholders		123,545			87,467			36,414			112,664
Professional fees		152,162			138,062			153,616			290,810
State registration fees		65,919			57,705			49,824			79,857
Insurance expense		33,181			10,378			1,686			14,814
Trustees' fees		18,962			14,808			13,414			23,012
Interest expense		18,060			8,042			—			2,577
Dividend and interest expense for securities sold short		—			—			—			1,320,832
Other expenses		34,215			32,525			27,096			36,487
		9,467,147			4,467,772			1,066,463			10,611,147
Less: Fee waivers and/or expense reimbursements by investment manager and administrator		(191	)		—			(465,576	)		(75,285	)
Net expenses		9,466,956			4,467,772			600,887			10,535,862
Net investment income (loss)		20,679,617			4,845,993			1,794,014			4,615,054
Net realized and unrealized gains (losses) from investment activities:
Net realized gains (losses) from:
Investments (net of foreign tax expense of $0; $0; $0; $0; $0; $53,817; $0; $0, respectively)		(304,248,891	)		(62,301,825	)		(44,684,628	)		(151,054,594	)
Commissions recaptured		7,576			—			—			1,343
Futures		(27,743	)		—			—			(12,647,910	)
Options written		—			—			—			4,803,213
Short sales		—			—			—			19,462,453
Swaps		—			—			—			2,439,946
Forward foreign currency contracts and foreign currency transactions		4,325,869			(963,079	)		(198,973	)		(14,446,727	)
Net change in unrealized appreciation/depreciation of:
Investments		(19,329,653	)		(37,248,268	)		17,617,935			34,400,925
Futures		162,196			—			—			3,009,037
Options written		—			—			—			(505,288	)
Short sales		—			—			—			(12,060,782	)
Swaps		—			—			—			(3,354,077	)
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		123,513			64,732			11,926			(1,635,101	)
Net realized and unrealized losses from investment activities		(318,987,133	)		(100,448,440	)		(27,253,740	)		(131,587,562	)
Net decrease in net assets resulting from operations	$	(298,307,516	)	$	(95,602,447	)	$	(25,459,726	)	$	(126,972,508	)

227

UBS PACE Select Advisors Trust

Statement of changes in net assets

	UBS PACE Money Market Investments						UBS PACE Government Securities Fixed Income Investments						UBS PACE Intermediate Fixed Income Investments
	For the years ended July 31,						For the years ended July 31,						For the years ended July 31,
	2009			2008			2009			2008			2009			2008
From operations:
Net investment income	$	5,113,515		$	16,388,771		$	28,664,138		$	30,047,193		$	16,996,144		$	20,192,901
Net realized gains (losses) from: Investments, futures, options written, short sales and swaps		43,603			42,669			23,839,002			5,450,671			(7,861,956	)		10,732,001
Forward foreign currency contracts and foreign currency transactions		—			—			—			—			543,179			414,205
Net change in unrealized appreciation/depreciation of: Investments, futures, options written, short sales and swaps		—			—			458,752			564,109			7,808,807			(6,859,657	)
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		—			—			—			—			(128,237	)		(98,422	)
Net increase in net assets resulting from operations		5,157,118			16,431,440			52,961,892			36,061,973			17,357,937			24,381,028
Dividends and distributions to shareholders from:
Net investment income–Class A		—			—			(4,459,286	)		(4,119,301	)		(1,795,305	)		(2,033,603	)
Net investment income–Class B		—			—			(17,093	)		(40,817	)		(6,035	)		(8,534	)
Net investment income–Class C		—			—			(1,065,359	)		(980,550	)		(154,820	)		(142,870	)
Net investment income–Class Y		—			—			(1,813,866	)		(832,563	)		(80,494	)		(58,840	)
Net investment income–Class P		(5,113,515	)		(16,388,771	)		(24,117,548	)		(23,950,574	)		(15,303,630	)		(17,812,371	)
Net realized gains from investment activities–Class A		—			—			—			—			—			—
Net realized gains from investment activities–Class B		—			—			—			—			—			—
Net realized gains from investment activities–Class C		—			—			—			—			—			—
Net realized gains from investment activities–Class Y		—			—			—			—			—			—
Net realized gains from investment activities–Class P		(75,184	)		—			—			—			—			—
		(5,188,699	)		(16,388,771	)		(31,473,152	)		(29,923,805	)		(17,340,284	)		(20,056,218	)
From beneficial interest transactions:
Net proceeds from shares sold		993,352,180			687,863,695			180,737,884			188,101,229			156,868,298			122,559,372
Cost of shares repurchased		(992,040,001	)		(589,650,962	)		(340,376,987	)		(148,148,685	)		(223,675,213	)		(128,651,203	)
Proceeds from dividends reinvested		5,435,215			16,424,952			29,363,558			28,132,846			16,380,092			19,171,605
Net increase (decrease) in net assets from beneficial interest transactions		6,747,394			114,637,685			(130,275,545	)		68,085,390			(50,426,823	)		13,079,774
Redemption fees		—			—			120,261			42,726			113,274			33,393
Net increase (decrease) in net assets		6,715,813			114,680,354			(108,666,544	)		74,266,284			(50,295,896	)		17,437,977
Net assets:
Beginning of year		523,242,696			408,562,342			684,925,571			610,659,287			456,181,577			438,743,600
End of year	$	529,958,509		$	523,242,696		$	576,259,027		$	684,925,571		$	405,885,681		$	456,181,577
Accumulated undistributed (distributions in excess of) net investment income	$	—		$	—		$	1,237,067		$	1,125,269		$	1,710,474		$	(82,298	)

See accompanying notes to financial statements
228

	UBS PACE Strategic Fixed Income Investments						UBS PACE Municipal Fixed Income Investments
	For the years ended July 31,						For the years ended July 31,
	2009			2008			2009			2008
From operations:
Net investment income	$	33,654,966		$	37,185,606		$	10,744,740		$	11,603,659
Net realized gains (losses) from: Investments, futures, options written, short sales and swaps		9,248,438			52,792,029			(1,123,099	)		(67,099	)
Forward foreign currency contracts and foreign currency transactions		(1,280,842	)		(1,286,693	)		—			—
Net change in unrealized appreciation/depreciation of: Investments, futures, options written, short sales and swaps		2,050,731			(24,821,644	)		7,206,351			(2,260,754	)
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		(170,695	)		(379,967	)		—			—
Net increase in net assets resulting from operations		43,502,598			63,489,331			16,827,992			9,275,806
Dividends and distributions to shareholders from:
Net investment income–Class A		(1,614,614	)		(1,088,696	)		(2,879,884	)		(2,998,965	)
Net investment income–Class B		(11,303	)		(9,402	)		(3,929	)		(5,340	)
Net investment income–Class C		(334,904	)		(221,755	)		(421,556	)		(410,457	)
Net investment income–Class Y		(174,389	)		(110,514	)		(5,020	)		(4,940	)
Net investment income–Class P		(37,539,805	)		(36,319,300	)		(7,435,480	)		(8,184,710	)
Net realized gains from investment activities–Class A		(1,866,391	)		—			—			—
Net realized gains from investment activities–Class B		(13,019	)		—			—			—
Net realized gains from investment activities–Class C		(398,362	)		—			—			—
Net realized gains from investment activities–Class Y		(189,340	)		—			—			—
Net realized gains from investment activities–Class P		(43,989,249	)		—			—			—
		(86,131,376	)		(37,749,667	)		(10,745,869	)		(11,604,412	)
From beneficial interest transactions:
Net proceeds from shares sold		152,450,169			235,154,671			90,502,777			107,388,328
Cost of shares repurchased		(385,082,637	)		(185,254,613	)		(157,640,422	)		(71,944,136	)
Proceeds from dividends reinvested		83,799,182			37,006,861			9,402,735			10,405,239
Net increase (decrease) in net assets from beneficial interest transactions		(148,833,286	)		86,906,919			(57,734,910	)		45,849,431
Redemption fees		80,018			49,522			48,672			23,517
Net increase (decrease) in net assets		(191,382,046	)		112,696,105			(51,604,115	)		43,544,342
Net assets:
Beginning of year		821,226,030			708,529,925			343,307,280			299,762,938
End of year	$	629,843,984		$	821,226,030		$	291,703,165		$	343,307,280
Accumulated undistributed (distributions in excess of) net investment income	$	5,309,230		$	2,271,040		$	—		$	—

229

UBS PACE Select Advisors Trust

Statement of changes in net assets (continued)

	UBS PACE Global Fixed Income Investments						UBS PACE High Yield Investments						UBS PACE Large Co Value Equity Investments
	For the years ended July 31,						For the years ended July 31,						For the years ended July 31,
	2009			2008			2009			2008			2009			2008
From operations:
Net investment income	$	15,615,747		$	14,739,705		$	11,200,822		$	8,067,148		$	16,958,970		$	23,945,537
Net realized gains (losses) from: Investments and futures		4,931,731			(8,602,616	)		(5,849,633	)		(3,216,156	)		(420,037,775	)		(5,359,277	)
Forward foreign currency contracts and foreign currency transactions		(31,297,039	)		54,950,690			842,004			(635,133	)		—			—
Net change in unrealized appreciation/depreciation of: Investments and futures		(3,154,114	)		19,986,726			6,482,884			(4,833,431	)		122,875,680			(286,373,179	)
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		8,217,362			(5,398,653	)		(262,270	)		74,885			—			—
Net increase (decrease) in net assets resulting from operations		(5,686,313	)		75,675,852			12,413,807			(542,687	)		(280,203,125	)		(267,786,919	)
Dividends and distributions to shareholders from:
Net investment income–Class A		(4,095,955	)		(9,011,090	)		(341,107	)		(78,546	)		(3,178,460	)		(1,415,372	)
Net investment income–Class B		(9,089	)		(43,567	)		—			—			(4,380	)		—
Net investment income–Class C		(240,524	)		(493,198	)		(33,225	)		—			(172,642	)		—
Net investment income–Class Y		(350,713	)		(667,585	)		(309	)		—			(628,808	)		(365,430	)
Net investment income–Class P		(17,151,555	)		(40,596,801	)		(12,387,174	)		(7,678,098	)		(20,083,416	)		(10,592,086	)
Net realized gains from investment activities–Class A		—			—			—			(885	)		—			(31,780,291	)
Net realized gains from investment activities–Class B		—			—			—			—			—			(167,260	)
Net realized gains from investment activities–Class C		—			—			—			—			—			(3,771,932	)
Net realized gains from investment activities–Class Y		—			—			—			—			—			(4,834,393	)
Net realized gains from investment activities–Class P		—			—			—			(115,248	)		—			(154,419,861	)
Return of capital–Class A		—			—			—			(3,499	)		—			—
Return of capital–Class P		—			—			—			(296,649	)		—			—
		(21,847,836	)		(50,812,241	)		(12,761,815	)		(8,172,925	)		(24,067,706	)		(207,346,625	)
From beneficial interest transactions:
Net proceeds from shares sold		76,168,397			162,404,589			64,069,371			83,071,564			241,241,795			356,271,471
Cost of shares repurchased		(256,422,347	)		(131,458,816	)		(64,890,905	)		(25,196,294	)		(390,942,993	)		(325,980,857	)
Proceeds from dividends reinvested		20,468,390			48,069,713			12,364,524			8,081,173			23,321,670			201,490,481
Net increase (decrease) in net assets from beneficial interest transactions		(159,785,560	)		79,015,486			11,542,990			65,956,443			(126,379,528	)		231,781,095
Redemption fees		42,336			40,812			31,454			14,143			140,448			64,874
Net increase (decrease) in net assets		(187,277,373	)		103,919,909			11,226,436			57,254,974			(430,509,911	)		(243,287,575	)
Net assets:
Beginning of year		670,799,948			566,880,039			145,166,755			87,911,781			1,437,239,260			1,680,526,835
End of year	$	483,522,575		$	670,799,948		$	156,393,191		$	145,166,755		$	1,006,729,349		$	1,437,239,260
Accumulated undistributed (distributions in excess of) net investment income	$	(6,709,415	)	$	13,367,564		$	(1,125,494	)	$	(435,085	)	$	7,394,177		$	14,502,913

See accompanying notes to financial statements
230

	UBS PACE Large Co Growth Equity Investments						UBS PACE Small/Medium Co Value Equity Investments
	For the years ended July 31,						For the years ended July 31,
	2009			2008			2009			2008
From operations:
Net investment income	$	4,348,619		$	3,804,474		$	2,067,550		$	2,328,140
Net realized gains (losses) from: Investments and futures		(307,970,598	)		15,635,038			(126,526,502	)		(6,014,549	)
Forward foreign currency contracts and foreign currency transactions		(720	)		710			300			—
Net change in unrealized appreciation/depreciation of: Investments and futures		32,566,206			(105,987,544	)		47,722,997			(89,021,683	)
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		—			—			—			—
Net increase (decrease) in net assets resulting from operations		(271,056,493	)		(86,547,322	)		(76,735,655	)		(92,708,092	)
Dividends and distributions to shareholders from:
Net investment income–Class A		—			—			(180,976	)		(11,759	)
Net investment income–Class B		—			—			—			—
Net investment income–Class C		—			—			—			—
Net investment income–Class Y		(44,473	)		(69,854	)		(41,898	)		(17,009	)
Net investment income–Class P		(1,242,075	)		(2,467,674	)		(2,895,233	)		(702,792	)
Net realized gains from investment activities–Class A		(294,201	)		(2,106,176	)		(6,943	)		(4,977,880	)
Net realized gains from investment activities–Class B		(1,255	)		(12,830	)		(57	)		(98,245	)
Net realized gains from investment activities–Class C		(24,776	)		(196,275	)		(1,751	)		(1,303,538	)
Net realized gains from investment activities–Class Y		(89,212	)		(679,047	)		(938	)		(544,442	)
Net realized gains from investment activities–Class P		(4,536,274	)		(33,937,523	)		(83,038	)		(53,593,047	)
Return of capital–Class A		—			—			—			—
Return of capital–Class P		—			—			—			—
		(6,232,266	)		(39,469,379	)		(3,210,834	)		(61,248,712	)
From beneficial interest transactions:
Net proceeds from shares sold		217,727,567			368,287,523			83,578,030			131,971,549
Cost of shares repurchased		(384,750,899	)		(289,528,903	)		(142,331,683	)		(109,717,136	)
Proceeds from dividends reinvested		6,083,258			38,722,166			3,140,822			60,186,089
Net increase (decrease) in net assets from beneficial interest transactions		(160,940,074	)		117,480,786			(55,612,831	)		82,440,502
Redemption fees		126,320			64,871			54,836			28,189
Net increase (decrease) in net assets		(438,102,513	)		(8,471,044	)		(135,504,484	)		(71,488,113	)
Net assets:
Beginning of year		1,337,586,864			1,346,057,908			479,179,946			550,668,059
End of year	$	899,484,351		$	1,337,586,864		$	343,675,462		$	479,179,946
Accumulated undistributed (distributions in excess of) net investment income	$	4,314,260		$	1,365,350		$	662,945		$	1,790,046

231

UBS PACE Select Advisors Trust

Statement of changes in net assets (concluded)

	UBS PACE Small/Medium Co Growth Equity Investments						UBS PACE International Equity Investments						UBS PACE International Emerging Markets Equity Investments
	For the years ended July 31,						For the years ended July 31,						For the years ended July 31,
	2009			2008			2009			2008			2009			2008
From operations:
Net investment income (loss)	$	(1,149,411	)	$	(3,035,935	)	$	20,679,617		$	33,042,219		$	4,845,993		$	5,632,361
Net realized gains (losses) from: Investments, futures, options written, short sales and swaps		(116,971,532	)		(21,662,074	)		(304,269,058	)		32,871,481			(62,301,825	)		73,028,013
Forward foreign currency contracts and foreign currency transactions		—			—			4,325,869			1,601,404			(963,079	)		74,349
Net change in unrealized appreciation/depreciation of: Investments, futures, options written, short sales, and swaps		17,977,754			(41,842,187	)		(19,167,457	)		(260,973,271	)		(37,248,268	)		(88,839,298	)
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		—			—			123,513			(419,156	)		64,732			112,725
Net decrease in net assets resulting from operations		(100,143,189	)		(66,540,196	)		(298,307,516	)		(193,877,323	)		(95,602,447	)		(9,991,850	)
Dividends and distributions to shareholders from:
Net investment income–Class A		—			—			(3,074,397	)		(1,698,807	)		(167,345	)		(355,396	)
Net investment income–Class B		—			—			(1,520	)		(1,378	)		—			(1,385	)
Net investment income–Class C		—			—			(139,987	)		(44,547	)		—			(37,870	)
Net investment income–Class Y		—			—			(1,620,207	)		(1,063,788	)		(285,985	)		(491,601	)
Net investment income–Class P		—			—			(32,754,998	)		(19,300,639	)		(2,344,776	)		(4,491,022	)
Net realized gains from investment activities–Class A		—			(7,153,725	)		—			(13,559,594	)		(4,223,244	)		(4,756,491	)
Net realized gains from investment activities–Class B		—			(38,611	)		—			(48,077	)		(44,804	)		(77,205	)
Net realized gains from investment activities–Class C		—			(1,017,570	)		—			(932,772	)		(852,014	)		(1,209,655	)
Net realized gains from investment activities–Class Y		—			(998,131	)		—			(6,706,296	)		(4,254,851	)		(5,043,668	)
Net realized gains from investment activities–Class P		—			(76,426,562	)		—			(128,203,620	)		(50,552,316	)		(56,782,137	)
		—			(85,634,599	)		(37,591,109	)		(171,559,518	)		(62,725,335	)		(73,246,430	)
From beneficial interest transactions:
Net proceeds from shares sold		81,226,131			129,795,967			202,345,602			318,182,760			68,138,687			97,285,770
Cost of shares repurchased		(142,190,090	)		(116,659,181	)		(322,151,375	)		(287,047,955	)		(112,478,538	)		(123,610,703	)
Proceeds from dividends reinvested		—			84,110,955			36,549,444			167,691,909			61,489,737			72,159,958
Net increase (decrease) in net assets from beneficial interest transactions		(60,963,959	)		97,247,741			(83,256,329	)		198,826,714			17,149,886			45,835,025
Redemption fees		50,018			25,799			123,290			61,090			40,596			33,560
Contributions to capital from investment manager/sub-advisors		—			—			—			—			—			1,813
Net increase (decrease) in net assets		(161,057,130	)		(54,901,255	)		(419,031,664	)		(166,549,037	)		(141,137,300	)		(37,367,882	)
Net assets:
Beginning of year		508,631,812			563,533,067			1,212,275,876			1,378,824,913			406,329,627			443,697,509
End of year	$	347,574,682		$	508,631,812		$	793,244,212		$	1,212,275,876		$	265,192,327		$	406,329,627
Accumulated undistributed net investment income	$	—		$	—		$	13,620,567		$	26,006,105		$	3,826,880		$	2,797,118

See accompanying notes to financial statements
232

	UBS PACE Global Real Estate Securities Investments						UBS PACE Alternative Strategies Investments
	For the years ended July 31,						For the years ended July 31,
	2009			2008			2009			2008
From operations:
Net investment income (loss)	$	1,794,014		$	1,649,656		$	4,615,054		$	6,238,281
Net realized gains (losses) from: Investments, futures, options written, short sales and swaps		(44,684,628	)		(9,280,848	)		(136,995,549	)		6,841,807
Forward foreign currency contracts and foreign currency transactions		(198,973	)		27,404			(14,446,727	)		(5,490,621	)
Net change in unrealized appreciation/depreciation of: Investments, futures, options written, short sales, and swaps		17,617,935			(6,393,023	)		21,489,815			(41,059,684	)
Other assets and liabilities denominated in foreign currency and forward foreign currency contracts		11,926			(2,185	)		(1,635,101	)		2,446,942
Net decrease in net assets resulting from operations		(25,459,726	)		(13,998,996	)		(126,972,508	)		(31,023,275	)
Dividends and distributions to shareholders from:
Net investment income–Class A		(41,094	)		(193,919	)		(277,728	)		(518,325	)
Net investment income–Class B		—			—			(159	)		(42	)
Net investment income–Class C		(416	)		(7,557	)		—			(22,588	)
Net investment income–Class Y		—			—			(232,481	)		—
Net investment income–Class P		(812,682	)		(1,805,244	)		(2,404,742	)		(3,317,376	)
Net realized gains from investment activities–Class A		—			(21,919	)		(763,753	)		(1,412,016	)
Net realized gains from investment activities–Class B		—			—			(502	)		(432	)
Net realized gains from investment activities–Class C		—			(1,147	)		(59,017	)		(83,108	)
Net realized gains from investment activities–Class Y		—			—			(267,241	)		—
Net realized gains from investment activities–Class P		—			(194,759	)		(3,358,184	)		(7,895,868	)
		(854,192	)		(2,224,545	)		(7,363,807	)		(13,249,755	)
From beneficial interest transactions:
Net proceeds from shares sold		30,395,528			61,193,248			126,582,421			482,244,241
Cost of shares repurchased		(25,608,398	)		(19,527,568	)		(328,929,754	)		(132,651,645	)
Proceeds from dividends reinvested		833,559			2,211,384			7,232,610			13,118,387
Net increase (decrease) in net assets from beneficial interest transactions		5,620,689			43,877,064			(195,114,723	)		362,710,983
Redemption fees		21,004			17,378			77,746			82,047
Contributions to capital from investment manager/sub-advisors		—			—			—			16,460
Net increase (decrease) in net assets		(20,672,225	)		27,670,901			(329,373,292	)		318,536,460
Net assets:
Beginning of year		76,984,997			49,314,096			771,455,649			452,919,189
End of year	$	56,312,772		$	76,984,997		$	442,082,357		$	771,455,649
Accumulated undistributed net investment income	$	1,070,627		$	111,647		$	3,750,219		$	2,149,382

233

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234

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Money Market Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Net investment income		0.008			0.033			0.048			0.038			0.018
Dividends from net investment income		(0.008	)		(0.033	)		(0.048	)		(0.038	)		(0.018	)
Distributions from net realized gains from investment activities		(0.000	)(1)		—			—			—			—
Total dividends and distributions		(0.008	)		(0.033	)		(0.048	)		(0.038	)		(0.018	)
Net asset value, end of year	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Total investment return(2)		0.81	%		3.40	%		4.86	%		3.89	%		1.80	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	529,959		$	523,243		$	408,562		$	342,573		$	227,528
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.59	%		0.60	%		0.60	%		0.60	%		0.60	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.89	%		0.93	%		0.92	%		0.99	%		0.97	%
Net investment income to average net assets		0.78	%		3.27	%		4.75	%		3.89	%		1.85	%

⁽¹⁾  Amount of distribution paid represents less than $0.0005 per share.

⁽²⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the payable dates, and a sale at net asset value on the last day of each year reported. The figures do not include program fees; results would be lower if these fees were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions.

See accompanying notes to financial statements
235

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Government Securities Fixed Income Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.87		$	12.72		$	12.71		$	13.20		$	13.05
Net investment income		0.57	(1)		0.56	(1)		0.57	(1)		0.51			0.34
Net realized and unrealized gains (losses) from investment activities		0.56			0.15			0.00	(2)		(0.31	)		0.17
Net increase from operations		1.13			0.71			0.57			0.20			0.51
Dividends from net investment income		(0.64	)		(0.56	)		(0.56	)		(0.53	)		(0.36	)
Distributions from net realized gains from investment activities		—			—			—			(0.16	)		—
Total dividends and distributions		(0.64	)		(0.56	)		(0.56	)		(0.69	)		(0.36	)
Net asset value, end of year	$	13.36		$	12.87		$	12.72		$	12.71		$	13.20
Total investment return(3)		9.09	%		5.53	%		4.52	%		1.61	%		3.97	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	90,386		$	91,614		$	99,378		$	114,663		$	140,734
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.02	%		1.07	%		1.12	%		1.11	%		1.08	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.07	%		1.12	%		1.13	%		1.17	%		1.17	%
Net investment income to average net assets		4.41	%		4.30	%		4.40	%		3.97	%		2.54	%
Portfolio turnover		877	%		588	%		495	%		575	%		665	%
	Class C
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.88		$	12.73		$	12.72		$	13.21		$	13.06
Net investment income		0.51	(1)		0.50	(1)		0.50	(1)		0.45			0.27
Net realized and unrealized gains (losses) from investment activities		0.55			0.14			0.01			(0.32	)		0.17
Net increase from operations		1.06			0.64			0.51			0.13			0.44
Dividends from net investment income		(0.57	)		(0.49	)		(0.50	)		(0.46	)		(0.29	)
Distributions from net realized gains from investment activities		—			—			—			(0.16	)		—
Total dividends and distributions		(0.57	)		(0.49	)		(0.50	)		(0.62	)		(0.29	)
Net asset value, end of year	$	13.37		$	12.88		$	12.73		$	12.72		$	13.21
Total investment return(3)		8.45	%		5.06	%		4.00	%		1.09	%		3.40	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	24,477		$	24,536		$	26,449		$	30,338		$	36,372
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.52	%		1.57	%		1.62	%		1.62	%		1.62	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.63	%		1.68	%		1.70	%		1.75	%		1.74	%
Net investment income to average net assets		3.90	%		3.80	%		3.90	%		3.45	%		2.00	%
Portfolio turnover		877	%		588	%		495	%		575	%		665	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Amount represents less than $0.005 per share.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

236

	Class B
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.87		$	12.73		$	12.72		$	13.20		$	13.05
Net investment income		0.46	(1)		0.45	(1)		0.46	(1)		0.40			0.22
Net realized and unrealized gains (losses) from investment activities		0.56			0.15			0.01			(0.29	)		0.19
Net increase from operations		1.02			0.60			0.47			0.11			0.41
Dividends from net investment income		(0.53	)		(0.46	)		(0.46	)		(0.43	)		(0.26	)
Distributions from net realized gains from investment activities		—			—			—			(0.16	)		—
Total dividends and distributions		(0.53	)		(0.46	)		(0.46	)		(0.59	)		(0.26	)
Net asset value, end of year	$	13.36		$	12.87		$	12.73		$	12.72		$	13.20
Total investment return(3)		8.16	%		4.72	%		3.73	%		0.92	%		3.17	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	173		$	769		$	1,617		$	2,776		$	4,273
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.77	%		1.82	%		1.87	%		1.86	%		1.84	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.86	%		1.89	%		1.88	%		1.93	%		1.93	%
Net investment income to average net assets		3.70	%		3.55	%		3.64	%		3.20	%		1.69	%
Portfolio turnover		877	%		588	%		495	%		575	%		665	%
	Class Y
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.87		$	12.73		$	12.72		$	13.20		$	13.05
Net investment income		0.61	(1)		0.59	(1)		0.61	(1)		0.55			0.38
Net realized and unrealized gains (losses) from investment activities		0.55			0.15			0.00	(2)		(0.30	)		0.17
Net increase from operations		1.16			0.74			0.61			0.25			0.55
Dividends from net investment income		(0.67	)		(0.60	)		(0.60	)		(0.57	)		(0.40	)
Distributions from net realized gains from investment activities		—			—			—			(0.16	)		—
Total dividends and distributions		(0.67	)		(0.60	)		(0.60	)		(0.73	)		(0.40	)
Net asset value, end of year	$	13.36		$	12.87		$	12.73		$	12.72		$	13.20
Total investment return(3)		9.29	%		5.86	%		4.87	%		1.97	%		4.24	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	39,199		$	25,669		$	13,658		$	8,460		$	10,069
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.77	%		0.82	%		0.79	%		0.81	%		0.76	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.92	%		0.90	%		0.79	%		0.84	%		0.85	%
Net investment income to average net assets		4.65	%		4.56	%		4.74	%		4.27	%		2.88	%
Portfolio turnover		877	%		588	%		495	%		575	%		665	%

See accompanying notes to financial statements
237

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Government Securities Fixed Income Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.87		$	12.72		$	12.72		$	13.20		$	13.06
Net investment income		0.61	(1)		0.59	(1)		0.60	(1)		0.54			0.37
Net realized and unrealized gains (losses) from investment activities		0.55			0.15			(0.01	)		(0.30	)		0.16
Net increase from operations		1.16			0.74			0.59			0.24			0.53
Dividends from net investment income		(0.67	)		(0.59	)		(0.59	)		(0.56	)		(0.39	)
Distributions from net realized gains from investment activities		—			—			—			(0.16	)		—
Total dividends and distributions		(0.67	)		(0.59	)		(0.59	)		(0.72	)		(0.39	)
Net asset value, end of year	$	13.36		$	12.87		$	12.72		$	12.72		$	13.20
Total investment return(2)		9.27	%		5.87	%		4.71	%		1.94	%		4.11	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	422,024		$	542,337		$	469,556		$	384,472		$	318,339
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.77	%		0.82	%		0.87	%		0.87	%		0.87	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.86	%		0.90	%		0.91	%		0.96	%		0.96	%
Net investment income to average net assets		4.66	%		4.55	%		4.66	%		4.22	%		2.82	%
Portfolio turnover		877	%		588	%		495	%		575	%		665	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

See accompanying notes to financial statements
238

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239

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Intermediate Fixed Income Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	11.51		$	11.39		$	11.27		$	11.44		$	11.51
Net investment income(1)		0.44			0.48			0.43			0.38			0.34
Net realized and unrealized gains (losses) from investment activities		0.08			0.12			0.12			(0.17	)		(0.07	)
Net increase from operations		0.52			0.60			0.55			0.21			0.27
Dividends from net investment income		(0.45	)		(0.48	)		(0.43	)		(0.38	)		(0.34	)
Net asset value, end of year	$	11.58		$	11.51		$	11.39		$	11.27		$	11.44
Total investment return(2)		4.88	%		5.26	%		4.96	%		1.90	%		2.38	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	45,165		$	46,257		$	51,800		$	59,884		$	75,331
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.93	%		0.93	%		1.05	%		1.06	%		1.07	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.02	%		1.05	%		1.08	%		1.10	%		1.09	%
Net investment income to average net assets		3.97	%		4.10	%		3.81	%		3.36	%		2.93	%
Portfolio turnover		512	%		387	%		255	%		349	%		221	%
	Class C
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	11.52		$	11.40		$	11.28		$	11.46		$	11.53
Net investment income(1)		0.38			0.42			0.38			0.32			0.28
Net realized and unrealized gains (losses) from investment activities		0.09			0.12			0.11			(0.17	)		(0.06	)
Net increase from operations		0.47			0.54			0.49			0.15			0.22
Dividends from net investment income		(0.40	)		(0.42	)		(0.37	)		(0.33	)		(0.29	)
Net asset value, end of year	$	11.59		$	11.52		$	11.40		$	11.28		$	11.46
Total investment return(2)		4.36	%		4.72	%		4.43	%		1.30	%		1.87	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	5,185		$	3,992		$	4,116		$	5,301		$	7,684
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.43	%		1.43	%		1.55	%		1.55	%		1.56	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.53	%		1.57	%		1.57	%		1.59	%		1.59	%
Net investment income to average net assets		3.43	%		3.60	%		3.31	%		2.86	%		2.44	%
Portfolio turnover		512	%		387	%		255	%		349	%		221	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽³⁾  During the year ended July 31, 2009, UBS Global Asset Management (Americas) Inc. reimbursed a portion of its ordinary operating expenses. The ratios net and before fee waivers and/or expense reimbursements are the same since the reimbursement represents less than 0.01%.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

240

	Class B
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	11.53		$	11.41		$	11.29		$	11.46		$	11.53
Net investment income(1)		0.36			0.38			0.34			0.28			0.24
Net realized and unrealized gains (losses) from investment activities		0.08			0.13			0.13			(0.15	)		(0.06	)
Net increase from operations		0.44			0.51			0.47			0.13			0.18
Dividends from net investment income		(0.37	)		(0.39	)		(0.35	)		(0.30	)		(0.25	)
Net asset value, end of year	$	11.60		$	11.53		$	11.41		$	11.29		$	11.46
Total investment return(2)		4.08	%		4.45	%		4.18	%		1.13	%		1.60	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	155		$	166		$	324		$	637		$	1,458
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.68	%		1.68	%		1.80	%		1.80	%		1.81	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.82	%		1.91	%		1.84	%		1.89	%		1.87	%
Net investment income to average net assets		3.23	%		3.35	%		3.04	%		2.56	%		2.15	%
Portfolio turnover		512	%		387	%		255	%		349	%		221	%
	Class Y
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	11.51		$	11.39		$	11.28		$	11.45		$	11.52
Net investment income(1)		0.47			0.51			0.47			0.41			0.37
Net realized and unrealized gains (losses) from investment activities		0.09			0.11			0.10			(0.17	)		(0.07	)
Net increase from operations		0.56			0.62			0.57			0.24			0.30
Dividends from net investment income		(0.48	)		(0.50	)		(0.46	)		(0.41	)		(0.37	)
Net asset value, end of year	$	11.59		$	11.51		$	11.39		$	11.28		$	11.45
Total investment return(2)		5.15	%		5.52	%		5.17	%		2.17	%		2.66	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	2,313		$	1,359		$	1,249		$	1,074		$	1,108
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.68	%(3)		0.68	%		0.80	%(4)		0.80	%		0.81	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.68	%(3)		0.76	%		0.80	%		0.83	%		0.86	%
Net investment income to average net assets		4.17	%		4.34	%		4.07	%		3.63	%		3.20	%
Portfolio turnover		512	%		387	%		255	%		349	%		221	%

See accompanying notes to financial statements
241

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Intermediate Fixed Income Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	11.51		$	11.39		$	11.28		$	11.45		$	11.52
Net investment income(1)		0.47			0.51			0.46			0.41			0.37
Net realized and unrealized gains (losses) from investment activities		0.09			0.11			0.11			(0.17	)		(0.07	)
Net increase from operations		0.56			0.62			0.57			0.24			0.30
Dividends from net investment income		(0.48	)		(0.50	)		(0.46	)		(0.41	)		(0.37	)
Net asset value, end of year	$	11.59		$	11.51		$	11.39		$	11.28		$	11.45
Total investment return(2)		5.14	%		5.52	%		5.17	%		2.17	%		2.66	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	353,068		$	404,407		$	381,254		$	346,298		$	313,031
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.68	%		0.68	%		0.80	%(3)		0.80	%		0.80	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.74	%		0.77	%		0.80	%		0.81	%		0.82	%
Net investment income to average net assets		4.22	%		4.35	%		4.07	%		3.64	%		3.22	%
Portfolio turnover		512	%		387	%		255	%		349	%		221	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽³⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

See accompanying notes to financial statements
242

(This page has been left blank intentionally)

243

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Strategic Fixed Income Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	13.75		$	13.25		$	13.26		$	13.89		$	13.88
Net investment income(1)		0.60			0.61			0.56			0.60			0.45
Net realized and unrealized gains (losses) from investment activities		0.39			0.51			0.00	(2)		(0.59	)		0.35
Net increase (decrease) from operations		0.99			1.12			0.56			0.01			0.80
Dividends from net investment income		(0.73	)		(0.62	)		(0.55	)		(0.62	)		(0.46	)
Distributions from net realized gains from investment activities		(0.92	)		—			—			—			(0.33	)
Returns of capital		—			—			(0.02	)		(0.02	)		—
Total dividends, distributions and returns of capital		(1.65	)		(0.62	)		(0.57	)		(0.64	)		(0.79	)
Net asset value, end of year	$	13.09		$	13.75		$	13.25		$	13.26		$	13.89
Total investment return(3)		8.31	%		8.42	%		4.32	%		0.06	%		5.88	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	33,293		$	27,180		$	21,711		$	20,735		$	23,269
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.07	%		1.06	%		1.15	%(4)		1.20	%(4)		1.23	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.10	%		1.13	%		1.15	%		1.20	%		1.23	%
Net investment income to average net assets		4.75	%		4.40	%		4.17	%		4.46	%		3.20	%
Portfolio turnover		178	%		236	%		188	%		196	%		147	%
	Class C
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	13.75		$	13.26		$	13.26		$	13.89		$	13.88
Net investment income(1)		0.54			0.54			0.50			0.54			0.38
Net realized and unrealized gains (losses) from investment activities		0.39			0.50			0.00	(2)		(0.60	)		0.35
Net increase (decrease) from operations		0.93			1.04			0.50			(0.06	)		0.73
Dividends from net investment income		(0.67	)		(0.55	)		(0.48	)		(0.55	)		(0.39	)
Distributions from net realized gains from investment activities		(0.92	)		—			—			—			(0.33	)
Returns of capital		—			—			(0.02	)		(0.02	)		—
Total dividends, distributions and returns of capital		(1.59	)		(0.55	)		(0.50	)		(0.57	)		(0.72	)
Net asset value, end of year	$	13.09		$	13.75		$	13.26		$	13.26		$	13.89
Total investment return(3)		7.78	%		7.79	%		3.87	%		(0.43	)%		5.38	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	8,797		$	5,592		$	5,531		$	6,280		$	8,082
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.57	%		1.56	%		1.63	%		1.68	%(4)		1.70	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.58	%		1.61	%		1.63	%		1.68	%		1.70	%
Net investment income to average net assets		4.24	%		3.90	%		3.69	%		3.97	%		2.73	%
Portfolio turnover		178	%		236	%		188	%		196	%		147	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Amount represents less than $0.005 per share.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

⁽⁵⁾  For the year ended July 31, 2007, UBS Global Asset Management (Americas) Inc. reimbursed a portion of its ordinary operating expenses. The ratios net and before fee waivers and/or expense reimbursements are the same since the fee waivers/reimbursement represents less than 0.01%.

244

	Class B
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	13.75		$	13.25		$	13.26		$	13.88		$	13.88
Net investment income(1)		0.49			0.48			0.44			0.48			0.33
Net realized and unrealized gains (losses) from investment activities		0.40			0.53			0.01			(0.56	)		0.36
Net increase (decrease) from operations		0.89			1.01			0.45			(0.08	)		0.69
Dividends from net investment income		(0.64	)		(0.51	)		(0.44	)		(0.52	)		(0.36	)
Distributions from net realized gains from investment activities		(0.92	)		—			—			—			(0.33	)
Returns of capital		—			—			(0.02	)		(0.02	)		—
Total dividends, distributions and returns of capital		(1.56	)		(0.51	)		(0.46	)		(0.54	)		(0.69	)
Net asset value, end of year	$	13.08		$	13.75		$	13.25		$	13.26		$	13.88
Total investment return(3)		7.45	%		7.58	%		3.55	%		(0.68	)%		5.06	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	333		$	142		$	456		$	1,098		$	2,175
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.82	%		1.81	%		1.93	%(5)		1.93	%		1.94	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.93	%		2.03	%		1.93	%(5)		1.98	%		1.96	%
Net investment income to average net assets		4.02	%		3.59	%		3.36	%		3.64	%		2.45	%
Portfolio turnover		178	%		236	%		188	%		196	%		147	%
	Class Y
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	13.74		$	13.25		$	13.26		$	13.88		$	13.87
Net investment income(1)		0.64			0.66			0.61			0.65			0.51
Net realized and unrealized gains (losses) from investment activities		0.39			0.49			(0.01	)		(0.59	)		0.34
Net increase (decrease) from operations		1.03			1.15			0.60			0.06			0.85
Dividends from net investment income		(0.77	)		(0.66	)		(0.59	)		(0.66	)		(0.51	)
Distributions from net realized gains from investment activities		(0.92	)		—			—			—			(0.33	)
Returns of capital		—			—			(0.02	)		(0.02	)		—
Total dividends, distributions and returns of capital		(1.69	)		(0.66	)		(0.61	)		(0.68	)		(0.84	)
Net asset value, end of year	$	13.08		$	13.74		$	13.25		$	13.26		$	13.88
Total investment return(3)		8.68	%		8.67	%		4.76	%		0.41	%		6.25	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	3,186		$	3,045		$	1,208		$	716		$	959
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.73	%		0.78	%		0.79	%		0.85	%		0.89	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.73	%		0.78	%		0.79	%		0.85	%		0.89	%
Net investment income to average net assets		5.09	%		4.71	%		4.55	%		4.79	%		3.58	%
Portfolio turnover		178	%		236	%		188	%		196	%		147	%

See accompanying notes to financial statements
245

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Strategic Fixed Income Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	13.74		$	13.25		$	13.26		$	13.88		$	13.88
Net investment income(1)		0.64			0.64			0.59			0.64			0.49
Net realized and unrealized gains (losses) from investment activities		0.38			0.50			0.00	(2)		(0.59	)		0.34
Net increase from operations		1.02			1.14			0.59			0.05			0.83
Dividends from net investment income		(0.76	)		(0.65	)		(0.58	)		(0.65	)		(0.50	)
Distributions from net realized gains from investment activities		(0.92	)		—			—			—			(0.33	)
Returns of capital		—			—			(0.02	)		(0.02	)		—
Total dividends, distributions and returns of capital		(1.68	)		(0.65	)		(0.60	)		(0.67	)		(0.83	)
Net asset value, end of year	$	13.08		$	13.74		$	13.25		$	13.26		$	13.88
Total investment return(3)		8.58	%		8.62	%		4.63	%		0.34	%		6.13	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	584,235		$	785,267		$	679,623		$	539,286		$	429,250
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.82	%		0.81	%		0.93	%(4)		0.93	%		0.93	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.87	%		0.89	%		0.93	%		0.98	%		0.98	%
Net investment income to average net assets		5.00	%		4.65	%		4.40	%		4.77	%		3.51	%
Portfolio turnover		178	%		236	%		188	%		196	%		147	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Amount represents less than $0.005 per share.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

See accompanying notes to financial statements
246

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247

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Municipal Fixed Income Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.15		$	12.22		$	12.27		$	12.49		$	12.56
Net investment income(1)		0.41			0.41			0.40			0.39			0.40
Net realized and unrealized gains (losses) from investment activities		0.30			(0.07	)		(0.05	)		(0.22	)		(0.07	)
Net increase from operations		0.71			0.34			0.35			0.17			0.33
Dividends from net investment income		(0.41	)		(0.41	)		(0.40	)		(0.39	)		(0.40	)
Net asset value, end of year	$	12.45		$	12.15		$	12.22		$	12.27		$	12.49
Total investment return(2)		5.97	%		2.81	%		2.84	%		1.42	%		2.61	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	88,167		$	87,036		$	90,219		$	99,169		$	115,286
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.93	%		0.93	%		1.01	%		0.99	%		0.96	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.96	%		1.01	%		1.02	%		1.04	%		1.03	%
Net investment income to average net assets		3.35	%		3.34	%		3.21	%		3.19	%		3.12	%
Portfolio turnover		25	%		16	%		48	%		27	%		35	%
	Class C
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.16		$	12.22		$	12.27		$	12.49		$	12.56
Net investment income(1)		0.35			0.35			0.33			0.33			0.33
Net realized and unrealized gains (losses) from investment activities		0.29			(0.06	)		(0.05	)		(0.22	)		(0.07	)
Net increase from operations		0.64			0.29			0.28			0.11			0.26
Dividends from net investment income		(0.35	)		(0.35	)		(0.33	)		(0.33	)		(0.33	)
Net asset value, end of year	$	12.45		$	12.16		$	12.22		$	12.27		$	12.49
Total investment return(2)		5.36	%		2.38	%		2.32	%		0.91	%		2.07	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	15,474		$	13,905		$	14,777		$	17,315		$	21,291
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.43	%		1.43	%		1.51	%		1.50	%		1.48	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.47	%		1.52	%		1.53	%		1.55	%		1.55	%
Net investment income to average net assets		2.85	%		2.84	%		2.71	%		2.68	%		2.61	%
Portfolio turnover		25	%		16	%		48	%		27	%		35	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder could pay on Portfolio distributions or the redemption of Portfolio shares.

248

	Class B
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.16		$	12.23		$	12.27		$	12.49		$	12.56
Net investment income(1)		0.31			0.31			0.30			0.29			0.30
Net realized and unrealized gains (losses) from investment activities		0.31			(0.06	)		(0.04	)		(0.21	)		(0.07	)
Net increase from operations		0.62			0.25			0.26			0.08			0.23
Dividends from net investment income		(0.32	)		(0.32	)		(0.30	)		(0.30	)		(0.30	)
Net asset value, end of year	$	12.46		$	12.16		$	12.23		$	12.27		$	12.49
Total investment return(2)		5.17	%		2.05	%		2.10	%		0.65	%		1.82	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	103		$	196		$	259		$	985		$	2,665
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.68	%		1.68	%		1.76	%		1.74	%		1.71	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.74	%		1.89	%		1.78	%		1.80	%		1.79	%
Net investment income to average net assets		2.63	%		2.57	%		2.44	%		2.43	%		2.37	%
Portfolio turnover		25	%		16	%		48	%		27	%		35	%
	Class Y
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.16		$	12.23		$	12.28		$	12.49		$	12.56
Net investment income(1)		0.44			0.44			0.43			0.43			0.42
Net realized and unrealized gains (losses) from investment activities		0.29			(0.07	)		(0.05	)		(0.22	)		(0.07	)
Net increase from operations		0.73			0.37			0.38			0.21			0.35
Dividends from net investment income		(0.44	)		(0.44	)		(0.43	)		(0.42	)		(0.42	)
Net asset value, end of year	$	12.45		$	12.16		$	12.23		$	12.28		$	12.49
Total investment return(2)		6.23	%		3.05	%		3.09	%		1.75	%		2.83	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	145		$	136		$	137		$	176		$	186
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.68	%		0.68	%		0.76	%		0.75	%		0.74	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.76	%		0.96	%		0.83	%		0.84	%		0.85	%
Net investment income to average net assets		3.60	%		3.59	%		3.46	%		3.44	%		3.35	%
Portfolio turnover		25	%		16	%		48	%		27	%		35	%

See accompanying notes to financial statements
249

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Municipal Fixed Income Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	12.16		$	12.22		$	12.27		$	12.49		$	12.56
Net investment income(1)		0.44			0.44			0.43			0.42			0.42
Net realized and unrealized gains (losses) from investment activities		0.29			(0.06	)		(0.05	)		(0.22	)		(0.07	)
Net increase from operations		0.73			0.38			0.38			0.20			0.35
Dividends from net investment income		(0.44	)		(0.44	)		(0.43	)		(0.42	)		(0.42	)
Net asset value, end of year	$	12.45		$	12.16		$	12.22		$	12.27		$	12.49
Total investment return(2)		6.14	%		3.14	%		3.10	%		1.66	%		2.81	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	187,814		$	242,033		$	194,370		$	140,320		$	111,908
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.68	%		0.68	%		0.76	%		0.76	%		0.76	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.74	%		0.79	%		0.81	%		0.84	%		0.82	%
Net investment income to average net assets		3.61	%		3.59	%		3.47	%		3.43	%		3.33	%
Portfolio turnover		25	%		16	%		48	%		27	%		35	%

⁽¹⁾  Calculated using the average shares method.

⁽²⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder could pay on Portfolio distributions or the redemption of Portfolio shares.

See accompanying notes to financial statements
250

(This page has been left blank intentionally)

251

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Global Fixed Income Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	11.84		$	11.38		$	11.20		$	11.76		$	11.74
Net investment income(2)		0.30			0.25			0.25			0.25			0.24
Net realized and unrealized gains (losses) from investment activities		(0.06	)		1.14			0.23			(0.06	)		0.52
Net increase from operations		0.24			1.39			0.48			0.19			0.76
Dividends from net investment income		(0.44	)		(0.93	)		(0.30	)		(0.57	)		(0.72	)
Distributions from net realized gains from investment activities		—			—			—			(0.18	)		(0.02	)
Total dividends and distributions		(0.44	)		(0.93	)		(0.30	)		(0.75	)		(0.74	)
Net asset value, end of year	$	11.64		$	11.84		$	11.38		$	11.20		$	11.76
Total investment return(3)		2.35	%		12.76	%		4.36	%		1.86	%		6.33	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	103,708		$	118,784		$	111,910		$	124,045		$	144,325
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.25	%		1.25	%		1.37	%		1.37	%		1.37	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.32	%		1.35	%		1.37	%		1.40	%		1.41	%(5)
Net investment income to average net assets		2.83	%		2.07	%		2.23	%		2.25	%		1.98	%
Portfolio turnover		37	%		65	%		111	%		175	%		260	%
	Class C
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	11.85		$	11.38		$	11.20		$	11.76		$	11.74
Net investment income(2)		0.25			0.19			0.20			0.20			0.18
Net realized and unrealized gains (losses) from investment activities		(0.08	)		1.15			0.23			(0.06	)		0.53
Net increase from operations		0.17			1.34			0.43			0.14			0.71
Dividends from net investment income		(0.38	)		(0.87	)		(0.25	)		(0.52	)		(0.67	)
Distributions from net realized gains from investment activities		—			—			—			(0.18	)		(0.02	)
Total dividends and distributions		(0.38	)		(0.87	)		(0.25	)		(0.70	)		(0.69	)
Net asset value, end of year	$	11.64		$	11.85		$	11.38		$	11.20		$	11.76
Total investment return(3)		1.85	%		12.20	%		3.86	%		1.35	%		5.82	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	7,234		$	7,161		$	6,347		$	7,499		$	8,736
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.75	%(4)		1.75	%		1.85	%		1.87	%		1.86	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.80	%		1.84	%		1.85	%		1.89	%		1.92	%(5)
Net investment income to average net assets		2.32	%		1.57	%		1.74	%		1.75	%		1.50	%
Portfolio turnover		37	%		65	%		111	%		175	%		260	%

⁽¹⁾  Effective August 23, 2007, Rogge Global Partners plc ("Rogge") assumed the role of sole manager of the Portfolio. Prior to August 23, 2007, the investment advisory function for this Portfolio was performed by Rogge and Fischer Francis Trees & Watts, Inc., who were each responsible for a portion of the Portfolio.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

⁽⁵⁾  Includes 0.01% of interest expense related to reverse repurchase agreement activity during the year ended July 31, 2005.

252

	Class B
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	11.87		$	11.40		$	11.22		$	11.78		$	11.76
Net investment income(2)		0.22			0.15			0.16			0.17			0.15
Net realized and unrealized gains (losses) from investment activities		(0.06	)		1.16			0.24			(0.06	)		0.52
Net increase from operations		0.16			1.31			0.40			0.11			0.67
Dividends from net investment income		(0.35	)		(0.84	)		(0.22	)		(0.49	)		(0.63	)
Distributions from net realized gains from investment activities		—			—			—			(0.18	)		(0.02	)
Total dividends and distributions		(0.35	)		(0.84	)		(0.22	)		(0.67	)		(0.65	)
Net asset value, end of year	$	11.68		$	11.87		$	11.40		$	11.22		$	11.78
Total investment return(3)		1.64	%		11.89	%		3.57	%		1.08	%		5.52	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	191		$	505		$	723		$	878		$	1,450
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		2.00	%		2.00	%		2.13	%		2.12	%		2.12	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.10	%		2.15	%		2.13	%		2.16	%		2.17	%(5)
Net investment income to average net assets		2.11	%		1.31	%		1.47	%		1.50	%		1.22	%
Portfolio turnover		37	%		65	%		111	%		175	%		260	%
	Class Y
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	11.83		$	11.36		$	11.19		$	11.75		$	11.73
Net investment income(2)		0.34			0.29			0.29			0.29			0.28
Net realized and unrealized gains (losses) from investment activities		(0.07	)		1.15			0.22			(0.06	)		0.52
Net increase from operations		0.27			1.44			0.51			0.23			0.80
Dividends from net investment income		(0.47	)		(0.97	)		(0.34	)		(0.61	)		(0.76	)
Distributions from net realized gains from investment activities		—			—			—			(0.18	)		(0.02	)
Total dividends and distributions		(0.47	)		(0.97	)		(0.34	)		(0.79	)		(0.78	)
Net asset value, end of year	$	11.63		$	11.83		$	11.36		$	11.19		$	11.75
Total investment return(3)		2.71	%		13.16	%		4.67	%		2.21	%		6.67	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	7,773		$	10,253		$	7,113		$	7,077		$	9,285
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.89	%		0.93	%		1.03	%(4)		1.05	%(4)		1.06	%(4)(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.94	%		0.99	%		1.03	%		1.05	%		1.06	%(5)
Net investment income to average net assets		3.19	%		2.40	%		2.58	%		2.57	%		2.30	%
Portfolio turnover		37	%		65	%		111	%		175	%		260	%

See accompanying notes to financial statements
253

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Global Fixed Income Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	11.84		$	11.38		$	11.20		$	11.76		$	11.74
Net investment income(2)		0.33			0.28			0.28			0.28			0.27
Net realized and unrealized gains (losses) from investment activities		(0.07	)		1.14			0.23			(0.06	)		0.52
Net increase from operations		0.26			1.42			0.51			0.22			0.79
Dividends from net investment income		(0.46	)		(0.96	)		(0.33	)		(0.60	)		(0.75	)
Distributions from net realized gains from investment activities		—			—			—			(0.18	)		(0.02	)
Total dividends and distributions		(0.46	)		(0.96	)		(0.33	)		(0.78	)		(0.77	)
Net asset value, end of year	$	11.64		$	11.84		$	11.38		$	11.20		$	11.76
Total investment return(3)		2.60	%		12.95	%		4.62	%		2.11	%		6.58	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	364,616		$	534,097		$	440,787		$	349,676		$	274,572
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.00	%(4)		1.00	%		1.13	%		1.13	%		1.14	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.17	%		1.18	%		1.22	%		1.27	%		1.29	%(5)
Net investment income to average net assets		3.09	%		2.32	%		2.49	%		2.49	%		2.25	%
Portfolio turnover		37	%		65	%		111	%		175	%		260	%

⁽¹⁾  Effective August 23, 2007, Rogge Global Partners plc ("Rogge") assumed the role of sole manager of the Portfolio. Prior to August 23, 2007, the investment advisory function for this Portfolio was performed by Rogge and Fischer Francis Trees & Watts, Inc., who were each responsible for a portion of the Portfolio.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

⁽⁵⁾  Includes 0.01% of interest expense related to reverse repurchase agreement activity during the year ended July 31, 2005.

See accompanying notes to financial statements
254

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255

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE High Yield Investments

Selected data for a share of beneficial interest outstanding throughout each period is presented below:

	Class A												Class C
	For the years ended July 31,									For the period ended July 31,			For the period ended July 31,
	2009			2008			2007			2006(1)			2009(2)
Net asset value, beginning of period	$	9.04		$	9.60		$	9.81		$	9.95		$	7.49
Net investment income(6)		0.66			0.60			0.60			0.11			0.29
Net realized and unrealized gains (losses) from investment activities		0.02			(0.54	)		(0.23	)		(0.10	)		1.54
Net increase (decrease) from operations		0.68			0.06			0.37			0.01			1.83
Dividends from net investment income		(0.78	)		(0.59	)		(0.58	)		(0.15	)		(0.39	)
Distributions from net realized gains from investment activities		—			(0.01	)		—			—			—
Return of capital		—			(0.02	)		—			—			—
Total dividends, distributions and return of capital		(0.78	)		(0.62	)		(0.58	)		(0.15	)		(0.39	)
Net asset value, end of period	$	8.94		$	9.04		$	9.60		$	9.81		$	8.93
Total investment return(7)		9.49	%		0.58	%		3.66	%		0.15	%		25.40	%
Ratios/supplemental data:
Net assets, end of period (000's)	$	7,538		$	2,181		$	741		$	345		$	1,819
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.35	%		1.35	%		1.35	%		1.35	%(8)		1.85	%(8)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.46	%		1.59	%		1.96	%		7.56	%(8)		1.92	%(8)
Net investment income to average net assets		8.46	%		6.43	%		5.96	%		6.04	%(8)		6.96	%(8)
Portfolio turnover		49	%		25	%		26	%		39	%		49	%

⁽¹⁾  For the period May 1, 2006 (commencement of issuance) through July 31, 2006.

⁽²⁾  For the period January 21, 2009 (commencement of issuance) through July 31, 2009.

⁽³⁾  For the period December 26, 2008 (recommencement of issuance) through July 31, 2009.

⁽⁴⁾  For the period April 3, 2006 (commencement of issuance) through July 24, 2006. There were no shares outstanding from July 25, 2006 through December 25, 2008.

⁽⁵⁾  For the period April 10, 2006 (commencement of issuance) through July 31, 2006.

⁽⁶⁾  Calculated using the average shares method.

⁽⁷⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each period reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each period reported. The figures do not include any applicable sales charges, redemption fees or program fees; results would be lower if they were included. Total investment return for periods of less than one year has not been annualized. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁸⁾  Annualized.

256

	Class Y						Class P
	For the period ended July 31,			For the period ended July 24,			For the years ended July 31,									For the period ended July 31,
	2009(3)			2006(4)			2009			2008			2007			2006(5)
Net asset value, beginning of period	$	6.83		$	10.00		$	9.04		$	9.61		$	9.81		$	9.95
Net investment income(6)		0.42			0.17			0.69			0.63			0.62			0.14
Net realized and unrealized gains (losses) from investment activities		2.11			(0.22	)		0.02			(0.56	)		(0.22	)		(0.09	)
Net increase (decrease) from operations		2.53			(0.05	)		0.71			0.07			0.40			0.05
Dividends from net investment income		(0.41	)		(0.14	)		(0.80	)		(0.61	)		(0.60	)		(0.19	)
Distributions from net realized gains from investment activities		—			—			—			(0.01	)		—			—
Return of capital		—			—			—			(0.02	)		—			—
Total dividends, distributions and return of capital		(0.41	)		(0.14	)		(0.80	)		(0.64	)		(0.60	)		(0.19	)
Net asset value, end of period	$	8.95		$	9.81		$	8.95		$	9.04		$	9.61		$	9.81
Total investment return(7)		38.23	%		(0.45	)%		9.87	%		0.71	%		3.96	%		0.56	%
Ratios/supplemental data:
Net assets, end of period (000's)	$	7		$	—		$	147,029		$	142,985		$	87,171		$	11,103
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.10	%(8)		1.10	%(8)		1.10	%		1.10	%		1.10	%		1.10	%(8)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.37	%(8)		2.32	%(8)		1.34	%		1.31	%		1.72	%		8.16	%(8)
Net investment income to average net assets		9.13	%(8)		5.94	%(8)		8.80	%		6.68	%		6.24	%		6.34	%(8)
Portfolio turnover		49	%		39	%		49	%		25	%		26	%		39	%

See accompanying notes to financial statements
257

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Large Co Value Equity Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	16.67		$	22.41		$	22.35		$	20.64		$	17.56
Net investment income(2)		0.19			0.25			0.23			0.22			0.22
Net realized and unrealized gains (losses) from investment activities		(3.44	)		(3.34	)		2.80			2.16			3.06
Net increase (decrease) from operations		(3.25	)		(3.09	)		3.03			2.38			3.28
Dividends from net investment income		(0.26	)		(0.11	)		(0.23	)		(0.20	)		(0.20	)
Distributions from net realized gains from investment activities		—			(2.54	)		(2.74	)		(0.47	)		—
Total dividends and distributions		(0.26	)		(2.65	)		(2.97	)		(0.67	)		(0.20	)
Net asset value, end of year	$	13.16		$	16.67		$	22.41		$	22.35		$	20.64
Total investment return(3)		(19.27	)%		(15.56	)%		13.94	%		11.77	%		18.78	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	146,510		$	217,986		$	291,942		$	292,632		$	306,916
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.24	%		1.09	%		1.08	%		1.14	%(4)		1.15	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.24	%		1.22	%		1.21	%		1.27	%		1.27	%
Net investment income to average net assets		1.52	%		1.26	%		0.99	%		1.03	%		1.16	%
Portfolio turnover		87	%		161	%		105	%		95	%		74	%
	Class C
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	16.59		$	22.36		$	22.29		$	20.58		$	17.50
Net investment income(2)		0.09			0.09			0.05			0.05			0.07
Net realized and unrealized gains (losses) from investment activities		(3.41	)		(3.32	)		2.80			2.15			3.05
Net increase (decrease) from operations		(3.32	)		(3.23	)		2.85			2.20			3.12
Dividends from net investment income		(0.12	)		—			(0.04	)		(0.02	)		(0.04	)
Distributions from net realized gains from investment activities		—			(2.54	)		(2.74	)		(0.47	)		—
Total dividends and distributions		(0.12	)		(2.54	)		(2.78	)		(0.49	)		(0.04	)
Net asset value, end of year	$	13.15		$	16.59		$	22.36		$	22.29		$	20.58
Total investment return(3)		(19.89	)%		(16.24	)%		13.11	%		10.86	%		17.87	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	16,560		$	24,765		$	35,110		$	36,374		$	40,113
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.02	%		1.88	%		1.86	%		1.93	%(4)		1.94	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.05	%		2.01	%		2.00	%		2.06	%		2.06	%
Net investment income to average net assets		0.74	%		0.47	%		0.21	%		0.24	%		0.38	%
Portfolio turnover		87	%		161	%		105	%		95	%		74	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred from SSgA Funds Management, Inc. to Pzena Investment Management, LLC on May 27, 2008. Institutional Capital LLC and Westwood Management Corp. continue to provide a portion of the investment advisory function.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

258

	Class B
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	16.62		$	22.43		$	22.34		$	20.62		$	17.50
Net investment income(2)		0.09			0.06			0.04			0.03			0.07
Net realized and unrealized gains (losses) from investment activities		(3.41	)		(3.33	)		2.79			2.16			3.05
Net increase (decrease) from operations		(3.32	)		(3.27	)		2.83			2.19			3.12
Dividends from net investment income		(0.10	)		—			—			—			—
Distributions from net realized gains from investment activities		—			(2.54	)		(2.74	)		(0.47	)		—
Total dividends and distributions		(0.10	)		(2.54	)		(2.74	)		(0.47	)		—
Net asset value, end of year	$	13.20		$	16.62		$	22.43		$	22.34		$	20.62
Total investment return(3)		(19.92	)%		(16.38	)%		13.00	%		10.77	%		17.83	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	405		$	765		$	1,872		$	5,289		$	8,554
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.02	%		2.02	%		1.98	%		2.00	%		2.02	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.30	%		2.16	%		2.11	%		2.13	%		2.13	%
Net investment income to average net assets		0.76	%		0.29	%		0.18	%		0.16	%		0.36	%
Portfolio turnover		87	%		161	%		105	%		95	%		74	%
	Class Y
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	16.75		$	22.51		$	22.45		$	20.70		$	17.60
Net investment income(2)		0.23			0.32			0.30			0.30			0.28
Net realized and unrealized gains (losses) from investment activities		(3.45	)		(3.35	)		2.82			2.17			3.07
Net increase (decrease) from operations		(3.22	)		(3.03	)		3.12			2.47			3.35
Dividends from net investment income		(0.32	)		(0.19	)		(0.32	)		(0.25	)		(0.25	)
Distributions from net realized gains from investment activities		—			(2.54	)		(2.74	)		(0.47	)		—
Total dividends and distributions		(0.32	)		(2.73	)		(3.06	)		(0.72	)		(0.25	)
Net asset value, end of year	$	13.21		$	16.75		$	22.51		$	22.45		$	20.70
Total investment return(3)		(18.93	)%		(15.30	)%		14.36	%		12.20	%		19.17	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	23,834		$	33,809		$	45,177		$	43,234		$	42,046
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.86	%		0.76	%		0.74	%		0.77	%		0.83	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.86	%		0.89	%		0.88	%		0.90	%		0.95	%
Net investment income to average net assets		1.90	%		1.59	%		1.32	%		1.40	%		1.48	%
Portfolio turnover		87	%		161	%		105	%		95	%		74	%

See accompanying notes to financial statements
259

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Large Co Value Equity Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008(1)			2007			2006			2005
Net asset value, beginning of year	$	16.69		$	22.44		$	22.38		$	20.66		$	17.58
Net investment income(2)		0.22			0.30			0.28			0.28			0.26
Net realized and unrealized gains (losses) from investment activities		(3.44	)		(3.34	)		2.82			2.16			3.07
Net increase (decrease) from operations		(3.22	)		(3.04	)		3.10			2.44			3.33
Dividends from net investment income		(0.31	)		(0.17	)		(0.30	)		(0.25	)		(0.25	)
Distributions from net realized gains from investment activities		—			(2.54	)		(2.74	)		(0.47	)		—
Total dividends and distributions		(0.31	)		(2.71	)		(3.04	)		(0.72	)		(0.25	)
Net asset value, end of year	$	13.16		$	16.69		$	22.44		$	22.38		$	20.66
Total investment return(3)		(19.01	)%		(15.39	)%		14.26	%		12.07	%		19.03	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	819,420		$	1,159,915		$	1,306,425		$	1,078,221		$	837,901
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.99	%		0.85	%		0.83	%		0.86	%		0.91	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.99	%		0.98	%		0.96	%		0.99	%		1.03	%
Net investment income to average net assets		1.76	%		1.51	%		1.23	%		1.30	%		1.38	%
Portfolio turnover		87	%		161	%		105	%		95	%		74	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred from SSgA Funds Management, Inc. to Pzena Investment Management, LLC on May 27, 2008. Institutional Capital LLC and Westwood Management Corp. continue to provide a portion of the investment advisory function.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

See accompanying notes to financial statements
260

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261

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Large Co Growth Equity Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008(1)			2007(2)			2006			2005
Net asset value, beginning of year	$	16.67		$	18.18		$	15.75		$	15.83		$	13.50
Net investment income (loss)(3)		0.03			0.00	(4)		(0.02	)		(0.03	)		(0.02	)
Net realized and unrealized gains (losses) from investment activities		(3.27	)		(1.03	)		2.45			(0.05	)		2.35
Net increase (decrease) from operations		(3.24	)		(1.03	)		2.43			(0.08	)		2.33
Distributions from net realized gains from investment activities		(0.07	)		(0.48	)		—			—			—
Net asset value, end of year	$	13.36		$	16.67		$	18.18		$	15.75		$	15.83
Total investment return(5)		(19.39	)%		(5.94	)%		15.43	%		(0.51	)%		17.26	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	56,038		$	77,628		$	80,334		$	82,201		$	95,264
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.26	%		1.20	%		1.20	%		1.23	%		1.28	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.30	%		1.25	%		1.25	%		1.28	%		1.32	%
Net investment income (loss) to average net assets		0.21	%		0.00	%(7)		(0.10	)%		(0.18	)%		(0.11	)%
Portfolio turnover		100	%		120	%		95	%		64	%		79	%
	Class C
	For the years ended July 31,
	2009			2008(1)			2007(2)			2006			2005
Net asset value, beginning of year	$	15.66		$	17.26		$	15.08		$	15.27		$	13.14
Net investment income (loss)(3)		(0.07	)		(0.14	)		(0.16	)		(0.16	)		(0.13	)
Net realized and unrealized gains (losses) from investment activities		(3.07	)		(0.98	)		2.34			(0.03	)		2.26
Net increase (decrease) from operations		(3.14	)		(1.12	)		2.18			(0.19	)		2.13
Dividends from net investment income		—			—			—			—			—
Distributions from net realized gains from investment activities		(0.07	)		(0.48	)		—			—			—
Total dividends and distributions		(0.07	)		(0.48	)		—			—			—
Net asset value, end of year	$	12.45		$	15.66		$	17.26		$	15.08		$	15.27
Total investment return(5)		(20.00	)%		(6.80	)%		14.46	%		(1.24	)%		16.21	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	4,170		$	6,120		$	7,488		$	7,586		$	9,944
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.05	%		2.04	%(6)		2.05	%(6)		2.07	%(6)		2.11	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.20	%		2.09	%		2.09	%		2.12	%		2.15	%
Net investment income (loss) to average net assets		(0.57	)%		(0.84	)%		(0.95	)%		(1.03	)%		(0.94	)%
Portfolio turnover		100	%		120	%		95	%		64	%		79	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred to Delaware Management Company on December 5, 2007. Marsico Capital Management, LLC, SSgA Funds Management, Inc. and Wellington Management Company, LLP continue to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Portfolio was transferred from GE Asset Management, Inc. to Wellington Management Company, LLP on June 1, 2007. Marsico Capital Management, LLC and SSgA Funds Management, Inc. continued to provide a portion of the investment advisory function.

⁽³⁾  Calculated using the average shares method.

⁽⁴⁾  Amount represents less than $0.005 per share.

⁽⁵⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁶⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

⁽⁷⁾  Amount represents less than 0.005%.

262

	Class B
	For the years ended July 31,
	2009			2008(1)			2007(2)			2006			2005
Net asset value, beginning of year	$	15.62		$	17.22		$	15.05		$	15.25		$	13.12
Net investment income (loss)(3)		(0.07	)		(0.14	)		(0.15	)		(0.16	)		(0.13	)
Net realized and unrealized gains (losses) from investment activities		(3.07	)		(0.98	)		2.32			(0.04	)		2.26
Net increase (decrease) from operations		(3.14	)		(1.12	)		2.17			(0.20	)		2.13
Distributions from net realized gains from investment activities		(0.07	)		(0.48	)		—			—			—
Net asset value, end of year	$	12.41		$	15.62		$	17.22		$	15.05		$	15.25
Total investment return(5)		(20.05	)%		(6.81	)%		14.42	%		(1.31	)%		16.24	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	199		$	371		$	643		$	1,450		$	3,185
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.05	%		2.05	%		2.05	%		2.10	%		2.16	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.32	%		2.24	%		2.24	%		2.27	%		2.27	%
Net investment income (loss) to average net assets		(0.58	)%		(0.85	)%		(0.90	)%		(1.09	)%		(0.98	)%
Portfolio turnover		100	%		120	%		95	%		64	%		79	%
	Class Y
	For the years ended July 31,
	2009			2008(1)			2007(2)			2006			2005
Net asset value, beginning of year	$	17.03		$	18.54		$	16.05		$	16.09		$	13.67
Net investment income (loss)(3)		0.08			0.07			0.05			0.03			0.04
Net realized and unrealized gains (losses) from investment activities		(3.34	)		(1.05	)		2.49			(0.04	)		2.38
Net increase (decrease) from operations		(3.26	)		(0.98	)		2.54			(0.01	)		2.42
Dividends from net investment income		(0.03	)		(0.05	)		(0.05	)		(0.03	)		—
Distributions from net realized gains from investment activities		(0.07	)		(0.48	)		—			—			—
Total dividends and distributions		(0.10	)		(0.53	)		(0.05	)		(0.03	)		—
Net asset value, end of year	$	13.67		$	17.03		$	18.54		$	16.05		$	16.09
Total investment return(5)		(19.04	)%		(5.64	)%		15.90	%		(0.10	)%		17.70	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	16,885		$	23,263		$	26,125		$	22,668		$	25,014
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.84	%		0.82	%		0.82	%		0.85	%(6)		0.85	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.88	%		0.87	%		0.86	%		0.89	%		0.90	%
Net investment income (loss) to average net assets		0.63	%		0.38	%		0.27	%		0.20	%		0.30	%
Portfolio turnover		100	%		120	%		95	%		64	%		79	%

See accompanying notes to financial statements
263

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Large Co Growth Equity Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008(1)			2007(2)			2006			2005
Net asset value, beginning of year	$	16.94		$	18.45		$	15.97		$	16.02		$	13.62
Net investment income(3)		0.06			0.05			0.03			0.02			0.03
Net realized and unrealized gains (losses) from investment activities		(3.32	)		(1.04	)		2.49			(0.05	)		2.37
Net increase (decrease) from operations		(3.26	)		(0.99	)		2.52			(0.03	)		2.40
Dividends from net investment income		(0.02	)		(0.04	)		(0.04	)		(0.02	)		—
Distributions from net realized gains from investment activities		(0.07	)		(0.48	)		—			—			—
Total dividends and distributions		(0.09	)		(0.52	)		(0.04	)		(0.02	)		—
Net asset value, end of year	$	13.59		$	16.94		$	18.45		$	15.97		$	16.02
Total investment return(4)		(19.19	)%		(5.68	)%		15.76	%		(0.20	)%		17.62	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	822,192		$	1,230,206		$	1,231,468		$	945,358		$	780,687
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.97	%		0.91	%		0.91	%		0.95	%(5)		0.97	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.01	%		0.96	%		0.95	%		1.00	%		1.01	%
Net investment income to average net assets		0.50	%		0.29	%		0.17	%		0.12	%		0.18	%
Portfolio turnover		100	%		120	%		95	%		64	%		79	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred to Delaware Management Company on December 5, 2007. Marsico Capital Management, LLC, SSgA Funds Management, Inc. and Wellington Management Company, LLP continue to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Portfolio was transferred from GE Asset Management, Inc. to Wellington Management Company, LLP on June 1, 2007. Marsico Capital Management, LLC and SSgA Funds Management, Inc. continued to provide a portion of the investment advisory function.

⁽³⁾  Calculated using the average shares method.

⁽⁴⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁵⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

See accompanying notes to financial statements
264

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265

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Small/Medium Co Value Equity Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009(1)			2008(2)			2007			2006(2)			2005
Net asset value, beginning of year	$	14.27		$	19.29		$	17.07		$	21.80		$	19.63
Net investment income (loss)(3)		0.05			0.06			0.01			(0.03	)		(0.05	)
Net realized and unrealized gains (losses) from investment activities		(2.25	)		(3.01	)		2.97			(0.82	)		4.27
Net increase (decrease) from operations		(2.20	)		(2.95	)		2.98			(0.85	)		4.22
Dividends from net investment income		(0.08	)		(0.00	)(4)		—			—			—
Distributions from net realized gains from investment activities		(0.00	)(4)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Total dividends and distributions		(0.08	)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Net asset value, end of year	$	11.99		$	14.27		$	19.29		$	17.07		$	21.80
Total investment return(5)		(15.29	)%		(16.25	)%		17.70	%		(4.10	)%		22.35	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	24,661		$	37,185		$	47,845		$	45,583		$	55,299
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.38	%		1.29	%		1.27	%		1.30	%		1.33	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.39	%		1.29	%		1.27	%		1.30	%		1.33	%
Net investment income (loss) to average net assets		0.44	%		0.34	%		0.05	%		(0.16	)%		(0.27	)%
Portfolio turnover		111	%		43	%		59	%		81	%		55	%
	Class C
	For the years ended July 31,
	2009(1)			2008(2)			2007			2006(2)			2005
Net asset value, beginning of year	$	13.18		$	18.12		$	16.19		$	21.03		$	19.13
Net investment income (loss)(3)		(0.03	)		(0.06	)		(0.13	)		(0.17	)		(0.20	)
Net realized and unrealized gains (losses) from investment activities		(2.08	)		(2.81	)		2.82			(0.79	)		4.15
Net increase (decrease) from operations		(2.11	)		(2.87	)		2.69			(0.96	)		3.95
Dividends from net investment income		—			—			—			—			—
Distributions from net realized gains from investment activities		(0.00	)(4)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Total dividends and distributions		(0.00	)(4)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Net asset value, end of year	$	11.07		$	13.18		$	18.12		$	16.19		$	21.03
Total investment return(5)		(15.98	)%		(16.93	)%		16.85	%		(4.86	)%		21.48	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	5,603		$	8,400		$	11,964		$	11,552		$	14,515
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.15	%		2.06	%		2.04	%		2.08	%		2.08	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.14	%		2.06	%		2.04	%		2.08	%		2.08	%
Net investment income (loss) to average net assets		(0.32	)%		(0.42	)%		(0.71	)%		(0.93	)%		(1.03	)%
Portfolio turnover		111	%		43	%		59	%		81	%		55	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred to Buckhead Capital Management, LLC and Systematic Financial Management, L.P. on May 28, 2009. Ariel Investments, LLC and Opus Capital Group, LLC ceased serving as investment advisors for the Portfolio effective May 29, 2009. Metropolitan West Capital Management, LLC continues to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Portfolio was transferred from ICM Asset Management, Inc. to Metropolitan West Capital Management, LLC and Opus Capital Group, LLC on October 1, 2005. Ariel Investments, LLC continued to provide a portion of the investment advisory function. Ariel Capital Management, LLC changed its name to Ariel Investments, LLC on April 30, 2008.

⁽³⁾  Calculated using the average shares method.

⁽⁴⁾  Amount of dividend or distribution paid represents less than $0.005 per share.

⁽⁵⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁶⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

266

	Class B
	For the years ended July 31,
	2009(1)			2008(2)			2007			2006(2)			2005
Net asset value, beginning of year	$	13.12		$	18.06		$	16.15		$	21.00		$	19.12
Net investment income (loss)(3)		(0.02	)		(0.08	)		(0.14	)		(0.18	)		(0.21	)
Net realized and unrealized gains (losses) from investment activities		(2.08	)		(2.79	)		2.81			(0.79	)		4.14
Net increase (decrease) from operations		(2.10	)		(2.87	)		2.67			(0.97	)		3.93
Dividends from net investment income		—			—			—			—			—
Distributions from net realized gains from investment activities		(0.00	)(4)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Total dividends and distributions		(0.00	)(4)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Net asset value, end of year	$	11.02		$	13.12		$	18.06		$	16.15		$	21.00
Total investment return(5)		(15.90	)%		(16.99	)%		16.77	%		(4.93	)%		21.38	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	97		$	333		$	1,006		$	1,859		$	4,373
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.16	%		2.16	%		2.13	%		2.14	%(6)		2.14	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.47	%		2.20	%		2.13	%		2.14	%		2.14	%
Net investment income (loss) to average net assets		(0.25	)%		(0.53	)%		(0.80	)%		(0.97	)%		(1.09	)%
Portfolio turnover		111	%		43	%		59	%		81	%		55	%
	Class Y
	For the years ended July 31,
	2009(1)			2008(2)			2007			2006(2)			2005
Net asset value, beginning of year	$	14.64		$	19.73		$	17.39		$	22.07		$	19.78
Net investment income (loss)(3)		0.09			0.11			0.07			0.03			0.02
Net realized and unrealized gains (losses) from investment activities		(2.31	)		(3.07	)		3.03			(0.83	)		4.32
Net increase (decrease) from operations		(2.22	)		(2.96	)		3.10			(0.80	)		4.34
Dividends from net investment income		(0.13	)		(0.06	)		—			—			—
Distributions from net realized gains from investment activities		(0.00	)(4)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Total dividends and distributions		(0.13	)		(2.13	)		(0.76	)		(3.88	)		(2.05	)
Net asset value, end of year	$	12.29		$	14.64		$	19.73		$	17.39		$	22.07
Total investment return(5)		(14.92	)%		(15.95	)%		18.07	%		(3.78	)%		22.82	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	3,255		$	4,443		$	5,980		$	4,311		$	4,994
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.97	%		0.95	%		0.94	%		0.97	%		0.98	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.98	%		0.95	%		0.94	%		0.97	%		0.98	%
Net investment income (loss) to average net assets		0.85	%		0.68	%		0.37	%		0.17	%		0.08	%
Portfolio turnover		111	%		43	%		59	%		81	%		55	%

See accompanying notes to financial statements
267

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Small/Medium Co Value Equity Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009(1)			2008(2)			2007			2006(2)			2005
Net asset value, beginning of year	$	14.53		$	19.60		$	17.31		$	22.02		$	19.78
Net investment income (loss)(3)		0.07			0.08			0.03			(0.00	)(4)		(0.02	)
Net realized and unrealized gains (losses) from investment activities		(2.30	)		(3.05	)		3.02			(0.83	)		4.31
Net increase (decrease) from operations		(2.23	)		(2.97	)		3.05			(0.83	)		4.29
Dividends from net investment income		(0.10	)		(0.03	)		—			—			—
Distributions from net realized gains from investment activities		(0.00	)(5)		(2.07	)		(0.76	)		(3.88	)		(2.05	)
Total dividends and distributions		(0.10	)		(2.10	)		(0.76	)		(3.88	)		(2.05	)
Net asset value, end of year	$	12.20		$	14.53		$	19.60		$	17.31		$	22.02
Total investment return(6)		(15.14	)%		(16.13	)%		17.86	%		(3.95	)%		22.55	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	310,059		$	428,819		$	483,873		$	387,514		$	366,083
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.16	%		1.16	%		1.16	%(7)		1.16	%		1.16	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.32	%		1.18	%		1.16	%		1.18	%		1.17	%
Net investment income (loss) to average net assets		0.66	%		0.48	%		0.16	%		(0.03	)%		(0.10	)%
Portfolio turnover		111	%		43	%		59	%		81	%		55	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred to Buckhead Capital Management, LLC and Systematic Financial Management, L.P. on May 28, 2009. Ariel Investments, LLC and Opus Capital Group, LLC ceased serving as investment advisors for the Portfolio effective May 29, 2009. Metropolitan West Capital Management, LLC continues to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Portfolio was transferred from ICM Asset Management, Inc. to Metropolitan West Capital Management, LLC and Opus Capital Group, LLC on October 1, 2005. Ariel Investments, LLC continued to provide a portion of the investment advisory function. Ariel Capital Management, LLC changed its name to Ariel Investments, LLC on April 30, 2008.

⁽³⁾  Calculated using the average shares method.

⁽⁴⁾  Amount of loss represents less than $0.005 per share.

⁽⁵⁾  Amount of distribution paid represents less than $0.005 per share.

⁽⁶⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁷⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

See accompanying notes to financial statements
268

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269

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Small/Medium Co Growth Equity Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009(1)			2008			2007(2)			2006(3)			2005
Net asset value, beginning of year	$	13.06		$	17.30		$	14.45		$	17.52		$	14.08
Net investment loss(4)		(0.05	)		(0.11	)		(0.12	)		(0.12	)		(0.14	)
Net realized and unrealized gains (losses) from investment activities		(2.38	)		(1.53	)		3.40			(0.58	)		3.64
Net increase (decrease) from operations		(2.43	)		(1.64	)		3.28			(0.70	)		3.50
Distributions from net realized gains from investment activities		—			(2.60	)		(0.43	)		(2.37	)		(0.06	)
Net asset value, end of year	$	10.63		$	13.06		$	17.30		$	14.45		$	17.52
Total investment return(5)		(18.61	)%		(11.39	)%		23.00	%		(4.22	)%		24.91	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	29,429		$	41,494		$	49,562		$	48,824		$	60,328
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.38	%		1.31	%		1.30	%		1.32	%		1.33	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.40	%		1.31	%		1.30	%		1.32	%		1.33	%
Net investment loss to average net assets		(0.56	)%		(0.70	)%		(0.77	)%		(0.78	)%		(0.92	)%
Portfolio turnover		154	%		128	%		109	%		134	%		60	%
	Class C
	For the years ended July 31,
	2009(1)			2008			2007(2)			2006(3)			2005
Net asset value, beginning of year	$	12.07		$	16.30		$	13.74		$	16.90		$	13.70
Net investment loss(4)		(0.11	)		(0.21	)		(0.24	)		(0.24	)		(0.26	)
Net realized and unrealized gains (losses) from investment activities		(2.20	)		(1.42	)		3.23			(0.55	)		3.52
Net increase (decrease) from operations		(2.31	)		(1.63	)		2.99			(0.79	)		3.26
Distributions from net realized gains from investment activities		—			(2.60	)		(0.43	)		(2.37	)		(0.06	)
Net asset value, end of year	$	9.76		$	12.07		$	16.30		$	13.74		$	16.90
Total investment return(5)		(19.21	)%		(12.08	)%		22.14	%		(4.98	)%		23.84	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	3,285		$	4,991		$	6,712		$	6,709		$	8,337
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.13	%		2.08	%		2.08	%		2.11	%		2.15	%(6)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.19	%		2.08	%		2.08	%		2.11	%		2.15	%
Net investment loss to average net assets		(1.30	)%		(1.47	)%		(1.55	)%		(1.56	)%		(1.74	)%
Portfolio turnover		154	%		128	%		109	%		134	%		60	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred from AG Asset Management LLC to Palisade Capital Management, LLC on February 2, 2009. Copper Rock Partners, LLC and Riverbridge Partners, LLC continue to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Portfolio was transferred from Delaware Management Co., Inc. to Copper Rock Capital Partners, LLC on March 1, 2007. ForstmannLeff Associates, LLC changed its name to AG Asset Management LLC on May 1, 2007. AG Asset Management LLC and Riverbridge Partners, LLC continued to provide a portion of the investment advisory function.

⁽³⁾  A portion of the investment advisory function for this Portfolio was transferred from Delaware Management Co., Inc. to ForstmannLeff Associates, LLC and Riverbridge Partners, LLC on October 1, 2005.

⁽⁴⁾  Calculated using the average shares method.

⁽⁵⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁶⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

270

	Class B
	For the years ended July 31,
	2009(1)			2008			2007(2)			2006(3)			2005
Net asset value, beginning of year	$	11.99		$	16.22		$	13.68		$	16.86		$	13.68
Net investment loss(4)		(0.11	)		(0.22	)		(0.23	)		(0.24	)		(0.28	)
Net realized and unrealized gains (losses) from investment activities		(2.19	)		(1.41	)		3.20			(0.57	)		3.52
Net increase (decrease) from operations		(2.30	)		(1.63	)		2.97			(0.81	)		3.24
Distributions from net realized gains from investment activities		—			(2.60	)		(0.43	)		(2.37	)		(0.06	)
Net asset value, end of year	$	9.69		$	11.99		$	16.22		$	13.68		$	16.86
Total investment return(5)		(19.18	)%		(12.16	)%		22.02	%		(5.13	)%		23.73	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	68		$	123		$	310		$	696		$	1,915
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.13	%		2.13	%		2.13	%		2.19	%		2.27	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.61	%		2.43	%		2.30	%		2.27	%		2.28	%
Net investment loss to average net assets		(1.29	)%		(1.52	)%		(1.58	)%		(1.62	)%		(1.85	)%
Portfolio turnover		154	%		128	%		109	%		134	%		60	%
	Class Y
	For the years ended July 31,
	2009(1)			2008			2007(2)			2006(3)			2005
Net asset value, beginning of year	$	13.47		$	17.71		$	14.72		$	17.74		$	14.21
Net investment loss(4)		(0.01	)		(0.05	)		(0.07	)		(0.07	)		(0.09	)
Net realized and unrealized gains (losses) from investment activities		(2.44	)		(1.59	)		3.49			(0.58	)		3.68
Net increase (decrease) from operations		(2.45	)		(1.64	)		3.42			(0.65	)		3.59
Distributions from net realized gains from investment activities		—			(2.60	)		(0.43	)		(2.37	)		(0.06	)
Net asset value, end of year	$	11.02		$	13.47		$	17.71		$	14.72		$	17.74
Total investment return(5)		(18.26	)%		(11.09	)%		23.54	%		(3.86	)%		25.32	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	4,369		$	5,671		$	6,022		$	4,279		$	4,057
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		0.96	%		0.94	%		0.93	%		0.95	%		0.96	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.96	%		0.94	%		0.93	%		0.95	%		0.96	%
Net investment loss to average net assets		(0.15	)%		(0.33	)%		(0.41	)%		(0.41	)%		(0.55	)%
Portfolio turnover		154	%		128	%		109	%		134	%		60	%

See accompanying notes to financial statements
271

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Small/Medium Co Growth Equity Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009(1)			2008			2007(2)			2006(3)			2005
Net asset value, beginning of year	$	13.36		$	17.61		$	14.67		$	17.72		$	14.22
Net investment loss(4)		(0.03	)		(0.08	)		(0.10	)		(0.10	)		(0.11	)
Net realized and unrealized gains (losses) from investment activities		(2.43	)		(1.57	)		3.47			(0.58	)		3.67
Net increase (decrease) from operations		(2.46	)		(1.65	)		3.37			(0.68	)		3.56
Distributions from net realized gains from investment activities		—			(2.60	)		(0.43	)		(2.37	)		(0.06	)
Net asset value, end of year	$	10.90		$	13.36		$	17.61		$	14.67		$	17.72
Total investment return(5)		(18.41	)%		(11.22	)%		23.28	%		(4.05	)%		25.08	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	310,425		$	456,354		$	500,929		$	380,197		$	356,839
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.13	%		1.13	%		1.13	%		1.13	%		1.13	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.31	%		1.17	%		1.16	%		1.18	%		1.18	%
Net investment loss to average net assets		(0.31	)%		(0.52	)%		(0.60	)%		(0.59	)%		(0.72	)%
Portfolio turnover		154	%		128	%		109	%		134	%		60	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred from AG Asset Management LLC to Palisade Capital Management, LLC on February 2, 2009. Copper Rock Partners, LLC and Riverbridge Partners, LLC continue to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Portfolio was transferred from Delaware Management Co., Inc. to Copper Rock Capital Partners, LLC on March 1, 2007. ForstmannLeff Associates, LLC changed its name to AG Asset Management LLC on May 1, 2007. AG Asset Management LLC and Riverbridge Partners, LLC continued to provide a portion of the investment advisory function.

⁽³⁾  A portion of the investment advisory function for this Portfolio was transferred from Delaware Management Co., Inc. to ForstmannLeff Associates, LLC and Riverbridge Partners, LLC on October 1, 2005.

⁽⁴⁾  Calculated using the average shares method.

⁽⁵⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

See accompanying notes to financial statements
272

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273

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE International Equity Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	16.17		$	21.27		$	19.03		$	15.46		$	12.96
Net investment income(2)		0.27			0.41			0.29			0.30			0.21
Net realized and unrealized gains (losses) from investment activities		(4.22	)		(2.99	)		4.09			3.50			2.35
Net increase (decrease) from operations		(3.95	)		(2.58	)		4.38			3.80			2.56
Dividends from net investment income		(0.50	)		(0.28	)		(0.35	)		(0.23	)		(0.06	)
Distributions from net realized gains from investment activities		—			(2.24	)		(1.79	)		—			—
Total dividends and distributions		(0.50	)		(2.52	)		(2.14	)		(0.23	)		(0.06	)
Net asset value, end of year	$	11.72		$	16.17		$	21.27		$	19.03		$	15.46
Total investment return(3)		(24.02	)%		(13.73	)%		24.14	%		24.77	%		19.78	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	71,466		$	106,380		$	130,966		$	111,153		$	97,046
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.46	%		1.37	%		1.38	%		1.47	%(4)		1.55	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.46	%		1.37	%		1.38	%		1.47	%		1.55	%
Net investment income to average net assets		2.47	%		2.16	%		1.42	%		1.73	%		1.45	%
Portfolio turnover		60	%		54	%		61	%		52	%		39	%
	Class C
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	15.79		$	20.81		$	18.65		$	15.16		$	12.76
Net investment income(2)		0.17			0.25			0.12			0.14			0.09
Net realized and unrealized gains (losses) from investment activities		(4.11	)		(2.92	)		4.01			3.44			2.31
Net increase (decrease) from operations		(3.94	)		(2.67	)		4.13			3.58			2.40
Dividends from net investment income		(0.36	)		(0.11	)		(0.18	)		(0.09	)		—
Distributions from net realized gains from investment activities		—			(2.24	)		(1.79	)		—			—
Total dividends and distributions		(0.36	)		(2.35	)		(1.97	)		(0.09	)		—
Net asset value, end of year	$	11.49		$	15.79		$	20.81		$	18.65		$	15.16
Total investment return(3)		(24.67	)%		(14.42	)%		23.13	%		23.68	%		18.81	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	4,342		$	6,949		$	8,856		$	8,168		$	8,099
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.31	%		2.18	%		2.18	%		2.32	%(4)		2.35	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.31	%		2.18	%		2.18	%		2.32	%		2.35	%
Net investment income to average net assets		1.62	%		1.33	%		0.60	%		0.84	%		0.64	%
Portfolio turnover		60	%		54	%		61	%		52	%		39	%

⁽¹⁾  Delaware International Advisors Ltd. changed its name to Mondrian Investment Partners Ltd. on September 24, 2004.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

274

	Class B
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	15.79		$	20.80		$	18.60		$	15.07		$	12.71
Net investment income(2)		0.14			0.17			0.07			0.12			0.05
Net realized and unrealized gains (losses) from investment activities		(4.09	)		(2.88	)		4.04			3.43			2.31
Net increase (decrease) from operations		(3.95	)		(2.71	)		4.11			3.55			2.36
Dividends from net investment income		(0.19	)		(0.06	)		(0.12	)		(0.02	)		—
Distributions from net realized gains from investment activities		—			(2.24	)		(1.79	)		—			—
Total dividends and distributions		(0.19	)		(2.30	)		(1.91	)		(0.02	)		—
Net asset value, end of year	$	11.65		$	15.79		$	20.80		$	18.60		$	15.07
Total investment return(3)		(24.80	)%		(14.57	)%		23.03	%		23.60	%		18.57	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	66		$	186		$	489		$	740		$	831
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.40	%		2.31	%		2.27	%		2.45	%(4)		2.55	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.63	%		2.31	%		2.27	%		2.45	%		2.55	%
Net investment income to average net assets		1.36	%		0.89	%		0.37	%		0.73	%		0.39	%
Portfolio turnover		60	%		54	%		61	%		52	%		39	%
	Class Y
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	16.20		$	21.30		$	19.06		$	15.49		$	12.98
Net investment income(2)		0.31			0.48			0.36			0.38			0.28
Net realized and unrealized gains (losses) from investment activities		(4.23	)		(2.98	)		4.10			3.49			2.36
Net increase (decrease) from operations		(3.92	)		(2.50	)		4.46			3.87			2.64
Dividends from net investment income		(0.56	)		(0.36	)		(0.43	)		(0.30	)		(0.13	)
Distributions from net realized gains from investment activities		—			(2.24	)		(1.79	)		—			—
Total dividends and distributions		(0.56	)		(2.60	)		(2.22	)		(0.30	)		(0.13	)
Net asset value, end of year	$	11.72		$	16.20		$	21.30		$	19.06		$	15.49
Total investment return(3)		(23.73	)%		(13.38	)%		24.55	%		25.25	%		20.35	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	33,012		$	50,655		$	65,377		$	53,388		$	45,107
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.06	%		1.02	%		1.02	%		1.06	%		1.11	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.06	%		1.02	%		1.02	%		1.06	%		1.11	%
Net investment income to average net assets		2.89	%		2.51	%		1.78	%		2.14	%		1.93	%
Portfolio turnover		60	%		54	%		61	%		52	%		39	%

See accompanying notes to financial statements
275

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE International Equity Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	16.16		$	21.27		$	19.03		$	15.46		$	12.96
Net investment income(2)		0.29			0.46			0.35			0.37			0.27
Net realized and unrealized gains (losses) from investment activities		(4.21	)		(2.99	)		4.09			3.48			2.34
Net increase (decrease) from operations		(3.92	)		(2.53	)		4.44			3.85			2.61
Dividends from net investment income		(0.54	)		(0.34	)		(0.41	)		(0.28	)		(0.11	)
Distributions from net realized gains from investment activities		—			(2.24	)		(1.79	)		—			—
Total dividends and distributions		(0.54	)		(2.58	)		(2.20	)		(0.28	)		(0.11	)
Net asset value, end of year	$	11.70		$	16.16		$	21.27		$	19.03		$	15.46
Total investment return(3)		(23.81	)%		(13.53	)%		24.48	%		25.17	%		20.16	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	684,359		$	1,048,105		$	1,173,137		$	900,603		$	625,091
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.22	%		1.12	%		1.12	%		1.17	%		1.24	%(4)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.22	%		1.12	%		1.12	%		1.17	%		1.24	%
Net investment income to average net assets		2.72	%		2.44	%		1.70	%		2.09	%		1.83	%
Portfolio turnover		60	%		54	%		61	%		52	%		39	%

⁽¹⁾  Delaware International Advisors Ltd. changed its name to Mondrian Investment Partners Ltd. on September 24, 2004.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

See accompanying notes to financial statements
276

(This page has been left blank intentionally)

277

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE International Emerging Markets Equity Investments

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class A
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	19.46		$	23.61		$	18.30		$	15.13		$	10.55
Net investment income(2)		0.20			0.25			0.21			0.21			0.15
Net realized and unrealized gains (losses) from investment activities		(5.71	)		(0.49	)		8.02			3.10			4.43
Net increase (decrease) from operations		(5.51	)		(0.24	)		8.23			3.31			4.58
Dividends from net investment income		(0.13	)		(0.27	)		(0.22	)		(0.14	)		(0.00	)(3)
Distributions from net realized gains from investment activities		(3.24	)		(3.64	)		(2.70	)		—			—
Total dividends and distributions		(3.37	)		(3.91	)		(2.92	)		(0.14	)		(0.00	)(3)
Net asset value, end of year	$	10.58		$	19.46		$	23.61		$	18.30		$	15.13
Total investment return(4)		(21.37	)%		(2.61	)%		49.16	%		21.97	%		43.42	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	17,784		$	29,938		$	31,216		$	21,651		$	16,691
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.93	%		1.86	%		1.89	%		1.97	%(5)		2.09	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.93	%		1.86	%		1.89	%		1.97	%		2.09	%
Net investment income to average net assets		2.06	%		1.14	%		1.05	%		1.20	%		1.13	%
Portfolio turnover		77	%		53	%		54	%		84	%		119	%
	Class C
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	18.48		$	22.61		$	17.62		$	14.58		$	10.25
Net investment income(2)		0.13			0.08			0.06			0.07			0.04
Net realized and unrealized gains (losses) from investment activities		(5.47	)		(0.46	)		7.69			3.00			4.29
Net increase (decrease) from operations		(5.34	)		(0.38	)		7.75			3.07			4.33
Dividends from net investment income		—			(0.11	)		(0.06	)		(0.03	)		—
Distributions from net realized gains from investment activities		(3.24	)		(3.64	)		(2.70	)		—			—
Total dividends and distributions		(3.24	)		(3.75	)		(2.76	)		(0.03	)		—
Net asset value, end of year	$	9.90		$	18.48		$	22.61		$	17.62		$	14.58
Total investment return(4)		(21.97	)%		(3.34	)%		48.03	%		21.06	%		42.24	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	3,525		$	6,536		$	7,461		$	5,484		$	4,625
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.67	%		2.60	%		2.64	%		2.78	%(5)		2.86	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.67	%		2.60	%		2.64	%		2.78	%		2.86	%
Net investment income to average net assets		1.35	%		0.39	%		0.30	%		0.40	%		0.35	%
Portfolio turnover		77	%		53	%		54	%		84	%		119	%

⁽¹⁾  Investment advisory functions for this Portfolio were transferred from Baring International Investment Limited to Mondrian Investment Partners Ltd. on September 28, 2004. Gartmore Global Partners continues to provide a portion of the investment advisory function.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Amount of dividend paid represents less than $0.005 per share.

⁽⁴⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁵⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

278

	Class B
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	18.50		$	22.61		$	17.60		$	14.55		$	10.25
Net investment income(2)		0.11			0.06			0.04			0.05			0.01
Net realized and unrealized gains (losses) from investment activities		(5.46	)		(0.46	)		7.69			3.00			4.29
Net increase (decrease) from operations		(5.35	)		(0.40	)		7.73			3.05			4.30
Dividends from net investment income		—			(0.07	)		(0.02	)		—			—
Distributions from net realized gains from investment activities		(3.24	)		(3.64	)		(2.70	)		—			—
Total dividends and distributions		(3.24	)		(3.71	)		(2.72	)		—			—
Net asset value, end of year	$	9.91		$	18.50		$	22.61		$	17.60		$	14.55
Total investment return(4)		(22.05	)%		(3.41	)%		47.95	%		20.96	%		41.95	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	135		$	319		$	535		$	522		$	690
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		2.72	%		2.68	%		2.69	%		2.86	%(5)		3.02	%(5)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.72	%		2.68	%		2.69	%		2.86	%		3.02	%
Net investment income to average net assets		1.14	%		0.28	%		0.20	%		0.29	%		0.11	%
Portfolio turnover		77	%		53	%		54	%		84	%		119	%
	Class Y
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	19.79		$	23.95		$	18.53		$	15.30		$	10.66
Net investment income(2)		0.28			0.34			0.30			0.30			0.23
Net realized and unrealized gains (losses) from investment activities		(5.83	)		(0.51	)		8.12			3.13			4.45
Net increase (decrease) from operations		(5.55	)		(0.17	)		8.42			3.43			4.68
Dividends from net investment income		(0.22	)		(0.35	)		(0.30	)		(0.20	)		(0.04	)
Distributions from net realized gains from investment activities		(3.24	)		(3.64	)		(2.70	)		—			—
Total dividends and distributions		(3.46	)		(3.99	)		(3.00	)		(0.20	)		(0.04	)
Net asset value, end of year	$	10.78		$	19.79		$	23.95		$	18.53		$	15.30
Total investment return(4)		(21.00	)%		(2.22	)%		49.74	%		22.52	%		43.97	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	33,069		$	31,579		$	29,576		$	20,201		$	14,518
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.47	%		1.50	%		1.52	%		1.56	%		1.67	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.47	%		1.50	%		1.52	%		1.56	%		1.67	%
Net investment income to average net assets		2.87	%		1.49	%		1.44	%		1.64	%		1.72	%
Portfolio turnover		77	%		53	%		54	%		84	%		119	%

See accompanying notes to financial statements
279

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE International Emerging Markets Equity Investments (concluded)

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	Class P
	For the years ended July 31,
	2009			2008			2007			2006			2005(1)
Net asset value, beginning of year	$	19.68		$	23.84		$	18.44		$	15.25		$	10.64
Net investment income(2)		0.20			0.28			0.23			0.21			0.17
Net realized and unrealized gains (losses) from investment activities		(5.77	)		(0.51	)		8.09			3.13			4.45
Net increase (decrease) from operations		(5.57	)		(0.23	)		8.32			3.34			4.62
Dividends from net investment income		(0.15	)		(0.29	)		(0.22	)		(0.15	)		(0.01	)
Distributions from net realized gains from investment activities		(3.24	)		(3.64	)		(2.70	)		—			—
Total dividends and distributions		(3.39	)		(3.93	)		(2.92	)		(0.15	)		(0.01	)
Net asset value, end of year	$	10.72		$	19.68		$	23.84		$	18.44		$	15.25
Total investment return(3)		(21.42	)%		(2.52	)%		49.31	%		21.98	%		43.46	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	210,680		$	337,958		$	374,910		$	259,321		$	199,403
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager		1.97	%		1.78	%		1.82	%		1.98	%(4)		2.00	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.97	%		1.78	%		1.82	%		1.98	%		2.05	%
Net investment income to average net assets		2.03	%		1.22	%		1.13	%		1.20	%		1.28	%
Portfolio turnover		77	%		53	%		54	%		84	%		119	%

⁽¹⁾  Investment advisory functions for this Portfolio were transferred from Baring International Investment Limited to Mondrian Investment Partners Ltd. on September 28, 2004. Gartmore Global Partners continues to provide a portion of the investment advisory function.

⁽²⁾  Calculated using the average shares method.

⁽³⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each year reported. The figures do not include any applicable program or redemption fees; results would be lower if they were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁴⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

See accompanying notes to financial statements
280

(This page has been left blank intentionally)

281

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Global Real Estate Securities Investments

Selected data for a share of beneficial interest outstanding throughout each period is presented below:

	Class A									Class C
	For the years ended July 31,						For the period ended July 31,			For the years ended July 31,						For the period ended July 31,
	2009			2008			2007(1)			2009			2008			2007(1)
Net asset value, beginning of period	$	7.73		$	9.54		$	9.84		$	7.69		$	9.49		$	9.84
Net investment income(5)		0.16			0.19			0.09			0.12			0.12			0.05
Net realized and unrealized gains (losses) from investment activities		(2.97	)		(1.70	)		(0.35	)		(2.95	)		(1.69	)		(0.36	)
Net increase (decrease) from operations		(2.81	)		(1.51	)		(0.26	)		(2.83	)		(1.57	)		(0.31	)
Dividends from net investment income		(0.06	)		(0.27	)		(0.04	)		(0.01	)		(0.20	)		(0.04	)
Distributions from net realized gains from investment activities		—			(0.03	)		—			—			(0.03	)		—
Total dividends and distributions		(0.06	)		(0.30	)		(0.04	)		(0.01	)		(0.23	)		(0.04	)
Net asset value, end of period	$	4.86		$	7.73		$	9.54		$	4.85		$	7.69		$	9.49
Total investment return(6)		(36.25	)%		(16.22	)%		(2.63	)%		(36.73	)%		(16.84	)%		(3.16	)%
Ratios/supplemental data:
Net assets, end of period (000's)	$	3,238		$	6,647		$	4,199		$	136		$	213		$	343
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.45	%		1.45	%		1.45	%(7)		2.20	%		2.20	%		2.20	%(7)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		2.06	%		1.74	%		3.06	%(7)		2.96	%		2.68	%		3.78	%(7)
Net investment income to average net assets		3.32	%		2.10	%		1.47	%(7)		2.67	%		1.29	%		0.84	%(7)
Portfolio turnover		127	%		68	%		38	%		127	%		68	%		38	%

⁽¹⁾  For the period December 18, 2006 (commencement of issuance) through July 31, 2007.

⁽²⁾  For the period December 26, 2008 (recommencement of issuance) through July 31, 2009.

⁽³⁾  For the period November 30, 2006 (commencement of issuance) through February 15, 2007. There were no shares outstanding from February 16, 2007 through December 25, 2008.

⁽⁴⁾  For the period January 22, 2007 (commencement of issuance) through July 31, 2007.

⁽⁵⁾  Calculated using the average shares method.

⁽⁶⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each period reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each period reported. The figures do not include any applicable sales charges, redemption fees or program fees; results would be lower if they were included. Total investment return for periods of less than one year has not been annualized. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁷⁾  Annualized.

282

	Class Y						Class P
	For the period ended July 31,			For the period ended February 15,			For the years ended July 31,						For the period ended July 31,
	2009(2)			2007(3)			2009			2008			2007(4)
Net asset value, beginning of period	$	4.35		$	10.00		$	7.75		$	9.56		$	10.26
Net investment income(5)		0.09			0.06			0.17			0.21			0.09
Net realized and unrealized gains (losses) from investment activities		0.43			0.97			(2.97	)		(1.71	)		(0.79	)
Net increase (decrease) from operations		0.52			1.03			(2.80	)		(1.50	)		(0.70	)
Dividends from net investment income		—			(0.04	)		(0.09	)		(0.28	)		—
Distributions from net realized gains from investment activities		—			—			—			(0.03	)		—
Total dividends and distributions		—			(0.04	)		(0.09	)		(0.31	)		—
Net asset value, end of period	$	4.87		$	10.99		$	4.86		$	7.75		$	9.56
Total investment return(6)		11.95	%		10.39	%		(36.09	)%		(16.06	)%		(6.82	)%
Ratios/supplemental data:
Net assets, end of period (000's)	$	13		$	—		$	52,925		$	70,125		$	44,772
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		1.20	%(7)		1.20	%(7)		1.20	%		1.20	%		1.20	%(7)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		1.87	%(7)		1.92	%(7)		2.17	%		1.71	%		3.02	%(7)
Net investment income to average net assets		3.84	%(7)		3.07	%(7)		3.67	%		2.38	%		1.75	%(7)
Portfolio turnover		127	%		38	%		127	%		68	%		38	%

See accompanying notes to financial statements
283

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Alternative Strategies Investments

Selected data for a share of beneficial interest outstanding throughout each period is presented below:

	Class A												Class B
	For the years ended July 31,									For the period ended July 31,			For the years ended July 31,									For the period ended July 31,
	2009(1)			2008(2)			2007			2006(3)			2009(1)			2008(2)			2007			2006(4)
Net asset value, beginning of period	$	10.46		$	11.27		$	9.93		$	10.01		$	10.36		$	11.19		$	9.91		$	9.84
Net investment income (loss)(6)		0.06			0.09			0.13			0.03			(0.01	)		0.01			0.02			0.01
Net realized and unrealized gains (losses) from investment activities		(1.63	)		(0.65	)		1.26			(0.11	)		(1.62	)		(0.64	)		1.29			0.06
Net increase (decrease) from operations		(1.57	)		(0.56	)		1.39			(0.08	)		(1.63	)		(0.63	)		1.31			0.07
Dividends from net investment income		(0.03	)		(0.07	)		(0.05	)		—			(0.02	)		(0.02	)		(0.03	)		—
Distributions from net realized gains from investment activities		(0.07	)		(0.18	)		—			—			(0.07	)		(0.18	)		—			—
Total dividends and distributions		(0.10	)		(0.25	)		(0.05	)		—			(0.09	)		(0.20	)		(0.03	)		—
Net asset value, end of period	$	8.79		$	10.46		$	11.27		$	9.93		$	8.64		$	10.36		$	11.19		$	9.91
Total investment return(7)		(14.95	)%		(4.94	)%		14.09	%		(0.80	)%		(15.54	)%		(5.68	)%		13.26	%		0.71	%
Ratios/supplemental data:
Net assets, end of period (000's)	$	65,429		$	150,598		$	64,409		$	10,393		$	29		$	23		$	18		$	3
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager including dividend and interest expense for securities sold short		2.20	%		2.42	%(8)		2.52	%		2.14	%(9)		3.00	%		3.16	%		3.23	%		2.83	%(9)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager including dividend and interest expense for securities sold short		2.23	%		2.42	%		2.69	%		4.24	%(9)		3.13	%		4.51	%		3.68	%		5.09	%(9)
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager excluding dividend and interest expense for securities sold short		1.95	%		1.94	%(8)		1.88	%		1.66	%(9)		2.70	%		2.70	%		2.63	%		2.38	%(9)
Net investment income (loss) to average net assets		0.69	%		0.79	%		1.21	%		1.30	%(9)		(0.08	)%		0.08	%		0.31	%		0.41	%(9)
Portfolio turnover		423	%		389	%		178	%		54	%		423	%		389	%		178	%		54	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred to First Quadrant L.P. on April 8, 2009. Analytic Investors, LLC, Goldman Sachs Asset Management, L.P. and Wellington Management Company, LLP continue to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Porftolio was transferred to Goldman Sachs Asset Managment, L.P. on September 10, 2007. Analytic Investors LLC and Wellington Management Company, LLP continue to provide a portion of the investment advisory function.

⁽³⁾  For the period April 10, 2006 (commencement of issuance) through July 31, 2006.

⁽⁴⁾  For the period May 19, 2006 (commencement of issuance) through July 31, 2006.

⁽⁵⁾  For the period April 11, 2006 (commencement of issuance) through July 31, 2006.

⁽⁶⁾  Calculated using the average shares method.

⁽⁷⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each period reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each period reported. The figures do not include any applicable sales charges or redemption fees; results would be lower if they were included. Total investment return for periods of less than one year has not been annualized. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁸⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

⁽⁹⁾  Annualized.

284

	Class C
	For the years ended July 31,									For the period ended July 31,
	2009(1)			2008(2)			2007			2006(5)
Net asset value, beginning of period	$	10.34		$	11.20		$	9.91		$	9.97
Net investment income (loss)(6)		(0.01	)		0.01			0.05			0.02
Net realized and unrealized gains (losses) from investment activities		(1.62	)		(0.64	)		1.26			(0.08	)
Net increase (decrease) from operations		(1.63	)		(0.63	)		1.31			(0.06	)
Dividends from net investment income		—			(0.05	)		(0.02	)		—
Distributions from net realized gains from investment activities		(0.07	)		(0.18	)		—			—
Total dividends and distributions		(0.07	)		(0.23	)		(0.02	)		—
Net asset value, end of period	$	8.64		$	10.34		$	11.20		$	9.91
Total investment return(7)		(15.61	)%		(5.67	)%		13.23	%		(0.60	)%
Ratios/supplemental data:
Net assets, end of period (000's)	$	6,565		$	7,921		$	3,843		$	302
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager including dividend and interest expense for securities sold short		2.96	%		3.16	%(8)		3.28	%		2.84	%(9)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager including dividend and interest expense for securities sold short		2.96	%		3.16	%		3.45	%		4.35	%(9)
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager excluding dividend and interest expense for securities sold short		2.70	%		2.67	%(8)		2.65	%		2.40	%(9)
Net investment income (loss) to average net assets		(0.08	)%		0.08	%		0.56	%		0.66	%(9)
Portfolio turnover		423	%		389	%		178	%		54	%

See accompanying notes to financial statements
285

UBS PACE Select Advisors Trust

Financial highlights

UBS PACE Alternative Strategies Investments
(concluded)

Selected data for a share of beneficial interest outstanding throughout each period is presented below:

	Class Y
	For the year ended July 31,			For the periods ended July 31,
	2009(1)			2008(2),(3)			2006(4)
Net asset value, beginning of period	$	10.51		$	10.52		$	10.00
Net investment income (loss)(6)		0.08			(0.00	)(7)		0.06
Net realized and unrealized gains (losses) from investment activities		(1.66	)		(0.01	)		(0.20	)
Net increase (decrease) from operations		(1.58	)		(0.01	)		(0.14	)
Dividends from net investment income		(0.06	)		—			—
Distributions from net realized gains from investment activities		(0.07	)		—			—
Total dividends and distributions		(0.13	)		—			—
Net asset value, end of period	$	8.80		$	10.51		$	9.86
Total investment return(8)		(14.81	)%		(0.10	)%		(1.40	)%
Ratios/supplemental data:
Net assets, end of period (000's)	$	13,707		$	57,552		$	—
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager including dividend and interest expense for securities sold short		1.95	%		2.52	%(9)		1.76	%(9)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager including dividend and interest expense for securities sold short		1.98	%		2.69	%(9)		2.34	%(9)
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager excluding dividend and interest expense for securities sold short		1.70	%		1.70	%(9)		1.41	%(9)
Net investment income (loss) to average net assets		0.95	%		(1.77	)%(9)		1.94	%(9)
Portfolio turnover		423	%		389	%		54	%

⁽¹⁾  A portion of the investment advisory function for this Portfolio was transferred to First Quadrant L.P. on April 8, 2009. Analytic Investors, LLC, Goldman Sachs Asset Management, L.P. and Wellington Management Company, LLP continue to provide a portion of the investment advisory function.

⁽²⁾  A portion of the investment advisory function for this Porftolio was transferred to Goldman Sachs Asset Managment, L.P. on September 10, 2007. Analytic Investors, LLC and Wellington Management Company, LLP continue to provide a portion of the investment advisory function.

⁽³⁾  For the period July 23, 2008 (recommencement of issuance) through July 31, 2008.

⁽⁴⁾  For the period April 3, 2006 (commencement of issuance) through July 26, 2006. There were no shares outstanding from July 27, 2006 through July 22, 2008.

⁽⁵⁾  For the period April 10, 2006 (commencement of issuance) through July 31, 2006.

⁽⁶⁾  Calculated using the average shares method.

⁽⁷⁾  Amount of loss represents less than $0.005 per share.

⁽⁸⁾  Total investment return is calculated assuming a $10,000 investment on the first day of each period reported, reinvestment of all dividends and other distributions, if any, at net asset value on the ex-dividend dates, and a sale at net asset value on the last day of each period reported. The figures do not include any applicable sales charges, redemption fees or program fees; results would be lower if they were included. Total investment return for periods of less than one year has not been annualized. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions or the redemption of Portfolio shares.

⁽⁹⁾  Annualized.

⁽¹⁰⁾  The investment manager recouped expenses previously reimbursed by the investment manager on behalf of the Portfolio, not to exceed the expense cap.

286

	Class P
	For the years ended July 31,									For the period ended July 31,
	2009(1)			2008(2)			2007			2006(5)
Net asset value, beginning of period	$	10.51		$	11.30		$	9.94		$	10.01
Net investment income (loss)(6)		0.08			0.12			0.16			0.03
Net realized and unrealized gains (losses) from investment activities		(1.65	)		(0.65	)		1.26			(0.10	)
Net increase (decrease) from operations		(1.57	)		(0.53	)		1.42			(0.07	)
Dividends from net investment income		(0.05	)		(0.08	)		(0.06	)		—
Distributions from net realized gains from investment activities		(0.07	)		(0.18	)		—			—
Total dividends and distributions		(0.12	)		(0.26	)		(0.06	)		—
Net asset value, end of period	$	8.82		$	10.51		$	11.30		$	9.94
Total investment return(8)		(14.73	)%		(4.76	)%		14.38	%		(0.70	)%
Ratios/supplemental data:
Net assets, end of period (000's)	$	356,352		$	555,361		$	384,649		$	46,920
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager including dividend and interest expense for securities sold short		1.95	%		2.13	%(10)		2.28	%		1.90	%(9)
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager including dividend and interest expense for securities sold short		1.96	%		2.13	%		2.43	%		4.12	%(9)
Expenses to average net assets, net of fee waivers and/or expense reimbursements by and recoupments to manager excluding dividend and interest expense for securities sold short		1.70	%		1.68	%(10)		1.64	%		1.41	%(9)
Net investment income (loss) to average net assets		0.93	%		1.10	%		1.44	%		1.47	%(9)
Portfolio turnover		423	%		389	%		178	%		54	%

See accompanying notes to financial statements
287

UBS PACE Select Advisors Trust

Notes to financial statements

Organization and significant accounting policies

UBS PACE^SM Select Advisors Trust (the "Trust") is registered with the Securities and Exchange Commission under the Investment Company Act of 1940, as amended, as an open-end management investment company currently composed of fifteen separate investment portfolios and was organized as a Delaware statutory trust under the laws of the State of Delaware by Certificate of Trust dated September 9, 1994, as amended June 9, 1995 and thereafter. The trustees of the Trust have authority to issue an unlimited number of shares of beneficial interest, par value $0.001 per share.

The Trust has fifteen Portfolios available for investment, each having its own investment objectives and policies: UBS PACE Money Market Investments, UBS PACE Government Securities Fixed Income Investments, UBS PACE Intermediate Fixed Income Investments, UBS PACE Strategic Fixed Income Investments, UBS PACE Municipal Fixed Income Investments, UBS PACE Global Fixed Income Investments, UBS PACE High Yield Investments, UBS PACE Large Co Value Equity Investments, UBS PACE Large Co Growth Equity Investments, UBS PACE Small/Medium Co Value Equity Investments, UBS PACE Small/Medium Co Growth Equity Investments, UBS PACE International Equity Investments, UBS PACE International Emerging Markets Equity Investments, UBS PACE Global Real Estate Securities Investments and UBS PACE Alternative Strategies Investments (collectively, the "Portfolios").

Each of the Portfolios is classified as a diversified investment company with the exception of UBS PACE Intermediate Fixed Income Investments, UBS PACE Global Fixed Income Investments, UBS PACE Global Real Estate Securities Investments and UBS PACE Alternative Strategies Investments. With the exception of UBS PACE Money Market Investments (which currently offers Class P shares only) and UBS PACE Global Real Estate Securities Investments (which currently offers Class A, Class C, Class Y and Class P shares), each Portfolio currently offers Class A, Class B, Class C, Class Y and Class P shares. Each class represents interests in the same assets of the applicable Portfolio and the classes are identical except for differences in their sales charge structures, ongoing service and distribution charges and certain transfer agency and related services expenses. In addition, Class B shares and all corresponding reinvested dividend shares automatically convert to Class A shares within a certain number of years after issuance which varies depending upon the amount invested. All classes of shares have equal voting privileges except that each class has exclusive voting rights with respect to its service and/or distribution plan, if any. Class Y and Class P shares have no service or distribution plan. The Portfolios' Class P shares currently are available for purchase only to participants in the UBS PACE^SM Select Advisors Program, except that UBS PACE Money Market Investments shares are also available to participants in the UBS PACE^SM Multi Advisor Program.

As of October 1, 2007, new or additional investments into Class B shares, including investments through an automatic investment plan, are not permitted. Existing shareholders of Class B shares may: (i) continue as Class B shareholders; (ii) continue to reinvest dividends and distributions into Class B shares; and (iii) exchange their Class B shares for Class B shares of other series of the UBS Family of Funds, as permitted by existing exchange privileges. For Class B shares outstanding on October 1, 2007 and Class B shares acquired upon reinvestment of dividends and distributions or through exchanges, all Class B share attributes, including the associated Rule 12b-1 service plan and distribution fees, contingent deferred sales charges and conversion features will continue.

The Trust accounts separately for the assets, liabilities and operations of each Portfolio. Expenses directly attributable to each Portfolio are charged to that Portfolio's operations; expenses which are applicable to all Portfolios are allocated among them on a pro rata basis.

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In the normal course of business, the Portfolios may enter into contracts that contain a variety of representations or that provide indemnification for certain liabilities. The Portfolios' maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Portfolios that have not yet occurred. However, the Portfolios have not had prior claims or losses pursuant to these contracts and expect the risk of loss to be remote.

The preparation of financial statements in accordance with US generally accepted accounting principles requires the Trust's management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates. The following is a summary of significant accounting policies:

Valuation of investments—Each Portfolio (except UBS PACE Money Market Investments) calculates its net asset value based on the current value for its portfolio securities. The Portfolios normally obtain values for their securities from independent pricing sources. Independent pricing sources may use last reported sale prices, current market quotations or valuations from computerized "matrix" systems that derive values based on comparable securities. Securities traded in the over-the-counter ("OTC") market and listed on The Nasdaq Stock Market, Inc. ("Nasdaq") normally are valued at the NASDAQ Official Closing Price. Other OTC securities are valued at the last bid price available prior to valuation. Securities which are listed on US and foreign stock exchanges normally are valued at the last sale price on the day the securities are valued or, lacki ng any sales on such day, at the last available bid price. Securities listed on foreign stock exchanges (and certain related derivatives) may be fair valued based on significant events that occur between the close of the foreign markets and 4:00 pm EST. UBS PACE International Equity Investments, UBS PACE International Emerging Markets Equity Investments, UBS PACE Global Real Estate Securities Investments and UBS PACE Alternative Strategies Investments may use a systematic fair valuation model provided by an independent third party to value securities principally traded in foreign markets (and certain related derivatives) in order to adjust for possible stale pricing that may occur between the close of the foreign exchanges and the time for valuation. If a security is valued at a "fair value", that value is likely to be different from the last quoted market price for the security. In cases where securities are traded on more than one exchange, the securities are valued on the exchange designated as the primar y market by UBS Global Asset Management (Americas) Inc. ("UBS Global AM"). If a market value is not available from an independent pricing source for a particular security, that security is valued at fair value as determined in good faith by or under the direction of the Trust's Board of Trustees (the "Board"). Various factors may be reviewed in order to make a good faith determination of a security's fair value. These factors include, but are not limited to, the type and cost of the security; contractual or legal restrictions on resale of the security; relevant financial or business developments of the issuer; actively traded similar or related securities; conversion or exchange rights on the security; related corporate actions; and changes in overall market conditions. If events occur that materially affect the value of securities (particularly non-US securities) between the close of trading in those securities and the close of regular trading on the New York Stock Exchange ("NYSE"), the securities are fair valued. The amortized cost method of valuation, which approximates market value, generally is used to value short-term debt instruments with sixty days or less remaining to maturity, unless the Board determines that this does not represent fair value. Investments of the UBS PACE Money Market Investments Portfolio are valued using the amortized cost method of valuation. All investments quoted in foreign currencies will be valued daily in US dollars on the basis of the foreign currency exchange rates prevailing at the time such valuation is determined by the Portfolios' custodian. Investments in open-end investment companies are valued at the daily closing net asset value of the respective investment company. Futures contracts are generally valued at the settlement price established each day on the exchange on which they are traded. Forward foreign currency contracts are valued daily using forward exchange rates quoted by independent pricing services. Swaps are marked to market daily based upon values from th ird party vendors or quotations from market

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Notes to financial statements

makers to the extent available and the change in value, if any, is recorded on the Statement of assets and liabilities. In the event that market quotations are not readily available or deemed unreliable, swaps are valued at fair value as determined in good faith by or under the direction of the Board.

On August 1, 2008, the Portfolios adopted the Financial Accounting Standards Board ("FASB") Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" ("FAS 157"). FAS 157 requires disclosure surrounding the various inputs that are used in determining the value of the Portfolio's investments. These inputs are summarized into the three broad levels listed below:

Level 1—Quoted prices in active markets for identical investments.

Level 2—Other significant observable inputs, including but not limited to, quoted prices for similar investments, interest rates, prepayment speeds and credit risks.

Level 3—Unobservable inputs inclusive of the Portfolio's own assumptions in determining the fair value of investments.

In accordance with the requirements of FAS 157, a fair value hierarchy has been included near the end of each Portfolios' Portfolio of investments.

In September 2008, the FASB issued FASB Staff Position No. FAS 133-1 and FIN 45-4, "Disclosures about Credit Derivatives and Certain Guarantees: An Amendment of FASB Statement No. 133 and FASB Interpretation No. 45" (the "FSP"). The FSP amends FASB Statement No. 133 ("FAS 133"), "Accounting for Derivative Instruments and Hedging Activities", and also amends FASB Interpretation No. 45 ("FIN 45"), "Guarantor's Ac counting and Disclosure Requirements for Guarantees, Including Indirect Guarantees of Indebtedness of Others". The amendments to FAS 133 include required disclosure for (i) the nature and terms of the credit derivative, reasons for entering into the credit derivative, the events or circumstances that would require the seller to perform under the credit derivative, and the current status of the payment/performance risk of the credit derivative, (ii) the maximum potential amount of future payments (undiscounted) the seller could be required to make under the credit derivative, (iii) the fair value of the credit derivative, and (iv) the nature of any recourse provisions and assets held either as collateral or by third parties. The amendments to FIN 45 require additional disclosures about the current status of the payment/performance risk of a guarantee. All changes to accounting policies have been made in accordance with the FSP and inc orporated for the current period.

In March 2008, the FASB issued Statement of Financial Accounting Standards No. 161, "Disclosures about Derivative Instruments and Hedging Activities" ("FAS 161"), which changes the disclosure requirements for derivative instruments and hedging activities. Since investment companies value their derivatives at fair value and recognize changes in fair value through the statement of operations, they do not qualify for FAS 133 hedge accounting. Accordingly, even though a fund's investments in derivatives may represent economic hedges, they are considered to be non-hedge transactions for purposes of FAS 161 disclosure. FAS 161 requires that (1) objectives for using derivative instruments be disclosed in terms of underlying risk and accounting designation, (2) the fair values of derivati ve instruments and their gains and losses be disclosed in a tabular format, and (3) information be disclosed about credit-risk contingent features of derivatives contracts. FAS 161 is effective for financial statements for fiscal years and interim periods beginning after November 15, 2008. Details of this disclosure can be found below as well as in the Portfolio of investments.

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At July 31, 2009, the Portfolios had the following derivatives (not designated as hedging instruments under SFAS No. 133):

	Asset derivatives1
		Interest rate risk	Foreign exchange risk	Credit risk	Equity risk	Total
UBS PACE Government Securities Fixed Income Investments	Swap contracts Total value	— —	— —	$2,555,560 $2,555,560	— —	$2,555,560 $2,555,560
UBS PACE Intermediate Fixed Income Investments	Futures contracts Forward foreign currency contracts Total value	$239,814 — $239,814	— $8,834 $8,834	— — —	— — —	$239,814 8,834 $248,648
UBS PACE Strategic Fixed Income Investments	Option contracts Forward foreign currency contracts Swap contracts Total value	— — $6,193,857 $6,193,857	$16,474 2,657,535 — $2,674,009	— — $463,103 $463,103	— — — —	$16,474 2,657,535 6,656,960 $9,330,969
UBS PACE Global Fixed Income Investments	Futures contracts Forward foreign currency contracts Total value	$2,783,590 — $2,783,590	— $6,573,109 $6,573,109	— — —	— — —	$2,783,590 6,573,109 $9,356,699
UBS PACE International Equity Investments	Futures contracts Forward foreign currency contracts Total value	— — —	— $288,244 $288,244	— — —	$74,703 — $74,703	$74,703 288,244 $362,947
UBS PACE Alternative Strategies Investments	Futures contracts Forward foreign currency contracts Swap contracts Total value	$1,234,542 — 333,732 $1,568,274	$35,689 $4,165,477 — $4,201,166	— — — —	$510,117 — — $510,117	$1,780,348 4,165,477 333,732 $6,279,557

1  Statement of assets and liabilities location: Swap contracts, at value, Receivable for variation margin and Unrealized appreciation on forward foreign currency contracts. Cumulative appreciation (depreciation) of futures contracts as reported in the Portfolio of investments. Only current day's variation margin, if any, is reported within the Statement of assets and liabilities.

	Liability derivatives1
		Interest rate risk	Foreign exchange risk	Credit risk	Equity risk	Total
UBS PACE Government Securities Fixed Income Investments	Written options Total value	$2,156 $2,156	— —	— —	— —	$2,156 $2,156
UBS PACE Intermediate Fixed Income Investments	Futures contracts Forward foreign currency contracts Total value	$22,432 — $22,432	— $116,556 $116,556	— — —	— — —	$22,432 116,556 $138,988
UBS PACE Strategic Fixed Income Investments	Futures contracts Written options Forward foreign currency contracts Swap contracts Total value	$300,200 50,934 — 572,328 $923,462	— — $3,738,102 — $3,738,102	— — — $1,715,690 $1,715,690	— — — — —	$300,200 50,934 3,738,102 2,288,018 $6,377,254

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Notes to financial statements

	Liability derivatives1
		Interest rate risk	Foreign exchange risk	Credit risk	Equity risk	Total
UBS PACE Global Fixed Income Investments	Futures contracts Forward foreign currency contracts Total value	$515,956 $515,956	— $3,699,935 $3,699,935	— — —	— — —	$515,956 3,699,935 $4,215,891
UBS PACE High Yield Investments	Forward foreign currency contracts Total value	— —	$236,935 $236,935	— —	— —	$236,935 $236,935
UBS PACE International Equity Investments	Futures contracts Forward foreign currency contracts Total value	— — —	— $144,049 $144,049	— — —	— — —	— $144,049 $144,049
UBS PACE Alternative Strategies Investments	Futures contracts Written options Forward foreign currency contracts Swap contracts Total value	$997,339 — — 333,712 $1,331,051	$30,766 — 4,048,943 — $4,079,709	— — — $10,493,170 $10,493,170	$1,607,612 372,707 — — $1,980,319	$2,635,717 372,707 4,048,943 10,826,882 $17,884,249

1  Statement of assets and liabilities location: Options written, at value, Swap contracts, at value, Payable for variation margin and Unrealized depreciation on forward foreign currency contracts. Cumulative appreciation (depreciation) of futures contracts as reported in the Portfolio of investments. Only current day's variation margin, if any, is reported within the Statement of assets and liabilities.

Transactions in derivative instruments during the year ended July, 31, 2009, were as follows:

		Interest rate risk			Foreign exchange risk			Credit risk			Equity risk		Total
UBS PACE Government Securities Fixed Income Investments
	Realized gain (loss)1
	Futures contracts	$	4,997,687			—			—			—	$	4,997,687
	Written options		89,032			—			—			—		89,032
	Swap contracts		(14,387,967	)		—		$	573,314			—		(13,814,653	)
	Total realized gain (loss)	$	(9,301,248	)		—		$	573,314			—	$	(8,727,934	)
	Change in appreciation (depreciation)2
	Futures contracts	$	(516,000	)		—			—			—	$	(516,000	)
	Written options		23,431			—			—			—		23,431
	Swap contracts		83,147			—		$	(1,237,068	)		—		(1,153,921	)
	Total change in appreciation (depreciation)	$	(409,422	)		—		$	(1,237,068	)		—	$	(1,646,490	)
UBS PACE Intermediate Fixed Income Investments
	Realized gain (loss)1
	Futures contracts	$	7,129,567			—			—			—	$	7,129,567
	Forward foreign currency contracts		—		$	(741,235	)		—			—		(741,235	)
	Total realized gain (loss)	$	7,129,567		$	(741,235	)		—			—	$	6,388,332
	Change in appreciation (depreciation)2
	Futures contracts	$	168,258			—			—			—	$	168,258
	Forward foreign currency contracts		—		$	(129,636	)		—			—		(129,636	)
	Total change in appreciation (depreciation)	$	168,258		$	(129,636	)		—			—	$	38,622

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Notes to financial statements

		Interest rate risk			Foreign exchange risk			Credit risk			Equity risk			Total
UBS PACE Strategic Fixed Income Investments
	Realized gain (loss)1
	Futures contracts	$	40,390,360			—			—			—		$	40,390,360
	Written options		(945,536	)		—			—			—			(945,536	)
	Forward foreign currency contracts		—		$	2,348,353			—			—			2,348,353
	Swap contracts		(15,723,231	)		—		$	(5,342,684	)		—			(21,065,915	)
	Total realized gain/(loss)	$	23,721,593		$	2,348,353		$	(5,342,684	)		—		$	20,727,262
	Change in appreciation (depreciation)2
	Futures contracts	$	(3,305,805	)		—			—			—		$	(3,305,805	)
	Written options		(383,960	)		—			—			—			(383,960	)
	Forward foreign currency contracts		—			$5,931			—			—			5,931
	Swap contracts		2,591,422			—		$	(458,345	)					2,133,077
	Total change in appreciation (depreciation)	$	(1,098,343	)	$	5,931		$	(458,345	)		—		$	(1,550,757	)
UBS PACE Global Fixed Income Investments
	Realized gain (loss)1
	Futures contracts	$	(1,281,317	)		—			—			—		$	(1,281,317	)
	Forward foreign currency contracts		—		$	(13,279,256	)		—			—			(13,279,256	)
	Total realized loss	$	(1,281,317	)	$	(13,279,256	)		—			—		$	(14,560,573	)
	Change in appreciation (depreciation)2
	Futures contracts	$	1,255,329			—			—			—		$	1,255,329
	Forward foreign currency contracts		—		$	8,026,371			—			—			8,026,371
	Total change in appreciation (depreciation)	$	1,255,329		$	8,026,371			—			—		$	9,281,700
UBS PACE High Yield Investments
	Realized gain (loss)1
	Forward foreign currency contracts		—		$	1,119,238			—			—		$	1,119,238
	Total realized gain		—		$	1,119,238			—			—		$	1,119,238
	Change in appreciation (depreciation)2
	Forward foreign currency contracts		—		$	(335,718	)		—			—		$	(335,718	)
	Total change in appreciation (depreciation)		—		$	(335,718	)		—			—		$	(335,718	)
UBS PACE International Equity Investments
	Realized gain (loss)1
	Futures contracts		—			—			—		$	(27,743	)	$	(27,743	)
	Forward foreign currency contracts		—		$	4,832,906			—			—			4,832,906
	Total realized gain/(loss)		—		$	4,832,906			—		$	(27,743	)	$	4,805,163
	Change in appreciation (depreciation)2
	Futures contracts		—			—			—		$	162,196		$	162,196
	Forward foreign currency contracts		—		$	85,196			—			—			85,196
	Total change in appreciation (depreciation)		—		$	85,196			—		$	162,196		$	247,392

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Notes to financial statements

		Interest rate risk		Foreign exchange risk			Credit risk			Equity risk			Total
UBS PACE Alternative Strategies Investments
	Realized gain (loss)1
	Futures contracts	$	1,563,277		—			—			$(12,752,924)		$	(11,189,647	)
	Written options		—	$	(148,340	)		—			4,951,553			4,803,213
	Forward foreign currency contracts		—		(13,855,943	)		—			—			(13,855,943	)
	Swap contracts		388,823		—		$	2,051,123			—			2,439,946
	Total realized gain (loss)	$	1,952,100	$	(14,004,283	)	$	2,051,123		$	(7,801,371	)	$	(17,802,431	)
	Change in appreciation (depreciation)2
	Futures contracts	$	620,496	$	4,923			—		$	2,383,618		$	3,009,037
	Written options		—		—			—			(505,288	)		(505,288	)
	Forward foreign currency contracts		—		(1,624,992	)		—			—			(1,624,992	)
	Swap contracts		144,500		—		$	(3,498,577	)		—			(3,354,077	)
	Total change in appreciation (depreciation)	$	764,996	$	(1,620,069	)	$	(3,498,577	)	$	1,878,330		$	(2,475,320	)

1  Statement of operations location: Net realized gain (loss) on futures contracts, options written, swap contracts and forward foreign currency contracts.

2  Statement of operations location: Net change in unrealized appreciation (depreciation) on futures contracts, options written, swap contracts and forward foreign currency contracts.

Repurchase agreements—The Portfolios may purchase securities or other obligations from a bank or securities dealer (or its affiliate), subject to the seller's agreement to repurchase them at an agreed upon date (or upon demand) and price. The Portfolios maintain custody of the underlying obligations prior to their repurchase, either through its regular custodian or through a special "tri-party" custodian or sub-custodian that maintains a separate account for both the Portfolios and their counterparty. The underlying collateral is valued daily to ensure that the value, including accrued interest, is at least equal to the repurchase price. In the event of default of the obligation to repurchase, the Portfolios generally have the right to liquidate the collateral and apply the proceeds in satisfaction of the obligation. Repurchase agreements involvi ng obligations other than US government securities (such as commercial paper, corporate bonds and mortgage loans) may be subject to special risks and may not have the benefit of certain protections in the event of counterparty insolvency. If the seller (or seller's guarantor, if any) becomes insolvent, the Portfolios may suffer delays, costs and possible losses in connection with the disposition or retention of the collateral. Under certain circumstances, in the event of default or bankruptcy by the other party to the agreement, realization and/or retention of the collateral may be subject to legal proceedings. Each Portfolio (with the exception of UBS PACE Municipal Fixed Income Investments) may participate in joint repurchase agreement transactions with other funds managed, advised or sub-advised by UBS Global AM.

Restricted securities—The Portfolios may invest in securities that are subject to legal or contractual restrictions on resale. Frequently, these securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities, if any, is included at the end of each Portfolio's Portfolio of investments.

Investment transactions, investment income and expenses—Investment transactions are recorded on the trade date. Realized gains and losses from investment transactions and foreign exchange transactions are calculated using the identified cost method. Dividend income is recorded net of withholding taxes on the ex-dividend date ("ex-date") (except in the case of certain dividends from foreign securities which are recorded

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as soon after the ex-date as the respective Portfolio, using reasonable diligence, becomes aware of such dividends). Interest income is recorded on an accrual basis. Discounts are accreted and premiums are amortized as adjustments to interest income and the identified cost of investments.

Income, expenses (excluding class-specific expenses) and realized/unrealized gains/losses are allocated proportionately to each class of shares based upon the relative net asset value of outstanding shares (or the value of dividend-eligible shares, as appropriate) of each class at the beginning of the day (after adjusting for current capital share activity of the respective classes). Class-specific expenses are charged directly to the applicable class of shares.

Foreign currency translation—The books and records of the Portfolios are maintained in US dollars. Foreign currency amounts are translated into US dollars as follows: (1) the foreign currency market value of investment securities and other assets and liabilities stated in foreign currencies are translated into US dollars based on the current exchange rates each business day; and (2) purchases, sales, income and expenses are translated at the rate of exchange prevailing on the respective dates of such transactions. The resulting exchange gains and losses are included on the Statement of operations.

The Portfolios do not generally isolate the effects of fluctuations in foreign exchange rates from the effects of fluctuations in the market prices of securities. However, the Portfolios do isolate the effect of fluctuations in foreign exchange rates when determining the realized gain or loss upon the sale or maturity of foreign currency-denominated debt obligations pursuant to US federal income tax regulations; such amount is categorized as realized foreign currency transaction gain or loss for both financial reporting and income tax purposes. Net realized foreign currency transaction gain (loss) is treated as ordinary income (loss) for income tax reporting purposes.

Forward foreign currency contracts—Certain Portfolios may enter into forward foreign currency contracts ("forward contracts") as part of its investment strategy, in connection with planned purchases or sales of securities or to hedge the US dollar value of portfolio securities denominated in a particular currency. The Portfolios may also engage in cross-hedging by using forward contracts in one currency to hedge fluctuations in the value of securities denominated in a different currency if the applicable investment sub-advisor anticipates that there is a correlation between the two currencies. Forward contracts may also be used to shift a Portfolio's exposure to foreign currency fluctuations from one country to another.

The Portfolios have no specific limitation on the percentage of assets which may be committed to such contracts; however, the value of all forward contracts will not exceed the value of a Portfolio's total assets. The Portfolios may enter into forward contracts or maintain a net exposure to forward contracts only if (1) the consummation of the contracts would not obligate the Portfolios to deliver an amount of foreign currency in excess of the value of the positions being hedged by such contracts or (2) the Portfolios maintain cash or liquid securities in a segregated account in an amount determined pursuant to the Portfolios' segregation policies as disclosed in the Trust's Statement of Additional Information.

Risks may arise upon entering into forward contracts from the potential inability of counterparties to meet the terms of their contracts and from unanticipated movements in the value of foreign currencies relative to the US dollar or each other.

Fluctuations in the value of open forward contracts are recorded for book purposes as unrealized gains or losses on forward foreign currency contracts by the Portfolios. Realized gains and losses on forward foreign currency contracts include net gains or losses recognized by the Portfolios on contracts which have matured.

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Notes to financial statements

Securities traded on to-be-announced basis—The Portfolios may from time to time purchase securities on a to-be-announced ("TBA") basis. In a TBA transaction, the Portfolio commits to purchasing or selling securities for which all specific information is not yet known at the time of the trade, particularly the face amount and maturity date of the underlying security transactions. Securities purchased on a TBA basis are not settled until they are delivered to the Portfolio, normally 15 to 45 days later. Beginning on the date the Portfolio enters into a TBA transaction, cash, US government securities or other liquid securities are segregated in an amount equal in value to the purchase price of the TBA security. These transactions are subject to market fluctuations, and their current value is determined in the same manner as for other securities.

At July 31, 2009, UBS PACE Government Securities Fixed Income Investments, UBS PACE Intermediate Fixed Income Investments and UBS PACE Strategic Fixed Income Investments held TBA securities with a total cost of $196,635,422, $12,229,141, and $725,789, respectively.

Option writing—Certain Portfolios may write (sell) put and call options on securities or derivative instruments in order to gain exposure to or protect against changes in the markets. When a Portfolio writes a call or a put option, an amount equal to the premium received by the Portfolio is included on the Portfolio's Statement of assets and liabilities as an asset and as an equivalent liability. The amount of the liability is subsequently marked-to-market to reflect the current market value of the option written. If an option which the Portfolio has written either expires on its stipulated expiration date or the Portfolio enters into a closing purchase transaction, the Portfolio realizes a gain (or loss if the cost of a closing purchase transaction exceeds the premium received when the option was written) without regard to any unrealized gain or loss on the underlying security or derivative instrument, and the liability related to such option is extinguished. If a call option which the Portfolio has written is exercised, the Portfolio recognizes a realized gain or loss (long-term or short-term, depending on the holding period of the underlying security) from the sale of the underlying security or derivative instrument and the proceeds from the sale are increased by the premium originally received. If a put option which the Portfolio has written is exercised, the amount of the premium originally received reduces the cost of the security or derivative instrument which the Portfolio purchases upon exercise of the option.

In writing an option, the Portfolios bear the market risk of an unfavorable change in the price of the derivative instrument, security or currency underlying the written option. Exercise of an option written by a Portfolio could result in the Portfolio selling or buying a derivative instrument, security or currency at a price different from current market value.

Purchased options—Certain Portfolios may also purchase put and call options. Purchasing call options tends to increase exposure to the underlying instrument. Purchasing put options tends to decrease exposure to the underlying instrument. The Portfolio pays a premium which is included on the Statement of assets and liabilities as an investment and subsequently marked to market to reflect the current value of the option. Premiums paid for purchasing options which expire are treated as realized losses. The risk associated with purchasing put and call options is limited to the premium paid. Premiums paid for purchasing options which are exercised or closed are added to the amounts paid or offset against the proceeds on the underlying future, security or currency transaction to determine the realized gain or loss.

Futures contracts—Certain Portfolios may use financial futures contracts as part of its investment strategy, for hedging purposes to adjust exposure to US and foreign markets in connection with a reallocation of the Portfolios' assets or to manage the average duration of a Portfolio. In addition, a Portfolio may purchase or sell futures contracts or purchase options thereon to increase or reduce its exposure to an asset class without purchasing or selling the underlying securities, either as a hedge or to enhance return or realize gains. Using financial futures contracts involves various market risks. However, imperfect correlations between futures

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contracts and the related securities or markets, or market disruptions, do not normally permit full control of these risks at all times. The maximum amount at risk from the purchase of a futures contract is the contract value or the loss of the benefit of the transaction should the counterparty default.

Upon entering into a financial futures contract, a Portfolio is required to deliver to a broker an amount of cash and/or government securities equal to a certain percentage of the contract amount. This amount is known as the "initial margin". Subsequent payments, known as "variation margin", generally are made or received by the Portfolio each day depending on the fluctuations in the value of the underlying financial futures contracts, except that in the case of certain futures contracts payments may be made or received at settlement. Such variation margin is recorded for financial statement purposes on a daily basis as an unrealized gain or loss on futures until the financial futures contract is closed, at which time the net gain or loss is reclassified to realized gain or loss on futures.

Short sales "Against the Box"—Each Portfolio (other than UBS PACE Money Market Investments and UBS PACE Municipal Fixed Income Investments) may engage in short sales of securities it owns or has the right to acquire at no added cost through conversion or exchange of other securities it owns (short sales "against the box"). To make delivery to the purchaser in a short sale, the executing broker borrows the securities being sold short on behalf of a Portfolio, and that Portfolio is obligated to replace the securities borrowed at a date in the future. When a Portfolio sells short, it establishes a margin account with the broker effecting the short sale and deposits collateral with the broker. In addition, the Portfolio maintains, in a segregated account with its custodian, the securities that could be used to cover the short sale. Each Portfolio may incur transaction costs, including dividend and interest expense, in connection with opening, maintaining and closing short sales "against the box".

A Portfolio might make a short sale "against the box" to hedge against market risks when its investment manager or sub-advisor believes that the price of a security may decline, thereby causing a decline in the value of a security owned by the Portfolio or a security convertible into or exchangeable for a security owned by the Portfolio. In such case, any loss in the Portfolio's long position after the short sale should be reduced by a corresponding gain in the short position. Conversely, any gain in the long position after the short sale should be reduced by a corresponding loss in the short position. The extent to which gains or losses in the long position are reduced will depend upon the amount of the securities sold short relative to the amount of the securities a Portfolio owns, either directly or indirectly, and in the case where the Portfolio owns convertible securities, changes in the investment values or conversion prem iums of such securities.

Short sales—UBS PACE Government Securities Fixed Income Investments (with respect to securities issued by the US Treasury and TBA securities coupon trades), UBS PACE Alternative Strategies Investments and UBS PACE Global Real Estate Securities Investments can enter into short sales whereby they sell a security they generally do not own, in anticipation of a decline in the security's price. The initial amount of a short sale is recorded as a liability which is marked to market daily. Fluctuations in the value of this liability are recorded as unrealized gains or losses on the Statement of operations. The Portfolio will realize a gain or loss upon closing of the short sale (returning the security to the counterparty by way of purchase or delivery of a long position owned). The Portfolio is liable to the buyer for any dividends and interest payable on securities while those securities are in a short position. These dividends and interest are booked as an expense of the Portfolio. UBS PACE Alternative Strategies Investments maintains one or more accounts containing cash and/or liquid assets at such a level that the amount deposited in the account plus that amount deposited with the broker as collateral will, at minimum, equal the current value of the stock sold short. UBS PACE Global Real Estate Securities Investments did not engage in short sales during the year ended July 31, 2009.

Reverse repurchase agreements—Certain Portfolios may enter into reverse repurchase agreements with qualified third party banks, securities dealers or their affiliates. Interest on the value of reverse repurchase

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agreements issued and outstanding is based upon competitive market rates at the time of issuance. At the time a Portfolio enters into reverse repurchase agreements, the Portfolio establishes and maintains a segregated account with the Portfolio's custodian containing liquid securities having a value not less than the repurchase price, including accrued interest, of the reverse repurchase agreement. The Portfolios did not enter into any reverse repurchase agreements during the year ended July 31, 2009.

Interest rate swap agreements—Certain Portfolios may enter into interest rate swap agreements. This type of swap is an agreement that obligates two parties to exchange a series of cash flows at specified intervals based upon or calculated by reference to a specified interest rate(s) for a specified amount. The payment flows are usually netted against each other, with the difference being paid by one party to the other. Upfront payments made and/or received by the Portfolio are recorded as an adjustment to cost.

Risks may arise as a result of the failure of the counterparty to the swap contract to comply with the terms of the contract. The loss incurred by the failure of a counterparty is generally limited to the net interest payment to be received by the Portfolio. Therefore, the Portfolio considers the creditworthiness of the counterparty to a swap contract in evaluating potential credit risk.

The Portfolio accrues for interim payments on swap contracts on a daily basis, with the net amount recorded within unrealized appreciation/depreciation of swap contracts on the Statement of assets and liabilities. Once interim payments are settled in cash, the net amount is recorded as realized gain/loss on swaps, in addition to realized gain/loss recorded upon the termination of swap contracts on the Statement of operations. Fluctuations in the value of swap contracts are recorded for financial statement purposes as unrealized appreciation or depreciation of swaps.

Credit default swap agreements—Credit default swap agreements involve commitments to make or receive payments in the event of a default of a security or a credit event. As a buyer, the Portfolio would make periodic payments to the counterparty, and the Portfolio would receive payments only upon the occurrence of a credit event. If no credit event occurs, the Portfolio will lose its periodic stream of payments over the term of the contract. However, if a credit event does occur, the Portfolio typically would receive full notional value for a reference obligation that may have little or no value. As a seller, the Portfolio would receive periodic payments from the counterparty, and the Portfolio would make payments only upon the occurrence of a credit event. If no default or credit event occurs, the Portfolio will gain the periodic stream of payment s it received over the term of the contract and the counterparty will lose its periodic stream of payments over the term of the contract. However, if a default or credit event occurs, the Portfolio typically pays full notional value for a reference obligation that may have little or no value. Credit default swaps may involve greater risks than if the Portfolio had invested in the reference obligation directly and are subject to general market risk, liquidity risk and credit risk.

Credit default swap agreements on credit indices involve one party making a stream of payments to another party in exchange for the right to receive a specified return in the event of a write-down, principal shortfall, interest shortfall or default of all or part of the referenced entities comprising the credit index. A credit index is a list of a basket of credit instruments or exposures designed to be representative of some part of the credit market as a whole. These indices are made up of referenced credits that are judged by a poll of dealers to be the most liquid entities in the credit default swap market based on the sector of the index. Components of the indices may include, but are not limited to, investment grade securities, high yield securities, asset backed securities, emerging markets, and/or various credit ratings within each sector. Credit indices are traded using credit default swaps with standardized terms inclu ding a fixed spread and standard maturity dates. An index credit default swap references all the names in the index, and if there is a default, the credit event is settled based on that name's weight in the index. The composition of the indices changes

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periodically, usually every six months, and for most indices, each name has an equal weight in the index. A Portfolio may use credit default swaps on credit indices to hedge a portfolio of credit default swaps or bonds with a credit default swap on indices which is less expensive than it would be to buy many credit default swaps to achieve a similar effect. Credit default swaps on indices are benchmarks for protecting investors owning bonds against default, and traders use them to speculate on changes in credit quality.

Credit default swap agreements on corporate issues or sovereign issues of an emerging country involve one party making a stream of payments to another party in exchange for the right to receive a specified return in the event of a default or other credit event. If a credit event occurs and cash settlement is not elected, a variety of other deliverable obligations may be delivered in lieu of the specific referenced obligation. The ability to deliver other obligations may result in a cheapest-to-deliver option (the buyer of protection's right to choose the deliverable obligation with the lowest value following a credit event). The Portfolio may use credit default swaps on corporate issues or sovereign issues of an emerging country to provide a measure of protection against defaults of the issuers (i.e., to reduce risk where the Portfolio owns or has exposure to the referenced obligation) or to take an active long or short position with respect to the likelihood of a particular issuer's default.

The maximum potential amount of future payments (undiscounted) that a Portfolio as a seller of protection could be required to make under a credit default swap agreement would be an amount equal to the notional amount of the agreement which may exceed the amount of unrealized appreciation or depreciation reflected on the Statement of assets and liabilities. Notional amounts of all credit default swap agreements outstanding as of July 31, 2009 for which a Portfolio is the seller of protection are disclosed under the sections "Credit default swaps on credit indices—sell protection" and "Credit default swaps on corporate issues—sell protection" in the Portfolios of investments. These potential amounts would be partially offset by any recovery values of the respective referenced obligations, upfront payments received upon entering into the agreement, or net amounts received from the settlement of buy protection credit defa ult swap agreements entered into, if any, by a Portfolio for the same referenced entity or entities.

The use of swaps involves investment techniques and risks different from those associated with ordinary portfolio security transactions. If a Portfolio's sub-adviser is incorrect in its forecast of market values, interest rates and other applicable factors, the investment performance of the Portfolios will be less favorable than it would have been if this investment technique was never used. Swaps do not involve the delivery of securities and are subject to counterparty risk. If the other party to a swap defaults and fails to consummate the transaction, a Portfolio's risk of loss will consist of the net amount of interest or other payments that the Portfolio is contractually entitled to receive. Therefore, the Portfolio would consider the creditworthiness of the counterparty to a swap agreement in evaluating potential credit risk.

Total return swaps—Total return swap contracts involve commitments to pay interest in exchange for a market-linked return both based on notional amounts. To the extent the total return of the security or index underlying the transactions exceeds or falls short of the offsetting interest rate obligation, the Portfolio will receive a payment from or make a payment to the counterparty. At July 31, 2009, there were no Portfolios that were invested in total return swap contracts.

Dividends and distributions—Dividends and distributions to shareholders are recorded on the ex-dividend date. The amounts of dividends and distributions are determined in accordance with federal income tax regulations, which may differ from US generally accepted accounting principles. These "book/tax" differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature, such amounts are reclassified within the capital accounts based on their federal tax-basis treatment; temporary differences do not require reclassification.

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Notes to financial statements

Concentration of risk

Investing in securities of foreign issuers and currency transactions may involve certain considerations and risks not typically associated with investments in the United States. These risks include revaluation of currencies, adverse fluctuations in foreign currency values and possible adverse political, social and economic developments, including those particular to a specific industry, country or region, which could cause the securities and their markets to be less liquid and prices more volatile than those of comparable US companies and US government securities. These risks are greater with respect to securities of issuers located in emerging market countries in which UBS PACE Global Fixed Income Investments, UBS PACE High Yield Investments, UBS PACE International Equity Investments, UBS PACE International Emerging Markets Equity Investments, UBS PACE Global Real Estate Securities Investments and UBS PACE Alternative Strategie s Investments are authorized to invest.

Small capitalization ("small cap") companies may be more vulnerable than larger capitalization companies to adverse business or economic developments. Small cap companies may also have limited product lines, markets or financial resources, and may be dependent on a relatively small management group. Securities of such companies may be less liquid and more volatile than securities of larger capitalization companies or the market averages in general and therefore may involve greater risk than investing in larger capitalization companies. In addition, small cap companies may not be well-known to the investing public, may not have institutional ownership and may have only cyclical, static or moderate growth prospects. These risks are greater with respect to the securities in which UBS PACE Small/Medium Co Value Equity Investments and UBS PACE Small/Medium Co Growth Equity Investments tend to invest.

The ability of the issuers of debt securities held by the Portfolios to meet their obligations may be affected by economic and political developments particular to a specific industry, country, state or region.

Investment Management and Administration Fees and Other Transactions with Affiliates

The Trust has entered into an investment management and administration contract ("Management Contract") with UBS Global AM. In accordance with the Management Contract, each Portfolio paid UBS Global AM investment management and administration fees, which were accrued daily and paid monthly, in accordance with the following schedule as of July 31, 2009:

Portfolio	Annual rate as a percentage of each Portfolio's average daily net assets
UBS PACE Money Market Investments		0.350	%
UBS PACE Government Securities Fixed Income Investments	0.650% up to $250 million 0.600% above $250 million up to $500 million 0.575% above $500 million up to $750 million 0.550% above $750 million up to $1 billion 0.525% above $1 billion
UBS PACE Intermediate Fixed Income Investments	0.550% up to $250 million 0.500% above $250 million up to $500 million 0.475% above $500 million up to $750 million 0.450% above $750 million up to $1 billion 0.425% above $1 billion

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Portfolio	Annual rate as a percentage of each Portfolio's average daily net assets
UBS PACE Strategic Fixed Income Investments	0.650% up to $250 million 0.600% above $250 million up to $500 million 0.575% above $500 million up to $750 million 0.550% above $750 million up to $1 billion 0.525% above $1 billion
UBS PACE Municipal Fixed Income Investments	0.550% up to $250 million 0.500% above $250 million up to $500 million 0.475% above $500 million up to $750 million 0.450% above $750 million up to $1 billion 0.425% above $1 billion
UBS PACE Global Fixed Income Investments	0.750% up to $500 million 0.725% above $500 million up to $1 billion 0.700% above $1 billion
UBS PACE High Yield Investments	0.800% up to $500 million 0.750% above $500 million up to $1 billion 0.725% above $1 billion up to $1.5 billion 0.700% above $1.5 billion up to $2 billion 0.675% above $2 billion
UBS PACE Large Co Value Equity Investments	0.800% up to $250 million 0.770% above $250 million up to $500 million 0.730% above $500 million up to $1 billion 0.700% above $1 billion
UBS PACE Large Co Growth Equity Investments	0.800% up to $500 million 0.775% above $500 million up to $1 billion 0.750% above $1 billion up to $1.5 billion 0.725% above $1.5 billion up to $2 billion 0.700% above $2 billion
UBS PACE Small/Medium Co Value Equity Investments	0.800% up to $500 million 0.775% above $500 million
UBS PACE Small/Medium Co Growth Equity Investments	0.800% up to $500 million 0.775% above $500 million

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Portfolio	Annual rate as a percentage of each Portfolio's average daily net assets
UBS PACE International Equity Investments	0.900% up to $500 million 0.875% above $500 million up to $1 billion 0.850% above $1 billion up to $1.5 billion 0.825% above $1.5 billion up to $2 billion 0.800% above $2 billion
UBS PACE International Emerging Markets Equity Investments	1.100% up to $500 million 1.075% above $500 million up to $1 billion 1.050% above $1 billion up to $1.5 billion 1.025% above $1.5 billion up to $2 billion 1.000% above $2 billion
UBS PACE Global Real Estate Securities Investments	0.800% up to $500 million 0.750% above $500 million up to $1 billion 0.725% above $1 billion up to $1.5 billion 0.700% above $1.5 billion up to $2 billion 0.675% above $2 billion
UBS PACE Alternative Strategies Investments	1.400% up to $500 million 1.350% above $500 million up to $1 billion 1.300% above $1 billion up to $1.5 billion 1.275% above $1.5 billion up to $2 billion 1.250% above $2 billion

Under separate Sub-Advisory Agreements, with the exception of UBS PACE Money Market Investments, UBS Global AM (not the Portfolios) pays each investment sub-advisor a fee from the investment management and administration fees which UBS Global AM receives, which is accrued daily and paid monthly, in accordance with the following schedule:

Portfolio	Investment sub-advisor	Annual rate as a percentage of each sub-advisor's portion of the Portfolio's average daily net assets
UBS PACE Government Securities Fixed Income Investments	Pacific Investment Management Company LLC	0.200%
UBS PACE Intermediate Fixed Income Investments	BlackRock Financial Management, Inc.	0.200% up to $120 million 0.100% above $120 million
UBS PACE Strategic Fixed Income Investments	Pacific Investment Management Company LLC	0.250%
UBS PACE Municipal Fixed Income Investments	Standish Mellon Asset Management Company LLC	0.200% up to $60 million 0.150% above $60 million

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Portfolio	Investment sub-advisor	Annual rate as a percentage of each sub-advisor's portion of the Portfolio's average daily net assets
UBS PACE Global Fixed Income Investments	Rogge Global Partners plc	0.250% up to $150 million 0.180% above $150 million up to $500 million 0.150% above $500 million
UBS PACE High Yield Investments	MacKay Shields LLC	0.350%
UBS PACE Large Co Value Equity Investments	Institutional Capital LLC Pzena Investment Management, LLC1Westwood Management Corp.	0.300% 0.700% up to $25 million 0.500% above $25 million up to $100 million 0.400% above $100 million up to $300 million 0.350% above $300 million 0.300%
UBS PACE Large Co Growth Equity Investments	Delaware Management Company Marsico Capital Management, LLC SSgA Funds Management, Inc. Wellington Management Company, LLP	0.400% 0.300% 0.150% 0.300%
UBS PACE Small/Medium Co Value Equity Investments	Buckhead Capital Management, LLC2Metropolitan West Capital Management, LLC Systematic Financial Mangement, L.P.2	0.400% up to $100 million 0.350% above $100 million 0.400% 0.400%
UBS PACE Small/Medium Co Growth Equity Investments	Copper Rock Capital Partners, LLC Palisade Capital Management, LLC3Riverbridge Partners, LLC	0.450% up to $100 million 0.400% above $100 million 0.450% up to $100 million 0.400% above $100 million 0.400%
UBS PACE International Equity Investments	J.P. Morgan Investment Management Inc. Martin Currie Inc. Mondrian Investment Partners Ltd.	0.200% 0.350% up to $150 million 0.300% above $150 million up to $250 million 0.250% above $250 million up to $350 million 0.200% above $350 million 0.350% up to $150 million 0.300% above $150 million
UBS PACE International Emerging Markets Equity Investments	Mondrian Investment Partners Ltd. Gartmore Global Partners	0.650% up to $150 million 0.550% above $150 million up to $250 million 0.500% above $250 million 0.500%
UBS PACE Global Real Estate Securities Investments	Goldman Sachs Asset Management, L.P.	0.420% up to $50 million 0.400% above $50 million

1  If the assets under Pzena's management are less than $10 million, Pzena receives 1.00% of the Portfolio's average daily net assets that it manages with a minimum annual fee of $35,000 and a maximum annual fee of $70,000.

2  Buckhead Capital Management, LLC and Systematic Financial Management, L.P. became sub-advisors effective May 28, 2009. Ariel Investments, LLC and Opus Capital Group, LLC ceased serving as sub-advisors for the Portfolio effective May 29, 2009.

3  Palisade Capital Management, LLC replaced AG Asset Management LLC effective February 2, 2009.

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Portfolio	Investment sub-advisor	Annual rate as a percentage of each sub-advisor's portion of the Portfolio's average daily net assets
UBS PACE Alternative Strategies Investments	Analytic Investors, LLC First Quadrant L.P.4 Goldman Sachs Asset Management, L.P. Wellington Management Company, LLP	0.450% up to $200 million 0.400% above $200 million up to $400 million 0.300% above $400 million 0.750% 0.680% up to $300 million 0.640% above $300 million up to $500 million 0.600% above $500 million 0.750% up to $200 million 0.725% above $200 million

4  First Quadrant L.P. became a sub-advisor effective April 8, 2009.

At July 31, 2009, certain Portfolios owe or are (owed by) UBS Global AM for investment management and administration fees, net of fee waivers/expense reimbursements and/or recoupments as follows:

Portfolio	Amounts due to (owed by) UBS Global AM
UBS PACE Money Market Investments	$	(17,719	)
UBS PACE Government Securities Fixed Income Investments		231,410
UBS PACE Intermediate Fixed Income Investments		144,008
UBS PACE Strategic Fixed Income Investments		284,044
UBS PACE Municipal Fixed Income Investments		125,291
UBS PACE Global Fixed Income Investments		290,906
UBS PACE High Yield Investments		71,994
UBS PACE Large Co Value Equity Investments		642,372
UBS PACE Large Co Growth Equity Investments		555,998
UBS PACE Small/Medium Co Value Equity Investments		199,864
UBS PACE Small/Medium Co Growth Equity Investments		214,398
UBS PACE International Equity Investments		566,033
UBS PACE International Emerging Markets Equity Investments		233,792
UBS PACE Global Real Estate Securities Investments		(9,585	)
UBS PACE Alternative Strategies Investments		537,507

UBS Global AM has entered into a written fee waiver agreement with each of UBS PACE Government Securities Fixed Income Investments, UBS PACE Global Fixed Income Investments and UBS PACE Large Co Growth Equity Investments under which UBS Global AM is contractually obligated to waive its management fees to the extent necessary to reflect the lower subadvisory fees paid by UBS Global AM to each of these Portfolio's sub-advisors: Pacific Investment Management Company LLC, Rogge Global Partners plc and SSgA Funds Management, Inc., respectively. For the year ended July 31, 2009, UBS Global AM was contractually obligated to waive $155,968, $260,659 and $347,214 in investment management and administration fees for UBS PACE Government Securities Fixed Income Investments, UBS PACE Global Fixed Income Investments and UBS PACE Large Co Growth Equity Investments, respectively.

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Notes to financial statements

Additionally, with respect to UBS PACE Money Market Investments, UBS Global AM may voluntarily waive fees and/or reimburse expenses from time to time in the event that the Portfolio's yield falls below a certain level. Once started, there is no guarantee that UBS Global AM would continue to voluntarily waive an additional portion of its fees and/or reimburse expenses. For the year ended July 31, 2009, UBS Global AM voluntarily waived and/or reimbursed expenses of $258,101 for UBS PACE Money Market Investments for that purpose.

UBS Global AM is contractually obligated to waive all or a portion of its investment management and administration fees and/or to reimburse the Portfolios for certain operating expenses in order to maintain the total annual ordinary operating expenses of each class for the year ending November 30, 2009 (with certain exclusions such as dividend expense, borrowing costs and interest expense, if any) at a level not to exceed the following:

Portfolio	Expense cap
UBS PACE Money Market Investments		0.60	%
UBS PACE Government Securities Fixed Income Investments—Class A		1.02
UBS PACE Government Securities Fixed Income Investments—Class B		1.77
UBS PACE Government Securities Fixed Income Investments—Class C		1.52
UBS PACE Government Securities Fixed Income Investments—Class Y		0.77
UBS PACE Government Securities Fixed Income Investments—Class P		0.77
UBS PACE Intermediate Fixed Income Investments—Class A		0.93
UBS PACE Intermediate Fixed Income Investments—Class B		1.68
UBS PACE Intermediate Fixed Income Investments—Class C		1.43
UBS PACE Intermediate Fixed Income Investments—Class Y		0.68
UBS PACE Intermediate Fixed Income Investments—Class P		0.68
UBS PACE Strategic Fixed Income Investments—Class A		1.06
UBS PACE Strategic Fixed Income Investments—Class B		1.81
UBS PACE Strategic Fixed Income Investments—Class C		1.56
UBS PACE Strategic Fixed Income Investments—Class Y		0.81
UBS PACE Strategic Fixed Income Investments—Class P		0.81
UBS PACE Municipal Fixed Income Investments—Class A		0.93
UBS PACE Municipal Fixed Income Investments—Class B		1.68
UBS PACE Municipal Fixed Income Investments—Class C		1.43
UBS PACE Municipal Fixed Income Investments—Class Y		0.68
UBS PACE Municipal Fixed Income Investments—Class P		0.68
UBS PACE Global Fixed Income Investments—Class A		1.25
UBS PACE Global Fixed Income Investments—Class B		2.00
UBS PACE Global Fixed Income Investments—Class C		1.75
UBS PACE Global Fixed Income Investments—Class Y		1.00
UBS PACE Global Fixed Income Investments—Class P		1.00
UBS PACE High Yield Investments—Class A		1.35
UBS PACE High Yield Investments—Class B1		2.10
UBS PACE High Yield Investments—Class C2		1.85
UBS PACE High Yield Investments—Class Y3		1.10
UBS PACE High Yield Investments—Class P		1.10

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Notes to financial statements

Portfolio	Expense cap
UBS PACE Large Co Value Equity Investments—Class A		1.27	%
UBS PACE Large Co Value Equity Investments—Class B		2.02
UBS PACE Large Co Value Equity Investments—Class C		2.02
UBS PACE Large Co Value Equity Investments—Class Y		1.02
UBS PACE Large Co Value Equity Investments—Class P		1.02
UBS PACE Large Co Growth Equity Investments—Class A		1.30
UBS PACE Large Co Growth Equity Investments—Class B		2.05
UBS PACE Large Co Growth Equity Investments—Class C		2.05
UBS PACE Large Co Growth Equity Investments—Class Y		1.05
UBS PACE Large Co Growth Equity Investments—Class P		1.05
UBS PACE Small/Medium Co Value Equity Investments—Class A		1.41
UBS PACE Small/Medium Co Value Equity Investments—Class B		2.16
UBS PACE Small/Medium Co Value Equity Investments—Class C		2.16
UBS PACE Small/Medium Co Value Equity Investments—Class Y		1.16
UBS PACE Small/Medium Co Value Equity Investments—Class P		1.16
UBS PACE Small/Medium Co Growth Equity Investments—Class A		1.38
UBS PACE Small/Medium Co Growth Equity Investments—Class B		2.13
UBS PACE Small/Medium Co Growth Equity Investments—Class C		2.13
UBS PACE Small/Medium Co Growth Equity Investments—Class Y		1.13
UBS PACE Small/Medium Co Growth Equity Investments—Class P		1.13
UBS PACE International Equity Investments—Class A		1.65
UBS PACE International Equity Investments—Class B		2.40
UBS PACE International Equity Investments—Class C		2.40
UBS PACE International Equity Investments—Class Y		1.40
UBS PACE International Equity Investments—Class P		1.40
UBS PACE International Emerging Markets Equity Investments—Class A		2.25
UBS PACE International Emerging Markets Equity Investments—Class B		3.00
UBS PACE International Emerging Markets Equity Investments—Class C		3.00
UBS PACE International Emerging Markets Equity Investments—Class Y		2.00
UBS PACE International Emerging Markets Equity Investments—Class P		2.00
UBS PACE Global Real Estate Securities Investments—Class A		1.45
UBS PACE Global Real Estate Securities Investments—Class C		2.20
UBS PACE Global Real Estate Securities Investments—Class Y3		1.20
UBS PACE Global Real Estate Securities Investments—Class P		1.20
UBS PACE Alternative Strategies Investments—Class A		1.95
UBS PACE Alternative Strategies Investments—Class B		2.70
UBS PACE Alternative Strategies Investments—Class C		2.70
UBS PACE Alternative Strategies Investments—Class Y		1.70
UBS PACE Alternative Strategies Investments—Class P		1.70

1  Share class has not commenced operations.

2  The share class' effective date is January 21, 2009 (commencement of issuance).

3  Share class commenced and redeemed in a prior fiscal year. Share class recommenced operations on December 26, 2008.

Each Portfolio will repay UBS Global AM for any such waived fees/reimbursed expenses during a three-year period following July 31, 2009, to the extent that ordinary operating expenses (with certain exclusions such as dividend expense, borrowing costs and interest expense) are otherwise below the expense caps.

306

UBS PACE Select Advisors Trust

Notes to financial statements

For the year ended July 31, 2009, UBS Global AM had the following voluntary fee waiver/expense reimbursements, and recoupments. The recoupments are included in the investment management and administration fees on the Statement of operations. The fee waivers/expense reimbursements, portions of which are subject to repayment by the Portfolios through December 1, 2012, and recoupments for the year ended July 31, 2009, were as follows:

Portfolio	Fee waivers/expense reimbursements		Recoupments
UBS PACE Money Market Investments	$	1,729,334		—
UBS PACE Government Securities Fixed Income Investments		407,061		—
UBS PACE Intermediate Fixed Income Investments		254,379		—
UBS PACE Strategic Fixed Income Investments		369,976		—
UBS PACE Municipal Fixed Income Investments		158,901		—
UBS PACE Global Fixed Income Investments		483,999	$	482
UBS PACE High Yield Investments		300,796		—
UBS PACE Large Co Value Equity Investments		6,824		—
UBS PACE Large Co Growth Equity Investments		5,053		—
UBS PACE Small/Medium Co Value Equity Investments		465,001		—
UBS PACE Small/Medium Co Growth Equity Investments		555,588		—
UBS PACE International Equity Investments		191		—
UBS PACE International Emerging Markets Equity Investments		—		—
UBS PACE Global Real Estate Securities Investments		465,576		—
UBS PACE Alternative Strategies Investments		75,285		—

At July 31, 2009, the following Portfolios had remaining fee waivers/expense reimbursements subject to repayment to UBS Global AM and respective dates of expiration as follows:

Portfolio	Fee waivers/ expense reimbursements subject to repayment		Expires July 31, 2010		Expires July 31, 2011		Expires July 31, 2012
UBS PACE Money Market Investments	$	4,355,534	$	1,199,238	$	1,426,962	$	1,729,334
UBS PACE Government Securities Fixed Income Investments—Class A		38,532		6,440		5,648		26,444
UBS PACE Government Securities Fixed Income Investments—Class B		772		158		334		280
UBS PACE Government Securities Fixed Income Investments—Class C		60,846		22,421		17,897		20,528
UBS PACE Government Securities Fixed Income Investments—Class Y		49,870		—		6,932		42,938
UBS PACE Government Securities Fixed Income Investments—Class P		683,399		173,439		193,089		316,871
UBS PACE Intermediate Fixed Income Investments—Class A		107,077		15,881		50,808		40,388
UBS PACE Intermediate Fixed Income Investments—Class B		1,010		201		550		259
UBS PACE Intermediate Fixed Income Investments—Class C		10,096		832		5,041		4,223
UBS PACE Intermediate Fixed Income Investments—Class Y		842		—		817		25
UBS PACE Intermediate Fixed Income Investments—Class P		514,051		—		304,567		209,484
UBS PACE Strategic Fixed Income Investments—Class A		20,072		—		11,610		8,462
UBS PACE Strategic Fixed Income Investments—Class B		834		19		537		278
UBS PACE Strategic Fixed Income Investments—Class C		2,589		—		1,791		798
UBS PACE Strategic Fixed Income Investments—Class P		851,394		—		490,956		360,438

307

UBS PACE Select Advisors Trust

Notes to financial statements

Portfolio	Fee waivers/ expense reimbursements subject to repayment		Expires July 31, 2010		Expires July 31, 2011		Expires July 31, 2012
UBS PACE Municipal Fixed Income Investments—Class A	$	90,678	$	12,636	$	54,146	$	23,896
UBS PACE Municipal Fixed Income Investments—Class B		605		134		387		84
UBS PACE Municipal Fixed Income Investments—Class C		19,742		3,609		10,476		5,657
UBS PACE Municipal Fixed Income Investments—Class Y		561		99		356		106
UBS PACE Municipal Fixed Income Investments—Class P		430,263		86,390		214,715		129,158
UBS PACE Global Fixed Income Investments—Class A		34,214		—		19,588		14,626
UBS PACE Global Fixed Income Investments—Class B		558		—		433		125
UBS PACE Global Fixed Income Investments—Class C		522		—		522		—
UBS PACE Global Fixed Income Investments—Class P		1,292,840	$	337,692		485,900		469,248
UBS PACE High Yield Investments—Class A		10,438		3,786		2,554		4,098
UBS PACE High Yield Investments—Class C		311		—		—		311
UBS PACE High Yield Investments—Class Y		10		—		—		10
UBS PACE High Yield Investments—Class P		795,341		296,414		202,550		296,377
UBS PACE Large Co Value Equity Investments—Class B		1,391		—		41		1,350
UBS PACE Large Co Value Equity Investments—Class C		5,474		—		—		5,474
UBS PACE Large Co Growth Equity Investments—Class B		2,515		1,430		598		487
UBS PACE Large Co Growth Equity Investments—Class C		4,566		—		—		4,566
UBS PACE Small/Medium Co Value Equity Investments—Class B		623		—		133		490
UBS PACE Small/Medium Co Value Equity Investments—Class P		464,511		—		—		464,511
UBS PACE Small/Medium Co Growth Equity Investments—Class A		5,290		—		—		5,290
UBS PACE Small/Medium Co Growth Equity Investments—Class B		1,797		848		585		364
UBS PACE Small/Medium Co Growth Equity Investments—Class C		1,976		—		—		1,976
UBS PACE Small/Medium Co Growth Equity Investments—Class P		737,469		111,841		77,670		547,958
UBS PACE International Equity Investments—Class B		191		—		—		191
UBS PACE Global Real Estate Securities Investments—Class A		55,037		19,517		15,153		20,367
UBS PACE Global Real Estate Securities Investments—Class C		4,773		2,563		1,201		1,009
UBS PACE Global Real Estate Securities Investments—Class Y		13,370		13,331		—		39
UBS PACE Global Real Estate Securities Investments—Class P		973,153		250,408		278,584		444,161
UBS PACE Alternative Strategies Investments—Class A		56,058		27,998		—		28,060
UBS PACE Alternative Strategies Investments—Class B		447		64		329		54
UBS PACE Alternative Strategies Investments—Class C		1,515		1,110		—		405
UBS PACE Alternative Strategies Investments—Class Y		7,509		—		—		7,509
UBS PACE Alternative Strategies Investments—Class P		191,619		152,362		—		39,257

UBS PACE Strategic Fixed Income Investments Class Y, UBS PACE Global Fixed Income Investments Class Y, UBS PACE Large Co Value Equity Investments Class A, Class Y and Class P, UBS PACE Large Co Growth Equity Investments Class A, Class Y and Class P, UBS PACE Small/Medium Co Value Equity Investments Class A, Class C and Class Y, UBS PACE Small/Medium Co Growth Equity Investments Class Y, UBS PACE International Equity Investments Class A, Class C, Class Y and Class P and UBS PACE International Emerging Markets Equity Investments Class A, Class B, Class C, Class Y and Class P have no remaining fee waivers/expense reimbursements subject to repayment.

308

UBS PACE Select Advisors Trust

Notes to financial statements

During the year ended July 31, 2009, the Portfolios listed below paid broker commissions to affiliates of the investment manager as follows:

Affiliated broker	UBS PACE Large Co Value Equity Investments		UBS PACE Large Co Growth Equity Investments		UBS PACE Small/Medium Co Value Equity Investments		UBS PACE International Emerging Markets Equity Investments		UBS PACE Alternative Strategies Investments
UBS AG		—		—		—	$	38,585	$	1,133
UBS Securities Asia Ltd.		—		—		—		—		548
UBS Securities LLC	$	3,230	$	28,633	$	410		7,594		17,604

Additional information regarding compensation to affiliate of a board member

Professor Meyer Feldberg serves as a senior advisor to Morgan Stanley, resulting in him being an interested trustee of the Portfolios. The Portfolios have been informed that Professor Feldberg's role at Morgan Stanley does not involve matters directly affecting any UBS funds. Portfolio transactions are executed through Morgan Stanley based on that firm's ability to provide best execution of the transactions. For the year ended July 31, 2009, the following Portfolios paid brokerage commissions to Morgan Stanley in the amounts as follows:

UBS PACE Large Co Value Equity Investments	$	64,101
UBS PACE Large Co Growth Equity Investments		82,816
UBS PACE Small/Medium Co Value Equity Investments		6,175
UBS PACE Small/Medium Co Growth Equity Investments		24,322
UBS PACE International Equity Investments		74,079
UBS PACE International Emerging Markets Equity Investments		47,741
UBS PACE Global Real Estate Securities Investments		8,533
UBS PACE Alternative Strategies Investments		367,740

During the year ended July 31, 2009, the following Portfolios purchased and sold certain securities (e.g., fixed income securities) in principal trades with Morgan Stanley having aggregate values as follows:

UBS PACE Money Market Investments	$	184,331,956
UBS PACE Government Securities Fixed Income Investments		1,350,323,851
UBS PACE Intermediate Fixed Income Investments		122,534,795
UBS PACE Strategic Fixed Income Investments		79,246,806
UBS PACE Municipal Fixed Income Investments		4,451,810
UBS PACE Global Fixed Income Investments		26,459,408
UBS PACE High Yield Investments		8,358,410
UBS PACE Large Co Growth Equity Investments		5,038,793
UBS PACE International Emerging Markets Equity Investments		202,950
UBS PACE Global Real Estate Securities Investments		374,655
UBS PACE Alternative Strategies Investments		200,491,279

Morgan Stanley received compensation in connection with these trades, which may have been in the form of a "mark-up" or "mark-down" of the price of the securities, a fee from the issuer for maintaining a commercial paper program, or some other form of compensation. Although the precise amount of this compensation is not generally known by the investment manager, it is believed that under normal circumstances it represents a small portion of the total value of the transactions.

309

UBS PACE Select Advisors Trust

Notes to financial statements

Service and distribution plans

UBS Global Asset Management (US) Inc. ("UBS Global AM (US)") is the principal underwriter of each Portfolio's shares. Under separate plans of service and/or distribution pertaining to Class A, Class B and Class C shares, the Portfolios (with the exception of UBS PACE Money Market Investments, which only offers Class P shares, and UBS PACE Global Real Estate Securities Investments, which does not offer Class B shares) pay UBS Global AM (US) monthly service fees at the annual rate of 0.25% of the average daily net assets of Class A, Class B and Class C shares and monthly distribution fees (1) at the annual rate of 0.75% of the average daily net assets of Class B and Class C shares for UBS PACE Large Co Value Equity Investments, UBS PACE Large Co Growth Equity Investments, UBS PACE Small/Medium Co Value Equity Investments, UBS PACE Small/Medium Co Growth Equity Investments, UBS PACE International Equity Investments, UBS PACE Intern ational Emerging Markets Equity Investments, UBS PACE Global Real Estate Securities Investments and UBS PACE Alternative Strategies Investments Portfolios and (2) at the annual rate of 0.75% and 0.50% of the average daily net assets of Class B and Class C shares, respectively, for UBS PACE Government Securities Fixed Income Investments, UBS PACE Intermediate Fixed Income Investments, UBS PACE Strategic Fixed Income Investments, UBS PACE Municipal Fixed Income Investments, UBS PACE Global Fixed Income Investments and UBS PACE High Yield Investments Portfolios.

UBS Global AM (US) also receives the proceeds of the initial sales charges paid upon the purchase of Class A shares and the contingent deferred sales charges paid by shareholders upon certain redemptions of Class A, Class B and Class C shares.

At July 31, 2009, certain Portfolios owed UBS Global AM (US) service and distribution fees, and for the year ended July 31, 2009, certain Portfolios were informed by UBS Global AM (US) that it had earned sales charges as follows:

Portfolio	Service and distribution fees owed		Sales charges earned by distributor
UBS PACE Government Securities Fixed Income Investments—Class A	$	19,285	$	14,830
UBS PACE Government Securities Fixed Income Investments—Class B		146		745
UBS PACE Government Securities Fixed Income Investments—Class C		15,563		371
UBS PACE Intermediate Fixed Income Investments—Class A		9,557		9,833
UBS PACE Intermediate Fixed Income Investments—Class B		153		741
UBS PACE Intermediate Fixed Income Investments—Class C		3,194		175
UBS PACE Strategic Fixed Income Investments—Class A		6,972		36,287
UBS PACE Strategic Fixed Income Investments—Class B		283		274
UBS PACE Strategic Fixed Income Investments—Class C		5,445		843
UBS PACE Municipal Fixed Income Investments—Class A		18,824		16,922
UBS PACE Municipal Fixed Income Investments—Class B		87		558
UBS PACE Municipal Fixed Income Investments—Class C		9,829		280
UBS PACE Global Fixed Income Investments—Class A		21,712		9,355
UBS PACE Global Fixed Income Investments—Class B		167		1,065
UBS PACE Global Fixed Income Investments—Class C		4,503		920
UBS PACE High Yield Investments—Class A		1,440		11,165
UBS PACE High Yield Investments—Class C		1,139		—
UBS PACE Large Co Value Equity Investments—Class A		29,412		8,498
UBS PACE Large Co Value Equity Investments—Class B		327		647
UBS PACE Large Co Value Equity Investments—Class C		13,253		106
UBS PACE Large Co Growth Equity Investments—Class A		11,309		4,986

310

UBS PACE Select Advisors Trust

Notes to financial statements

Portfolio	Service and distribution fees owed		Sales charges earned by distributor
UBS PACE Large Co Growth Equity Investments—Class B	$	160	$	596
UBS PACE Large Co Growth Equity Investments—Class C		3,354		191
UBS PACE Small/Medium Co Value Equity Investments—Class A		4,891		1,393
UBS PACE Small/Medium Co Value Equity Investments—Class B		76		99
UBS PACE Small/Medium Co Value Equity Investments—Class C		4,425		—
UBS PACE Small/Medium Co Growth Equity Investments—Class A		5,874		2,015
UBS PACE Small/Medium Co Growth Equity Investments —Class B		54		187
UBS PACE Small/Medium Co Growth Equity Investments—Class C		2,638		6
UBS PACE International Equity Investments—Class A		14,137		4,180
UBS PACE International Equity Investments—Class B		52		148
UBS PACE International Equity Investments—Class C		3,436		—
UBS PACE International Emerging Markets Equity Investments—Class A		3,524		9,032
UBS PACE International Emerging Markets Equity Investments—Class B		106		97
UBS PACE International Emerging Markets Equity Investments—Class C		2,683		95
UBS PACE Global Real Estate Securities Investments—Class A		633		410
UBS PACE Global Real Estate Securities Investments—Class C		114		10
UBS PACE Alternative Strategies Investments—Class A		13,829		7,269
UBS PACE Alternative Strategies Investments—Class B		24		—
UBS PACE Alternative Strategies Investments—Class C		5,483		3,746

Redemption fees

The Portfolios, except for UBS PACE Money Market Investments, charge a 1.00% redemption fee if you sell or exchange any class of shares less than 90 days after purchase, subject to certain exemptions as noted in the prospectuses.

For the year ended July 31, 2009, the following Portfolios received redemption fees as follows:

Portfolio	Redemption fees received
UBS PACE Government Securities Fixed Income Investments	$	120,261
UBS PACE Intermediate Fixed Income Investments		113,274
UBS PACE Strategic Fixed Income Investments		80,018
UBS PACE Municipal Fixed Income Investments		48,672
UBS PACE Global Fixed Income Investments		42,336
UBS PACE High Yield Investments		31,454
UBS PACE Large Co Value Equity Investments		140,448
UBS PACE Large Co Growth Equity Investments		126,320
UBS PACE Small/Medium Co Value Equity Investments		54,836
UBS PACE Small/Medium Co Growth Equity Investments		50,018
UBS PACE International Equity Investments		123,290
UBS PACE International Emerging Markets Equity Investments		40,596
UBS PACE Global Real Estate Securities Investments		21,004
UBS PACE Alternative Strategies Investments		77,746

311

UBS PACE Select Advisors Trust

Notes to financial statements

Transfer agency and related services fees

UBS Financial Services Inc. provides certain services pursuant to a delegation of authority from PNC Global Investment Servicing (U.S.) Inc. ("PNC"), the Portfolios' transfer agent, and was compensated for these services by PNC, not the Portfolios.

For the year ended July 31, 2009, UBS Financial Services Inc. received from PNC, not the Portfolios, total delegated services fees as follows:

Portfolio	Delegated services fees earned
UBS PACE Money Market Investments	$	1,367,378
UBS PACE Government Securities Fixed Income Investments		455,472
UBS PACE Intermediate Fixed Income Investments		221,632
UBS PACE Strategic Fixed Income Investments		601,296
UBS PACE Municipal Fixed Income Investments		112,200
UBS PACE Global Fixed Income Investments		642,126
UBS PACE High Yield Investments		203,470
UBS PACE Large Co Value Equity Investments		802,142
UBS PACE Large Co Growth Equity Investments		734,922
UBS PACE Small/Medium Co Value Equity Investments		690,011
UBS PACE Small/Medium Co Growth Equity Investments		691,423
UBS PACE International Equity Investments		712,253
UBS PACE International Emerging Markets Equity Investments		610,297
UBS PACE Global Real Estate Securities Investments		206,428
UBS PACE Alternative Strategies Investments		310,943

For the year ended July 31, 2009, each Portfolio accrued transfer agency and related services fees payable to PNC on each class as follows:

Portfolio	Transfer agency and related services fees
UBS PACE Money Market Investments	$	2,735,628
UBS PACE Government Securities Fixed Income Investments—Class A		94,307
UBS PACE Government Securities Fixed Income Investments—Class B		623
UBS PACE Government Securities Fixed Income Investments—Class C		38,597
UBS PACE Government Securities Fixed Income Investments—Class Y		68,137
UBS PACE Government Securities Fixed Income Investments—Class P		675,918
UBS PACE Intermediate Fixed Income Investments—Class A		54,995
UBS PACE Intermediate Fixed Income Investments—Class B		320
UBS PACE Intermediate Fixed Income Investments—Class C		5,586
UBS PACE Intermediate Fixed Income Investments—Class Y		596
UBS PACE Intermediate Fixed Income Investments—Class P		329,426
UBS PACE Strategic Fixed Income Investments—Class A		35,810
UBS PACE Strategic Fixed Income Investments—Class B		494
UBS PACE Strategic Fixed Income Investments—Class C		6,959
UBS PACE Strategic Fixed Income Investments—Class Y		217
UBS PACE Strategic Fixed Income Investments—Class P		999,523

312

UBS PACE Select Advisors Trust

Notes to financial statements

Portfolio	Transfer agency and related services fees
UBS PACE Municipal Fixed Income Investments—Class A	$	36,163
UBS PACE Municipal Fixed Income Investments—Class B		109
UBS PACE Municipal Fixed Income Investments—Class C		7,654
UBS PACE Municipal Fixed Income Investments—Class Y		124
UBS PACE Municipal Fixed Income Investments—Class P		161,619
UBS PACE Global Fixed Income Investments—Class A		140,966
UBS PACE Global Fixed Income Investments—Class B		471
UBS PACE Global Fixed Income Investments—Class C		7,874
UBS PACE Global Fixed Income Investments—Class Y		1,008
UBS PACE Global Fixed Income Investments—Class P		976,066
UBS PACE High Yield Investments—Class A		5,183
UBS PACE High Yield Investments—Class C		414
UBS PACE High Yield Investments—Class Y		11
UBS PACE High Yield Investments—Class P		342,869
UBS PACE Large Co Value Equity Investments—Class A		213,585
UBS PACE Large Co Value Equity Investments—Class B		2,183
UBS PACE Large Co Value Equity Investments—Class C		34,069
UBS PACE Large Co Value Equity Investments—Class Y		2,101
UBS PACE Large Co Value Equity Investments—Class P		1,150,389
UBS PACE Large Co Growth Equity Investments—Class A		96,106
UBS PACE Large Co Growth Equity Investments—Class B		944
UBS PACE Large Co Growth Equity Investments—Class C		13,487
UBS PACE Large Co Growth Equity Investments—Class Y		685
UBS PACE Large Co Growth Equity Investments—Class P		1,146,839
UBS PACE Small/Medium Co Value Equity Investments—Class A		47,762
UBS PACE Small/Medium Co Value Equity Investments—Class B		858
UBS PACE Small/Medium Co Value Equity Investments—Class C		11,639
UBS PACE Small/Medium Co Value Equity Investments—Class Y		967
UBS PACE Small/Medium Co Value Equity Investments—Class P		1,109,296
UBS PACE Small/Medium Co Growth Equity Investments—Class A		56,705
UBS PACE Small/Medium Co Growth Equity Investments—Class B		503
UBS PACE Small/Medium Co Growth Equity Investments—Class C		8,057
UBS PACE Small/Medium Co Growth Equity Investments—Class Y		444
UBS PACE Small/Medium Co Growth Equity Investments—Class P		1,108,245
UBS PACE International Equity Investments—Class A		112,276
UBS PACE International Equity Investments—Class B		490
UBS PACE International Equity Investments—Class C		11,323
UBS PACE International Equity Investments—Class Y		2,349
UBS PACE International Equity Investments—Class P		1,100,624
UBS PACE International Emerging Markets Equity Investments—Class A		37,134
UBS PACE International Emerging Markets Equity Investments—Class B		406
UBS PACE International Emerging Markets Equity Investments—Class C		7,004
UBS PACE International Emerging Markets Equity Investments—Class Y		2,905
UBS PACE International Emerging Markets Equity Investments—Class P		987,970
UBS PACE Global Real Estate Securities Investments—Class A		13,265
UBS PACE Global Real Estate Securities Investments—Class C		700

313

UBS PACE Select Advisors Trust

Notes to financial statements

Portfolio	Transfer agency and related services fees
UBS PACE Global Real Estate Securities Investments—Class Y	$	17
UBS PACE Global Real Estate Securities Investments—Class P		336,541
UBS PACE Alternative Strategies Investments—Class A		120,973
UBS PACE Alternative Strategies Investments—Class B		85
UBS PACE Alternative Strategies Investments—Class C		5,957
UBS PACE Alternative Strategies Investments—Class Y		41,463
UBS PACE Alternative Strategies Investments—Class P		408,008

Securities lending

Each Portfolio may lend securities up to 33¹/₃% of its total assets to qualified broker-dealers or institutional investors. The loans are secured at all times by cash, US government securities or irrevocable letters of credit in an amount at least equal to the market value of the securities loaned, plus accrued interest and dividends, determined on a daily basis and adjusted accordingly. The Portfolio will regain ownership of loaned securities to exercise certain beneficial rights; however, each Portfolio may bear the risk of delay in recovery of, or even loss of rights in, the securities loaned should the borrower fail fina ncially. Each Portfolio receives compensation for lending its securities from interest or dividends earned on the cash, US government securities or irrevocable letters of credit held as collateral, net of fee rebates paid to the borrower plus reasonable administrative and custody fees. Until November 12, 2008, UBS Financial Services Inc., an indirect wholly owned subsidiary of UBS AG, and other affiliated broker-dealers had been approved as borrowers under the Portfolios' securities lending program. As of November 12, 2008, State Street Bank and Trust Company is the Portfolios' lending agent. Prior to November 12, 2008, UBS Securities LLC was the Portfolios' lending agent.

For the period August 1, 2008 through November 12, 2008, UBS Securities LLC earned compensation from certain Portfolios as the Portfolios' lending agent as follows:

Portfolio	Compensation
UBS PACE Intermediate Fixed Income Investments	$	1,051
UBS PACE Strategic Fixed Income Investments		1,120
UBS PACE Global Fixed Income Investments		257
UBS PACE High Yield Investments		306
UBS PACE Large Co Value Equity Investments		24,812
UBS PACE Large Co Growth Equity Investments		7,346
UBS PACE Small/Medium Co Value Equity Investments		23,607
UBS PACE Small/Medium Co Growth Equity Investments		46,602
UBS PACE International Equity Investments		7,408
UBS PACE International Emerging Markets Equity Investments		4,555
UBS PACE Global Real Estate Securities Investments		297

Bank line of credit

Each Portfolio, other than UBS PACE Money Market Investments and UBS PACE Large Co Growth Equity Investments, participates with other funds managed, advised or sub-advised by UBS Global AM in a $100 million committed credit facility with State Street Bank and Trust Company ("Committed Credit Facility"), to be utilized for temporary financing until the settlement of sales or purchases of portfolio securities, the repurchase or redemption of shares of each Portfolio at the request of shareholders and other temporary or emergency purposes. Under the Committed Credit Facility arrangement, each Portfolio has agreed to pay commitment fees, pro rata, based on the relative asset size of the funds in the Committed Credit Facility.

314

UBS PACE Select Advisors Trust

Notes to financial statements

Interest is charged to each Portfolio at the overnight federal funds rate in effect at the time of borrowings, plus 0.50%. For the year ended July 31, 2009, the following Portfolios had borrowings as follows:

Portfolio	Average daily amount of borrowing outstanding		Days outstanding		Weighted average annualized interest rate			Interest expense
UBS PACE Government Securities Fixed Income Investments	$	2,455,591		15		1.666	%	$	1,705
UBS PACE Global Fixed Income Investments		2,188,120		13		3.245			2,564
UBS PACE High Yield Investments		1,919,993		2		4.003			427
UBS PACE Small/Medium Co Value Equity Investments		1,091,235		55		0.851			1,419
UBS PACE Small/Medium Co Growth Equity Investments		2,328,259		67		0.973			4,217
UBS PACE International Equity Investments		3,120,252		154		1.353			18,060
UBS PACE International Emerging Markets Equity Investments		1,832,699		94		1.681			8,042
UBS PACE Alternative Strategies Investments		3,006,814		47		0.656			2,577

UBS PACE Large Co Growth Equity Investments participates with other funds advised by UBS Global AM, in a $75 million committed credit facility with JP Morgan Chase Bank ("JPMorgan Chase Bank Facility"), to be utilized for temporary financing until the settlement of sales or purchases of portfolio securities, the repurchase or redemption of shares of the Portfolio at the request of shareholders and other temporary or emergency purposes. Under the JPMorgan Chase Bank Facility arrangement, the Portfolio has agreed to pay commitment fees, pro rata, based on the relative asset size of the funds in the JPMorgan Chase Bank Facility. Interest is charged to the Portfolio at the overnight federal funds rate in effect at the time of borrowings, plus 0.50%. For the year ended July 31, 2009, the Portfolio had an average daily amount of borrowing of $3,532,529 for 13 days at a weighted average annualized interest rate of 0.797%, resulting in $1,017 of interest expense.

Purchases and sales of securities

For the year ended July 31, 2009, aggregate purchases and sales of portfolio securities, excluding short-term securities and US Government and agency securities, were as follows:

Portfolio	Purchases		Sales
UBS PACE Government Securities Fixed Income Investments	$	77,569,915	$	31,461,267
UBS PACE Intermediate Fixed Income Investments		94,260,830		174,020,807
UBS PACE Strategic Fixed Income Investments		376,395,754		459,641,793
UBS PACE Municipal Fixed Income Investments		70,354,718		124,851,002
UBS PACE Global Fixed Income Investments		147,581,643		313,624,944
UBS PACE High Yield Investments		79,455,176		60,931,252
UBS PACE Large Co Value Equity Investments		872,486,395		995,604,374
UBS PACE Large Co Growth Equity Investments		902,401,443		1,040,804,369
UBS PACE Small/Medium Co Value Equity Investments		370,698,153		430,154,811
UBS PACE Small/Medium Co Growth Equity Investments		522,709,531		563,930,563
UBS PACE International Equity Investments		467,552,280		570,133,371
UBS PACE International Emerging Markets Equity Investments		183,329,629		221,878,015
UBS PACE Global Real Estate Securities Investments		70,338,438		62,392,959
UBS PACE Alternative Strategies Investments		881,676,404		893,108,672

315

UBS PACE Select Advisors Trust

Notes to financial statements

For the year ended July 31, 2009, aggregate purchases and sales of US Government and agency securities, excluding short-term securities, were as follows:

Portfolio	Purchases		Sales
UBS PACE Government Securities Fixed Income Investments	$	8,783,810,715	$	9,034,432,597
UBS PACE Intermediate Fixed Income Investments		2,267,924,326		2,249,084,680
UBS PACE Strategic Fixed Income Investments		856,599,213		1,003,317,253
UBS PACE Municipal Fixed Income Investments		4,227,584		4,289,657
UBS PACE Global Fixed Income Investments		34,063,596		37,636,341
UBS PACE Large Co Value Equity Investments		0		1,103,547
UBS PACE Alternative Strategies Investments		1,142,038,726		1,126,504,575

Commission recapture program

The Board has approved a brokerage commission recapture program for the following Portfolios: UBS PACE Large Co Value Equity Investments, UBS PACE Large Co Growth Equity Investments, UBS PACE Small/Medium Co Value Equity Investments, UBS PACE Small/Medium Co Growth Equity Investments, UBS PACE International Equity Investments, UBS PACE International Emerging Markets Equity Investments, UBS PACE Global Real Estate Securities Investments and UBS PACE Alternative Strategies Investments. These Portfolios have established commission recapture arrangements with certain participating brokers or dealers. If a Portfolio's investment sub-advisor chooses to execute a transaction through a participating broker, the broker will rebate a portion of the commission back to the Portfolio. Any collateral benefit received through participation in the commission recapture program is directed exclusively to the Portfolio. The recaptured commissions are reflected on the Statement of operations within the net realized gains (losses) from investment activities.

Federal tax status

Each of the Portfolios intends to distribute substantially all of its income and to comply with the other requirements of the Internal Revenue Code applicable to regulated investment companies. Accordingly, no provision for federal income taxes is required. In addition, by distributing during each calendar year substantially all of its net investment income, net realized capital gains and certain other amounts, if any, each Portfolio intends not to be subject to a federal excise tax.

The tax character of distributions paid during the fiscal years ended July 31, 2009 and July 31, 2008 were as follows:

	2009						2008
Portfolio	Tax- exempt income		Ordinary income		Long term realized capital gains		Tax- exempt income		Ordinary income		Long term realized capital gains		Return of capital
UBS PACE Money Market Investments		—	$	5,188,699		—		—	$	16,388,771		—		—
UBS PACE Government Securities Fixed Income Investments		—		31,473,152		—		—		29,923,805		—		—
UBS PACE Intermediate Fixed Income Investments		—		17,340,284		—		—		20,056,218		—		—
UBS PACE Strategic Fixed Income Investments		—		72,003,648	$	14,127,728		—		37,749,667		—		—
UBS PACE Municipal Fixed Income Investments	$	10,716,766		29,103		—	$	11,582,137		22,275		—		—

316

UBS PACE Select Advisors Trust

Notes to financial statements

	2009						2008
Portfolio	Tax- exempt income		Ordinary income		Long term realized capital gains		Tax- exempt income		Ordinary income		Long term realized capital gains		Return of capital
UBS PACE Global Fixed Income Investments		—	$	21,847,836		—		—	$	50,812,241		—		—
UBS PACE High Yield Investments		—		12,761,815		—		—		7,872,436	$	341	$	300,148
UBS PACE Large Co Value Equity Investments		—		24,067,706		—		—		87,332,323		120,014,302		—
UBS PACE Large Co Growth Equity Investments		—		1,291,989	$	4,940,277		—		2,537,528		36,931,851		—
UBS PACE Small/Medium Co Value Equity Investments		—		3,121,118		89,716		—		17,793,767		43,454,945		—
UBS PACE Small/Medium Co Growth Equity Investments		—		—		—		—		27,551,313		58,083,286		—
UBS PACE International Equity Investments		—		37,591,109		—		—		64,931,494		106,628,024		—
UBS PACE International Emerging Markets Equity Investments		—		5,178,821		57,546,514		—		26,061,029		47,185,401		—
UBS PACE Global Real Estate Securities Investments		—		854,192		—		—		2,154,323		70,222		—
UBS PACE Alternative Strategies Investments		—		2,920,045		4,443,762		—		13,249,755		—		—

At July 31, 2009, the components of accumulated earnings (deficit) on a tax basis were as follows:

Portfolio	Undistributed ordinary income		Undistributed long-term capital gains		Accumulated realized capital and other losses			Unrealized appreciation (depreciation)			Total
UBS PACE Money Market Investments	$	13,063		—		—			—		$	13,063
UBS PACE Government Securities Fixed Income Investments		13,140,670	$	5,632,533		—		$	(8,058,697	)		10,714,506
UBS PACE Intermediate Fixed Income Investments		1,678,898		—	$	(22,507,033	)		(3,325,340	)		(24,153,475	)
UBS PACE Strategic Fixed Income Investments		4,609,753		4,043,926		(16,533,964	)		(28,798,453	)		(36,678,739	)
UBS PACE Municipal Fixed Income Investments		—		—		(3,179,729	)		4,186,744			1,007,015
UBS PACE Global Fixed Income Investments		—		—		(23,704,111	)		26,904,400			3,200,289
UBS PACE High Yield Investments		—		—		(9,844,390	)		(2,917,173	)		(12,761,563	)
UBS PACE Large Co Value Equity Investments		7,394,177		—		(388,578,617	)		(81,390,155	)		(462,574,595	)
UBS PACE Large Co Growth Equity Investments		4,314,260		—		(279,131,830	)		(6,290,559	)		(281,108,129	)
UBS PACE Small/Medium Co Value Equity Investments		658,051		—		(145,411,777	)		7,285,257			(137,468,469	)
UBS PACE Small/Medium Co Growth Equity Investments		—		—		(143,367,928	)		16,320,870			(127,047,058	)
UBS PACE International Equity Investments		13,786,350		—		(291,589,787	)		(33,964,958	)		(311,768,395	)
UBS PACE International Emerging Markets Equity Investments		3,858,081		—		(51,412,455	)		(9,812,176	)		(57,366,550	)
UBS PACE Global Real Estate Securities Investments		3,518,470		—		(42,637,468	)		(7,524,782	)		(46,643,780	)
UBS PACE Alternative Strategies Investments		—		—		(133,462,421	)		(4,369,805	)		(137,832,226	)

317

UBS PACE Select Advisors Trust

Notes to financial statements

At July 31, 2009, the following Portfolios had net capital loss carryforwards available as reductions, to the extent provided in the regulations, of future net realized gains. These losses expire as follows:

	Expiration Dates
Portfolio	July 31, 2011		July 31, 2012		July 31, 2013		July 31, 2014		July 31, 2015		July 31, 2016		July 31, 2017		Total
UBS PACE Intermediate Fixed Income Investments	$	1,504,703	$	7,849,781	$	—	$	3,023,333	$	1,958,404	$	—	$	—	$	14,336,221
UBS PACE Municipal Fixed Income Investments		—		—		—		—		875,309		1,051,765		—		1,927,074
UBS PACE Global Fixed Income Investments		—		—		—		—		6,340,375		2,354,563		765,140		9,460,078
UBS PACE High Yield Investments		—		—		—		—		—		187,540		4,621,857		4,809,397
UBS PACE Large Co Value Equity Investments		—		—		—		—		—		—		138,871,199		138,871,199
UBS PACE Large Co Growth Equity Investments		—		—		—		—		—		—		58,515,117		58,515,117
UBS PACE Small/Medium Co Value Equity Investments		—		—		—		—		—		—		36,465,774		36,465,774
UBS PACE Small/Medium Co Growth Equity Investments		—		—		—		—		—		—		66,552,548		66,552,548
UBS PACE International Equity Investments		—		—		—		—		—		—		75,160,153		75,160,153
UBS PACE International Emerging Markets Equity Investments		—		—		—		—		—		—		14,417,167		14,417,167
UBS PACE Global Real Estate Securities Investments		—		—		—		—		—		20,265		16,496,463		16,516,728
UBS PACE Alternative Strategies Investments		—		—		—		—		—		—		38,285,609		38,285,609

During the fiscal year, the following Portfolios utilized capital loss carryforwards to offset current year realized gains:

Portfolio	Capital loss carryforwards utilized
UBS PACE Government Securities Fixed Income Investments	$	1,054,103
UBS PACE Intermediate Fixed Income Investments		676,539
UBS PACE Municipal Fixed Income Investments		126,300

318

UBS PACE Select Advisors Trust

Notes to financial statements

In accordance with US Treasury regulations, the following Portfolios have elected to defer realized capital losses, foreign currency losses and passive foreign investment company losses ("PFIC") arising after October 31, 2008. Such losses are treated for tax purposes as arising on August 1, 2009:

Portfolio	Capital losses		Foreign currency losses
UBS PACE Intermediate Fixed Income Investments	$	8,094,666		—
UBS PACE Strategic Fixed Income Investments		16,533,964		—
UBS PACE Municipal Fixed Income Investments		1,252,655		—
UBS PACE Global Fixed Income Investments		12,170,919	$	1,083,293
UBS PACE High Yield Investments		3,672,564		1,362,429
UBS PACE Large Co Value Equity Investments		249,707,418		—
UBS PACE Large Co Growth Equity Investments		220,616,713		—
UBS PACE Small/Medium Co Value Equity Investments		108,946,003		—
UBS PACE Small/Medium Co Growth Equity Investments		76,815,380		—
UBS PACE International Equity Investments		216,429,634		—
UBS PACE International Emerging Markets Equity Investments		36,995,288		—
UBS PACE Global Real Estate Securities Investments		26,120,740		—
UBS PACE Alternative Strategies Investments		95,176,812		—

At July 31, 2009, the effect of permanent "book/tax" reclassifications resulted in increases and decreases to components of the Portfolios' net assets as follows:

Portfolio	Accumulated net investment income/(loss)			Accumulated net realized gain/(loss)			Beneficial interest
UBS PACE Government Securities Fixed Income Investments	$	2,920,812		$	(2,920,812	)		—
UBS PACE Intermediate Fixed Income Investments		2,136,912			(2,136,912	)		—
UBS PACE Strategic Fixed Income Investments		9,058,239			(9,058,239	)		—
UBS PACE Municipal Fixed Income Investments		1,129			—		$	(1,129	)
UBS PACE Global Fixed Income Investments		(13,844,890	)		13,844,890			—
UBS PACE High Yield Investments		870,584			(870,584	)		—
UBS PACE Large Co Growth Equity Investments		(113,161	)		113,161			—
UBS PACE Small/Medium Co Value Equity Investments		(76,544	)		76,544			—
UBS PACE Small/Medium Co Growth Equity Investments		1,149,411			—			(1,149,411	)
UBS PACE International Equity Investments		4,525,954			(4,525,954	)		—
UBS PACE International Emerging Markets Equity Investments		(1,018,125	)		1,018,125			—
UBS PACE Global Real Estate Securities Investments		19,158			(19,158	)		—
UBS PACE Alternative Strategies Investments		(99,107	)		15,368,699			(15,269,592	)

319

UBS PACE Select Advisors Trust

Notes to financial statements

These differences are primarily due to tax treatment of foreign currency and futures transactions, net operating losses, paydown gains and losses, distributions in excess of net investment income, disposition of PFIC investments, swap adjustments, REIT adjustments, expiration of capital loss carryforwards, tax character of distributions and adjustments for certain debt obligations.

As of and during the year ended July 31, 2009, the Portfolios did not have any liabilities for any unrecognized tax positions. The Portfolios recognize interest and penalties, if any, related to unrecognized tax positions as income tax expense in the Statement of operations. During the year ended July 31, 2009, the Portfolios did not incur any interest or penalties.

Each of the tax years in the four year period ended July 31, 2009, remains subject to examination by the Internal Revenue Service and state taxing authorities.

Capital contributions from investment manager and sub-advisors

On July 8, 2008, UBS PACE Alternative Strategies Investments recorded a capital contribution from Analytic Investors, Inc., in the amount of $16,460 which was paid in connection with losses incurred due to the disposition of a restricted security.

On May 8, 2008, UBS PACE International Emerging Markets Equity Investments recorded a capital contribution from Mondrian Investment Partners Ltd., in the amount of $1,813 which was paid in connection with losses incurred due to the disposition of a restricted security.

Shares of beneficial interest

There is an unlimited amount of $0.001 par value shares of beneficial interest authorized. Transactions in shares of beneficial interest for each of the Portfolios, except UBS PACE Money Market Investments, about which similar information is provided on the Statement of changes in net assets, were as follows:

UBS PACE Government Securities Fixed Income Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		794,704		$	10,324,132			4,608		$	59,505			187,121		$	2,422,895
Shares repurchased		(1,435,064	)		(18,693,940	)		(11,081	)		(143,809	)		(327,195	)		(4,265,308	)
Shares converted from Class B to Class A		41,278			534,675			(41,259	)		(534,675	)		—			—
Dividends reinvested		245,499			3,183,096			952			12,265			65,462			849,557
Net decrease		(353,583	)	$	(4,652,037	)		(46,780	)	$	(606,714	)		(74,612	)	$	(992,856	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		2,359,212		$	30,552,270			10,532,417		$	137,379,082
Shares repurchased		(1,558,509	)		(20,269,280	)		(22,899,522	)		(297,004,650	)
Dividends reinvested		139,038			1,805,219			1,814,928			23,513,421
Net increase (decrease)		939,741		$	12,088,209			(10,552,177	)	$	(136,112,147	)

320

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE Government Securities Fixed Income Investments (concluded)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		267,376		$	3,493,088			13,964		$	181,622			50,268		$	652,745
Shares repurchased		(1,237,929	)		(16,096,363	)		(26,575	)		(344,974	)		(283,336	)		(3,708,104	)
Shares converted from Class B to Class A		57,116			743,322			(57,090	)		(743,322	)		—			—
Dividends reinvested		221,591			2,881,420			2,368			30,792			60,592			788,521
Net decrease		(691,846	)	$	(8,978,533	)		(67,333	)	$	(875,882	)		(172,476	)	$	(2,266,838	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		1,553,338		$	20,205,410			12,538,956		$	163,568,364
Shares repurchased		(695,280	)		(9,076,847	)		(9,119,327	)		(118,922,397	)
Dividends reinvested		63,455			825,403			1,814,366			23,606,710
Net increase		921,513		$	11,953,966			5,233,995		$	68,252,677

UBS PACE Intermediate Fixed Income Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		508,717		$	5,673,742			5,548		$	59,615			162,600		$	1,812,116
Shares repurchased		(751,373	)		(8,370,574	)		(4,201	)		(48,125	)		(72,890	)		(816,207	)
Shares converted from Class B to Class A		2,715			30,358			(2,711	)		(30,358	)		—			—
Dividends reinvested		119,581			1,330,289			290			3,228			10,949			122,167
Net increase (decrease)		(120,360	)	$	(1,336,185	)		(1,074	)	$	(15,640	)		100,659		$	1,118,076
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		137,417		$	1,531,926			13,274,784		$	147,790,899
Shares repurchased		(63,002	)		(702,761	)		(19,267,717	)		(213,737,546	)
Dividends reinvested		7,218			80,452			1,334,036			14,843,956
Net increase (decrease)		81,633		$	909,617			(4,658,897	)	$	(51,102,691	)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		399,133		$	4,688,328			2,703		$	31,929			58,259		$	687,004
Shares repurchased		(1,073,707	)		(12,584,466	)		(509	)		(6,097	)		(81,885	)		(951,800	)
Shares converted from Class B to Class A		16,630			195,566			(16,612	)		(195,566	)		—			—
Dividends reinvested		128,127			1,493,747			424			4,958			8,969			104,684
Net decrease		(529,817	)	$	(6,206,825	)		(13,994	)	$	(164,776	)		(14,657	)	$	(160,112	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		81,654		$	960,221			9,926,037		$	116,191,890
Shares repurchased		(78,315	)		(915,183	)		(9,770,537	)		(114,193,657	)
Dividends reinvested		5,008			58,434			1,501,065			17,509,782
Net increase		8,347		$	103,472			1,656,565		$	19,508,015

321

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE Strategic Fixed Income Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		1,158,554		$	14,732,706			20,511		$	257,482			360,847		$	4,531,256
Shares repurchased		(834,812	)		(10,596,812	)		(3,024	)		(38,773	)		(145,805	)		(1,860,777	)
Shares converted from Class B to Class A		4,220			54,950			(4,221	)		(54,950	)		—			—
Dividends reinvested		239,230			2,973,992			1,826			22,594			50,492			627,167
Net increase		567,192		$	7,164,836			15,092		$	186,353			265,534		$	3,297,646
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		124,187		$	1,548,317			10,383,796		$	131,380,408
Shares repurchased		(131,417	)		(1,641,523	)		(29,277,183	)		(370,944,752	)
Dividends reinvested		29,260			363,729			6,416,564			79,811,700
Net increase (decrease)		22,030		$	270,523			(12,476,823	)	$	(159,752,644	)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		736,365		$	10,299,729			5,070		$	71,091			47,039		$	658,442
Shares repurchased		(484,834	)		(6,702,458	)		(8,260	)		(113,441	)		(71,066	)		(981,567	)
Shares converted from Class B to Class A		21,425			297,023			(21,429	)		(297,023	)		—			—
Dividends reinvested		66,098			915,062			586			8,073			13,444			186,085
Net increase (decrease)		339,054		$	4,809,356			(24,033	)	$	(331,300	)		(10,583	)	$	(137,040	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		149,834		$	2,095,884			16,017,839		$	222,029,525
Shares repurchased		(27,477	)		(381,575	)		(12,753,702	)		(177,075,572	)
Dividends reinvested		7,966			110,514			2,586,757			35,787,127
Net increase		130,323		$	1,824,823			5,850,894		$	80,741,080

UBS PACE Municipal Fixed Income Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		955,999		$	11,591,980			1,282		$	15,656			179,584		$	2,143,204
Shares repurchased		(1,208,678	)		(14,615,846	)		(4,854	)		(58,641	)		(106,948	)		(1,307,803	)
Shares converted from Class B to Class A		4,476			54,425			(4,476	)		(54,425	)		—			—
Dividends reinvested		170,919			2,076,191			169			2,063			26,485			321,829
Net increase (decrease)		(77,284	)	$	(893,250	)		(7,879	)	$	(95,347	)		99,121		$	1,157,230
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		1,017		$	12,001			6,342,348		$	76,739,936
Shares repurchased		(712	)		(8,858	)		(11,741,873	)		(141,649,274	)
Dividends reinvested		172			2,094			576,921			7,000,558
Net increase (decrease)		477		$	5,237			(4,822,604	)	$	(57,908,780	)

322

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE Municipal Fixed Income Investments (concluded)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		1,161,100		$	14,282,356			4,874		$	60,248			21,111		$	259,803
Shares repurchased		(1,565,195	)		(19,238,457	)		(1,114	)		(13,773	)		(112,220	)		(1,384,101	)
Shares converted from Class B to Class A		8,975			110,554			(8,976	)		(110,554	)		—			—
Dividends reinvested		172,667			2,121,314			174			2,141			25,857			317,758
Net decrease		(222,453	)	$	(2,724,233	)		(5,042	)	$	(61,938	)		(65,252	)	$	(806,540	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		—			—			7,525,054		$	92,785,921
Shares repurchased		(211	)	$	(2,589	)		(4,170,651	)		(51,305,216	)
Dividends reinvested		147			1,814			647,986			7,962,212
Net increase (decrease)		(64	)	$	(775	)		4,002,389		$	49,442,917

UBS PACE Global Fixed Income Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		466,380		$	5,094,875			3,570		$	40,001			91,793		$	1,013,832
Shares repurchased		(1,901,242	)		(20,414,425	)		(14,161	)		(156,962	)		(92,348	)		(981,653	)
Shares converted from Class B to Class A		15,903			172,589			(15,881	)		(172,589	)		—			—
Dividends reinvested		296,581			3,208,918			322			3,505			17,268			186,956
Net increase (decrease)		(1,122,378	)	$	(11,938,043	)		(26,150	)	$	(286,045	)		16,713		$	219,135
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		82,623		$	880,745			6,404,190		$	69,138,944
Shares repurchased		(312,929	)		(3,317,046	)		(21,733,322	)		(231,552,261	)
Dividends reinvested		31,926			344,796			1,546,584			16,724,215
Net decrease		(198,380	)	$	(2,091,505	)		(13,782,548	)	$	(145,689,102	)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		896,730		$	10,881,929			14,833		$	175,823			73,431		$	884,034
Shares repurchased		(1,330,821	)		(15,823,221	)		(18,642	)		(218,532	)		(62,309	)		(742,896	)
Shares converted from Class B to Class A		18,914			223,427			(18,879	)		(223,427	)		—			—
Dividends reinvested		607,558			6,962,895			1,856			21,267			35,606			407,024
Net increase (decrease)		192,381		$	2,245,030			(20,832	)	$	(244,869	)		46,728		$	548,162
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		299,660		$	3,612,554			12,333,305		$	146,850,249
Shares repurchased		(115,861	)		(1,375,239	)		(9,468,802	)		(113,298,928	)
Dividends reinvested		57,027			654,523			3,488,465			40,024,004
Net increase		240,826		$	2,891,838			6,352,968		$	73,575,325

323

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE High Yield Investments

For the year ended July 31, 2009:

	Class A						Class C1
	Shares			Amount			Shares			Amount
Shares sold		774,901		$	5,974,010			213,076		$	1,681,927
Shares repurchased		(210,539	)		(1,623,355	)		(12,105	)		(95,429	)
Dividends reinvested		37,621			286,334			2,820			22,709
Net increase		601,983		$	4,636,989			203,791		$	1,609,207
	Class Y2						Class P
	Shares			Amount			Shares			Amount
Shares sold		732		$	5,000			7,202,359		$	56,408,434
Shares repurchased		—			—			(8,176,699	)		(63,172,121	)
Dividends reinvested		40			309			1,598,523			12,055,172
Net increase		772		$	5,309			624,183		$	5,291,485

For the year ended July 31, 2008:

	Class A						Class P
	Shares			Amount			Shares			Amount
Shares sold		203,952		$	1,926,149			8,505,508		$	81,145,415
Shares repurchased		(48,122	)		(451,590	)		(2,610,410	)		(24,744,704	)
Dividends reinvested		8,363			78,924			844,374			8,002,249
Net increase		164,193		$	1,553,483			6,739,472		$	64,402,960

UBS PACE Large Co Value Equity Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		660,284		$	7,930,768			8,254		$	93,264			33,877		$	393,827
Shares repurchased		(2,870,387	)		(34,570,268	)		(10,569	)		(125,003	)		(281,109	)		(3,414,489	)
Shares converted from Class B to Class A		13,348			153,186			(13,301	)		(153,186	)		—			—
Dividends reinvested		252,025			2,923,492			288			3,364			13,830			160,984
Net decrease		(1,944,730	)	$	(23,562,822	)		(15,328	)	$	(181,561	)		(233,402	)	$	(2,859,678	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		210,794		$	2,271,355			20,080,494		$	230,552,581
Shares repurchased		(478,980	)		(5,700,488	)		(29,018,138	)		(347,132,745	)
Dividends reinvested		54,081			627,879			1,694,551			19,605,951
Net decrease		(214,105	)	$	(2,801,254	)		(7,243,093	)	$	(96,974,213	)

1  For the period January 21, 2009 (commencement of issuance) through July 31, 2009.

2  For the period December 26, 2008 (recommencement of issuance) through July 31, 2009.

324

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE Large Co Value Equity Investments (concluded)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		644,603		$	12,370,102			163		$	3,623			12,514		$	252,274
Shares repurchased		(2,169,908	)		(42,489,031	)		(13,493	)		(277,505	)		(266,816	)		(5,304,656	)
Shares converted from Class B to Class A		31,163			631,532			(31,166	)		(631,532	)		—			—
Dividends reinvested		1,542,382			30,446,607			7,050			139,512			177,155			3,495,274
Net increase (decrease)		48,240		$	959,210			(37,446	)	$	(765,902	)		(77,147	)	$	(1,557,108	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		145,483		$	2,758,563			17,006,422		$	340,886,909
Shares repurchased		(394,378	)		(7,782,137	)		(13,942,311	)		(270,127,528	)
Dividends reinvested		260,610			5,157,464			8,223,599			162,251,624
Net increase		11,715		$	133,890			11,287,710		$	233,011,005

UBS PACE Large Co Growth Equity Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		644,241		$	7,861,600			6,266		$	67,411			23,348		$	253,122
Shares repurchased		(1,136,486	)		(13,708,024	)		(6,538	)		(70,404	)		(81,212	)		(919,964	)
Shares converted from Class B to Class A		7,080			90,720			(7,571	)		(90,720	)		—			—
Dividends reinvested		24,059			276,436			97			1,047			2,162			23,264
Net decrease		(461,106	)	$	(5,479,268	)		(7,746	)	$	(92,666	)		(55,702	)	$	(643,578	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		163,249		$	1,893,714			17,204,825		$	207,651,720
Shares repurchased		(305,109	)		(3,752,192	)		(29,819,584	)		(366,300,315	)
Dividends reinvested		11,397			133,685			484,047			5,648,826
Net decrease		(130,463	)	$	(1,724,793	)		(12,130,712	)	$	(152,999,769	)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		873,239		$	15,611,199			2,676		$	44,465			16,235		$	278,745
Shares repurchased		(749,290	)		(13,458,199	)		(6,932	)		(119,269	)		(69,936	)		(1,208,829	)
Shares converted from Class B to Class A		9,461			176,752			(9,959	)		(176,752	)		—			—
Dividends reinvested		105,408			1,982,738			625			11,064			10,461			185,883
Net increase (decrease)		238,818		$	4,312,490			(13,590	)	$	(240,492	)		(43,240	)	$	(744,201	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		193,699		$	3,586,259			18,867,946		$	348,766,855
Shares repurchased		(275,574	)		(5,086,115	)		(14,860,424	)		(269,656,491	)
Dividends reinvested		39,066			748,901			1,875,974			35,793,580
Net increase (decrease)		(42,809	)	$	(750,955	)		5,883,496		$	114,903,944

325

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE Small/Medium Co Value Equity Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		246,372		$	2,616,610			675		$	9,455			21,582		$	222,857
Shares repurchased		(824,188	)		(8,527,066	)		(4,666	)		(40,399	)		(152,975	)		(1,441,002	)
Shares converted from Class B to Class A		11,752			129,112			(12,604	)		(129,112	)		—			—
Dividends reinvested		18,011			178,128			6			55			185			1,701
Net decrease		(548,053	)	$	(5,603,216	)		(16,589	)	$	(160,001	)		(131,208	)	$	(1,216,444	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		124,253		$	1,318,210			7,961,183		$	79,410,898
Shares repurchased		(166,989	)		(1,665,642	)		(12,358,189	)		(130,657,574	)
Dividends reinvested		4,215			42,610			290,387			2,918,328
Net decrease		(38,521	)	$	(304,822	)		(4,106,619	)	$	(48,328,348	)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		333,867		$	5,152,566			367		$	6,716			7,589		$	120,928
Shares repurchased		(531,278	)		(8,363,222	)		(14,388	)		(216,313	)		(117,631	)		(1,739,022	)
Shares converted from Class B to Class A		21,226			342,689			(22,826	)		(342,689	)		—			—
Dividends reinvested		301,804			4,750,403			6,508			94,621			86,848			1,267,979
Net increase (decrease)		125,619		$	1,882,436			(30,339	)	$	(457,665	)		(23,194	)	$	(350,115	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		65,797		$	1,057,319			7,540,297		$	125,634,020
Shares repurchased		(99,939	)		(1,753,388	)		(6,056,150	)		(97,645,191	)
Dividends reinvested		34,568			556,895			3,344,771			53,516,191
Net increase (decrease)		426		$	(139,174	)		4,828,918		$	81,505,020

UBS PACE Small/Medium Co Growth Equity Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		275,725		$	2,618,914			2,493		$	18,607			18,606		$	183,786
Shares repurchased		(688,549	)		(6,322,902	)		(2,560	)		(20,138	)		(95,360	)		(830,687	)
Shares converted from Class B to Class A		2,918			25,851			(3,160	)		(25,851	)		—			—
Net decrease		(409,906	)	$	(3,678,137	)		(3,227	)	$	(27,382	)		(76,754	)	$	(646,901	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		136,334		$	1,266,993			8,477,168		$	77,137,831
Shares repurchased		(160,723	)		(1,523,761	)		(14,173,325	)		(133,492,602	)
Net decrease		(24,389	)	$	(256,768	)		(5,696,157	)	$	(56,354,771	)

326

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE Small/Medium Co Growth Equity Investments (concluded)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		380,059		$	5,447,262			327		$	5,331			7,534		$	117,654
Shares repurchased		(528,194	)		(7,918,571	)		(3,335	)		(50,451	)		(76,220	)		(1,072,709	)
Shares converted from Class B to Class A		7,920			117,327			(8,518	)		(117,327	)		—			—
Dividends reinvested		452,998			6,767,795			2,665			36,746			70,362			976,626
Net increase (decrease)		312,783		$	4,413,813			(8,861	)	$	(125,701	)		1,676		$	21,571
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		157,897		$	2,543,445			7,795,327		$	121,682,275
Shares repurchased		(141,977	)		(2,124,837	)		(7,013,876	)		(105,492,613	)
Dividends reinvested		64,940			998,131			4,936,544			75,331,657
Net increase		80,860		$	1,416,739			5,717,995		$	91,521,319

UBS PACE International Equity Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		571,939		$	6,201,114			—			—			8,873		$	89,598
Shares repurchased		(1,330,999	)		(13,944,210	)		(2,348	)	$	(30,919	)		(84,168	)		(889,223	)
Shares converted from Class B to Class A		3,892			40,865			(3,932	)		(40,865	)		—			—
Dividends reinvested		275,755			2,845,791			133			1,371			13,339			135,660
Net decrease		(479,413	)	$	(4,856,440	)		(6,147	)	$	(70,413	)		(61,956	)	$	(663,965	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		340,446		$	3,224,877			19,170,198		$	192,830,013
Shares repurchased		(808,911	)		(8,469,346	)		(28,623,459	)		(298,817,677	)
Dividends reinvested		157,137			1,616,941			3,107,946			31,949,681
Net decrease		(311,328	)	$	(3,627,528	)		(6,345,315	)	$	(74,037,983	)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		638,256		$	11,810,528			632		$	12,600			20,781		$	433,118
Shares repurchased		(981,066	)		(17,987,580	)		(4,434	)		(78,737	)		(57,882	)		(1,091,880	)
Shares converted from Class B to Class A		10,311			189,592			(10,514	)		(189,592	)		—			—
Dividends reinvested		752,680			14,082,644			2,592			47,641			51,557			946,583
Net increase (decrease)		420,181		$	8,095,184			(11,724	)	$	(208,088	)		14,456		$	287,821
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		277,148		$	5,076,460			15,737,511		$	300,850,054
Shares repurchased		(633,552	)		(11,668,351	)		(13,814,250	)		(256,221,407	)
Dividends reinvested		414,916			7,754,775			7,763,144			144,860,266
Net increase		58,512		$	1,162,884			9,686,405		$	189,488,913

327

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE International Emerging Markets Equity Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		308,284		$	2,828,696			628		$	5,635			29,331		$	263,728
Shares repurchased		(733,563	)		(7,326,792	)		(4,220	)		(38,619	)		(141,191	)		(1,622,283	)
Shares converted from Class B to Class A		4,436			29,549			(4,723	)		(29,549	)		—			—
Dividends reinvested		562,820			4,254,921			4,671			33,260			114,037			810,805
Net increase (decrease)		141,977		$	(213,626	)		(3,644	)	$	(29,273	)		2,177		$	(547,750	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		1,968,886		$	16,393,043			5,348,327		$	48,647,585
Shares repurchased		(1,088,099	)		(11,160,497	)		(9,634,416	)		(92,330,347	)
Dividends reinvested		591,234			4,540,675			6,768,940			51,850,076
Net increase		1,472,021		$	9,773,221			2,482,851		$	8,167,314

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		337,939		$	7,546,874			379		$	8,116			30,565		$	684,349
Shares repurchased		(358,590	)		(7,779,279	)		(6,042	)		(126,181	)		(64,606	)		(1,315,297	)
Shares converted from Class B to Class A		4,412			92,844			(4,537	)		(92,844	)		—			—
Dividends reinvested		232,817			4,991,598			3,770			77,276			57,773			1,182,038
Net increase (decrease)		216,578		$	4,852,037			(6,430	)	$	(133,633	)		23,732		$	551,090
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		530,628		$	12,357,584			3,365,541		$	76,688,847
Shares repurchased		(424,627	)		(9,297,322	)		(4,706,298	)		(105,092,624	)
Dividends reinvested		254,370			5,535,105			2,784,776			60,373,941
Net increase		360,371		$	8,595,367			1,444,019		$	31,970,164

UBS PACE Global Real Estate Securities Investments

For the year ended July 31, 2009:

	Class A						Class C
	Shares			Amount			Shares			Amount
Shares sold		290,554		$	1,287,894			30,714		$	122,298
Shares repurchased		(493,143	)		(2,608,638	)		(30,405	)		(125,190	)
Dividends reinvested		8,852			39,833			92			416
Net increase (decrease)		(193,737	)	$	(1,280,911	)		401		$	(2,476	)
	Class Y1						Class P
	Shares			Amount			Shares			Amount
Shares sold		2,675		$	11,127			6,764,544		$	28,974,209
Shares repurchased		—			—			(5,105,255	)		(22,874,570	)
Dividends reinvested		—			—			176,684			793,310
Net increase		2,675		$	11,127			1,835,973		$	6,892,949

1  For the period December 26, 2008 (recommencement of issuance) through July 31, 2009.

328

UBS PACE Select Advisors Trust

Notes to financial statements

UBS PACE Global Real Estate Securities Investments (concluded)

For the year ended July 31, 2008:

	Class A						Class C						Class P
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		928,836		$	8,419,221			8,915		$	90,056			5,836,434		$	52,683,971
Shares repurchased		(533,330	)		(4,560,320	)		(18,320	)		(164,946	)		(1,701,916	)		(14,802,302	)
Dividends reinvested		24,271			211,398			999			8,703			228,096			1,991,283
Net increase (decrease)		419,777		$	4,070,299			(8,406	)	$	(66,187	)		4,362,614		$	39,872,952

UBS PACE Alternative Strategies Investments

For the year ended July 31, 2009:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		2,260,653		$	20,193,719			5,986		$	47,632			245,008		$	2,036,513
Shares repurchased		(9,335,513	)		(79,934,791	)		—			—			(258,877	)		(2,217,887	)
Shares converted from Class B to Class A		4,796			39,330			(4,874	)		(39,330	)		—			—
Dividends reinvested		123,559			1,014,423			82			660			7,203			58,485
Net increase (decrease)		(6,946,505	)	$	(58,687,319	)		1,194		$	8,962			(6,666	)	$	(122,889	)
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		485,333		$	4,304,423			11,356,471		$	100,000,134
Shares repurchased		(4,466,050	)		(38,519,549	)		(24,491,823	)		(208,257,527	)
Dividends reinvested		60,793			499,722			687,645			5,659,320
Net decrease		(3,919,924	)	$	(33,715,404	)		(12,447,707	)	$	(102,598,073	)

For the year ended July 31, 2008:

	Class A						Class B						Class C
	Shares			Amount			Shares			Amount			Shares			Amount
Shares sold		11,999,043		$	130,223,796			1,203		$	13,117			734,939		$	7,919,032
Shares repurchased		(3,499,573	)		(37,898,870	)		(654	)		(7,060	)		(321,449	)		(3,417,630	)
Dividends reinvested		176,113			1,916,110			44			474			9,381			101,320
Net increase		8,675,583		$	94,241,036			593		$	6,531			422,871		$	4,602,722
	Class Y						Class P
	Shares			Amount			Shares			Amount
Shares sold		5,687,399		$	59,733,844			25,986,192		$	284,354,452
Shares repurchased		(210,638	)		(2,205,286	)		(8,207,779	)		(89,122,799	)
Dividends reinvested		—			—			1,017,460			11,100,483
Net increase		5,476,761		$	57,528,558			18,795,873		$	206,332,136

329

UBS PACE Select Advisors Trust

Notes to financial statements

US Treasury Temporary Guarantee Program for Money Market Funds

UBS PACE Money Market Investments Portfolio participated in the US Treasury Department Temporary Guarantee Program for Money Market Funds. The program covered shareholders of mutual funds as of the close of business on September 19, 2008. The program expired on September 18, 2009. UBS PACE Money Market Investments Portfolio bore the cost of participating in this program, as this is not an expense borne by the advisor. UBS PACE Money Market Investments Portfolio paid a fee of 0.01% of the value of its outstanding shares on September 19, 2008 (valued at $1.00 per share) for participation in the program for the initial coverage period of September 19, 2008, through December 18, 2008. The program was first extended until April 30, 2009, and the UBS PACE Money Market Investments Portfolio paid a fee calculated in the same manner but at the rate of 0.015% for continued participation in the program through that date. In April, the prog ram was extended a final time, providing coverage through September 18, 2009. UBS PACE Money Market Investments Portfolio paid an additional fee for continued coverage for the period May 1, 2009 through September 18, 2009, calculated in the same manner and at the same 0.015% rate as for the initial extension period.

Subsequent events

In accordance with the provisions set forth in FAS 165 "Subsequent Events," management has evaluated the effect of subsequent events on the Portfolio's financial statements through September 25, 2009. Management has determined that there are no material subsequent events that would require disclosure in the Portfolio's financial statements through this date.

330

UBS PACE Select Advisors Trust

Report of Ernst & Young LLP, independent registered public accounting firm

The Board of Trustees and Shareholders of
UBS PACE Select Advisors Trust

We have audited the accompanying statements of assets and liabilities, including the portfolios of investments, of UBS PACE Select Advisors Trust (comprising, respectively, UBS PACE Money Market Investments, UBS PACE Government Securities Fixed Income Investments, UBS PACE Intermediate Fixed Income Investments, UBS PACE Strategic Fixed Income Investments, UBS PACE Municipal Fixed Income Investments, UBS PACE Global Fixed Income Investments, UBS PACE High Yield Investments, UBS PACE Large Co Value Equity Investments, UBS PACE Large Co Growth Equity Investments, UBS PACE Small/Medium Co Value Equity Investments, UBS PACE Small/Medium Co Growth Equity Investments, UBS PACE International Equity Investments, UBS PACE International Emerging Markets Equity Investments, UBS PACE Global Real Estate Securities Investments and UBS PACE Alternative Strategies Investments, collectively the "Trust") as of July 31, 2009, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the periods indicated therein. These financial statements and financial highlights are the responsibility of the Trust's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Trust's internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Trust's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and s ignificant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of July 31, 2009, by correspondence with the custodian and others, or by other appropriate auditing procedures where replies from others were not received. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the respective series constituting UBS PACE Select Advisors Trust at July 31, 2009, the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the indicated periods, in conformity with US generally accepted accounting principles.

  

New York, New York
September 25, 2009

331

UBS PACE Select Advisors Trust

Tax information (unaudited)

We are required by subchapter M of the Internal Revenue Code of 1986, as amended, to advise you within 60 days of each Portfolio's fiscal year end (July 31, 2009) as to the federal tax status of distributions received by shareholders during such fiscal year. Accordingly, the percentage of dividends paid that qualify for the dividends received deduction for corporate shareholders and the amount of foreign tax credit to be passed through to shareholders are as follows:

Portfolio	Dividend Received Deduction			Foreign Tax Credit
UBS PACE Large Co Value Equity Investments		100	%		—
UBS PACE Large Co Growth Equity Investments		100	%		—
UBS PACE Small/Medium Co Value Equity Investments		98.39	%		—
UBS PACE International Equity Investments		—		$	2,756,839
UBS PACE International Emerging Markets Equity Investments		—			1,047,975
UBS PACE Global Real Estate Securities Investments		6.64	%		—
UBS PACE Alternative Strategies Investments		55.68	%		—

Also, for the fiscal year ended July 31, 2009, the foreign source income for information reporting purposes for UBS PACE International Equity Investments and UBS PACE International Emerging Markets Equity Investments is $32,146,666 and $10,236,530, respectively.

For the period ended July 31, 2009, certain dividends paid by the Portfolios below may be subject to a maximum tax rate of 15%, as provided for by the Jobs and Growth Tax Relief Reconciliation Act of 2003. Of the distributions paid during the period, the amounts below represent the maximum amount that may be considered qualified dividend income.

Portfolio	Maximum amount considered qualified dividend income
UBS PACE Large Co Value Equity Investments	$	24,067,706
UBS PACE Large Co Growth Equity Investments		1,291,989
UBS PACE Small/Medium Co Value Equity Investments		3,121,118
UBS PACE International Equity Investments		37,591,109
UBS PACE International Emerging Markets Equity Investments		5,178,821
UBS PACE Global Real Estate Securities Investments		854,192
UBS PACE Alternative Strategies Investments		2,920,045

Dividends received by tax-exempt recipients (e.g., IRAs and Keoghs) need not be reported as taxable income. Some retirement trusts (e.g., corporate, Keogh and 403(b)(7) plans) may need this information for their annual information reporting.

Shareholders should not use the above information to prepare their tax returns. Since each Portfolio's fiscal year is not the calendar year, another notification will be sent with respect to calendar year 2009. Such notification, which will reflect the amount to be used by calendar year taxpayers on their federal income tax returns, will be made in conjunction with Form 1099 DIV and will be mailed in February 2010. Shareholders are advised to consult their own tax advisers with respect to the tax consequences of their investment in each of the Portfolios.

332

UBS PACE Select Advisors Trust

General information (unaudited)

Quarterly Form N-Q portfolio schedule

Each Portfolio will file its complete schedule of portfolio holdings with the Securities and Exchange Commission ("SEC") for the first and third quarters of each fiscal year on Form N-Q. The Portfolios' Forms N-Q are available on the SEC's Web site at http://www.sec.gov. The Portfolios' Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, D.C. Information on the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC 0330. Additionally, you may obtain copies of Forms N-Q from the Portfolios upon request by calling 1-800-647 1568.

Proxy voting policies, procedures and record

You may obtain a description of each Portfolio's (1) proxy voting policies, (2) proxy voting procedures and (3) information regarding how a Portfolio voted any proxies related to portfolio securities during the most recent 12-month period ended June 30 for which an SEC filing has been made, without charge, upon request by contacting a Portfolio directly at 1-800-647 1568, online on a Portfolio's Web site: www.ubs.com/ubsglobalam-proxy, or on the EDGAR Database on the SEC's Web site (http://www.sec.gov).

Other tax information

Pursuant to Section 871(k)(2)(C) of the Internal Revenue Code, UBS PACE Money Market Investments designates 100% of its "qualified short-term gains" (as defined in Section 871(k)(2)(D)) related to the distribution made in December 2008 as short-term capital gain dividends.

333

UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

February 2009 Board Meeting:

First Quadrant L.P.

Background—At a meeting of the Board of UBS PACE^SM Select Advisors Trust (the "Trust") on February 11, 2009, the members of the board, including the Trustees who are not "interested persons" of the Trust ("Independent Trustees"), as defined in the Investment Company Act of 1940, as amended (the "1940 Act"), considered and approved a proposed sub-advisory agreement between UBS Global Asset Management (Americas) Inc. ("UBS Global AM") and First Quadrant, L.P. ("First Quadrant") with respect to UBS PACE Alternative Strategies Investments (the "Portfolio") (the "Sub-Advisory Agreement"). In considering the approval of the Sub-Advisory Agreement, the board was able to draw on its knowledge of the Tr ust, its portfolios and UBS Global AM. The board took note of its knowledge of UBS Global AM and the investment advisory and sub-advisory agreements for the Portfolio and the other portfolios of the Trust, including the extensive materials the board had reviewed at its last annual contract renewal meeting for the portfolios in July 2008, and noted that it had at that time received a memorandum from its independent legal counsel discussing, among other things, the duties of the Trustees in considering approval of investment advisory and sub-advisory agreements. The board also received a memorandum from UBS Global AM discussing UBS Global AM's reasons for recommending First Quadrant as an investment advisor for the Portfolio.

In its consideration of the approval of the Sub-Advisory Agreement, the board considered the following factors:

Nature, Extent and Quality of the Services under the Sub-Advisory Agreement—The board's evaluation of the services to be provided by First Quadrant to the Portfolio took into account the board's knowledge and familiarity gained as board members of funds in the UBS New York fund complex, including the Trust and its portfolios. The board considered UBS Global AM's reasons for recommending First Quadrant as an investment advisor for the Portfolio, including that the Portfolio had reached a size sufficient to support the retention of a fourth investment advisor with a strategy that complements those of the current investment advisors for the Portfolio. In that connection, the board also approved certain changes to the allocations and investment strategies of Analytic Investors, LLC and Wellington Management Company, LLP, two other investment advisors for the Portfolio, to reflect the addition of First Quadrant and its global macro strategy. The board also received materials from First Quadrant detailing First Quadrant's global macro strategy and met with representatives of First Quadrant, who discussed with the board their investment process and the backgrounds and qualifications of the portfolio management team members. The board concluded that, overall, it was satisfied with the nature, extent and quality of services expected to be provided to the Portfolio under the Sub-Advisory Agreement.

Sub-Advisory Fee—The board reviewed and considered the proposed contractual sub-advisory fee to be payable by UBS Global AM in light of the nature, extent and quality of the sub-advisory services anticipated to be provided by First Quadrant. The board noted that, as explained by UBS Global AM, the fee payable to First Quadrant was based on the use of the global macro strategy and that, as a result of certain other changes, the overall blended fee rate charged by the investment advisors and paid by UBS Global AM was expected to decrease. However, the board also considered that the compensation to be paid to First Quadrant would be paid by UBS Global AM, not the Portfolio and, accordingly, that the retention of First Quadrant would not affect the fees otherwise incurred by the Portfolio's shareholders. Taking all of the above into consideration, th e board determined that the proposed sub-advisory fee was reasonable in light of the nature, extent and quality of the services proposed to be provided to the Portfolio under the Sub-Advisory Agreement.

334

UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

Fund Performance—The board received and considered composite performance information and certain other performance information provided by management and First Quadrant with respect to accounts managed by First Quadrant in the global macro style. The board also noted that, as First Quadrant would be a new investment advisor for the Portfolio, the current performance of the Portfolio was not directly relevant to the consideration of the approval of the Sub-Advisory Agreement.

Advisor Profitability—Profitability of UBS Global AM or its affiliates in providing services to the Portfolio was not a factor considered by the board, as the sub-advisory fee would be paid by UBS Global AM out of the management fee paid to it by the Portfolio, and not by the Portfolio. However, the board did take note that the overall blended advisory fee rate paid by UBS Global AM to the Portfolio's investment advisors was expected to decrease. Given that the board routinely reviews the profitability of UBS Global AM on an annual basis, the board decided to take into account the new fee retention levels as part of its next annual contract review later in 2009.

Economies of Scale—The board noted that, as the sub-advisory fee for the Portfolio would be paid by UBS Global AM, not by the Portfolio, consideration of economies of scale with respect specifically to the sub-advisory fee were not relevant.

Other Benefits to First Quadrant—The board was informed by management that First Quadrant's relationship with the Portfolio would be limited to its provision of sub-advisory services to the Portfolio and that therefore management believed that First Quadrant did not receive tangible ancillary benefits as a result of its relationship with the Portfolio, with the exception of possible benefits from soft dollars for the Portfolio (which would also potentially benefit the Portfolio). The board recognized that First Quadrant could receive intangible benefits from its association with the Portfolio, such as increased name recognition or publicity from being selected as an investment advisor for the Portfolio after an extensive review process. Similarly, the Portfolio could benefit from having an investment advisor with an established or well-regarded r eputation.

In light of all of the foregoing, the board approved the Sub-Advisory Agreement for the Portfolio, contingent upon the favorable completion by UBS Global AM's compliance department of its review of First Quadrant, which was completed subsequent to the board's meeting on February 11, 2009.

No single factor reviewed by the board was identified by the board as the principal factor in determining whether to approve the Sub-Advisory Agreement. The Independent Trustees were advised by separate independent legal counsel throughout the process. The board discussed the proposed approval of the Sub-Advisory Agreement in a private session with their independent legal counsel at which no representatives of UBS Global AM or First Quadrant were present.

Analytic Investors, LLC

At the same meeting, the members of the board, including the Independent Trustees, also considered and approved a proposed sub-advisory agreement (the "Analytic Investors Sub-Advisory Agreement") between UBS Global AM and Analytic Investors with respect to the Portfolio. The board was asked to approve the Analytic Investors Sub-Advisory Agreement as Analytic Investors had agreed to a reduced sub-advisory fee schedule to reflect the fact that Analytic Investors would no longer be providing its complex global tactical asset allocation and index option strategies to the Portfolio. (It was proposed that the then effective sub-advisory agreement with Analytic Investors be replaced by a newer, substantially similar agreement, but with a lower fee schedule.)

335

UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

In its consideration of the approval of the proposed Analytic Investors Sub-Advisory Agreement, the board considered the following factors:

Nature, Extent and Quality of the Services under the Analytic Investors Sub-Advisory Agreement—The board's evaluation of the services expected to be provided by Analytic Investors to the Portfolio took into account the board's knowledge and familiarity gained as board members of funds in the UBS New York fund complex, including the Trust and its portfolios. The board noted that Analytic Investors had served as a sub-advisor to the Portfolio since April 2006 and the portfolio management services provided by Analytic Investors were proposed to change in connection with the approval of the proposed sub-advisory agreement with First Quadrant, as First Quadrant would now provide a global macro strategy for the Portfolio. The board considered a presentation by management on the sub-adviser reallocations and the investment strategies to be implemented b y the sub-advisers for the Portfolio. The board concluded that, overall, it was satisfied with the nature, extent and quality of services expected to be provided to the Portfolio under the proposed Analytic Investors Sub-Advisory Agreement.

Sub-Advisory Fee—The board reviewed and considered the proposed contractual sub-advisory fee to be payable by UBS Global AM in light of the nature, extent and quality of the sub-advisory services anticipated to be provided by Analytic Investors. The board considered that the sub-advisory fee rate was proposed to be reduced as a result of management's proposal to no longer employ two of the three investment strategies then being used by Analytic Investors in sub-advising Portfolio assets. The board considered that the compensation to be paid to Analytic Investors would be paid by UBS Global AM, not the Portfolio and, accordingly, that the continued retention of Analytic Investors would not reduce the fees otherwise incurred by the Portfolio's shareholders. The board considered the impact to UBS Global AM of the reduced fees it would pay to Analyti c Investors. The board determined that the proposed sub-advisory fee was reasonable in light of the nature, extent and quality of the services proposed to be provided to the Portfolio under the Analytic Investors Sub-Advisory Agreement.

Other Factors—Portfolio performance, profitability, economies of scale and other benefits to Analytic Investors were not factors specifically considered by the board in its approval of the Analytic Investors Sub-Advisory Agreement, although the board reviewed Portfolio performance generally, as it does at each regular board meeting. The board noted that, as Analytic Investors would be providing only one of the three investment strategies it was then employing with respect to Portfolio assets, prior Portfolio performance was of limited relevance to the board's consideration of Analytic Investors. The board took note that it would review the Analytic Investors Sub-Advisory Agreement and Analytic Investors again at its July 2009 annual contract renewal meeting for the Trust and would consider these factors at that time.

In light of all of the foregoing, the board approved the proposed Analytic Investors Sub-Advisory Agreement for the Portfolio. No single factor reviewed by the board was identified by the board as the principal factor in determining whether to approve the Analytic Investors Sub-Advisory Agreement. The Independent Trustees were advised by separate independent legal counsel throughout the process.

336

UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

May 2009 Board Meeting:

Buckhead Capital Management, LLC and Systematic Financial Management, L.P.

Background—At a meeting of the board of UBS PACE^SM Select Advisors Trust (the "Trust") on May 6, 2009, the members of the board, including the Trustees who are not "interested persons" of the Trust ("Independent Trustees"), as defined in the Investment Company Act of 1940, as amended (the "1940 Act"), considered and approved (1) a proposed sub-advisory agreement between UBS Global Asset Management (Americas) Inc. ("UBS Global AM") and Buckhead Capital Management, LLC ("Buckhead") and (2) a proposed sub-advisory agreement between UBS Global AM and Systematic Financial Management, L.P. ("Systematic"), each with respect to UBS PACE Small/Medium Co Value Equity Investments (the "Portfolio") (each a "Sub-Advisory Agreement"). In considering the approval of the Sub-Advisory Agreements, the board was able to draw on its knowledge of the Trust , its portfolios and UBS Global AM. The board took note of its knowledge of UBS Global AM and the investment advisory and sub-advisory agreements for the other portfolios of the Trust, including the extensive materials the board had reviewed at its last annual contract renewal meeting for the portfolios in July 2008, and noted that it had at that time received a memorandum from its independent legal counsel discussing, among other things, the duties of the Trustees in considering approval of advisory and sub-advisory agreements. The board also received a memorandum from UBS Global AM discussing UBS Global AM's reasons for recommending Buckhead and Systematic as investment advisors for the Portfolio.

In its consideration of the approval of the Sub-Advisory Agreements, the Board considered the following factors:

Nature, Extent and Quality of the Services under the Sub-Advisory Agreements—The board's evaluation of the services to be provided by Buckhead and Systematic to the Portfolio took into account the board's knowledge and familiarity gained as board members of funds in the UBS New York fund complex, including the Trust and its portfolios. The board took note of management's reasons for recommending Buckhead and Systematic as investment advisors to the Portfolio, including that the changes would result in a portfolio less dependent upon specific style factors. The board also received materials from each of Buckhead and Systematic detailing each investment advisor's investment strategy and met with the portfolio management team and other representatives of each of Buckhead and Systematic, who discussed with the board their investment process and the b ackgrounds and qualifications of the portfolio management team. The board concluded that, overall, it was satisfied with the nature, extent and quality of services expected to be provided to the Portfolio under the proposed Sub-Advisory Agreements.

Sub-Advisory Fees—The board reviewed and considered the proposed contractual sub-advisory fees to be payable by UBS Global AM to each of Buckhead and Systematic in light of the nature, extent and quality of the sub-advisory services anticipated to be provided by Buckhead and Systematic, respectively. The board took note that the proposed sub-advisory fees, in the aggregate with the sub-advisory fees of MetWest Capital Management, LLC (the Portfolio's remaining other sub-advisor), would be equal to the current aggregate sub-advisory fees. (Buckhead and Systematic were being proposed as sub-advisors in conjunction with the proposal to terminate two other firms that had been serving as sub-advisors to the Portfolio—namely, Ariel Investments, LLC and Opus Capital Management.) The board also considered that the compensation to be paid to Buckhead and Systematic would be paid by UBS Global AM, not the Portfolio, and, accordingly, that the retention of Buckhead and Systematic would not affect the fees otherwise incurred by the Portfolio's shareholders. Taking all of the above into consideration, the board determined

337

UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

that each proposed sub-advisory fee was reasonable in light of the nature, extent and quality of the services proposed to be provided to the Portfolio under the applicable Sub-Advisory Agreement.

Fund Performance—The board received and considered composite performance information provided by each of Buckhead and Systematic. The board also noted that, as each of Buckhead and Systematic would be a new investment advisor to the Portfolio, the current performance of the Portfolio was not relevant to the consideration of the approval of either Sub-Advisory Agreement.

Advisor Profitability—Profitability of UBS Global AM or its affiliates in providing services to the Portfolio was not a factor considered by the board, as the sub-advisory fees would be paid by UBS Global AM out of the management fee paid to it by the Portfolio, and not by the Portfolio.

Economies of Scale—The board noted that, as the sub-advisory fees for the Portfolio would be paid by UBS Global AM, not by the Portfolio, considerations of economies of scale with respect specifically to the sub-advisory fees were not relevant.

Other Benefits to Buckhead and Systematic—The board was informed by management that each of Buckhead's and Systematic's relationship with the Portfolio would be limited to its provision of sub-advisory services to the Portfolio and that therefore management believed that neither Buckhead nor Systematic would receive tangible ancillary benefits as a result of its relationship with the Portfolio, with the exception of possible benefits from soft dollars for the Portfolio (which also would potentially benefit the Portfolio). The board recognized that Buckhead and Systematic could each receive intangible benefits from its association with the Portfolio, such as increased name recognition or publicity from being selected as an investment advisor to the Portfolio after an extensive review process. Similarly, the Portfolio could benefit from having an i nvestment advisor with an established or well-regarded reputation.

In light of all of the foregoing, the board approved the Sub-Advisory Agreements for the Portfolio contingent, with respect to Buckhead, upon the favorable completion by UBS Global AM's compliance department of its review of Buckhead, which was completed subsequent to the board's meeting on May 6, 2009.

No single factor reviewed by the board was identified by the board as the principal factor in determining whether to approve either Sub-Advisory Agreement. The Independent Trustees were advised by separate independent legal counsel throughout the process. The board discussed the proposed approval of each Sub-Advisory Agreement in a private session with its independent legal counsel at which no representatives of UBS Global AM, Buckhead or Systematic were present.

Goldman Sachs Asset Management, L.P.

At the same meeting, the members of the board, including the Independent Trustees, considered and approved a proposed sub-advisory agreement (the "GSAM Sub-Advisory Agreement") between UBS Global AM and Goldman Sachs Asset Management, L.P. ("GSAM") with respect to UBS PACE Alternative Strategies Investments (the "Portfolio"). The board was asked to approve the GSAM Sub-Advisory Agreement as GSAM had agreed to a reduced sub-advisory fee schedule. (It was proposed that the then effective sub-advisory agreement with GSAM be replaced by a newer, substantially similar agreement, but with a lower fee schedule.)

338

UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

In its consideration of the approval of the GSAM Sub-Advisory Agreement, the board considered the following factors:

Nature, Extent and Quality of the Services under the GSAM Sub-Advisory Agreement—The board's evaluation of the services currently provided and expected to be provided by GSAM to the Portfolio took into account the board's knowledge and familiarity gained as board members of funds in the UBS New York fund complex, including the Trust and its portfolios. The board noted that GSAM had served as a sub-advisor to the Portfolio since September 2007 and that no terms of the then-current sub-advisory agreement between GSAM and UBS Global AM, other than the reduction in the sub-advisory fee, and no changes from the services provided by GSAM to the Portfolio under the then-current sub-advisory agreement, were being proposed. The board concluded that, overall, it was satisfied with the nature, extent and quality of services expected to be provided to the Po rtfolio under the proposed GSAM Sub-Advisory Agreement.

Sub-Advisory Fee—The board reviewed and considered the proposed contractual sub-advisory fee to be payable by UBS Global AM in light of the nature, extent and quality of the sub-advisory services anticipated to be provided by GSAM. The board considered that the compensation to be paid to GSAM would be paid by UBS Global AM, not the Portfolio and, accordingly, that the continued retention of GSAM would not reduce the fees otherwise incurred by the Portfolio's shareholders. The board considered the impact to UBS Global AM of the reduced fees it would pay to GSAM. The board determined that the proposed sub-advisory fee was reasonable in light of the nature, extent and quality of the services proposed to be provided to the Portfolio under the GSAM Sub-Advisory Agreement.

Other Factors—Portfolio performance, profitability, economies of scale and other benefits to GSAM were not factors specifically considered by the board in its approval of the GSAM Sub-Advisory Agreement (although the board reviewed Portfolio performance generally, as it does at each regular board meeting), as no changes to the then-current sub-advisory agreement for GSAM, other than the reduced sub-advisory fee schedule, were being proposed. The board took note that it would review the GSAM Sub-Advisory Agreement and GSAM again at its July 2009 annual contract renewal meeting for the Trust and would consider these factors at that time.

In light of all of the foregoing, the board approved the proposed GSAM Sub-Advisory Agreement for the Portfolio. No single factor reviewed by the board was identified by the board as the principal factor in determining whether to approve the GSAM Sub-Advisory Agreement. The Independent Trustees were advised by separate independent legal counsel throughout the process.

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UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

Background—At a meeting of the board of UBS PACE^SM Select Advisors Trust (the "Trust") on July 15-16, 2009, the members of the board, including the Trustees who are not "interested persons" of the Trust ("Independent Trustees"), as defined in the Investment Company Act of 1940, as amended (the "1940 Act"), considered and approved the continuance of the investment management and administration agreement (the "Investment Management and Administration Agreement") between UBS Global Asset Management (Americas) Inc. ("UBS Global AM") and the Trust, on behalf of each series of the Trust (each a "Portfolio" and together the "Portfolios") and, for those Portfolios with Subadvisors, the subadvisory agreements for the Portfolios. (Throughout this discussion, each subadvisor to a Portfolio is referred to as a "Subadvisor" and each subadvisory agr eement is referred to as a "Subadvisory Agreement.") In preparing for the meeting, the board members had requested and received extensive information from UBS Global AM to assist them, including information about the Portfolios' Subadvisors, as well as the management, subadvisory, administrative and distribution arrangements for the Portfolios. The Independent Trustees discussed the materials initially provided by management prior to the scheduled board meeting. The Independent Trustees also met in executive session after management's presentation was completed to review the disclosure that had been made to them at the meeting. At all of these sessions the Independent Trustees were joined by their independent legal counsel. The Independent Trustees also received a memorandum from their independent legal counsel discussing the duties of board members in considering approval of management, subadvisory, administration and distribution agreements.

In its consideration of the approval of the Investment Management and Administration Agreement and the Subadvisory Agreements, the board considered the following factors:

Nature, extent and quality of the services under the Investment Management and Administration Agreement and the Subadvisory Agreements—The board received and considered information regarding the nature, extent and quality of management services provided to the Portfolios by UBS Global AM and, for those Portfolios with Subadvisor(s), subadvisory services provided by the particular Subadvisor during the past year. The board also considered the nature, extent and quality of administrative, distribution, and shareholder services performed by UBS Global AM and its affiliates for the Portfolios and the resources devoted to, and the record of compliance with, each Portfolio's compliance policies and procedures. The board noted that it received information at regular meetings throughout the year regarding the services rendered by UBS Global AM concerning the management of each Portfolio's affairs and UBS Global AM's role in coordinating providers of other services to the Portfolios. The board noted the complexity of this process for the Portfolios, given their broad range of investment strategies. The board noted that UBS Global AM provided extensive oversight of the Subadvisors for the Portfolios and reported to the board at each meeting on the Subadvisors' performance and made recommendations with respect to Subadvisor changes from time to time based on the performance of the Subadvisors and certain other relevant factors. The board's evaluation of the services provided by UBS Global AM and the Subadvisors took into account the board's knowledge and familiarity gained as board members of funds in the UBS New York fund complex, including the scope and quality of UBS Global AM's investment management and other capabilities and the quality of its administrative and other services. The board observed that the scope of services provided by UBS Global AM had ex panded over time as a result of regulatory and other developments, including maintaining and monitoring its own and the Portfolios' expanded compliance programs. It also was noted that the Investment Management and Administration Agreement under consideration had been approved by shareholders at a special meeting of shareholders held in 2008, relatively recently.

The board had available to it information regarding the qualifications, backgrounds and responsibilities of the senior personnel at UBS Global AM responsible for the Portfolios and had previously received information regarding the person, persons or portfolio management team primarily responsible for the day-to-day portfolio

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management of each Portfolio and recognized that the Portfolios' senior personnel at UBS Global AM report to the board regularly and that at each regular meeting the board receives a detailed report on each Portfolio's performance and receives more extensive information periodically from each Subadvisor. The board also considered, based on its knowledge of UBS Global AM and its affiliates, the financial resources available to UBS Global AM and its parent organization, UBS AG. In that regard, the board received extensive financial information regarding UBS Global AM and noted that it was a wholly owned, indirect subsidiary of one of the largest financial services firms in the world. It was also noted that UBS Global AM had approximately $142 billion in assets under management and was part of the UBS Global Asset Management Division, which had approximately $507 billion of assets under management worldwide as of March 31, 2009. The board was also cognizant of, and considered, the regulatory and litigation actions and investigations occurring in the past few years involving UBS AG, UBS Global AM and certain of their affiliates.

The board concluded that, overall, it was satisfied with the nature, extent and quality of services provided (and expected to be provided) to the Portfolios under the Investment Management and Administration Agreement as well as under the Subadvisory Agreements.

Management and subadvisory fees and expense ratios—For each Portfolio, the board reviewed and considered the contractual management fee (each, a "Contractual Management Fee") payable by the Portfolio to UBS Global AM in light of the nature, extent and quality of the advisory and administrative services provided by UBS Global AM. The board also reviewed and considered the fee waiver and/or expense reimbursement arrangements for the Portfolio (if any) and considered the actual fee rate (after taking any waivers and reimbursements into account) (the "Actual Management Fee"). The board considered whether UBS Global AM had entered into one or more fee waiver and/or expense reimbursement agreements with a Portfolio under which UBS Global AM was contractually obligated to waive its management fees and/or reimburse the Portfolio so that the total ordinar y operating expenses of certain or all classes of a given Portfolio through November 30, 2009 (excluding extraordinary items, dividend expense, borrowing costs and/or interest expense, if any) would not exceed specified limits for each class (or, with respect to certain Portfolios, an agreement to waive a portion of its management fee). The board also considered that each Portfolio with such a fee waiver/reimbursement agreement had agreed to repay UBS Global AM for those waived fees and/or reimbursed expenses if the Portfolio can do so over the following three fiscal years without causing its expenses in any of those years to exceed the expense caps. Additionally, the board received and considered information comparing each Portfolio's Contractual Management Fee, Actual Management Fee and overall expenses with those of funds in a group of funds selected and provided by Lipper, Inc. ("Lipper"), an independent provider of investment company data (the "Expense Group"), and, when available, the board also receiv ed comparative data on a subset of the Expense Group that included only subadvised funds. A discussion of the board's considerations with respect to each Portfolio's fees is set forth below.

In addition, management explained the effect the past year's financial crisis and shareholder purchase/redemption activity had on each Portfolio's assets and the corresponding effect that that had on each Portfolio's "fixed" costs (i.e., those costs that can be relatively independent of increases/decreases in overall levels of Portfolio assets), specifically transfer agency fees and other non-management expenses. Management noted that the Lipper data that the board received for each Portfolio's Expense Group was calculated based on a full year of financial results for periods ended during 2008, which may not reflect the full impact of the financial crisis and resulting overall general decline in assets, whereas each Portfolio's expense data which Lipper used in its quintile comparison rankings was annualized based on the six-month period ended January 31, 2009, which reflected most of the impact of the financial crisis. Therefor e, management explained that this timing and methodology difference could affect the comparability of the Lipper data with respect to each Portfolio's expenses and the Lipper results of quintile comparison rankings of the Portfolios, as the reduced asset levels of a Portfolio in comparison with its Expense Group could cause the Portfolio's comparative total expenses to

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appear worse than they otherwise would, and that this effect had occurred for several Portfolios. The board acknowledged this issue, recognizing that comparisons of annualized Portfolio data each year with industry data for a full year would produce some anomalies; however, such data was still viewed as useful and relevant to the Board's analysis.

In connection with its consideration of each Portfolio's management fees, the board also received information on UBS Global AM's standard institutional account fees for accounts of a similar investment type to each of the Portfolios. The board noted that, in general, these fees were lower than the Contractual Management Fees and Actual Management Fees for the Portfolios, but also noted management's explanation that comparisons with such accounts may be of limited relevance given the different structures and regulatory requirements of mutual funds versus such accounts and the differences in the levels of services required by mutual funds and such accounts. The board also received information on fees charged to other mutual funds managed by UBS Global AM. The board did not receive comparative information from Lipper with respect to the subadvisory fees for those Portfolios with Subadvisors in connection with its consideration of s ubadvisory fees. The board observed that it had received certain information regarding fees, profitability, compensation from other similar funds, and economies of scale from certain Subadvisors as part of the summary of each Subadvisor's responses to requests for due diligence materials in connection with the board's consideration of the approvals of the Subadvisory Agreements; however, the board also observed that the compensation paid to a Subadvisor is paid by UBS Global AM, not the particular Portfolio and, accordingly, that the retention of a Subadvisor generally does not increase the fees otherwise incurred by a Portfolio's shareholders (unless a management fee waiver level was affected by a subadvisory fee increase).

Portfolio performance—For each Portfolio, the board received and considered (a) annualized total return information of the Portfolio compared to other funds (the "Performance Universe") selected by Lipper over the one-, three-, five-, ten- (or shorter for newer Portfolios) year and since inception periods ended April 30, 2009, and (b) annualized performance information for each year in the ten-year (or shorter) period ended April 30, 2009. The board was provided with a description of the methodology Lipper used to determine the similarity of a Portfolio with the funds included in its Performance Universe. The board also considered UBS Global AM's statement that while management believed that the Lipper peer groups were useful in evaluating Portfolio expenses relative to peers, they were less useful in evaluating performance, as in many cases they were broad-based and consisted of funds that did not necessarily have similar investment parameters to the applicable Portfolio. The board also noted that it had received information throughout the year at periodic intervals with respect to each Portfolio's performance, including in most cases with respect to certain benchmark indices, including with respect to each Subadvisor's performance. Further discussion of the board's considerations with respect to each Portfolio's performance is set forth below.

Adviser profitability—The board received and considered a profitability analysis of UBS Global AM and its affiliates in providing services to each Portfolio. The board also received profitability information with respect to the UBS New York fund complex as a whole. UBS Global AM's profitability was considered not excessive in light of the nature, extent and quality of the services provided to the Portfolios. To the extent provided by a Subadvisor, the board also reviewed information with respect to the Subadvisor's profitability in providing services to the Portfolios. The board did not consider such Subadvisor profitability information highly relevant as the subadvisory fees are paid by UBS Global AM, not by the relevant Portfolio.

Economies of scale—The board received and considered information from management regarding whether UBS Global AM realized economies of scale as the Portfolios' assets grew, whether the Portfolios have appropriately benefited from any economies of scale, and whether there is potential for realization of any

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further economies of scale for the Portfolios. The board considered whether economies of scale in the provision of services to the Portfolios were being passed along to the shareholders. The board noted that each Portfolio's Contractual Management Fee contained breakpoints, with the exception of UBS PACE Money Market Investments. The board also noted that as of April 30, 2009, with the exception of UBS PACE Small/Medium Co Growth Equity Investments, UBS PACE Small/Medium Co Value Equity Investments, UBS PACE International Emerging Markets Equity Investments, UBS PACE Alternative Strategies Investments, UBS PACE Global Real Estate Securities Investments, UBS PACE High Yield Investments and UBS Global Fixed Income Investments for those Portfolios having breakpoints, each Portfolio's asset level exceeded its first breakpoint. Accordingly, the board determined that actual economies of scale existed for those Portfolios whose assets had reached the first breakpoint level and potential economies of scale existed for those Portfolios whose assets had not yet reached their first breakpoint level. The board also noted that to the extent a Portfolio's assets have increased over time, it has realized other economies of scale as certain expenses, such as fees for Trustees, auditor and legal fees and printing and postage, become a smaller percentage of overall assets. The board also took note of the relationship between any breakpoints in a subadvisory fee and the breakpoints in fees paid by the Portfolios to UBS Global AM.

Generally, in light of UBS Global AM's profitability data, the Actual Management Fee, the Contractual Management Fee and the breakpoints currently in place for the Portfolios, the board believed that UBS Global AM's sharing of potential and current economies of scale with the Portfolios was acceptable.

Other benefits to UBS Global AM and the Subadvisors—The board considered other benefits received by UBS Global AM and its affiliates as a result of their relationships with the Portfolios, including the opportunity to offer additional products and services to Portfolio shareholders. The board was informed by management that the Subadvisors' relationships with the subadvised Portfolios were limited to their provision of subadvisory services to these Portfolios, and that therefore, management believed that the Subadvisors and their affiliates did not receive tangible ancillary benefits as a result of their relationships with the subadvised Portfolios, with the exception of possible benefits from soft dollars for the equity Portfolios (which would also potentially benefit such Portfolios) and possible limited benefits to certain affiliates of a Suba dvisor, such as broker-dealers (e.g., an affiliate's execution of Portfolio transactions subject to detailed restrictions in SEC rules and board oversight procedures). The board recognized that certain Subadvisors could receive intangible benefits from their association with the Trust, such as increased name recognition or publicity from being selected as Subadvisors to the Trust after an extensive review process. Similarly, a Portfolio could benefit from having a Subadvisor with an established or well-regarded reputation. In light of the costs of providing investment management, administrative and other services to the Portfolios and UBS Global AM's ongoing commitment to the Portfolios, the profits and other ancillary benefits that UBS Global AM and its affiliates received were considered reasonable.

In the discussions that follow, reference is made to "quintile" placement in Lipper expense group and performance universe categories. With respect to expenses, the first quintile represents that 20% of the funds in the Expense Group with the lowest fees or expenses, as applicable, and the fifth quintile represents that 20% of the funds in the Expense Group with the highest fees or expenses, as applicable. With respect to performance, the first quintile represents that 20% of the funds in the Performance Universe with the best relative performance, and the fifth quintile represents that 20% of the funds in the Performance Universe with the worst relative performance. Lipper quintile placement information is calculated on a share class basis. References to quintile placement appearing below relate to Class A shares, and the Board had information relevant to other share classes (e.g., Class P shares) during its considerations.

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UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

UBS PACE Large Co Growth Equity Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreements with each of Delaware Management Company, Wellington Management Company, LLP, Marsico Capital Management, LLC and SSgA Funds Management, Inc., the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the third quintile for the one-, three- and five-year periods and in the fourth quintile since inception. Management noted the Portfolio's improving performance relative to its Performance Universe over the short- and intermediate-term periods.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee and Actual Management Fee were in the fourth quintile and that its total expenses were in the third quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report. Management explained that although the Portfolio's Contractual and Actual Management Fee were above the median for the Portfolio's Expense Group, the Portfolio's Actual Management Fee was close to the Expense Group's median and the Portfolio's total expenses were only slightly above the Expense Group's median. In addition, management noted that the Portfolio's total expenses were below the medians of a subset of the Portfolio's Expense Group that consisted of only sub-advised funds.

UBS PACE Large Co Value Equity Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreements with each of Pzena Investment Management, LLC, Westwood Management Corporation and Institutional Capital LLC, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the third quintile for the one- and three-year periods and in the second quintile for the five-year period and since inception.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee was in the fourth quintile and its Actual Management Fee and total expenses were in the fifth quintile. Management noted that the Portfolio's Actual Management Fee and total expenses were slightly below the median of a subset of the Portfolio's Expense Group that consisted of only sub-advised funds.

UBS PACE Small/Medium Co Growth Equity Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreements with Copper Rock Capital Partners, LLC, Palisade Capital Management L.L.C. and Riverbridge Partners, LLC, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the first quintile for the one-year period, the third quintile for the three-year period and since inception and the fourth quintile for the five-year period. Management noted the Portfolio's improving performance relative

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to its Performance Universe and that taking into account the Performance Group's volatility, the Portfolio's performance was close to the Performance Group's median for the five year period and since inception.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee and Actual Management Fee were in the third quintile and its total expenses were in the fourth quintile. Management noted that the Portfolio's Actual Management Fee and total expenses were below the median of a subset of the Portfolio's Expense Group that consisted of only sub-advised funds.

UBS PACE Small/Medium Co Value Equity Investments

Background—In approving the Investment Management and Administration Agreement and the Subadvisory Agreements with each of Buckhead Capital Management, LLC, Metropolitan West Capital Management, LLC and Systematic Financial Management L.P., the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the second quintile for the one- and three-year periods and in the fourth quintile for the five-year period and since inception. Management noted the Portfolio's improving performance relative to its Performance Universe and that taking into account the Performance Group's volatility, the Portfolio's performance was close to the Performance Group's median for the five year period and since inception.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee and total expenses were in the second quintile and its Actual Management Fee was in the first quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report.

UBS PACE International Equity Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreements with each of Martin Currie Inc., Mondrian Investment Partners Ltd. and J.P. Morgan Investment Management Inc., the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the third quintile for the one- and five-year periods and since inception and in the fourth quintile for the three-year period. Management noted to the board that although the Portfolio's three-year return was below the Portfolio's Performance Universe median, taking into account the volatility of the Portfolio's returns the three-year return was close to the median. In addition, Management noted the Portfolio's most recent improving performance relative to its Performance Universe.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee was in the second quintile and its Actual Management Fee and total expenses were in the third quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report.

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UBS PACE Select Advisors Trust

Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

UBS PACE International Emerging Markets Equity Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreements with each of Gartmore Global Partners and Mondrian Investment Partners Ltd., the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the third quintile for the one- and five-year periods, in the second quintile for the three-year period and in the fifth quintile since inception. Management noted the Portfolio's improving performance relative to its Performance Universe over the short- and intermediate-term periods and that earlier performance was primarily attributable to previous subadvisors.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee was in the third quintile and its Actual Management Fee was in the fourth quintile, while its total expenses were in the fifth quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report. Management noted that the Portfolio's total expenses were at the median of a subset of the Portfolio's Expense Group that consisted of only sub-advised funds.

UBS PACE Alternative Strategies Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreements with each of Analytic Investors, LLC, Goldman Sachs Asset Management, L.P., First Quadrant L.P. and Wellington Management Company, LLP, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the second quintile for the one-year period and in the third-quintile for the three-year period and since inception.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee, Actual Management Fee and total expenses were in the fourth quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report. Management discussed with the board the heterogeneous nature of the relatively small Lipper Expense Group Universe. In light of the complex strategies employed by the Portfolio, the board determined that the management fee and the subadvisory fees were reasonable in light of the nature, extent and quality of the services provided to the Portfolio.

UBS PACE Global Real Estate Securities Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreement with Goldman Sachs Asset Management, L.P., the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the fifth quintile for the one-year period and in the fourth quintile for the period since inception. Management believed that the main contributor to the Portfolio's underperformance was its defensive positioning when compared to its Performance Universe during a strong market rally in high risk real estate securities during a key portion of the year. Management stated that it would continue to closely monitor the Portfolio and the Subadvisor's ability to select securities that are expected to fare well through a market cycle.

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Board Approvals of Investment Management and Administration Agreement and Subadvisory Agreements (unaudited)

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee was in the second quintile, its Actual Management Fee was in the first quintile and its total expenses were in the fourth quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report. Management noted that the Portfolio's total expenses, although in the fourth quintile, were close to the Portfolio's Expense Group's median and attributed its ranking in part to the relatively small size of the Portfolio versus peers.

UBS PACE Government Securities Fixed Income Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreement with Pacific Investment Management Company LLC, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the first quintile for the one-, three- and five-year periods and in the second quintile since inception.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee, Actual Management Fee and total expenses were in the fifth quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report. In making its determination, the board recognized that the Portfolio's Actual Management Fee was a significant cause of the Portfolio's high total expenses relative to its Expense Group; however, in light of the Portfolio's significant outperformance versus its peers, the board determined that the management fee and the subadvisory fees were satisfactory. Nonetheless, the board noted that it would continue to monitor the Portfolio's expenses over the next year.

UBS PACE High Yield Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreement with MacKay Shields LLC, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio was in the first quintile for the one-year period and since inception.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee and total expenses were in the fourth quintile, while its Actual Management Fee was in the third quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report. Management noted that the Portfolio's Actual Management Fee and total expenses were significantly lower than or very close to, respectively, the median of a subset of the Portfolio's Expense Group that consisted of only sub-advised funds.

UBS PACE Intermediate Fixed Income Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreement with BlackRock Financial Management, Inc., the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the third quintile for the one-year period, the second quintile for the three- and five-year periods and in

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the fifth quintile since inception. Management noted the Portfolio's improving performance relative to its Performance Universe over the short- and intermediate-term periods and that its earlier performance was primarily attributable to previous subadvisors.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee and its Actual Management Fee was in the third quintile and total expenses were in the fourth quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report.

UBS PACE Municipal Fixed Income Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreement with Standish Mellon Asset Management Company LLC, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the second quintile for the one-year period, the third quintile for the three- and five-year periods, and the fourth quintile since inception. Management reminded the board of the portfolio management strategy changes made in 2007 and the Portfolio's improving performance over the short and intermediate periods.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee, Actual Management Fee and its total expenses were in the fourth quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report.

UBS PACE Strategic Fixed Income Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreement with Pacific Investment Management Company LLC, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the third quintile for the one-year period and in the second quintile for the three- and five-year periods and since inception.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee and Actual Management Fee were in the fourth quintile and its total expenses were in the fifth quintile. Management believed that the Portfolio uses more complex strategies and investments in comparison with many other funds in its Expense Group.

UBS PACE Global Fixed Income Investments

In approving the Investment Management and Administration Agreement and the Subadvisory Agreement with Rogge Global Partners plc, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the fourth quintile for the one-year period and the third quintile for the three- and five-year periods and since inception. Management believed that the primary cause of the Portfolio's relative underperformance

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for the one-year period was the Portfolio's relative overweighting in the global financial services corporate debt sector in comparison to its Performance Universe, which consists of a number of funds which had larger sovereign debt exposure. Management noted that with the recent improvement in liquidity and greater visibility on the impact of global stimulus packages on the financial sector, the Portfolio's performance had recently improved.

Management and subadvisory fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee and Actual Management Fee were in the fourth quintile and its total expenses were in the second quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report. In reviewing the Portfolio's fees, the board noted that although the Actual Management Fees were slightly above the Portfolio's Expense Group median, the Portfolio's total expenses were slightly below the Expense Group median.

UBS PACE Money Market Investments

In approving the Investment Management and Administration Agreement, the board, including the Independent Trustees, also considered the following factors:

Portfolio performance—The comparative Lipper information showed that the Portfolio's performance was in the second quintile for the one-, three-, five- and ten-year periods and since inception.

Management fees and expense ratios—The comparative Lipper information showed that the Portfolio's Contractual Management Fee was in the second quintile, its Actual Management Fee was in the first quintile and its total expenses were in the third quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report.

Conclusion

Based on its review and, in certain instances, management's explanations upon further questioning, the board concluded that each Portfolio's investment performance was satisfactory or acceptable and that each management fee and subadvisory fee was reasonable in light of the nature, extent and quality of the services provided to the Portfolio under the applicable Investment Management and Administration Agreement and Subadvisory Agreement or Subadvisory Agreements, respectively.

In light of all of the foregoing, the board approved the Investment Management and Administration Agreement for each Portfolio and, for those Portfolios with Subadvisors, the Subadvisory Agreement(s). No single factor reviewed by the board was identified by the board as the principal factor in determining whether to approve the Investment Management and Administration Agreement or, for the subadvised Portfolios, the Subadvisory Agreements. The Independent Trustees were advised by separate independent legal counsel throughout the process. The board discussed the proposed continuance of the Investment Management and Administration Agreement and the Subadvisory Agreements in a private session with their independent legal counsel at which no representatives of UBS Global AM or the Subadvisors were present.

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Supplemental information (unaudited)

Board of Trustees & Officers

The Trust is governed by a Board of Trustees which oversees the Portfolios' operations. Each Trustee serves an indefinite term of office. Officers are appointed by the trustees and serve at the pleasure of the Board. The table below shows, for each trustee and officer, his or her name, address and age, the position held with the Trust, the length of time served as a trustee or officer of the Trust, the trustee's or officer's principal occupations during the last five years, the number of portfolios in the UBS fund complex overseen by the trustee or for which a person served as an officer, and other directorships held by the trustee.

The Trust's Statement of Additional Information contains additional information about the trustees and is available, without charge, upon request by calling 1-800-647 1568.

Interested Trustee

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years	Number of portfolios in fund complex overseen by trustee	Other directorships held by trustee
Meyer Feldberg††; 67 Morgan Stanley 1585 Broadway 36th Floor New York, NY 10036	Trustee	Since 2001	Professor Feldberg is Dean Emeritus and Professor of Leadership and Ethics at Columbia Business School, although on an extended leave of absence. He is also a senior advisor to Morgan Stanley (financial services) (since March 2005). Professor Feldberg also serves as president of New York City Global Partners (an organization located in part of the Office of the Mayor of the City of New York that promotes interaction with other cities around the world) (since May 2007). Prior to July 2004, he was Dean and Professor of Leadership and Ethics of the Graduate School of Business at Columbia University (since 1989).	Professor Feldberg is a director or trustee of 29 investment companies (consisting of 60 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Professor Feldberg is also a director of Primedia Inc. (publishing), Macy's, Inc. (operator of department stores), Revlon, Inc. (cosmetics), SAPPI, Ltd. (producer of paper) and the New York City Ballet.

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Supplemental information (unaudited)

Independent Trustees

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years	Number of portfolios in fund complex overseen by trustee	Other directorships held by trustee
Richard Q. Armstrong; 74 c/o Willkie Farr & Gallagher LLP 787 Seventh Avenue New York, NY 10019-6099	Trustee and Chairman of the Board of Trustees	Since 2001 (Trustee) Since 2004 (Chairman of the Board of Trustees)	Mr. Armstrong is chairman and principal of R.Q.A. Enterprises (management consulting firm) (since April 1991 and principal occupation since March 1995).	Mr. Armstrong is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	None
Alan S. Bernikow; 68 207 Benedict Ave. Staten Island, NY 10314	Trustee	Since 2005	Mr. Bernikow is retired. He was a consultant on non-management matters for the firm of Deloitte & Touche (international accounting and consulting firm) (from June 2003 until 2007). Previously, he was deputy chief executive officer at Deloitte & Touche.	Mr. Bernikow is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Mr. Bernikow is also a director of Revlon, Inc. (cosmetics) (and serves as the chair of its audit committee and as a member of its nominating and corporate governance committee), a director of Mack-Cali Realty Corporation (real estate investment trust) (and serves as the chair of its audit committee); and a director of the Casual Male Retail Group, Inc. (menswear) (and serves as a member of its audit committee and as a member of its nominating and corporate governance committee).
Richard R. Burt; 62 McLarty Associates 900 17th Street, 8th Floor Washington, D.C. 20006	Trustee	Since 2001	Mr. Burt is a managing director to McLarty Associates (a consulting firm) (since April 2007) and chairman of IEP Advisors (international investments and consulting firm). Prior to April 2007, he was chairman of Diligence Inc. (information and risk management firm).	Mr. Burt is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Mr. Burt is also a director of The Central European Fund, Inc., The Germany Fund, Inc., The New Germany Fund, Inc. and IGT, Inc. (provides technology to gaming and wagering industry).

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Supplemental information (unaudited)

Independent Trustees (concluded)
Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years	Number of portfolios in fund complex overseen by trustee	Other directorships held by trustee
Bernard H. Garil; 69 6754 Casa Grande Way Delray Beach, FL 33446	Trustee	Since 2005	Mr. Garil is retired (since 2001). He was a managing director at PIMCO Advisory Services (from 1999 to 2001) where he served as president of closed-end funds and vice-president of the variable insurance product funds advised by OpCap Advisors (until 2001).	Mr. Garil is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Mr. Garil is also a director of OFI Trust Company (commercial trust company) and a trustee for the Brooklyn College Foundation, Inc. (charitable foundation).
Heather R. Higgins; 50 255 E. 49th St., Suite 23D New York, NY 10017	Trustee	Since 2005	Ms. Higgins is the President and Director of The Randolph Foundation (charitable foundation) (since 1991). Ms. Higgins also serves on the boards of several non-profit charitable groups, including the Independent Women's Forum (chairman), and the Philanthropy Roundtable (vice chairman). She also serves on the board of the Hoover Institution (since January 2009), on which she had previously served from 2001 - 2007 (executive committee).	Ms. Higgins is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	None

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Supplemental information (unaudited)

Officers

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Joseph Allessie*; 44	Vice President and Assistant Secretary	Since 2005	Mr. Allessie is an executive director (since 2007) (prior to which he was a director) and deputy general counsel (since 2005) at UBS Global Asset Management (US) Inc. and UBS Global Asset Management (Americas) Inc. (collectively, "UBS Global AM-Americas region"). Prior to joining UBS Global AM-Americas region, he was senior vice president and general counsel of Kenmar Advisory Corp. (from 2004 to 2005). Prior to that Mr. Allessie was general counsel and secretary of GAM USA Inc., GAM Investments, GAM Services, GAM Funds, Inc. and the GAM Avalon Funds (from 1999 to 2004). Mr. Allessie is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Caren Cunningham*; 50	Vice President and Assistant Secretary*	Since 2007	Ms. Cunningham is an executive director and senior associate general counsel of UBS Global AM-Americas region (since 2007). Prior to joining UBS Global AM-Americas region, she was vice president and senior legal manager (distribution) of Pioneer Investment Management Limited (from 2005 to 2006). Prior to that Ms. Cunningham was assistant general counsel of Fidelity Investments (1999 - 2006). Ms. Cunningham is a vice president and assistant secretary of UBS PACE Select Advisors Trust (consisting of 15 portfolios) and an assistant secretary of 20 other investment companies (consisting of 90 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Thomas Disbrow*; 43	Vice President and Treasurer	Since 2000 (Vice President) Since 2004 (Treasurer)	Mr. Disbrow is an executive director (since 2007) (prior to which he was a director) (since 2000) and head of the US mutual fund treasury administration department (since September 2006) of UBS Global AM-Americas region. Mr. Disbrow is a vice president and treasurer and/or principal accounting officer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Michael J. Flook*; 44	Vice President and Assistant Treasurer	Since 2006	Mr. Flook is an associate director and a senior manager of the US mutual fund treasury administration department of UBS Global AM-Americas region (since 2006). Prior to joining UBS Global AM-Americas region, he was a senior manager with The Reserve (asset management firm) from May 2005 to May 2006. Prior to that he was a senior manager with PFPC Worldwide since October 2000. Mr. Flook is a vice president and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Mark F. Kemper**; 51	Vice President and Secretary	Since 2004	Mr. Kemper is a managing director (since 2006) and head of the legal department of UBS Global AM-Americas region (since 2004). He was deputy general counsel of UBS Global AM-Americas region (from July 2001 to July 2004). He has been secretary of UBS Global AM-Americas since 1999 and assistant secretary of UBS Global Asset Management Trust Company since 1993 and secretary of UBS AM Holdings (USA) Inc. (since 2001). Mr. Kemper is secretary of UBS Global AM-Americas region (since 2004). Mr. Kemper is vice president and secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

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Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Joanne M. Kilkeary*; 41	Vice President and Assistant Treasurer	Since 1999	Ms. Kilkeary is a director (since March 2008) (prior to which she was an associate director) (since 2000) and a senior manager (since 2004) of the US mutual fund treasury administration department of UBS Global AM-Americas region. Ms. Kilkeary is a vice president and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Tammie Lee*; 38	Vice President and Assistant Secretary	Since 2005	Ms. Lee is a director and associate general counsel of UBS Global AM-Americas region (since 2005). Prior to joining UBS Global AM-Americas region, she was vice president and counsel at Deutsche Asset Management/Scudder Investments from 2003 to 2005. Prior to that she was assistant vice president and counsel at Deutsche Asset Management/Scudder Investments from 2000 to 2003. Ms. Lee is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Steven J. LeMire*; 40	Vice President and Assistant Treasurer	Since 2007	Mr. LeMire is a director and senior manager of the US mutual fund treasury administration department of UBS Global AM—Americas region (since October 2007). Prior to joining UBS Global AM—Americas region, he was an independent consultant with Third River Capital, LLC (formerly Two Rivers Capital, LLC) (from 2005 to 2007). Prior to that, he was vice president of operations and fund administration with Oberweis Asset Management, Inc. (from 1997 to 2005). Mr. LeMire is a vice President and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Joseph McGill*; 47	Vice President and Chief Compliance Officer	Since 2004	Mr. McGill is a managing director (since 2006) and chief compliance officer (since 2003) at UBS Global AM-Americas region. Prior to joining UBS Global AM-Americas region, he was assistant general counsel at JPMorgan Investment Management (from 1999 to 2003). Mr. McGill is a vice president and chief compliance officer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Nancy D. Osborn*; 43	Vice President and Assistant Treasurer	Since 2007	Mrs. Osborn is an associate director and a senior manager of the US mutual fund treasury administration department of UBS Global AM-Americas region (since 2006). Prior to joining UBS Global AM-Americas region, she was an assistant vice president with Brown Brothers Harriman since April 1996. Mrs. Osborn is a vice president and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Robert Sabatino**; 36	Vice President	Since 2001	Mr. Sabatino is an executive director (since 2007) (prior to which he was a director) and portfolio manager of UBS Global AM—Americas region in the short duration fixed income group (since 2001). From 1995 to 2001 he was a portfolio manager at Merrill Lynch Investment Managers responsible for the management of several retail and institutional money market funds. Mr. Sabatino is a vice president of 4 investment companies (consisting of 33 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

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UBS PACE Select Advisors Trust

Supplemental information (unaudited)

Officers (concluded)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Eric Sanders*; 43	Vice President and Assistant Secretary	Since 2005	Mr. Sanders is a director and associate general counsel of UBS Global AM-Americas region (since 2005). From 1996 until June 2005, he held various positions at Fred Alger & Company, Incorporated, the most recent being assistant vice president and associate general counsel. Mr. Sanders is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Andrew Shoup*; 53	Vice President and Chief Operating Officer	Since 2006	Mr. Shoup is a managing director and global head of the treasury administration department of UBS Global AM-Americas region (since July 2006). Mr. Shoup is also a director of UBS (IRL) Fund p.l.c. (since December 2008). Prior to joining UBS Global AM-Americas region, he was chief administrative officer for the Legg Mason Partner Funds (formerly Smith Barney, Salomon Brothers, and CitiFunds mutual funds) from November 2003 to July 2006. Prior to that, he held various positions with Citigroup Asset Management and related companies with their domestic and offshore mutual funds since 1993. Additionally, he has worked for another mutual fund complex as well as spending eleven years in public accounting. Mr. Shoup is a vice president and chief operating officer of 21 investment companies (consisting of 104 po rtfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Kai R. Sotorp**; 50	President	Since 2006	Mr. Sotorp is Head—Americas for UBS Global Asset Management (since 2004); a member of the UBS Group Managing Board (since 2003) and a member of the UBS Global Asset Management Executive Committee (since 2001). Mr. Sotorp is a director and president of UBS AM Holdings (USA) Inc. (since 2004). Prior to his current role, Mr. Sotorp was head of UBS Global Asset Management—Asia Pacific (2002-2004), covering Australia, Japan, Hong Kong, Singapore and Taiwan; head of UBS Global Asset Management (Japan) Ltd. (2001-2004); representative director and president of UBS Global Asset Management (Japan) Ltd. (2000-2004); and member of the board of Mitsubishi Corp.—UBS Realty Inc. (2000-2004). Mr. Sotorp is president of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Keith A. Weller*; 48	Vice President and Assistant Secretary	Since 2000	Mr. Weller is an executive director and senior associate general counsel of UBS Global AM-Americas region (since 2005) and has been an attorney with affiliated entities since 1995. Mr. Weller is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM-Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

*  This person's business address is 51 West 52nd Street, New York, New York 10019-6114.

**  This person's business address is One North Wacker Drive, Chicago, Illinois 60606.

†  Each trustee holds office for an indefinite term. Each trustee who has attained the age of seventy-five (75) years will be subject to retirement on the last day of the month in which he or she attains such age unless the Trust's board, including a majority of its Independent Trustees, determines to grant a waiver of the retirement policy with respect to a specified individual for a set period of time. The retirement policy has been waived with respect to Mr. Armstrong, the Chairman of the Board, until 2011. Officers are appointed by the trustees and serve at the pleasure of the Board.

††  Professor Feldberg is deemed an "interested person" of the Trust as defined in the Investment Company Act because he is a senior advisor to Morgan Stanley, a financial services firm with which the Trust may conduct transactions.

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356

UBS PACE Money Market
Investments

Annual Report
July 31, 2009

UBS PACE Money Market Investments

September 21, 2009

Dear Shareholder,

For the 12 months ended July 31, 2009, the Portfolio returned 0.81% (before the deduction of the maximum UBS PACE program fee; after the deduction of the maximum UBS PACE program fee, the Portfolio declined 0.70%). In comparison, the 90-Day US T-Bill Index (the "benchmark") returned 0.65%, and the Lipper Money Market Funds category posted a median return of 0.77%. (Returns over various time periods are shown in the "Performance at a glance" table on page 7. Please note that the returns shown do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions.)

Market Review

The 12-month reporting period was marked by some of the most challenging economic and market conditions in a generation. The bursting of the housing bubble, a severe credit crunch, lower business and consumer spending and surging unemployment caused the US economy to weaken significantly, with US gross domestic product declining in each quarter of the reporting period. Following the conclusion of the reporting period, however, signs of recovery were seen to be emerging. The Federal Reserve Board (the "Fed") issued a statement on August 12, 2009 acknowledging that the economy had stabilized. In that statement, the Fed wrote that it expects the US economy to remain weak for a time, noting that "economic activity is leveling out,"

UBS PACE Money
Market Investments

Investment Advisor:

UBS Global Asset Management (Americas) Inc.

Portfolio Manager:

Robert Sabatino

Objective:

Current income consistent with preservation of capital and liquidity

Investment process:

The Portfolio is a money market mutual fund and seeks to maintain a stable price of $1.00 per share, although it may be possible to lose money by investing in this Portfolio. The Portfolio invests in a diversified portfolio of high-quality money market instruments of governmental and private issuers. Security selection is based on the assessment of relative values and changes in market and economic conditions.

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UBS PACE Money Market Investments

and adding that "conditions in financial markets have improved further in recent weeks".

The Fed reduced the federal funds rate on several occasions during the reporting period. (The federal funds rate, or "fed funds" rate, is the rate that banks charge one another for funds they borrow on an overnight basis.) When the reporting period began, the fed funds rate was 2.00%. The Fed then held rates steady, citing inflationary pressures on the back of soaring oil and food prices.

However, with the global financial crisis rapidly escalating and oil prices falling sharply, the Fed lowered rates on October 8, as the Fed joined several other central banks from around the world in a coordinated interest rate cut. This was followed by another rate reduction at the Fed's regularly scheduled meeting on October 29. Together, these cuts brought the federal funds rate to 1.00%. During its meeting on December 16, the Fed aggressively cut the fed funds rate to a range of 0.00% to 0.25%—a record low. The Fed maintained this historically low rate throughout the reporting period.

Portfolio Performance

Given the issues impacting the credit markets, we sought to maintain a high degree of liquidity in the Portfolio in order to minimize pricing volatility and to meet redemption requests. We did so by investing a significant portion of the Portfolio's new subscriptions in shorter-dated money market securities maturing within one to three months.

At the security level, we maintained a greater than usual level of diversification over the reporting period by investing in smaller positions. While the Portfolio is generally able to hold up to 5.00% in any one security (subject to certain exceptions), we typically purchased no more than 1.00% to 2.00% in any one nongovernment issuer, as part of our efforts to reduce risk and keep the Portfolio highly diversified.

In terms of the securities that we emphasized, at the beginning of the reporting period, the Portfolio held a significant exposure to commercial paper and US government and agency obligations. As the period continued, we increased the Portfolio's exposure to asset-backed commercial paper. This move followed measures

2

UBS PACE Money Market Investments

taken by the Fed to improve the liquidity of asset-backed commercial paper in response to the turmoil in the credit markets. In addition, we increased the Portfolio's exposure to US government and agency obligations, while decreasing exposure to certificates of deposit and repurchase agreements over the period. (Repurchase agreements are transactions in which the seller of a security agrees to buy it back at a predetermined time and price or upon demand.)

As always, we thank you for your continued support and welcome any comments or questions you may have.

Sincerely,

Kai R. Sotorp President UBS PACE Select Advisors Trust Head—Americas UBS Global Asset Management (Americas) Inc.	Robert Sabatino Portfolio Manager UBS PACE Money Market Investments Executive Director UBS Global Asset Management (Americas) Inc.

This letter is intended to assist shareholders in understanding how the Portfolio performed during the 12 months ended July 31, 2009. The views and opinions in this letter were current as of September 21, 2009. They are not guarantees of performance or investment results and should not be taken as investment advice.

Investment decisions reflect a variety of factors, and we reserve the right to change our views about individual securities, sectors and markets at any time. As a result, the views expressed should not be relied upon as a forecast of the Portfolio's future investment intent. We encourage you to consult your financial advisor regarding your personal investment program. Investors should carefully read and consider a mutual fund's investment objectives, risks, charges, and expenses before investing. The prospectus contains this and other information about a mutual fund. For a current prospectus, contact UBS Global Asset Management at 888-793 8637, or visit us on the Web at www.ubs.com/globalam-us.

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UBS PACE Money Market Investments

A Note about the Temporary Guarantee Program for Money Market Funds

Following unprecedented turmoil in the credit markets, the US government announced the Temporary Guarantee Program for Money Market Funds (the "Program"). The Portfolio participated in the Program from the Program's inception in the fall of 2008 until it expired on September 18, 2009. Under the Program, the US Treasury guaranteed the share price of any publicly offered eligible money market mutual fund that applied and was accepted into it. Shareholders in money market funds enrolled in the Program were covered for the amounts they held as of the close of business on September 19, 2008 until September 18, 2009. The Portfolio did not encounter circumstances triggering a need to invoke the guarantee provided by the Program.

The Portfolio has maintained its net asset value ("NAV") of $1.00 per share* throughout the recent unprecedented turmoil and has continued to meet its stated goal, which is to provide current income consistent with preservation of capital and liquidity. We were pleased to have the Portfolio participate in the Program to provide an added level of protection for covered shareholders, until it expired. We want to reassure shareholders of the following:

•  The Portfolio holds very high-quality assets. While we consider rating agencies' credit ratings, we rely first and foremost on our own proprietary research, conducted by dedicated teams of credit analysts. This approach benefited the Portfolio in the volatile environment that prevailed during the reporting period.

•  UBS Global Asset Management (Americas) Inc. and its predecessor firms have been managing money market funds for

*  An investment in the Portfolio is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. Although the Portfolio seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Portfolio.

4

UBS PACE Money Market Investments

more than 30 years; this is a key line of business for the firm, and we have dedicated significant resources to the management of the assets entrusted to us.

When the Program was introduced, it had an initial termination date of December 18, 2008. The Portfolio paid a fee of 0.01% of the value of the Portfolio's outstanding shares (valued at $1.00 per share for this purpose) as of September 19, 2008. This ensured Program coverage for the period from September 19, 2008 through December 18, 2008. The Program was extended twice—first through April 30, 2009, and then, finally, through September 18, 2009. The Portfolio paid additional fees calculated on the same basis, but at the rate of 0.015% for each of the two extension election periods, to continue to participate through September 18, 2009. This cost was absorbed by the Portfolio as a fund expense.

The Portfolio's yield did decline during the coverage period as a result of the Program participation fees through September 18, 2009.

5

UBS PACE Money Market Investments

Comparison of change in value of a $10,000 investment in the Portfolio and the 90-Day US T-Bill Index (unaudited)

The graph depicts the performance of UBS PACE Money Market Investments versus the 90-Day US T-Bill Index over the 10 years ended July 31, 2009. Past performance does not predict future performance and the performance provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions. It is important to note that UBS PACE Money Market Investments is a professionally managed portfolio while the Index is not available for investment and is unmanaged. The comparison is shown for illustrative purposes only.

6

UBS PACE Money Market Investments

Performance at a glance (unaudited)

Average annual total returns for periods ended 07/31/09

	1 year			5 years			10 years
UBS PACE Money Market Investments before deducting maximum UBS PACE program fee1		0.81	%		2.94	%		2.92	%
UBS PACE Money Market Investments after deducting maximum UBS PACE program fee1		(0.70	)%		1.41	%		1.38	%
90-Day US T-Bill Index2		0.65	%		3.00	%		3.04	%
Lipper Money Market Funds median		0.77	%		2.81	%		2.77	%

For UBS PACE Money Market Investments, average annual total returns for periods ended June 30, 2009, after deduction of the maximum UBS PACE program fee, were as follows: 1-year period, (0.53)%; 5-year period, 1.42%; 10-year period, 1.42%.

For UBS PACE Money Market Investments, the 7-day current yield for the period ended July 31, 2009 was 0.01% (without maximum UBS PACE program fee and after fee waivers and/or expense reimbursements; the yield was (0.05)% before fee waivers and/or expense reimbursements). With the maximum UBS PACE program fee, the 7-day current yield was (1.49)% after fee waivers and/or expense reimbursements; the yield was (1.55)% before fee waivers and/or expense reimbursements. The Portfolio's yield quotation more closely reflects the current earnings of the Portfolio than the total return quotation. Yields will fluctuate and reflect fee waivers.

1  The maximum annual UBS PACE program fee is 1.5% of the value of UBS PACE assets.

2  90-Day US T-Bills are promissory notes issued by the US Treasury and sold through competitive bidding, with a short-term maturity date, in this case, of three months. This Index is derived from secondary market interest rates as published by the Federal Reserve Bank. Investors should note that indices do not reflect the deduction of fees, expenses or taxes.

Past performance does not predict future performance and the performance information provided does not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions. The return of an investment will fluctuate. Performance results assume reinvestment of all dividends and capital gain distributions at net asset value on the payable dates. Current performance may be higher or lower than the performance data quoted.

Lipper peer group data calculated by Lipper Inc.; used with permission. The Lipper median is the return of the fund that places in the middle of a Lipper peer group.

An investment in UBS PACE Money Market Investments is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Portfolio seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Portfolio.

Not FDIC Insured. May lose value. No Bank guarantee.

7

UBS PACE Money Market Investments

Understanding your Portfolio's expenses (unaudited)

As a shareholder of the Portfolio, you incur two types of costs: (1) ongoing program fees; and (2) ongoing Portfolio costs, including management fees and other Portfolio expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Portfolio and to compare these costs with the ongoing costs of investing in other mutual funds.

The example below is based on an investment of $1,000 invested at the beginning of the period and held for the entire period, February 1, 2009 to July 31, 2009.

Actual expenses

The first line in the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over a period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses paid during period" to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The second line in the table below provides information about hypothetical account values and hypothetical expenses based on the Portfolio's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Portfolio's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Portfolio and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

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UBS PACE Money Market Investments

Understanding your Portfolio's expenses (unaudited)
(concluded)

Please note that the expenses shown in the table are meant to highlight your ongoing Portfolio costs only and do not reflect any program fees. Therefore, the second line in the table is useful in comparing ongoing Portfolio costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these program fees were included, your costs would have been higher.

Class P	Beginning account value February 1, 2009		Ending account value July 31, 2009		Expenses paid during period1 02/01/09 to 07/31/09		Expense ratio during the period
Actual	$	1,000.00	$	1,000.60	$	2.73		0.55	%
Hypothetical (5% annual return before expenses)		1,000.00		1,022.07		2.76		0.55

1  Expenses are equal to the Portfolio's annualized net expense ratio, multiplied by the average account value over the period, multiplied by 181 divided by 365 (to reflect the one-half year period).

9

UBS PACE Money Market Investments

Portfolio statistics (unaudited)

Characteristics	07/31/09
Net assets (mm)	$	530.0
Number of holdings		92
Weighted average maturity		45 days
Portfolio composition1	07/31/09
Commercial paper		39.7	%
US government and agency obligations		31.5
Repurchase agreements		14.1
Certificates of deposit		10.0
Short-term corporate obligations		3.2
Bank notes		2.5
Money market fund		1.9
Other assets less liabilities		(2.9	)
Total		100.0	%
Top 10 holdings1	07/31/09
Repurchase agreement with Deutsche Bank Securities, 0.190% due 08/03/09		9.2	%
Repurchase agreement with Barclays Bank PLC, 0.180% due 08/03/09		4.7
Federal National Mortgage Association, 0.300% due 08/24/09		2.8
US Treasury Bills, 0.285% due 10/29/09		2.3
Federal Home Loan Bank, 0.650% due 09/10/09		1.9
Federal Home Loan Mortgage Corp., 0.620% due 08/03/09		1.9
Thames Asset Global Securitization No.1, 0.280% due 08/07/09		1.9
Federal Home Loan Mortgage Corp., 0.215% due 08/28/09		1.9
Federal Home Loan Bank, 0.210% due 08/17/09		1.9
Dexia Delaware LLC, 0.290% due 08/13/09		1.9
Total		30.4	%

1  Weightings represent percentages of the Portfolio's net assets as of July 31, 2009. The Portfolio is actively managed and its composition will vary over time.

10

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Security description	Face amount		Value
US government and agency obligations—31.50%
Federal Home Loan Bank
0.476%, due 08/13/091	$	5,000,000	$	5,000,000
0.210%, due 08/17/092		10,000,000		9,999,067
0.210%, due 08/21/092		10,000,000		9,998,833
0.650%, due 09/10/091		10,000,000		10,004,552
0.220%, due 09/28/092		5,000,000		4,998,228
0.320%, due 12/21/092		3,000,000		2,996,213
0.520%, due 06/01/10		3,000,000		2,999,083
Federal Home Loan Mortgage Corp.*
0.620%, due 08/03/091		10,000,000		10,000,000
0.570%, due 08/17/092		5,000,000		4,998,733
0.215%, due 08/28/091		10,000,000		9,999,425
4.125%, due 11/30/09		7,000,000		7,042,350
0.350%, due 02/16/102		5,000,000		4,990,326
0.520%, due 07/16/102		5,000,000		4,974,794
Federal National Mortgage Association*
0.410%, due 08/03/091		7,000,000		7,000,000
0.300%, due 08/24/092		15,000,000		14,997,125
0.400%, due 10/13/091		5,000,000		5,000,000
0.250%, due 10/26/092		5,000,000		4,997,014
0.250%, due 11/16/092		10,000,000		9,992,570
0.530%, due 12/21/092		5,000,000		4,989,547
US Treasury Bills
0.180%, due 09/24/092		10,000,000		9,997,300
0.285%, due 10/29/092,3		12,000,000		11,991,545
0.235%, due 11/19/092		10,000,000		9,992,820
Total US government and agency obligations (cost—$166,959,525)				166,959,525
Bank notes—2.54%
Banking-US—2.54%
Bank of America N.A.
1.207%, due 08/06/091		5,000,000		5,000,000
HSBC Bank USA, Inc.
3.875%, due 09/15/09		2,470,000		2,471,632

11

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Security description	Face amount		Value
Bank notes—(concluded)
Banking-US—(concluded)
Wells Fargo Bank N.A.
0.389%, due 08/19/091	$	4,000,000	$	4,000,000
Westpac Banking Corp.
0.593%, due 08/14/091		2,000,000		2,000,000
Total bank notes (cost—$13,471,632)				13,471,632
Certificates of deposit—10.03%
Banking-non-US—9.09%
Bank of Nova Scotia
0.430%, due 11/17/09		1,600,000		1,597,936
1.100%, due 05/11/10		1,600,000		1,600,000
BNP Paribas
0.500%, due 11/25/09		3,000,000		3,000,000
Calyon N.A., Inc./New York
0.330%, due 11/02/09		5,000,000		5,000,000
0.530%, due 12/18/09		2,000,000		2,000,000
Canadian Imperial Bank of Commerce/Canada
0.250%, due 09/03/09		4,250,000		4,250,000
Lloyds TSB Bank PLC
0.460%, due 10/19/09		5,700,000		5,700,000
Natixis
0.650%, due 10/09/09		6,000,000		6,000,000
Rabobank Nederland NV
0.520%, due 12/07/09		1,000,000		1,000,000
Royal Bank of Canada
0.280%, due 08/24/09		5,000,000		5,000,000
Societe Generale
0.500%, due 02/01/10		2,000,000		2,000,000
Svenska Handelsbanken
0.350%, due 08/24/09		5,000,000		5,000,000
Toronto-Dominion Bank
1.150%, due 08/20/09		5,000,000		5,000,390
0.520%, due 01/25/10		1,000,000		1,000,343
				48,148,669

12

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Security description	Face amount		Value
Certificates of deposit—(concluded)
Banking-US—0.94%
Bank of America N.A.
0.400%, due 09/10/09	$	5,000,000	$	5,000,000
Total certificates of deposit (cost—$53,148,669)				53,148,669
Commercial paper2—39.68%
Asset backed-banking—0.94%
Atlantis One Funding
0.400%, due 09/09/09		5,000,000		4,997,833
Asset backed-miscellaneous—18.65%
Amsterdam Funding Corp.
0.320%, due 08/10/09		5,000,000		4,999,600
0.360%, due 09/18/09		5,000,000		4,997,600
Barton Capital LLC
0.250%, due 08/07/09		2,876,000		2,875,880
Chariot Funding LLC
0.250%, due 08/13/09		1,438,000		1,437,880
0.230%, due 08/25/09		5,000,000		4,999,234
Enterprise Funding Co. LLC
0.310%, due 10/05/09		5,000,000		4,997,202
Kitty Hawk Funding Corp.
0.380%, due 09/18/09		7,541,000		7,537,179
Market Street Funding LLC
0.350%, due 08/17/09		5,000,000		4,999,222
Ranger Funding Co. LLC
0.400%, due 08/18/09		8,000,000		7,998,489
0.300%, due 10/13/09		5,000,000		4,996,958
Regency Markets No. 1 LLC
0.280%, due 08/20/09		5,000,000		4,999,261
Sheffield Receivables Corp.
0.250%, due 08/25/09		5,000,000		4,999,167
Thames Asset Global Securitization No. 1
0.280%, due 08/07/09		10,000,000		9,999,533

13

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Security description	Face amount		Value
Commercial paper2—(continued)
Asset backed-miscellaneous—(concluded)
Variable Funding Capital Corp.
0.280%, due 09/09/09	$	4,000,000	$	3,998,787
0.350%, due 09/28/09		10,000,000		9,994,361
Windmill Funding Corp.
0.260%, due 08/10/09		5,000,000		4,999,675
Yorktown Capital LLC
0.350%, due 10/09/09		5,000,000		4,996,646
0.300%, due 10/13/09		5,000,000		4,996,958
				98,823,632
Asset backed-securities—1.89%
Clipper Receivables Co. LLC
0.170%, due 08/03/09		5,000,000		4,999,953
0.300%, due 08/03/09		5,000,000		4,999,917
				9,999,870
Banking-non-US—1.51%
Dnb NOR ASA
1.000%, due 08/04/09		3,000,000		2,999,750
Svenska Handelsbanken
0.540%, due 08/05/09		5,000,000		4,999,700
				7,999,450
Banking-US—13.39%
ANZ (Delaware), Inc.
0.500%, due 08/10/09		5,000,000		4,999,375
Calyon N.A., Inc.
0.400%, due 09/01/09		5,000,000		4,998,278
0.540%, due 01/19/10		2,000,000		1,994,870
Danske Corp.
0.270%, due 08/03/09		3,000,000		2,999,955
0.310%, due 08/17/09		5,000,000		4,999,311
0.350%, due 10/09/09		5,000,000		4,996,646

14

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Security description	Face amount		Value
Commercial paper2—(concluded)
Banking-US—(concluded)
Deutsche Bank Financial LLC
0.300%, due 10/27/09	$	2,000,000	$	1,998,550
Dexia Delaware LLC
0.290%, due 08/13/09		10,000,000		9,999,034
ING (US) Funding LLC
0.250%, due 08/11/09		4,000,000		3,999,722
0.400%, due 08/17/09		5,000,000		4,999,111
0.400%, due 09/02/09		5,000,000		4,998,222
Morgan (J.P.) Chase Funding, Inc.
0.310%, due 09/03/09		10,000,000		9,997,158
Natexis Banques Populaires US Finance Co. LLC
0.260%, due 08/31/09		5,000,000		4,998,917
Societe Generale N.A., Inc.
0.600%, due 08/06/09		5,000,000		4,999,583
				70,978,732
Brokerage—0.94%
RBS Holdings USA, Inc.
0.160%, due 08/03/09		5,000,000		4,999,956
Finance-captive automotive—0.57%
Toyota Motor Credit Corp.
0.280%, due 08/12/09		3,000,000		2,999,743
Food/beverage—0.28%
Nestle Capital Corp.
0.650%, due 02/16/10		1,500,000		1,494,610
Pharmaceuticals—1.51%
Pfizer, Inc.
0.230%, due 08/20/09		5,000,000		4,999,393
0.320%, due 11/03/09		3,000,000		2,997,493
				7,996,886
Total commercial paper (cost—$210,290,712)				210,290,712

15

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Security description	Face amount		Value
Short-term corporate obligations—3.17%
Banking-non-US—1.32%
Lloyds TSB Group PLC
1.286%, due 08/07/091,4	$	5,000,000	$	5,000,000
Nordea Bank AB
0.717%, due 09/24/091,4		2,000,000		2,000,000
				7,000,000
Banking-US—1.47%
HSBC Bank USA, Inc.
0.925%, due 10/14/091		4,000,000		4,000,000
Wells Fargo & Co.
0.782%, due 09/23/091		3,800,000		3,802,304
				7,802,304
Finance-noncaptive consumer—0.38%
General Electric Capital Corp.
0.580%, due 10/20/091		2,000,000		1,999,363
Total short-term corporate obligations (cost—$16,801,667)				16,801,667
Repurchase agreements—14.13%
Repurchase agreement dated 07/31/09 with Barclays Bank PLC, 0.180% due 08/03/09, collateralized by $25,534,000 Federal Home Loan Bank obligations, zero coupon due 01/08/10; (value—$25,500,806); proceeds: $25,000,375		25,000,000		25,000,000
Repurchase agreement dated 07/31/09 with Deutsche Bank Securities, 0.190% due 08/03/09, collateralized by $40,000,000 Federal Home Loan Bank obligations, 3.000% due 06/11/10, $6,631,000 Federal National Mortgage Association obligations, 6.125% due 08/17/26 and $6,603,000 Resolution Funding Principal Strips, zero coupon due 04/15/30; (value—$49,980,300); proceeds: $49,000,776		49,000,000		49,000,000

16

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Security description	Face amount		Value
Repurchase agreements—(concluded)
Repurchase agreement dated 07/31/09 with State Street Bank & Trust Co., 0.010% due 08/03/09, collateralized by $882,425 US Treasury Bills, zero coupon due 08/27/09 to 09/10/09; (value—$882,336); proceeds: $865,001	$	865,000	$	865,000
Total repurchase agreements (cost—$74,865,000)				74,865,000
	Number of shares
Investment of cash collateral from securities loaned—1.87%
Money market fund—1.87%
UBS Private Money Market Fund LLC5
(cost—$9,894,000)		9,894,000		9,894,000
Total investments (cost—$545,431,205 which approximates cost for federal income tax purposes)—102.92%				545,431,205
Liabilities in excess of other assets—(2.92)%				(15,472,696	)
Net assets (applicable to 529,948,181 shares of beneficial interest outstanding equivalent to $1.00 per share)—100.00%			$	529,958,509

*  On September 7, 2008, the Federal Housing Finance Agency placed the Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation into conservatorship, and the US Treasury guaranteed the debt issued by those organizations.

1  Variable rate security. The maturity dates reflect earlier of reset dates or stated maturity dates. The interest rates shown are the current rates as of July 31, 2009, and reset periodically.

2  Rates shown are the discount rates at date of purchase.

3  Security, or portion thereof, was on loan at July 31, 2009.

4  Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities, which represent 1.32% of net assets as of July 31, 2009, are considered liquid and may be resold in transactions exempt from registration, normally to qualified institutional buyers.

17

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

5  The table below details the Portfolio's transaction activity in an affiliated issuer during the year ended July 31, 2009.

Security description	Value at 07/31/08		Purchases during the year ended 07/31/09		Sales during the year ended 07/31/09		Value at 07/31/09		Net income earned from affiliate for the year ended 07/31/09
UBS Private Money Market Fund LLC	$	0	$	151,079,000	$	141,185,000	$	9,894,000	$	5,504

The following is a summary of the fair valuations used as of July 31, 2009 in valuing the Portfolio's investments:

Measurements at 07/31/09
	Quoted prices in active markets for identical investments (Level 1)		Significant other observable inputs (Level 2)		Unobservable inputs (Level 3)		Total
US government and agency obligations	$	—	$	166,959,525	$	—	$	166,959,525
Bank notes		—		13,471,632		—		13,471,632
Certificates of deposit		—		53,148,669		—		53,148,669
Commercial paper		—		210,290,712		—		210,290,712
Short-term corporate obligations		—		16,801,667		—		16,801,667
Repurchase agreements		—		74,865,000		—		74,865,000
Investment of cash collateral from securities loaned		—		9,894,000		—		9,894,000
Total	$	—	$	545,431,205	$	—	$	545,431,205

18

UBS PACE Money Market Investments

Statement of net assets—July 31, 2009

Issuer breakdown by country of origin (unaudited)

	Percentage of total investments
United States		86.7	%
Canada		3.4
France		3.3
United Kingdom		2.9
Sweden		2.2
Norway		0.5
Japan		0.5
Switzerland		0.3
Netherlands		0.2
Total		100.0	%

Weighted average maturity—45 days

See accompanying notes to financial statements
19

UBS PACE Money Market Investments

Statement of operations

	For the year ended July 31, 2009
Investment income:
Interest	$	8,987,395
Affiliated securities lending income		5,504
		8,992,899
Expenses:
Transfer agency and related services fees		2,735,628
Investment management and administration fees		2,298,428
Reports and notices to shareholders		349,482
US Treasury Temporary Guarantee Program Participation fees		197,324
Professional fees		101,796
Custody and accounting fees		91,158
State registration fees		48,364
Trustees' fees		18,245
Insurance expense		15,524
Other expenses		10,870
		5,866,819
Less: Fee waivers and/or expense reimbursements by investment manager and administrator		(1,987,435	)
Net expenses		3,879,384
Net investment income		5,113,515
Net realized gain from investment activities		43,603
Net increase in net assets resulting from operations	$	5,157,118

Statement of changes in net assets

	For the years ended July 31,
	2009			2008
From operations:
Net investment income	$	5,113,515		$	16,388,771
Net realized gains from investment activities		43,603			42,669
Net increase in net assets resulting from operations		5,157,118			16,431,440
Dividends and distributions to shareholders from:
Net investment income		(5,113,515	)		(16,388,771	)
Net realized gains from investment activities		(75,184	)		—
Total dividends and distributions to shareholders		(5,188,699	)		(16,388,771	)
From beneficial interest transactions:
Net increase in net assets from beneficial interest transactions		6,747,394			114,637,685
Net increase in net assets		6,715,813			114,680,354
Net assets:
Beginning of year		523,242,696			408,562,342
End of year	$	529,958,509		$	523,242,696
Accumulated undistributed net investment income	$	—		$	—

See accompanying notes to financial statements
20

UBS PACE Money Market Investments

Financial highlights

Selected data for a share of beneficial interest outstanding throughout each year is presented below:

	For the years ended July 31,
	2009			2008			2007			2006			2005
Net asset value, beginning of year	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Net investment income		0.008			0.033			0.048			0.038			0.018
Dividends from net investment income		(0.008	)		(0.033	)		(0.048	)		(0.038	)		(0.018	)
Distributions from net realized gains from investment activities		(0.000	)1		—			—			—			—
Total dividends and distributions		(0.008	)		(0.033	)		(0.048	)		(0.038	)		(0.018	)
Net asset value, end of year	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Total investment return2		0.81	%		3.40	%		4.86	%		3.89	%		1.80	%
Ratios/supplemental data:
Net assets, end of year (000's)	$	529,959		$	523,243		$	408,562		$	342,573		$	227,528
Expenses to average net assets, net of fee waivers and/or expense reimbursements by manager		0.59	%		0.60	%		0.60	%		0.60	%		0.60	%
Expenses to average net assets, before fee waivers and/or expense reimbursements by manager		0.89	%		0.93	%		0.92	%		0.99	%		0.97	%
Net investment income to average net assets		0.78	%		3.27	%		4.75	%		3.89	%		1.85	%

1  Amount of distribution paid represents less than $0.0005 per share.

2  Total investment return is calculated assuming a $10,000 investment on the first day of each year reported, reinvestment of all dividends and other distributions, if any, at net asset value on the payable dates, and a sale at net asset value on the last day of each year reported. The figures do not include program fees; results would be lower if these fees were included. Returns do not reflect the deduction of taxes that a shareholder would pay on Portfolio distributions.

See accompanying notes to financial statements
21

UBS PACE Money Market Investments

Notes to financial statements

Organization and significant accounting policies

UBS PACE Money Market Investments (the "Portfolio") is a diversified portfolio of UBS PACE^SM Select Advisors Trust (the "Trust"), which was organized as a Delaware statutory trust under the laws of the State of Delaware by Certificate of Trust dated September 9, 1994, as amended June 9, 1995 and thereafter, and is registered with the Securities and Exchange Commission under the Investment Company Act of 1940, as amended, as an open-end management investment company. The trustees of the Trust have authority to issue an unlimited number of shares of beneficial interest, par value $0.001 per share.

The Trust currently offers fifteen Portfolios available for investment, each having its own investment objectives and policies. Shares of the Portfolio currently are available only to participants in the UBS PACE^SM Select Advisors Program and the UBS PACE^SM Multi Advisor Program.

The Trust accounts separately for the assets, liabilities and operations of each Portfolio. Expenses directly attributable to each Portfolio are charged to that Portfolio's operations; expenses which are applicable to all Portfolios are allocated among them on a pro rata basis.

In the normal course of business the Portfolio may enter into contracts that contain a variety of representations or that provide indemnification for certain liabilities. The Portfolio's maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Portfolio that have not yet occurred. However, the Portfolio has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

The preparation of financial statements in accordance with US generally accepted accounting principles requires the Portfolio's management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements.

22

UBS PACE Money Market Investments

Notes to financial statements

Actual results could differ from those estimates. The following is a summary of significant accounting policies:

Valuation and accounting for investments and investment income—Investments are valued at amortized cost, unless the Trust's Board of Trustees (the "Board") determines that this does not represent fair value. Periodic review and monitoring of the valuation of the securities held by the Portfolio is performed in an effort to ensure that amortized cost approximates market value. Investment transactions are recorded on the trade date. Realized gains and losses from investment transactions are calculated using the identified cost method. Interest income is recorded on an accrual basis. Premiums are amortized and discounts are accreted as adjustments to interest income and the identified cost of investments.

On August 1, 2008, the Portfolio adopted the Financial Accounting Standards Board ("FASB") Statement of Financial Accounting Standards No. 157, "Fair Value Measurements" ("FAS 157"). FAS 157 requires disclosure surrounding the various inputs that are used in determining the value of the Portfolio's investments. These inputs are summarized into the three broad levels listed below:

Level 1—Quoted prices in active markets for identical investments.

Level 2—Other significant observable inputs, including but not limited to, quoted prices for similar investments, interest rates, prepayment speeds and credit risks.

Level 3—Unobservable inputs inclusive of the Portfolio's own assumptions in determining the fair value of investments.

In accordance with the requirements of FAS 157, a fair value hierarchy has been included near the end of the Portfolio's Statement of net assets.

23

UBS PACE Money Market Investments

Notes to financial statements

Repurchase agreements—The Portfolio may purchase securities or other obligations from a bank or securities dealer (or its affiliate), subject to the seller's agreement to repurchase them at an agreed upon date (or upon demand) and price. The Portfolio maintains custody of the underlying obligations prior to their repurchase, either through its regular custodian or through a special "tri-party" custodian or sub-custodian that maintains a separate account for both the Portfolio and its counterparty. The underlying collateral is valued daily to ensure that the value, including accrued interest, is at least equal to the repurchase price. In the event of default of the obligation to repurchase, the Portfolio generally has the right to liquidate the collateral and apply the proceeds in satisfaction of the obligation. Repurchase agreements involving obl igations other than US government securities (such as commercial paper, corporate bonds and mortgage loans) may be subject to special risks and may not have the benefit of certain protections in the event of counterparty insolvency. If the seller (or seller's guarantor, if any) becomes insolvent, the Portfolio may suffer delays, costs and possible losses in connection with the disposition or retention of the collateral. Under certain circumstances, in the event of default or bankruptcy by the other party to the agreement, realization and/or retention of the collateral may be subject to legal proceedings. The Portfolio may participate in joint repurchase agreement transactions with other funds managed, advised or sub-advised by UBS Global Asset Management (Americas) Inc. ("UBS Global AM").

Dividends and distributions—Dividends and distributions to shareholders are recorded on the ex-dividend date. The amount of dividends and distributions is determined in accordance with federal income tax regulations, which may differ from US generally accepted accounting principles. These "book/tax" differences are either considered temporary or permanent in nature. To the extent these differences are permanent in nature, such amounts are reclassified within the capital accounts based on their federal

24

UBS PACE Money Market Investments

Notes to financial statements

tax-basis treatment; temporary differences do not require reclassification.

Concentration of risk

The ability of the issuers of debt securities held by the Portfolio to meet their obligations may be affected by economic and political developments, including those particular to a specific industry, country, state or region.

Investment management and administration fees and other transactions with affiliates

The Board has approved an investment management and administration contract ("Management Contract") with UBS Global AM. In accordance with the Management Contract, the Portfolio pays UBS Global AM an investment management and administration fee, which is accrued daily and paid monthly, at an annual rate of 0.35% of the Portfolio's average daily net assets. At July 31, 2009, the Portfolio is owed $17,719 from UBS Global AM, representing investment management and administration fees net of fee waivers/expense reimbursements.

UBS Global AM has contractually undertaken to waive a portion of the Portfolio's investment management and administration fees and/or reimburse a portion of the Portfolio's other expenses, when necessary, to maintain the total ordinary annual operating expenses (excluding dividend expense, borrowing costs and interest expense, if any) through November 30, 2009 at a level not to exceed 0.60%. The Portfolio will make a payment to UBS Global AM for any previously waived fees/reimbursed expenses during the following three fiscal years to the extent that operating expenses are otherwise below the expense cap.

25

UBS PACE Money Market Investments

Notes to financial statements

At July 31, 2009, the Portfolio had fee waivers/expense reimbursements subject to repayment and respective dates of expiration as follows:

Fee waivers/expense reimbursements subject to repayment		Expires July 31, 2010		Expires July 31, 2011		Expires July 31, 2012
$	4,355,534	$	1,199,238	$	1,426,962	$	1,729,334

Additionally, UBS Global AM may voluntarily waive fees and/or reimburse expenses from time to time in the event that the Portfolio's yield falls below a certain level. Once started, there is no guarantee that UBS Global AM would continue to voluntarily waive an additional portion of its fees and/or reimburse expenses. For the year ended July 31, 2009, UBS Global AM voluntarily waived and/or reimbursed expenses of $258,101 for that purpose.

For the year ended July 31, 2009, UBS Global AM waived fees/reimbursed expenses of $1,987,435.

Additional information regarding compensation to affiliate of a board member

Professor Meyer Feldberg serves as a senior advisor to Morgan Stanley, resulting in him being an interested director of the Portfolio. The Portfolio has been informed that Professor Feldberg's role at Morgan Stanley does not involve matters directly affecting any UBS funds. Portfolio transactions are executed through Morgan Stanley based on that firm's ability to provide best execution of the transactions.

During the year ended July 31, 2009, the Portfolio purchased and sold certain securities (e.g., fixed income securities) in principal trades with Morgan Stanley having an aggregate value of $184,331,956. Morgan Stanley received compensation in connection with these trades, which may have been in the form of a "mark-up" or "mark-down" of the price of the securities, a fee from the issuer for maintaining a commercial paper program, or some other form of compensation. Although the precise amount

26

UBS PACE Money Market Investments

Notes to financial statements

of this compensation is not generally known by the Portfolio's investment manager, it is believed that under normal circumstances it represents a small portion of the total value of the transactions.

Transfer agency related services fees

UBS Financial Services Inc., provides certain services pursuant to a delegation of authority from PNC Global Investment Servicing (U.S.) Inc. ("PNC"), the Portfolio's transfer agent, and is compensated for these services by PNC, not the Portfolio.

For the year ended July 31, 2009, UBS Financial Services, Inc. received from PNC, not the Portfolio, $1,367,378 of the total transfer agency and related services fees paid by the Portfolio to PNC.

Securities lending

The Portfolio may lend securities up to 33¹/₃% of its total assets to qualified broker-dealers or institutional investors. The loans are secured at all times by cash, US government securities or irrevocable letters of credit in an amount at least equal to the market value of the securities loaned, plus accrued interest and dividends, determined on a daily basis and adjusted accordingly. The Portfolio will regain ownership of loaned securities to exercise certain beneficial rights; however, the Portfolio may bear the risk of delay in recovery of, or even loss of rights in, the securities loaned should the borrower fail financ ially. The Portfolio receives compensation for lending its securities from interest or dividends earned on the cash, US government securities or irrevocable letters of credit held as collateral, net of fee rebates paid to the borrower plus reasonable administrative and custody fees. Until November 12, 2008, UBS Financial Services Inc., an indirect wholly owned subsidiary of UBS AG, and other affiliated broker-dealers had been approved as borrowers under the Portfolio's securities lending program. As of November 12, 2008 State Street Bank & Trust Company is the Portfolio's lending agent. Prior to

27

UBS PACE Money Market Investments

Notes to financial statements

November 12, 2008, UBSSecurities LLC was the Portfolio's lending agent. For the period August 1, 2008 through November 11, 2008, UBS Securities LLC did not earn any compensation as the Portfolio's lending agent since no securities were loaned during that period. At July 31, 2009, the Fund had securities on loan having a market value of $9,695,781.

Other liabilities and components of net assets

At July 31, 2009, the Portfolio had the following liabilities outstanding:

Payable for cash collateral from securities loaned	$	9,894,000
Payable for shares of beneficial interest repurchased		4,487,995
Payable for investments purchased		1,999,847
Dividends payable to shareholders		2,574
Other accrued expenses*		516,984

* Excludes investment management and administration fees.

At July 31, 2009, the components of net assets were as follows:

Accumulated paid in capital	$	529,948,020
Accumulated net realized gains from investment activities		10,489
Net assets	$	529,958,509

Federal tax status

The Portfolio intends to distribute substantially all of its income and to comply with the other requirements of the Internal Revenue Code applicable to regulated investment companies. Accordingly, no provision for federal income taxes is required. In addition, by distributing during each calendar year substantially all of its net investment income, net realized capital gains and certain other amounts, if any, the Portfolio intends not to be subject to a federal excise tax.

The tax character of distributions paid during the fiscal years ended July 31, 2009 and July 31, 2008 was ordinary income.

28

UBS PACE Money Market Investments

Notes to financial statements

At July 31, 2009 the components of accumulated earnings on a tax basis was undistributed ordinary income of $13,063.

As of and during the year ended July 31, 2009, the Portfolio did not have any liabilities for any unrecognized tax positions. The Portfolio recognizes interest and penalties, if any, related to unrecognized tax positions as income tax expense in the Statement of operations. During the year ended July 31, 2009, the Portfolio did not incur any interest or penalties.

Each of the tax years in the four year period ended July 31, 2009, remains subject to examination by the Internal Revenue Service and state taxing authorities.

Shares of beneficial interest

There is an unlimited amount of $0.001 par value shares of beneficial interest authorized. Transactions in shares of beneficial interest, at $1.00 per share, were as follows:

	For the years ended July 31,
	2009			2008
Shares sold		993,352,180			687,863,695
Shares repurchased		(992,040,001	)		(589,650,962	)
Dividends reinvested		5,435,215			16,424,952
Net increase in shares outstanding		6,747,394			114,637,685

US Treasury Temporary Guarantee Program for Money Market Funds

The Portfolio participated in the US Treasury Department Temporary Guarantee Program for Money Market Funds. The program covered shareholders of mutual funds as of the close of business on September 19, 2008. The program expired on September 18, 2009. The Portfolio bore the cost of participating in this program, as this is not an expense borne by the Portfolio's advisor. The Portfolio paid a fee of 0.01% of the value of the Portfolio's outstanding shares on September 19, 2008 (valued at $1.00 per share) for participation in the program for the initial

29

UBS PACE Money Market Investments

Notes to financial statements

coverage period of September 19, 2008, through December 18, 2008. The program was first extended until April 30, 2009, and the Portfolio paid a fee calculated in the same manner but at the rate of 0.015% for continued participation in the program through that date. In April, the program was extended a final time, providing coverage through September 18, 2009. The Portfolio paid an additional fee for continued coverage for the period May 1, 2009, through September 18, 2009, calculated in the same manner and at the same 0.015% rate as for the initial extension period.

Subsequent events

In accordance with the provisions set forth in FAS 165 "Subsequent Events," management has evaluated the effect of subsequent events on the Portfolio's financial statements through September 25, 2009. Management has determined that there are no material subsequent events that would require disclosure in the Portfolio's financial statements through this date.

30

UBS PACE Money Market Investments

Report of Ernst & Young LLP, independent
registered public accounting firm

The Board of Trustees and Shareholders of
UBS PACE Select Advisors Trust

We have audited the accompanying statement of net assets of UBS PACE Money Market Investments (one of the series comprising UBS PACE Select Advisors Trust) (the "Portfolio") as of July 31, 2009, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended. These financial statements and financial highlights are the responsibility of the Portfolio's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the Portfolio's internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Portfolio's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles us ed and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of July 31, 2009, by correspondence with the custodian and others, or by other appropriate auditing procedures where replies from others were not received. We believe that our audits provide a reasonable basis for our opinion.

31

UBS PACE Money Market Investments

Report of Ernst & Young LLP, independent
registered public accounting firm (concluded)

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of UBS PACE Money Market Investments at July 31, 2009, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended, in conformity with US generally accepted accounting principles.

New York, New York
September 25, 2009

32

UBS PACE Money Market Investments

General information (unaudited)

Quarterly Form N-Q portfolio schedule

The Portfolio will file its complete schedule of portfolio holdings with the Securities and Exchange Commission ("SEC") for the first and third quarters of each fiscal year on Form N-Q. The Portfolio's Forms N-Q are available on the SEC's Web site at http://www.sec.gov. The Portfolio's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, D.C. Information on the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC 0330. Additionally, you may obtain copies of Forms N-Q from the Portfolio upon request by calling 1-800-647 1568.

Proxy voting policies, procedures and record

You may obtain a description of the Portfolio's (1) proxy voting policies, (2) proxy voting procedures and (3) information regarding how the Portfolio voted any proxies related to portfolio securities during the most recent 12-month period ended June 30 for which an SEC filing has been made, without charge, upon request by contacting the Portfolio directly at 1-800-647 1568, online on the Portfolio's Web site: www.ubs.com/ubsglobalam-proxy, or on the EDGAR Database on the SEC's Web site (http://www.sec.gov).

Other tax information

Pursuant to Section 871(k)(2)(C) of the Internal Revenue Code, UBS PACE Money Market Investments designates 100% of its "qualified short-term gains" (as defined in Section 871(k)(2)(D)) related to the distribution made in December 2008 as short-term capital gain dividends.

33

UBS PACE Money Market Investments

Board approval of investment management and administration agreement (unaudited)

Background—At a meeting of the board of UBS PACE^SM Select Advisors Trust (the "Trust") on July 15-16, 2009, the members of the board, including the Trustees who are not "interested persons" of the Trust ("Independent Trustees"), as defined in the Investment Company Act of 1940, as amended (the "1940 Act"), considered and approved the continuance of the investment management and administration agreement (the "Investment Management and Administrative Agreement") between UBS Global Asset Management (Americas) Inc. ("UBS Global AM") and the Trust, on behalf of UBS PACE Money Market Investments (the "Portfolio"). In preparing for the meeting, the board members had requested and received extensive information from UBS Global AM to assist them, including performance and expense information for other investment companies with similar investmen t objectives to the Portfolio. The Independent Trustees discussed the materials initially provided by management prior to the scheduled board meeting. The Independent Trustees also met in executive session after management's presentation was completed to review the disclosure that had been made to them at the meeting. At all of these sessions the Independent Trustees met in session with their independent legal counsel. The Independent Trustees also received a memorandum from their independent legal counsel discussing the duties of board members in considering approval of management, administration and distribution agreements.

In its consideration of the approval of the Investment Management and Administration Agreement, the board considered the following factors:

Nature, extent and quality of the services under the Investment Management and Administration Agreement—The board received and considered information regarding the nature, extent and quality of management services provided to the Portfolio by UBS Global AM. The board also considered the nature, extent and quality of administrative,

34

UBS PACE Money Market Investments

Board approval of investment management and administration agreement (unaudited)

distribution, and shareholder services performed by UBS Global AM and its affiliates for the Portfolio and the resources devoted to, and the record of compliance with, the Portfolio's compliance policies and procedures. The board noted that it received information at regular meetings throughout the year regarding the services rendered by UBS Global AM concerning the management of the Portfolio's affairs and UBS Global AM's role in coordinating providers of other services to the Portfolio. The board's evaluation of the services provided by UBS Global AM took into account the board's knowledge and familiarity gained as board members of funds in the UBS New York fund complex, including the scope and quality of UBS Global AM's investment management and other capabilities and the quality of its administrative and other services. The board observed that the scope of services provided by UBS Global AM had expanded over time as a result of regulatory and other developments, including maintaining and monitoring its own and the Portfolio's expanded compliance programs.

The board had information regarding the qualifications, backgrounds and responsibilities of the Portfolio's senior personnel at UBS Global AM and had received information regarding the person primarily responsible for the day-to-day portfolio management of the Portfolio and recognized that the Portfolio's senior personnel at UBS Global AM report to the board regularly and that at each regular meeting the board receives a detailed report on the Portfolio's performance. The board also considered, based on its knowledge of UBS Global AM and its affiliates, the financial resources available to UBS Global AM and its parent organization, UBS AG. In that regard, the board received extensive financial information regarding UBS Global AM and noted that it was a wholly owned, indirect subsidiary of one of the largest financial services firms in the world. It was also noted that UBS Global AM had approximately $142 billion in assets under management and was part of the UBS Global Asset Management Division, which had approximately $507 billion of assets under management

35

UBS PACE Money Market Investments

Board approval of investment management and administration agreement (unaudited)

worldwide as of March 31, 2009. The board was also cognizant of, and considered, the regulatory and litigation actions and investigations occurring in the past few years involving UBS AG, UBS Global AM and certain of their affiliates.

The board concluded that, overall, it was satisfied with the nature, extent and quality of services provided (and expected to be provided) to the Portfolio under the Investment Management and Administration Agreement.

Management fees and expense ratios—The board reviewed and considered the contractual management fee (the "Contractual Management Fee") payable by the Portfolio to UBS Global AM in light of the nature, extent and quality of the management and administrative services provided by UBS Global AM. The board also reviewed and considered the fee waiver and/or expense reimbursement arrangements for the Portfolio and considered the actual fee rate (after taking any waivers and reimbursements into account) (the "Actual Management Fee"). The board considered that UBS Global AM had entered into an agreement with the Portfolio under which UBS Global AM was contractually obligated to waive its management fees and/or reimburse the Portfolio so that the total ordinary operating expenses of the Portfolio through November 30, 2009 (excluding extraordinary items, di vidend expense, borrowing costs and/or interest expense, if any) would not exceed a specified limit. The board also considered that the Portfolio with such a fee waiver/reimbursement agreement had agreed to repay UBS Global AM for those waived fees and/or reimbursed expenses if the Portfolio can do so over the following three fiscal years without causing its expenses in any of those years to exceed the expense cap. Additionally, the board received and considered information comparing the Portfolio's Contractual Management Fee, Actual Management Fee and overall expenses with those of funds in a group of funds selected and provided by Lipper, Inc. ("Lipper"), an independent provider of investment company data (the

36

UBS PACE Money Market Investments

Board approval of investment management and administration agreement (unaudited)

"Expense Group"). A discussion of the board's considerations with respect to the Portfolio's fees is set forth below.

In connection with its consideration of the Portfolio's management fees, the board also received information from UBS Global AM with respect to fees paid by institutional or separate accounts however, in management's view, such fee information was not very relevant to the Portfolio because, among other reasons, separately managed and institutional accounts with a "cash" mandate were not subject to all of the constraints of Rule 2a-7 under the 1940 Act to which the Portfolio is subject and, therefore, were not totally comparable. The board also received information on fees charged to other mutual funds managed by UBS Global AM.

The comparative Lipper information showed that the Portfolio's Contractual Management Fee was in the second quintile, its Actual Management Fee was in the first quintile and its total expenses were in the third quintile in the Portfolio's Expense Group for the comparison periods utilized in the Lipper report.

Portfolio performance—The board received and considered (a) annualized total return information of the Portfolio compared to other funds (the "Performance Universe") selected by Lipper over the one-, three-, five-, ten-year and since inception periods ended April 30, 2009 and (b) annualized performance information for each year in the ten-year period ended April 30, 2009. The board was provided with a description of the methodology Lipper used to determine the similarity of a Portfolio with the funds included in its Performance Universe. The board also considered UBS Global AM's statement that while management believed that the Lipper peer groups were useful in evaluating Portfolio expenses relative to peers, they were less useful in evaluating performance, as in many cases they were broad-based and consisted of funds that did not necessarily hav e similar investment parameters to the Portfolio. The board also noted

37

UBS PACE Money Market Investments

Board approval of investment management and administration agreement (unaudited)

that it had received information throughout the year at periodic intervals with respect to the Portfolio's performance.

The comparative Lipper information showed that the Portfolio's performance was in the second quintile for all comparative periods.

Adviser profitability—The board received and considered a profitability analysis of UBS Global AM and its affiliates in providing services to the Portfolio. The board also received profitability information with respect to the UBS New York fund complex as a whole. UBS Global AM's profitability was considered not excessive in light of the nature, extent and quality of the services provided to the Portfolio.

Economies of scale—The board received and considered information from management regarding whether UBS Global AM realized economies of scale as the Portfolio's assets grew, whether the Portfolio has appropriately benefited from any economies of scale, and whether there is potential for realization of any further economies of scale for the Portfolio. The board considered whether economies of scale in the provision of services to the Portfolio were being passed along to the shareholders. The board noted that the Portfolio's Contractual Management Fee did not contain breakpoints. The board also noted that to the extent a Portfolio's assets have increased over time, it has realized other economies of scale as certain expenses, such as fees for Trustees, auditor and legal fees and printing and postage, become a smaller percentage of overall assets.

Generally, in light of UBS Global AM's profitability data, the Actual Management Fee and the Contractual Management Fee, the board believed that UBS Global AM's sharing of potential and current economies of scale with the Portfolio was acceptable.

38

UBS PACE Money Market Investments

Board approval of investment management and administration agreement (unaudited)

Other benefits to UBS Global AM—The board considered other benefits received by UBS Global AM and its affiliates as a result of its relationship with the Portfolio, including the opportunity to offer additional products and services to Portfolio shareholders. In light of the costs of providing investment management, administrative and other services to the Portfolio and UBS Global AM's ongoing commitment to the Portfolio, the profits and other ancillary benefits that UBS Global AM and its affiliates received were considered reasonable.

In light of all of the foregoing, the board approved the Investment Management and Administration Agreement for the Portfolio. No single factor reviewed by the board was identified by the board as the principal factor in determining whether to approve the Investment Management and Administration Agreement. The Independent Trustees were advised by separate independent legal counsel throughout the process. The board discussed the proposed continuance of the Investment Management and Administration Agreement in a private session with their independent legal counsel at which no representatives of UBS Global AM were present.

39

UBS PACE Money Market Investments

Supplemental information (unaudited)

Board of Trustees & Officers

The Trust is governed by a Board of Trustees which oversees the Portfolios' operations. Each Trustee serves an indefinite term of office. Officers are appointed by the trustees and serve at the pleasure of the Board. The table below shows, for each trustee and officer, his or her name, address and age, the position held with the Trust, the length of time served as a trustee or officer of the Trust, the trustee's or officer's principal occupations during the last five years, the number of portfolios in the UBS fund complex overseen by the trustee or for which a person served as an officer, and other directorships held by the trustee.

The Trust's Statement of Additional Information contains additional information about the trustees and is available, without charge, upon request by calling 1-800-647 1568.

Interested Trustee

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years	Number of portfolios in fund complex overseen by trustee	Other directorships held by trustee
Meyer Feldberg††; 67 Morgan Stanley 1585 Broadway 36th Floor New York, NY 10036	Trustee	Since 2001	Professor Feldberg is Dean Emeritus and Professor of Leadership and Ethics at Columbia Business School, although on an extended leave of absence. He is also a senior advisor to Morgan Stanley (financial services) (since March 2005). Professor Feldberg also serves as president of New York City Global Partners (an organization located in part of the Office of the Mayor of the City of New York that promotes interaction with other cities around the world) (since May 2007). Prior to July 2004, he was Dean and Professor of Leadership and Ethics of the Graduate School of Business at Columbia University (since 1989).	Professor Feldberg is a director or trustee of 29 investment companies (consisting of 60 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Professor Feldberg is also a director of Primedia Inc. (publishing), Macy's, Inc. (operator of department stores), Revlon, Inc. (cosmetics), SAPPI, Ltd. (producer of paper) and the New York City Ballet.

40

UBS PACE Money Market Investments

Supplemental information (unaudited)

41

UBS PACE Money Market Investments

Supplemental information (unaudited)

Independent Trustees

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years	Number of portfolios in fund complex overseen by trustee	Other directorships held by trustee
Richard Q. Armstrong; 74 c/o Willkie Farr & Gallagher LLP 787 Seventh Avenue New York, NY 10019-6099	Trustee and Chairman of the Board of Trustees	Since 2001 (Trustee) Since 2004 (Chairman of the Board of Trustees)	Mr. Armstrong is chairman and principal of R.Q.A. Enterprises (management consulting firm) (since April 1991 and principal occupation since March 1995).	Mr. Armstrong is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	None
Alan S. Bernikow; 68 207 Benedict Ave. Staten Island, NY 10314	Trustee	Since 2005	Mr. Bernikow is retired. He was a consultant on non-management matters for the firm of Deloitte & Touche (international accounting and consulting firm) (from June 2003 until 2007). Previously, he was deputy chief executive officer at Deloitte & Touche.	Mr. Bernikow is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Mr. Bernikow is also a director of Revlon, Inc. (cosmetics) (and serves as the chair of its audit committee and as a member of its nominating and corporate governance committee), a director of Mack-Cali Realty Corporation (real estate investment trust) (and serves as the chair of its audit committee); and a director of the Casual Male Retail Group, Inc. (menswear) (and serves as a member of its audit committee and as a member of its nominating and corporate governance committee).
Richard R. Burt; 62 McLarty Associates 900 17th Street, 8th Floor Washington, D.C. 20006	Trustee	Since 2001	Mr. Burt is a managing director to McLarty Associates (a consulting firm) (since April 2007) and chairman of IEP Advisors (international investments and consulting firm). Prior to April 2007, he was chairman of Diligence Inc. (information and risk management firm).	Mr. Burt is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Mr. Burt is also a director of The Central European Fund, Inc., The Germany Fund, Inc., The New Germany Fund, Inc. and IGT, Inc. (provides technology to gaming and wagering industry).
Bernard H. Garil; 69 6754 Casa Grande Way Delray Beach, FL 33446	Trustee	Since 2005	Mr. Garil is retired (since 2001). He was a managing director at PIMCO Advisory Services (from 1999 to 2001) where he served as president of closed-end funds and vice-president of the variable insurance product funds advised by OpCap Advisors (until 2001).	Mr. Garil is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	Mr. Garil is also a director of OFI Trust Company (commercial trust company) and a trustee for the Brooklyn College Foundation, Inc. (charitable foundation).

42

UBS PACE Money Market Investments

Supplemental information (unaudited)

43

UBS PACE Money Market Investments

Supplemental information (unaudited)

Independent Trustees (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years	Number of portfolios in fund complex overseen by trustee	Other directorships held by trustee
Heather R. Higgins; 50 255 E. 49th St., Suite 23D New York, NY 10017	Trustee	Since 2005	Ms. Higgins is the president and director of The Randolph Foundation (charitable foundation) (since 1991). Ms. Higgins also serves on the boards of several non-profit charitable groups, including the Independent Women's Forum (chairman), and the Philanthropy Roundtable (vice chairman). She also serves on the board of the Hoover Institution (since January 2009), on which she had previously served from 2001-2007 (executive committee).	Ms. Higgins is a director or trustee of 17 investment companies (consisting of 48 portfolios) for which UBS Global AM or one of its affiliates serves as investment advisor, sub-advisor or manager.	None

44

UBS PACE Money Market Investments

Supplemental information (unaudited)

45

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Joseph Allessie*; 44	Vice President and Assistant Secretary	Since 2005	Mr. Allessie is an executive director (since 2007) (prior to which he was a director) and deputy general counsel (since 2005) at UBS Global Asset Management (US) Inc. and UBS Global Asset Management (Americas) Inc. (collectively, "UBS Global AM—Americas region"). Prior to joining UBS Global AM—Americas region, he was senior vice president and general counsel of Kenmar Advisory Corp. (from 2004 to 2005). Prior to that Mr. Allessie was general counsel and secretary of GAM USA Inc., GAM Investments, GAM Services, GAM Funds, Inc. and the GAM Avalon Funds (from 1999 to 2004). Mr. Allessie is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

46

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Caren Cunningham*; 50	Vice President and Assistant Secretary*	Since 2007	Ms. Cunningham is an executive director and senior associate general counsel of UBS Global AM—Americas region (since 2007). Prior to joining UBS Global AM—Americas region, she was vice president and senior legal manager (distribution) of Pioneer Investment Management Limited (from 2005 to 2006). Prior to that Ms. Cunningham was assistant general counsel of Fidelity Investments (1999-2006). Ms. Cunningham is a vice president and assistant secretary of UBS PACE Select Advisors Trust (consisting of 15 portfolios) and an assistant secretary of 20 other investment companies (consisting of 90 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Thomas Disbrow*; 43	Vice President and Treasurer	Since 2000 (Vice President) Since 2004 (Treasurer)	Mr. Disbrow is an executive director (since 2007) (prior to which he was a director) (since 2000) and head of the US mutual fund treasury administration department (since September 2006) of UBS Global AM—Americas region. Mr. Disbrow is a vice president and treasurer and/or principal accounting officer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

47

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Michael J. Flook*; 44	Vice President and Assistant Treasurer	Since 2006	Mr. Flook is an associate director and a senior manager of the US mutual fund treasury administration department of UBS Global AM—Americas region (since 2006). Prior to joining UBS Global AM—Americas region, he was a senior manager with The Reserve (asset management firm) from May 2005 to May 2006. Prior to that he was a senior manager with PFPC Worldwide since October 2000. Mr. Flook is a vice president and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Mark F. Kemper**; 51	Vice President and Secretary	Since 2004	Mr. Kemper is a managing director (since 2006) and head of the legal department of UBS Global AM—Americas region (since 2004). He was deputy general counsel of UBS Global AM—Americas region (from July 2001 to July 2004). He has been secretary of UBS Global AM—Americas since 1999 and assistant secretary of UBS Global Asset Management Trust Company since 1993 and secretary of UBS AM Holdings (USA) Inc. (since 2001). Mr. Kemper is secretary of UBS Global AM—Americas region (since 2004). Mr. Kemper is vice president and secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

48

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Joanne M. Kilkeary*; 41	Vice President and Assistant Treasurer	Since 1999	Ms. Kilkeary is a director (since March 2008) (prior to which she was an associate director) (since 2000) and a senior manager (since 2004) of the US mutual fund treasury administration department of UBS Global AM—Americas region. Ms. Kilkeary is a vice president and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Tammie Lee*; 38	Vice President and Assistant Secretary	Since 2005	Ms. Lee is a director and associate general counsel of UBS Global AM—Americas region (since 2005). Prior to joining UBS Global AM—Americas region, she was vice president and counsel at Deutsche Asset Management/Scudder Investments from 2003 to 2005. Prior to that she was assistant vice president and counsel at Deutsche Asset Management/Scudder Investments from 2000 to 2003. Ms. Lee is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

49

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Steven J. LeMire*; 40	Vice President and Assistant Treasurer	Since 2007	Mr. LeMire is a director and senior manager of the US mutual fund treasury administration department of UBS Global AM—Americas region (since October 2007). Prior to joining UBS Global AM—Americas region, he was an independent consultant with Third River Capital, LLC (formerly Two Rivers Capital, LLC) (from 2005 to 2007). Prior to that, he was vice president of operations and fund administration with Oberweis Asset Management, Inc. (from 1997 to 2005). Mr. LeMire is a vice President and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Joseph McGill*; 47	Vice President and Chief Compliance Officer	Since 2004	Mr. McGill is a managing director (since 2006) and chief compliance officer (since 2003) at UBS Global AM—Americas region. Prior to joining UBS Global AM—Americas region, he was assistant general counsel at JPMorgan Investment Management (from 1999 to 2003). Mr. McGill is a vice president and chief compliance officer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

50

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Nancy D. Osborn*; 43	Vice President and Assistant Treasurer	Since 2007	Mrs. Osborn is an associate director and a senior manager of the US mutual fund treasury administration department of UBS Global AM—Americas region (since 2006). Prior to joining UBS Global AM—Americas region, she was an assistant vice president with Brown Brothers Harriman since April 1996. Mrs. Osborn is a vice president and assistant treasurer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.
Robert Sabatino**; 36	Vice President	Since 2001	Mr. Sabatino is an executive director (since 2007) (prior to which he was a director) and portfolio manager of UBS Global AM—Americas region in the short duration fixed income group (since 2001). From 1995 to 2001 he was a portfolio manager at Merrill Lynch Investment Managers responsible for the management of several retail and institutional money market funds. Mr. Sabatino is a vice president of 4 investment companies (consisting of 33 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

51

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Eric Sanders*; 43	Vice President and Assistant Secretary	Since 2005	Mr. Sanders is a director and associate general counsel of UBS Global AM—Americas region (since 2005). From 1996 until June 2005, he held various positions at Fred Alger & Company, Incorporated, the most recent being assistant vice president and associate general counsel. Mr. Sanders is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

52

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Andrew Shoup*; 53	Vice President and Chief Operating Officer	Since 2006	Mr. Shoup is a managing director and global head of the treasury administration department of UBS Global AM—Americas region (since July 2006). Mr. Shoup is also a director of UBS (IRL) Fund p.l.c. (since December 2008). Prior to joining UBS Global AM—Americas region, he was chief administrative officer for the Legg Mason Partner Funds (formerly Smith Barney, Salomon Brothers, and CitiFunds mutual funds) from November 2003 to July 2006. Prior to that, he held various positions with Citigroup Asset Management and related companies with their domestic and offshore mutual funds since 1993. Additionally, he has worked for another mutual fund complex as well as spending eleven years in public accounting. Mr. Shoup is a vice president and chief operating officer of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

53

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (continued)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Kai R. Sotorp**; 50	President	Since 2006	Mr. Sotorp is Head—Americas for UBS Global Asset Management (since 2004); a member of the UBS Group Managing Board (since 2003) and a member of the UBS Global Asset Management Executive Committee (since 2001). Mr. Sotorp is a director and president of UBS AM Holdings (USA) Inc. (since 2004). Prior to his current role, Mr. Sotorp was head of UBS Global Asset Management—Asia Pacific (2002-2004), covering Australia, Japan, Hong Kong, Singapore and Taiwan; head of UBS Global Asset Management (Japan) Ltd. (2001-2004); representative director and president of UBS Global Asset Management (Japan) Ltd. (2000-2004); and member of the board of Mitsubishi Corp.—UBS Realty Inc. (2000-2004). Mr. Sotorp is president of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

54

UBS PACE Money Market Investments

Supplemental information (unaudited)

Officers (concluded)

Name, address, and age	Position(s) held with Trust	Term of office† and length of time served	Principal occupation(s) during past 5 years; number of portfolios in fund complex for which person serves as officer
Keith A. Weller*; 48	Vice President and Assistant Secretary	Since 2000	Mr. Weller is an executive director and senior associate general counsel of UBS Global AM—Americas region (since 2005) and has been an attorney with affiliated entities since 1995. Mr. Weller is a vice president and assistant secretary of 21 investment companies (consisting of 104 portfolios) for which UBS Global AM—Americas region or one of its affiliates serves as investment advisor, sub-advisor or manager.

*  This person's business address is 51 West 52nd Street, New York, New York 10019-6114.

**  This person's business address is One North Wacker Drive, Chicago, Illinois 60606.

†  Each trustee holds office for an indefinite term. Each trustee who has attained the age of seventy-five (75) years will be subject to retirement on the last day of the month in which he or she attains such age unless the Trust's board, including a majority of its Independent Trustees, determines to grant a waiver of the retirement policy with respect to a specified individual for a set period of time. The retirement policy has been waived with respect to Mr. Armstrong, the Chairman of the Board, until 2011. Officers are appointed by the trustees and serve at the pleasure of the Board.

††  Professor Feldberg is deemed an "interested person" of the Trust as defined in the Investment Company Act because he is a senior advisor to Morgan Stanley, a financial services firm with which the Trust may conduct transactions.

55

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56

Trustees

Richard Q. Armstrong
Chairman

Alan S. Bernikow

Richard R. Burt

Meyer Feldberg

Bernard H. Garil

Heather R. Higgins

Principal Officers

Kai R. Sotorp President	Thomas Disbrow Vice President and Treasurer
Mark F. Kemper Vice President and Secretary	Robert Sabatino Vice President

Investment Manager and
Administrator

UBS Global Asset Management (Americas) Inc.
51 West 52nd Street
New York, New York 10019-6114

Principal Underwriter

UBS Global Asset Management (US) Inc.
51 West 52nd Street
New York, New York 10019-6114

This report is not to be used in connection with the offering of shares of the Portfolio unless accompanied or preceded by an effective prospectus.

© 2009 UBS Global Asset Management (Americas) Inc. All rights reserved.

PRESORTED
STANDARD
U.S. POSTAGE
PAID
COMPUTERSHARE

UBS Global Asset Management (Americas) Inc.

51 West 52nd Street

New York, New York 10019-6114

Item 2.  Code of Ethics.

The registrant has adopted a code of ethics that applies to its principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions pursuant to Section 406 of the Sarbanes-Oxley Act of 2002.  (The registrant has designated the code of ethics adopted pursuant to Sarbanes-Oxley as a “Code of Conduct” to lessen the risk of confusion with its separate code of ethics adopted pursuant to Rule 17j-1 under the Investment Company Act of 1940, as amended.)

Item 3.  Audit Committee Financial Expert.

The registrant’s Board has determined that the following person serving on the registrant’s Audit Committee is an “audit committee financial expert” as defined in item 3 of Form N-CSR:  Alan S. Bernikow.  Mr. Bernikow is independent as defined in item 3 of Form N-CSR.

Item 4.  Principal Accountant Fees and Services.

(a)Audit Fees:

For the fiscal years ended July 31, 2009 and July 31, 2008, the aggregate Ernst & Young LLP (E&Y) audit fees for professional services rendered to the registrant were approximately $854,350 and $814,200, respectively.

Fees included in the audit fees category are those associated with the annual audits of financial statements and services that are normally provided in connection with statutory and regulatory filings.

(b)Audit-Related Fees:

In each of the fiscal years ended July 31, 2009 and July 31, 2008, the aggregate audit-related fees billed by E&Y for services rendered to the registrant that are reasonably related to the performance of the audits of the financial statements, but not reported as audit fees, were approximately $60,099 and $43,000, respectively.

Fees included in the audit-related fees category are those associated with (1) the reading and providing of comments on the 2009 and 2008 semiannual financial statements and (2) review of the consolidated 2008, 2007 and 2006 reports on the profitability of the UBS Funds to UBS Global Asset Management (Americas) Inc. and its affiliates to assist the board members in their annual advisory/administration contract and service/distribution plan reviews.

There were no audit-related fees required to be approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X during the fiscal years indicated above.

(c)Tax Fees:

In each of the fiscal years ended July 31, 2009 and July 31, 2008, the aggregate tax fees billed by E&Y for professional services rendered to the registrant were approximately $276,980 and $263,100, respectively.

Fees included in the tax fees category comprise all services performed by professional staff in the independent accountant’s tax division except those services related to the audits.  This category comprises fees for review of tax compliance, tax return preparation and excise tax calculations.

There were no tax fees required to be approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X during the fiscal years indicated above.

(d)All Other Fees:

In each of the fiscal years ended July 31, 2009 and July 31, 2008, there were no fees billed by E&Y for products and services, other than the services reported in Item 4(a)-(c) above, rendered to the registrant.

Fees included in the all other fees category would consist of services related to internal control reviews, strategy and other consulting, financial information systems design and implementation, consulting on other information systems, and other tax services unrelated to the registrant.

There were no “all other fees” required to be approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X during the fiscal years indicated above.

(e)(1)Audit Committee Pre-Approval Policies and Procedures:

The registrant’s Audit Committee (“audit committee”) has adopted an “Audit Committee Charter (Amended and Restated as of May 12, 2004 — with revisions through July 2008)” (the “charter”).  The charter contains the audit committee’s pre-approval policies and procedures.  Reproduced below is an excerpt from the charter regarding pre-approval policies and procedures:

The [audit] Committee shall:

…

2.Pre-approve (a) all audit and permissible non-audit services(1) to be provided to the Fund and (b) all permissible non-audit services to be provided by the Fund’s independent auditors to UBS Global [Asset Management (Americas) Inc. (“UBS Global AM”)] and any Covered Service Providers, if the engagement relates directly to the operations and financial reporting of the Fund.  In carrying out this responsibility, the Committee shall seek periodically from UBS Global [AM] and from the independent auditors a list of such audit and permissible non-audit services that can be expected to be rendered to the Fund, UBS Global [AM] or any Covered Service Providers by the Fund’s independent auditors, and an estimate of the fees sought to be paid in connection with such services.  The Committee may delegate its responsibility to pre-approve any such audit and permissible non-audit services to a sub-committee consisting of the Chairperson of the Committee

and two other members of the Committee as the Chairperson, from time to time, may determine and appoint, and such sub-committee shall report to the Committee, at its next regularly scheduled meeting after the sub-committee’s meeting, its decision(s).  From year to year, the Committee shall report to the Board whether this system of pre-approval has been effective and efficient or whether this Charter should be amended to allow for pre-approval pursuant to such policies and procedures as the Committee shall approve, including the delegation of some or all of the Committee’s pre-approval responsibilities to other persons (other than UBS Global [AM] or the Fund’s officers).

(1) The Committee will not approve non-audit services that the Committee believes may taint the independence of the auditors.  Currently, permissible non-audit services include any professional services (including tax services) that are not prohibited services as described below, provided to the Fund by the independent auditors, other than those provided to the Fund in connection with an audit or a review of the financial statements of the Fund.  Permissible non-audit services may not include: (i) bookkeeping or other services related to the accounting records or financial statements of the Fund; (ii) financial information systems design and implementation; (iii) appraisal or valuation services, fairness opinions or contribution-in-kind reports; (iv) actuarial services; (v) internal audit outsourcing services; (vi) management functions or human resources; (vii) broker or dealer, investment adviser or investment banking services; (viii) legal services and expert services unrelated to the audit; and (ix) any other service the Public Company Accounting Oversight Board determines, by regulation, is impermissible.

Pre-approval by the Committee of any permissible non-audit services is not required so long as: (i) the aggregate amount of all such permissible non-audit services provided to the Fund, UBS Global [AM] and any service providers controlling, controlled by or under common control with UBS Global [AM] that provide ongoing services to the Fund (“Covered Service Providers”) constitutes not more than 5% of the total amount of revenues paid to the independent auditors (during the fiscal year in which the permissible non-audit services are provided) by (a) the Fund, (b) its investment adviser and (c) any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the Fund during the fiscal year in which the services are provided that would have to be approved by the Committee; (ii) the permissible non-audit services were not recognized by the Fund at the time of the engagement to be non-audit services; and (iii) such services are promptly brought to the attention of the Committee and approved by the Committee (or its delegate(s)) prior to the completion of the audit.

(e) (2)Services approved pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X:

Audit-Related Fees:

There were no amounts that were approved by the audit committee pursuant to the de minimis exception for the fiscal years ended July 31, 2009 and July 31, 2008 on behalf of the registrant.

There were no amounts that were required to be approved by the audit committee pursuant to the de minimis exception for the fiscal years ended July 31, 2009 and July 31, 2008 on behalf of the registrant’s service providers that relate directly to the operations and financial reporting of the registrant.

Tax Fees:

There were no amounts that were approved by the audit committee pursuant to the de minimis exception for the fiscal years ended July 31, 2009 and July 31, 2008 on behalf of the registrant.

There were no amounts that were required to be approved by the audit committee pursuant to the de minimis exception for the fiscal years ended July 31, 2009 and July 31, 2008 on behalf of the registrant’s service providers that relate directly to the operations and financial reporting of the registrant.

All Other Fees:

There were no amounts that were approved by the audit committee pursuant to the de minimis exception for the fiscal years ended July 31, 2009 and July 31, 2008 on behalf of the registrant.

There were no amounts that were required to be approved by the audit committee pursuant to the de minimis exception for the fiscal years ended July 31, 2009 and July 31, 2008 on behalf of the registrant’s service providers that relate directly to the operations and financial reporting of the registrant.

(f)According to E&Y, for the fiscal year ended July 31, 2009, the percentage of hours spent on the audit of the registrant’s financial statements for the most recent fiscal year that were attributed to work performed by persons who are not full-time, permanent employees of E&Y was 0%.

(g)For the fiscal years ended July 31, 2009 and July 31, 2008, the aggregate fees billed by E&Y of $2,376,239 and $2,008,498, respectively, for non-audit services rendered on behalf of the registrant (“covered”), its investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) and any entity controlling, controlled by, or under common control with the adviser (“non-covered”) that provides ongoing services to the registrant for each of the last two fiscal years of the registrant is shown in the table below:

	2009		2008
Covered Services	$	337,079	$	306,100
Non-Covered Services	2,039,160		1,702,398

(h)  The registrant’s audit committee was not required to consider whether the provision of non-audit services that were rendered to the registrant’s investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or

overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.

Item 5. Audit Committee of Listed Registrants.

Not applicable to the registrant.

Item 6.  Schedule of Investments.

(a)Included as part of the report to shareholders filed under Item 1 of this form.

(b)Not applicable.

Item 7.  Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable to the registrant.

Item 8.  Portfolio Managers of Closed-End Management Investment Companies.

Not applicable to the registrant.

Item 9.  Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable to the registrant.

Item 10.  Submission of Matters to a Vote of Security Holders.

The registrant’s Board has established a Nominating and Corporate Governance Committee.  The Nominating and Corporate Governance Committee will consider nominees recommended by shareholders if a vacancy occurs among those board members who are not “interested persons” as defined in Section 2(a)(19) of the Investment Company Act of 1940, as amended.  In order to recommend a nominee, a shareholder should send a letter to the chairperson of the Nominating and Corporate Governance Committee, Richard R. Burt, care of the Secretary of the registrant at UBS Global Asset Management (Americas) Inc., UBS Building, One North Wacker Drive, Chicago, IL 60606, and indicate on the envelope “Nominating and Corporate Governance Committee.”  The shareholder’s letter should state the nominee’s name and should include the nominee’s resume or curriculum vitae, and must be accompanied by a written consent of the individual to stand for election if nominated for the Board and to serve if elected by shareholders.

Item 11.  Controls and Procedures.

(a)The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this document.

(b)The registrant’s principal executive officer and principal financial officer are aware of no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940, as amended) that occurred during the registrant’s most recent fiscal half-year that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12.  Exhibits.

(a)(1) Code of Ethics as required pursuant to Section 406 of the Sarbanes-Oxley Act of 2002 (and designated by registrant as a “Code of Conduct”) is filed herewith as Exhibit EX-99.CODE ETH.

(a)(2) Certifications of principal executive officer and principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto as Exhibit EX-99.CERT.

(a)(3) Written solicitation to purchase securities under Rule 23c-1 under the Investment Company Act of 1940 sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons — not applicable to the registrant.

(b)Certifications of principal executive officer and principal financial officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto as Exhibit EX-99.906CERT.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

UBS PACE Select Advisors Trust

By:	/s/ Kai R. Sotorp
	Kai R. Sotorp
	President
Date:	October 9, 2009

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:	/s/ Kai R. Sotorp
	Kai R. Sotorp
	President
Date:	October 9, 2009
By:	/s/ Thomas Disbrow
	Thomas Disbrow
	Vice President and Treasurer
Date:	October 9, 2009