By William Gullotti
Buffalo, N.Y., Jan. 8 – BofA Finance LLC priced $1.3 million of market-linked securities – autocallable with contingent coupon and contingent downside due Dec. 30, 2026 linked to the stock performance of JPMorgan Chase & Co., Target Corp. and Microsoft Corp., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annual rate of 13.5% if each stock closes at or above its 70% coupon threshold on the observation date for that period.
The notes will be called at par plus the coupon if each stock closes at or above the initial level on any quarterly observation date after six months.
The payout at maturity will be par plus the final coupon if each stock finishes at or above its coupon threshold.
If the worst performer finishes below its coupon threshold but at or above its 60% downside threshold, the payout will be par. Otherwise, investors will lose 1% for every 1% decline of the worst performer from its initial level.
The notes are guaranteed by Bank of America Corp.
Wells Fargo Securities, LLC and BofA Securities, Inc. are the agents.
| Issuer: | BofA Finance LLC
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| Guarantor: | Bank of America Corp.
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| Issue: | Market linked securities – autocallable with contingent coupon and contingent downside
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| Underlying stocks: | JPMorgan Chase & Co., Target Corp., Microsoft Corp.
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| Amount: | $1.3 million
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| Maturity: | Dec. 30, 2026
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| Coupon: | 13.5% annualized, payable monthly if each stock closes at or above coupon threshold on observation date for that period
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| Price: | Par
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| Payout at maturity: | Par plus the final coupon if each stock finishes at or above coupon threshold; if worst performer finishes below coupon threshold but at or above downside threshold, par; otherwise, 1% loss per 1% decline of worst performer from its initial level
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| Call: | At par plus coupon if each stock closes at or above its initial level on any quarterly observation date after six months
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| Initial levels: | $170.30 for JPMorgan, $142.54 for Target, $375.28 for Microsoft
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| Coupon thresholds: | $119.21 for JPMorgan, $99.778 for Target, $262.696 for Microsoft; 70% of initial levels
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| Downside thresholds: | $102.18 for JPMorgan, $85.524 for Target, $225.168 for Microsoft; 60% of initial levels
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| Pricing date: | Dec. 28
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| Settlement date: | Jan. 3
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| Agents: | Wells Fargo Securities, LLC and BofA Securities, Inc.
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| Fees: | 2.325%
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| Cusip: | 09710PGT7
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