By Wendy Van Sickle
Columbus, Ohio, Dec. 18 – Bank of Montreal priced $2.08 million of autocallable barrier notes with contingent coupons due June 18, 2025 linked to the SPDR S&P Regional Banking ETF, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly coupon equal to 10.3% per year if the ETF’s closing level is at least 70% of its initial level on the corresponding observation date.
The notes will be automatically redeemed at par plus the contingent coupon if the ETF closes above its initial level on any monthly observation date after six months.
If the notes are not called, the payout at maturity will be par unless the fund closes below 70% of its initial price, in which case investors will lose 1% for each 1% decline of the fund, payable in shares or cash at the option of the issuer.
BMO Capital Markets Corp. is the selling agent.
| Issuer: | Bank of Montreal
|
| Issue: | Autocallable barrier notes with contingent coupons
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| Underlying ETF: | SPDR S&P Regional Banking ETF
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| Amount: | $2,084,000
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| Maturity: | June 18, 2025
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| Coupon: | 10.3% per year, payable monthly if the ETF’s closing level is at or above its coupon barrier level on the observation date
|
| Price: | Par
|
| Payout at maturity: | Par unless fund closes below 70% of its initial price, in which case investors will lose 1% for each 1% decline of the fund, payable in shares or cash at the option of the issuer
|
| Call: | At par plus contingent coupon if ETF closes above initial level on any monthly observation date after six months.
|
| Initial level: | $51.34
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| Coupon barrier level: | $35.94; 70% of initial level
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| Trigger level: | $35.94; 70% of initial level
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| Pricing date: | Dec. 13
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| Settlement date: | Dec. 18
|
| Agent: | BMO Capital Markets Corp.
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| Fees: | 2.4%
|
| Cusip: | 06369NPL9
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