By Kiku Steinfeld
Chicago, June 1 – Morgan Stanley Finance LLC priced $9.13 million of contingent income autocallable securities due June 2, 2023 linked to Bank of America Corp. stock, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 11.75% if the stock closes at or above the 55% downside threshold on the determination date for that quarter.
The notes will be called at par plus the contingent coupon if the stock closes at or above its initial level after six months.
The payout at maturity will be par plus the final coupon unless the stock finishes below its downside threshold, in which case investors will be fully exposure to any losses.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley & Co. LLC is agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Contingent income autocallable securities
|
| Underlying stock: | Bank of America Corp. (Symbol: BAC)
|
| Amount: | $9,132,000
|
| Maturity: | June 2, 2023
|
| Coupon: | 11.75% annualized, payable quarterly if stock closes at or above downside threshold level on determination date for that quarter
|
| Price: | Par
|
| Payout at maturity: | If final share price is at or above downside threshold, par plus contingent coupon; otherwise, lose 1% for each 1% decline
|
| Call: | At par plus contingent coupon if stock closes at or above initial share price after six months
|
| Initial share price: | $25.98
|
| Downside threshold: | $14.289, 55% of initial level
|
| Pricing date: | May 27
|
| Settlement date: | May 29
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 2.5%
|
| Cusip: | 61771BFN9
|
|
|
© 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.
