Goldman Sachs Bank plans variable-coupon CDs linked to 10 stocks

By Toni Weeks

San Diego, Aug. 1 - Goldman Sachs Bank USA plans to price variable-coupon basket-linked certificates of deposit due 2019 linked to a basket of 10 stocks, according to a term sheet.

The underlying stocks are Apple Inc., Barrick Gold Corp., Bristol-Myers Squibb Co., Duke Energy Corp., Google Inc., McDonald's Corp., PepsiCo, Inc., Southern Co., Target Corp. and Wal-Mart Stores, Inc.

Interest is payable annually in an amount equal to the average of the stock returns, subject to a floor of 0.5%.

If a stock's return is zero or positive, its performance will be fixed at 5.25% to 5.75%. Otherwise, its performance will be the greater of the stock return and negative 25%. The exact fixed percentage will be set at pricing.

The payout at maturity will be par.

The Cusip is 38143AYH2.

Goldman Sachs & Co. is the agent. Incapital LLC is the distributor.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.