Morgan Stanley contingent income notes linked to Russell, Euro Stoxx

By Devika Patel

Knoxville, Tenn., Dec. 2 – Morgan Stanley plans to price contingent income participation securities due Dec. 23, 2030 linked to the worst performing of the Russell 2000 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon at an annual rate of 6% if each index closes at or above its barrier level of 65% on the determination date for that quarter.

If both indexes finish at or above their barrier levels, the payout at maturity will be par plus the contingent coupon.

Investors will receive par if the final value of either index is less than the barrier level but the final levels of both indexes are greater than or equal to the 50% downside threshold level. Otherwise, investors will be fully exposed to any losses of the worst performing index.

Morgan Stanley & Co. LLC is the agent.

The notes (Cusip: 61761JR50) will price on Dec. 18 and settle on Dec. 23.

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