Published on 3/27/2020 in the Prospect News Structured Products Daily.
New Issue: BofA prices $1.91 million contingent income callable yield notes on indexes
By Wendy Van Sickle
Columbus, Ohio, March 27 – BofA Finance LLC priced $1.91 million of contingent income issuer callable yield notes due March 25, 2027 linked to the least performing of the S&P 500 index, Nasdaq-100 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 13.5% if each index closes at or above its coupon barrier, 60% of its initial level, on the observation date for that quarter.
After six months, the notes are callable at par plus the contingent coupon on any quarterly observation date other than the final one.
The payout at maturity will be par plus any coupon due unless any index finishes below its 60% threshold level, in which case investors will be fully exposed to any losses of the worst performing index.
The notes are guaranteed by Bank of America Corp.
BofA Securities, Inc. is the agent.
| Issuer: | BofA Finance LLC
|
| Guarantor: | Bank of America Corp.
|
| Issue: | Contingent income issuer callable yield notes
|
| Underlying indexes: | S&P 500, Nasdaq-100, Russell 2000
|
| Amount: | $1,911,000
|
| Maturity: | March 25, 2027
|
| Coupon: | 13.5% annual rate, payable quarterly if each index closes at or above coupon barrier on observation date for that quarter
|
| Price: | Par
|
| Payout at maturity: | If each index finishes at or above downside threshold, par plus any coupon due; otherwise 1% loss for each 1% decline of worst performing index
|
| Call option: | After six months, at par plus coupon on any quarterly observation date other than final one
|
| Initial levels: | 2,304.92 for S&P, 6,944.291 for Nasdaq, 1,013.889 for Russell
|
| Coupon barriers: | 1,392.95 for S&P, 4,196.575 for Nasdaq, 608.333 for Russell, 60% of initial levels
|
| Downside thresholds: | 1,392.95 for S&P, 4,196.575 for Nasdaq, 608.333 for Russell, 60% of initial levels
|
| Pricing date: | March 20
|
| Settlement date: | March 25
|
| Agent: | BofA Securities, Inc.
|
| Fees: | 3.75%
|
| Cusip: | 09709TE23
|
|
|
|
|
© 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.
