Published on 10/20/2017 in the Prospect News Structured Products Daily.
New Issue: GS Finance prices $1.05 million leveraged buffered notes on ETF basket
By Marisa Wong
Morgantown, W.Va., Oct. 20 – GS Finance Corp. priced $1.05 million of 0% leveraged buffered notes due Jan. 8, 2020 linked to a basket of exchange traded funds, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Goldman Sachs Group, Inc.
The basket consists of the SPDR S&P 500 ETF trust with a 50% weight, the iShares MSCI EAFE ETF with a 25% weight, the iShares MSCI Emerging Markets ETF with a 10% weight, the iShares Russell 2000 ETF with a 7.5% weight and the SPDR S&P MidCap 400 ETF trust with a 7.5% weight.
If the basket return is positive, the payout at maturity will be par plus 200% of the basket return, subject to a maximum payment of $1,170 per $1,000 principal amount. Investors will receive par if the basket falls by up to 15% and lose 1% for every 1% decline in the basket beyond 15%.
Goldman, Sachs & Co. is the underwriter.
| Issuer: | GS Finance Corp.
|
| Guarantor: | Goldman Sachs Group, Inc.
|
| Issue: | Leveraged buffered notes
|
| Underlying basket: | SPDR S&P 500 ETF trust with a 50% weight, iShares MSCI EAFE ETF with a 25% weight, iShares MSCI Emerging Markets ETF with a 10% weight, iShares Russell 2000 ETF with a 7.5% weight and SPDR S&P MidCap 400 ETF trust with a 7.5% weight
|
| Amount: | $1.05 million
|
| Maturity: | Jan. 8, 2020
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If basket return is positive, par plus 200% of basket return, subject to maximum payment of $1,170 per $1,000 principal amount; par if basket falls by up to 15%; 1% loss for every 1% decline in basket beyond 15%
|
| Initial prices: | $255.72 for SPDR S&P, $69.54 for EAFE, $46.50 for EM, $149.52 for Russell and $331.27 for MidCap
|
| Pricing date: | Oct. 18
|
| Settlement date: | Oct. 23
|
| Underwriters: | Goldman, Sachs & Co.
|
| Fees: | 0.175%
|
| Cusip: | 40054LXG4
|
|
|
© 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.
