Goldman Sachs plans variable coupon CDs due 2023 linked to 10 stocks

By Marisa Wong

Morgantown, W.Va., March 10 – Goldman Sachs Bank USA plans to price variable coupon certificates of deposit due March 30, 2023 linked to a basket of stocks, according to a term sheet.

The equally weighted basket includes the stocks of AbbVie Inc., Apple Inc., Bristol-Myers Squibb Co., Eli Lilly & Co., Kraft Heinz Co., Schlumberger NV, UnitedHealth Group Inc., Walgreens Boots Alliance, Inc., Walt Disney Co. and Wal-Mart Stores, Inc.

The CDs will pay a coupon each year equal to the average of the basket stocks’ performances, subject to a minimum coupon rate of 1%.

If a basket stock’s return is zero or positive, its performance will be equal to the 6% maximum stock return. If a basket stock’s return is negative, its performance will be the greater of its return and negative 15%.

The payout at maturity will be par plus the final coupon.

Goldman Sachs & Co. is the agent. Incapital LLC is distributor.

The CDs are expected to price March 28.

The Cusip number is 38148DHH0.

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