Published on 2/10/2022 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley sells $1.42 million contingent income autocalls on indexes, fund
By William Gullotti
Buffalo, N.Y., Feb. 10 – Morgan Stanley Finance LLC priced $1.42 million of contingent income autocallable securities due May 1, 2024 tied to the worst performing of the Nasdaq-100 index, the Russell 2000 index and the Energy Select Sector SPDR Fund, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly contingent coupon at the rate of 7.25% per year if each asset closes at or above its coupon barrier level, 70% of its initial level, on the observation date that period.
The notes will be automatically called at par plus the coupon if each asset closes at or above its initial level on any quarterly call determination date after six months.
If the lowest-performing asset finishes at or above its downside threshold level, 60% of its initial level, the payout at maturity will be par plus any final coupon due. Otherwise, investors will be fully exposed to the decline of the final value of the lowest-performing asset.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Contingent income autocallable securities
|
| Underlying assets: | Nasdaq-100 index, Russell 2000 index, Energy Select Sector SPDR Fund
|
| Amount: | $1,419,000
|
| Maturity: | May 1, 2024
|
| Coupon: | 7.25% per year, payable monthly if each index closes at or above coupon barrier level on observation date that period
|
| Price: | Par
|
| Payout at maturity: | If each index finishes at or above downside threshold level, par plus any coupon due; otherwise, full exposure to decline of lowest-performing index from its initial level
|
| Call: | At par plus coupon if each index closes at or above its initial level on any quarterly call determination date after six months
|
| Initial levels: | 13,907.67 for Nasdaq, 2,232.001 for Russell, $48.35 for SPDR
|
| Coupon barrier levels: | 9,735.369 for Nasdaq, 1,562.401 for Russell, $33.845 for SPDR; 70% of initial levels
|
| Downside threshold levels: | 8,344.602 for Nasdaq, 1,339.201 for Russell, $29.01 for SPDR; 60% of initial levels
|
| Pricing date: | April 19, 2021
|
| Settlement date: | April 22, 2021
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 2.5%
|
| Cusip: | 61771VVS6
|
© 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.
