Goldman Sachs plans four-year CDs linked to Dow with 2% minimum return

By Angela McDaniels

Tacoma, Wash., Jan. 3 - Goldman Sachs Bank USA plans to price four-year 0% equity index-linked certificates of deposit linked to the Dow Jones industrial average, according to a term sheet.

The payout at maturity will be par plus the sum of the index's returns in each of the 48 months making up the life of the CDs, subject to a minimum payout of 102% of par.

The return each month will be measured from the previous month, not the pricing date, and will be subject to a cap, which is expected to be 1.5% to 2% and will be set at pricing.

Goldman Sachs & Co. is the underwriter. Incaptial LLC is distributor.

The Cusip number is 38143AFY6.

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