By Marisa Wong
Madison, Wis., Aug. 28 – JPMorgan Chase & Co. priced $9.98 million of callable interest rate spread notes due Aug. 29, 2029 linked to the 10-year Constant Maturity Swap rate and the two-year CMS rate, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be fixed at 8% for the first year. After that, it will accrue at 5 times the spread of the 10-year CMS rate over the two-year CMS rate minus 25 basis points, up to a maximum rate of 10%. Interest is payable quarterly and cannot be less than zero.
The payout at maturity will be par plus the final interest payment, if any.
The notes are callable at par on any quarterly redemption date beginning Aug. 29, 2015.
J.P. Morgan Securities LLC is the agent. Morgan Stanley Smith Barney LLC will handle distribution.
| Issuer: | JPMorgan Chase & Co.
|
| Issue: | Callable interest rate spread notes
|
| Underlyings: | 10-year Constant Maturity Swap rate and two-year CMS rate
|
| Amount: | $9,981,000
|
| Maturity: | Aug. 29, 2029
|
| Coupon: | 8% for first year; after that, 5 times spread of 10-year CMS rate over two-year CMS rate minus 25 bps, capped at 10% and with floor of 0%; payable quarterly
|
| Price: | Par
|
| Call option: | At par on any quarterly call date beginning Aug. 29, 2015
|
| Payout at maturity: | Par plus accrued interest, if any
|
| Pricing date: | Aug. 26
|
| Settlement date: | Aug. 29
|
| Agent: | J.P. Morgan Securities LLC with Morgan Stanley Smith Barney LLC handling distribution
|
| Fees: | 3.5%
|
| Cusip: | 48126N7K7
|
|
|
© 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.
