Morgan Stanley plans contingent income autocallables on Prudential

By Susanna Moon

Chicago, Jan. 5 – Morgan Stanley plans to price contingent income autocallable securities due Jan. 12, 2018 linked to Prudential Financial, Inc. shares, according to an FWP filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon at an annual rate of 8% if the stock closes at or above its 80% barrier level on the observation date for that quarter.

The notes will be called at par plus the contingent coupon if the stock closes at or above its redemption level on any of the first 11 determination dates.

The redemption level will be 105% of the initial share price for the first four determination dates, stepping up to 110% of the initial share price for the next four determination dates and to 115% of the initial share price for the final determination dates.

The payout at maturity will be par plus the final coupon unless the stock finishes below its barrier level, in which case investors will be fully exposed to any losses.

Morgan Stanley & Co. LLC is the agent.

The notes will price on Jan. 9 and settle on Jan. 14.

The Cusip number is 61764M604.

© 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.