Published on 3/17/2023 in the Prospect News Structured Products Daily.
New Issue: BofA sells $1 million contingent income buffered issuer callable yield notes on indexes
By Wendy Van Sickle
Columbus, Ohio, March 17 – BofA Finance LLC priced $1 million of contingent income buffered issuer callable yield notes due Sept. 15, 2026 linked to the worst performing of the Euro Stoxx 50 index, the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annual rate of 11% if each underlying index closes at or above its 75% coupon barrier on the observation date for that period.
The notes are callable at par plus any coupon otherwise due on any monthly determination date starting June 15, 2023.
The payout at maturity will be par plus the final coupon, if any, unless any index finishes below its 70% threshold level, in which case investors will lose 1% for every 1% decline of the worst performer below 30%.
The notes are guaranteed by Bank of America Corp.
BofA Securities, Inc. is the selling agent.
| Issuer: | BofA Finance LLC
|
| Guarantor: | Bank of America Corp.
|
| Issue: | Contingent income buffered issuer callable yield notes
|
| Underlying indexes: | Euro Stoxx 50 index, Russell 2000, S&P 500 index
|
| Amount: | $1 million
|
| Maturity: | Sept. 15, 2026
|
| Coupon: | 11% annualized rate, payable monthly if each index closes at or above its coupon barrier on observation date for that period
|
| Price: | Par
|
| Payout at maturity: | If each index finishes at or above buffer level, par plus final coupon; otherwise, 1% loss for each 1% decline of worst performing index below 30%
|
| Call option: | At par plus any coupon due on any monthly determination date June 15, 2023
|
| Initial levels: | 4,286.12 for Euro Stoxx, 1,826.586 for Russell, 3,918.32 for S&P
|
| Coupon barriers: | 3,214.59 for Euro Stoxx, 1,369.94 for Russell, 2,938.74 for S&P; 75% of initial levels
|
| Buffer levels: | 3,000.28 for Euro Stoxx, 1,278.61 for Russell, 2,742.82 for S&P; 70% of initial levels
|
| Pricing date: | March 10
|
| Settlement date: | March 15
|
| Selling agent: | BofA Securities, Inc.
|
| Fees: | 0.25%
|
| Cusip: | 09709VM52
|
|
|
© 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.
