JPMorgan eyes autocallable step-down contingent interest notes on indexes

By Sarah Lizee

Olympia, Wash., May 13 – JPMorgan Chase Financial Co. LLC plans to price autocallable step-down contingent interest notes due May 31, 2022 linked to the S&P 500 index, the Euro Stoxx 50 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes are guaranteed by JPMorgan Chase & Co.

Each quarter, the notes will pay a contingent coupon if each index closes at or above 70% of its initial level on the observation date for that quarter. The contingent interest rate will be 8% per year for the first year and 5% per year onwards.

The notes will be automatically called at par if each asset closes at or above its initial level on any quarterly observation date except the final one.

The payout at maturity will be par unless any asset finishes below 70% of its initial level, in which case investors will be exposed to the decline of the least-performing asset from its initial level.

J.P. Morgan Securities LLC is the agent.

The notes will price on May 31.

The Cusip number is 48132CJY0.

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