Morgan Stanley plans trigger callable contingent yield notes on indexes

By Sarah Lizee

Olympia, Wash., Nov. 14 – Morgan Stanley Finance LLC plans to price trigger callable contingent yield notes with quarterly coupon observation due Nov. 20, 2029 linked to the least performing of the S&P 500 index, the Dow Jones industrial average and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes are guaranteed by Morgan Stanley.

Each quarter, the notes pay a contingent coupon if each index closes at or above its coupon barrier, 70% of its initial level, on the observation date for that quarter. The contingent coupon rate will be 6.4% to 6.75% per year.

After one year, the notes will be callable at par of $10 on each quarterly observation date.

If the notes are not called and each index finishes at or above its 50% downside threshold, the payout at maturity will be par.

Otherwise, investors will lose 1% for every 1% that the least-performing index’s final level is below its initial level.

UBS Financial Services Inc. and Morgan Stanley & Co. LLC are the agents.

The notes will price on Nov. 15.

The Cusip number is 61770C822.

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