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Published on 8/2/2012 in the Prospect News Structured Products Daily.

New Issue: Morgan Stanley prices $6.56 million PLUS linked to corn, soy, wheat

By Angela McDaniels

Tacoma, Wash., Aug. 2 - Morgan Stanley priced $6.56 million 0% buffered Performance Leveraged Upside Securities due Aug. 29, 2013 linked to a basket of commodities, according to an FWP filing with the Securities and Exchange Commission.

The basket includes equal weights of corn, soybeans and wheat.

The payout at maturity will be par plus double any basket gain, subject to a maximum return of 45%. Investors will receive par if the basket falls by up to 20% and will lose 1% for every 1% that it declines beyond 20%.

Morgan Stanley & Co. LLC is the agent.

Issuer:Morgan Stanley
Issue:Buffered Performance Leveraged Upside Securities
Underlying commodities:Corn, soybeans and wheat, equally weighted
Amount:$6,559,000
Maturity:Aug. 29, 2013
Coupon:0%
Price:Par
Payout at maturity:Par plus double any basket gain, subject to maximum return of 45%; par if basket falls by up to 20%; 1% loss for every 1% that basket declines beyond 20%
Initial prices:806.50 cents for corn, 1,656.75 cents for soybeans and 888.25 cents for wheat
Pricing date:July 31
Settlement date:Aug. 3
Agent:Morgan Stanley & Co. LLC
Fees:2%
Cusip:617482N91

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