Chicago, Aug. 11 – Bank of Montreal priced $220,000 of autocallable barrier notes with contingent coupons due March 27, 2023 linked to the least performing of the SPDR S&P Oil & Gas Exploration & Production ETF and the Energy Select Sector SPDR fund, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly coupon equal to 9% per year if each ETF’s closing level is at least 55% of its initial level on the corresponding observation date.
The notes will be automatically redeemed at par plus the contingent coupon if each ETF closes above its initial level on any monthly observation date after six months.
If the notes have not been called and each ETF finishes at or above its 55% trigger level, the payout at maturity will be par plus the final coupon.
Otherwise, investors will be fully exposed to the decline of the worst performer from its initial level.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
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| Issue: | Autocallable barrier notes with contingent coupons
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| Underlying ETFs: | SPDR S&P Oil & Gas Exploration & Production ETF and Energy Select Sector SPDR fund
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| Amount: | $220,000
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| Maturity: | March 27, 2023
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| Coupon: | 9% per year, payable monthly if each ETF’s closing level is at or above its coupon barrier level on the relevant observation date
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| Price: | Par
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| Payout at maturity: | If each ETF finishes at or above trigger level, par plus final coupon; otherwise, 1% loss for each 1% decline of the worst performer from initial level
|
| Call: | At par plus contingent coupon if both ETFs close at or above initial levels on any monthly observation date after six months
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| Initial levels: | $95.24 for oil, $54.52 for energy
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| Coupon barrier levels: | $52.38 for oil, $29.99 for energy; 55% of initial levels
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| Trigger levels: | $52.38 for oil, $29.99 for energy; 55% of initial levels
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| Pricing date: | Dec. 21, 2021
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| Settlement date: | Dec. 27, 2021
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| Agent: | BMO Capital Markets Corp.
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| Fees: | 0.75%
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| Cusip: | 06368GAM9
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