By Wendy Van Sickle
Columbus, Ohio, Jan. 16 – Bank of Montreal priced $925,000 of callable barrier notes with contingent coupons due Jan. 8, 2027 linked to the performance of the SPDR S&P 500 ETF Trust, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon equal to 7% per year if the ETF’s closing level is at least 65% of its initial level on the relevant observation date.
The notes will be callable at par plus any coupon otherwise due on any quarterly observation date after six months.
If the ETF finishes above its 65% trigger level, the payout will be par. Otherwise, investors will lose 1% for each 1% of ETF decline from its initial level.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
|
| Issue: | Callable barrier notes with contingent coupons
|
| Underlying fund: | SPDR S&P 500 ETF Trust
|
| Amount: | $925,000
|
| Maturity: | Jan. 8, 2027
|
| Coupon: | 7% per year, payable quarterly if the ETF’s closing level is at or above its coupon barrier level on the relevant observation date
|
| Price: | Par
|
| Payout at maturity: | Par if ETF finishes above its trigger level; otherwise, investors will lose 1% for each 1% of ETF decline from its initial level
|
| Call option: | At par plus any coupon due on any quarterly observation date after six months
|
| Initial level: | $467.92
|
| Coupon barrier level: | $304.15; 65% of initial level
|
| Trigger level: | $304.15; 65% of initial level
|
| Pricing date: | Jan. 5
|
| Settlement date: | Jan. 10
|
| Agent: | BMO Capital Markets Corp.
|
| Fees: | 1.6%
|
| Cusip: | 06369NQM6
|
|
|
© 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.
