Published on 10/29/2021 in the Prospect News Structured Products Daily.
New Issue: BMO sells $2.13 million autocallable barrier notes with contingent coupon on three indexes
By William Gullotti
Buffalo, N.Y., Oct. 29 – Bank of Montreal priced $2.13 million of autocallable barrier notes with contingent coupons due April 28, 2023 linked to the Dow Jones industrial average, the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly coupon equal to 5.5% per year if each index’s closing level is at least 65% of its initial level on the corresponding observation date.
The notes will be automatically redeemed at par plus the contingent coupon if each index closes above its initial level on any monthly observation date after six months.
If the notes are not called, the payout at maturity will be par plus the final coupon if each index’s final level is greater than or equal to the 65% trigger level. Otherwise, investors will lose 1% for each 1% decline of the least-performing index from its initial level.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
|
| Issue: | Autocallable barrier notes with contingent coupons
|
| Underlying indexes: | Dow Jones industrial average, S&P 500 index, Russell 2000 index
|
| Amount: | $2,125,000
|
| Maturity: | April 28, 2023
|
| Coupon: | 5.5% per year, payable monthly if each index’s closing level is at or above its coupon barrier level on the relevant observation date
|
| Price: | Par
|
| Payout at maturity: | Par plus the final coupon if all indexes finish at or above trigger levels; otherwise, investors will lose 1% for each 1% decline of the least-performing index from its initial level
|
| Call: | At par plus contingent coupon if indexes close above initial levels on any monthly observation date after six months
|
| Initial levels: | 35,756.88 for Dow, 4,574.79 for S&P, 2,296.075 for Russell
|
| Coupon barrier levels: | 23,241.97 for Dow, 2,973.61 for S&P, 1,492.449 for Russell; 65% of initial levels
|
| Trigger levels: | 23,241.97 for Dow, 2,973.61 for S&P, 1,492.449 for Russell; 65% of initial levels
|
| Pricing date: | Oct. 26
|
| Settlement date: | Oct. 29
|
| Agent: | BMO Capital Markets Corp.
|
| Fees: | 0.9%
|
|
|
| Cusip: | 06368EZ62
|
|
|
|
|
© 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.
