E-mail us: service@prospectnews.com Or call: 212 374 2800
Bank Loans - CLOs - Convertibles - Distressed Debt - Emerging Markets
Green Finance - High Yield - Investment Grade - Liability Management
Preferreds - Private Placements - Structured Products
 
Published on 3/13/2012 in the Prospect News Structured Products Daily.

New Issue: Morgan Stanley prices $2.5 million notes with partial protection linked to currencies

By Angela McDaniels

Tacoma, Wash., March 13 - Morgan Stanley priced $2.5 million of 0% currency-linked partial principal at risk securities due March 14, 2014 linked to the performance of a basket of currencies relative to the U.S. dollar, according to a 424B2 filing with the Securities and Exchange Commission.

The basket includes equal weights of the Australian dollar, the Brazilian real, the Canadian dollar, the Russian ruble and the South African rand.

If the basket appreciates relative to the U.S. dollar, the payout at maturity will be par plus 110% of the basket return.

Investors will be exposed to the decline if the basket depreciates relative to the U.S. dollar, subject to a minimum payout of $980 per $1,000 principal amount of notes.

Morgan Stanley & Co. LLC is the agent.

Issuer:Morgan Stanley
Issue:Currency-linked partial principal at risk securities
Underlying currencies:Australian dollar, Brazilian real, Canadian dollar, Russian ruble and South African rand, equally weighted
Amount:$2.5 million
Maturity:March 14, 2014
Coupon:0%
Price:Par
Payout at maturity:If basket appreciates relative to U.S. dollar, par plus 110% of basket return; 1% loss for every 1% that basket depreciates relative to U.S. dollar, subject to minimum payout of 98% of par
Initial exchange rates:1.06185 for Australian dollar; 1.7767 for real; 0.98885 for Canadian dollar; 29.4025 for ruble; 7.5093 for rand
Pricing date:March 9
Settlement date:March 14
Agent:Morgan Stanley & Co. LLC
Fees:1.75%
Cusip:617482SK1

© 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.