Wells Fargo plans growth securities on fund basket with 35%-45% cap

By Susanna Moon

Chicago, Oct. 6 - Wells Fargo & Co. plans to price 0% growth securities due May 2015 linked to a basket of three exchange-traded funds, according to a 424B2 filing with the Securities and Exchange Commission.

The basket consists of the SPDR S&P 500 ETF trust with a 50% weight, the iShares Russell 2000 index fund with a 25% weight and the SPDR S&P MidCap 400 ETF trust with a 25% weight.

The payout at maturity will be par plus 1.5 times any gain in the basket, up to a maximum return of 35% to 45%. The exact cap will be set at pricing.

Investors will receive par if the basket falls by up to 15% and will be exposed to any decline beyond 15%.

Wells Fargo Securities, LLC is the agent.

The notes will settle in November.

The Cusip is 94986RFY2.

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