New Issue: Morgan Stanley prices $11.86 million airbag performance notes on Energy Select fund

By Toni Weeks

San Luis Obispo, Calif., Feb. 26 – Morgan Stanley priced $11.86 million of 0% airbag performance securities due Feb. 28, 2020 linked to the Energy Select Sector SPDR fund, according to a 424B2 filing with the Securities and Exchange Commission.

The payout at maturity will be par plus 117% of any fund gain. If the fund falls by up to 20%, the payout will be par. If the fund falls by more than 20%, investors will receive a number of shares equal to $1,000 divided by the conversion price, which is 80% of the initial price.

Morgan Stanley & Co. LLC is the agent. UBS Financial Services Inc. is the dealer.

Issuer:	Morgan Stanley
Issue:	Airbag performance securities
Underlying fund:	Energy Select Sector SPDR fund
Amount:	$11,864,000
Maturity:	Feb. 28, 2020
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus 117% of any fund gain; if fund falls by up to 20%, par; otherwise, 15.5424 fund shares
Initial price:	$80.43
Conversion price:	$64.34, 80% of initial price
Pricing date:	Feb. 24
Settlement date:	Feb. 27
Agent:	Morgan Stanley & Co. LLC
Dealer:	UBS Financial Services Inc.
Fees:	3.5%
Cusip:	61764V141

© 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.