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Published on 12/30/2014 in the Prospect News Structured Products Daily.

New Issue: Morgan Stanley prices $1.06 million contingent coupon notes on indexes

By Toni Weeks

San Luis Obispo, Calif., Dec. 30 – Morgan Stanley priced $1.06 million of contingent coupon notes due Dec. 29, 2034 linked to the Euro Stoxx 50 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a contingent monthly coupon at an annual rate of 7% if each index closes at or above its coupon barrier level, 80% of its initial level, on the observation date for that month.

The payout at maturity will be par plus the final contingent coupon, if any.

Morgan Stanley & Co. LLC is the agent.

Issuer:Morgan Stanley
Issue:Contingent coupon notes
Underlying indexes:Russell 2000 and Euro Stoxx 50
Amount:$1,059,000
Maturity:Dec. 29, 2034
Coupon:7% annualized, payable monthly if each index closes at or above its barrier level on observation date for month
Price:Par
Payout at maturity:Par plus final contingent coupon, if any
Initial levels:1,202.438 for Russell and 3,192.47 for Euro Stoxx
Coupon barriers:961.95 for Russell and 2,553.976 for Euro Stoxx; 80% of initial levels
Pricing date:Dec. 23
Settlement date:Dec. 29
Agent:Morgan Stanley & Co. LLC
Fees:3.5%
Cusip:61761JVH9

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