Morgan Stanley plans leveraged notes linked to CMS curve, S&P 500

By Susanna Moon

Chicago, Feb. 14 - Morgan Stanley plans to price fixed-to-floating leveraged CMS curve and S&P 500 index-linked notes due Feb. 28, 2034, according to a 424B2 filing with the Securities and Exchange Commission.

The coupon will be fixed at 10% for the first four years. After that, it will be 4 times the spread of the 30-year Constant Maturity Swap rate over the two-year CMS rate for each day that the index closes at or above the 50% barrier level, up to a maximum rate of 10%. Interest will be payable monthly and cannot be less than zero.

The payout at maturity will be par.

Morgan Stanley & Co. LLC is the agent.

The notes will settle on Feb. 28.

The Cusip number is 61760QDZ4.

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