JPMorgan plans contingent income autocallables tied to Apple, BofA

By Marisa Wong

Morgantown, W.Va., Aug. 20 – JPMorgan Chase & Co. plans to price contingent income autocallable securities due Aug. 31, 2018 linked to the worst performing of the common stocks of Apple Inc. and Bank of America Corp., according to an FWP filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon at an annual rate of 8.65% if each stock closes at or above its 60% downside threshold level on the observation date for that quarter.

The notes will be called at par plus the contingent coupon if each stock closes at or above its initial price on any quarterly observation date.

The payout at maturity will be par unless either stock finishes below its downside threshold level, in which case investors will receive a number of shares of the worst performing stock equal to $10 divided by the initial price of that stock.

J.P. Morgan Securities LLC is the agent with Morgan Stanley Smith Barney LLC handling distribution.

The notes will price on Aug. 28.

The Cusip number is 48127V496.

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