Published on 6/7/2016 in the Prospect News Structured Products Daily.
New Issue: BMO sells $515,000 contingent risk absolute return notes linked to MSCI EM fund
By Tali Rackner
Norfolk, Va., June 7 – Bank of Montreal priced $515,000 of 0% contingent risk absolute return notes due May 31, 2018 linked to the iShares MSCI Emerging Markets exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.
If the fund finishes above the initial level, the payout at maturity will be par plus the fund gain.
If the fund falls but not below the barrier level, 71% of the initial level, the payout will be par plus the absolute value of the return, up to a maximum downside redemption amount of $1,290 per $1,000 principal amount.
Otherwise, investors will be fully exposed to any losses.
BMO Capital Markets Corp. is the agent.
Issuer: | Bank of Montreal
|
Issue: | Contingent risk absolute return notes
|
Underlying fund: | iShares MSCI Emerging Markets ETF
|
Amount: | $515,000
|
Maturity: | May 31, 2018
|
Coupon: | 0%
|
Price: | Par of $1,000
|
Payout at maturity: | If return is positive, par plus the fund gain; if fund falls but not by more than 29%, par plus absolute value of return, up to a maximum downside redemption amount of $1,290 per $1,000 principal amount; if fund falls by more than 29%, full exposure to any losses
|
Initial level: | $33.10
|
Barrier level: | $23.50, 71% of initial level
|
Pricing date: | May 26
|
Settlement date: | May 31
|
Agent: | BMO Capital Markets Corp.
|
Fees: | None
|
Cusip: | 06367TEX4
|
|
|
© 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.