By Sarah Lizee
Olympia, Wash., Aug. 22 – Morgan Stanley Finance LLC priced $1.23 million of contingent income autocallable securities due Aug. 23, 2024 linked to the worst performing of the SPDR S&P Oil & Gas Exploration & Production ETF and the SPDR S&P Regional Banking ETF, according to a 424B2 filing with the Securities and Exchange Commission.
If each underlier closes at or above its coupon barrier level, 60% of its initial level, on a quarterly determination date, the notes will pay a contingent payment that quarter at an annualized rate of 8.2%.
After one year, the notes will be called at par plus the contingent coupon if each underlier close at or above the initial share price on any quarterly determination date other than the final determination date.
If each underlier finishes at or above its downside threshold level, 50% of its initial level, the payout at maturity will be par plus the final contingent coupon. Otherwise, investors will have full exposure to the performance of the lesser performing ETF.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Contingent income autocallable securities
|
| Underliers: | SPDR S&P Oil & Gas Exploration & Production ETF and SPDR S&P Regional Banking ETF
|
| Amount: | $1,225,000
|
| Maturity: | Aug. 23, 2024
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| Coupon: | 8.2% per year, payable quarterly if each underlier closes at or above coupon barrier level on determination date for that quarter
|
| Price: | Par
|
| Payout at maturity: | If each underlier finishes at or above its downside threshold level, par plus the final contingent coupon; otherwise, investors will have full exposure to the performance of the lesser performing ETF
|
| Call: | After one year, at par plus contingent coupon if each underlier closes at or above initial level on any quarterly determination date other than final determination date
|
| Initial levels: | $22.14 for oil ETF, $49.79 for banking ETF
|
| Coupon barrier levels: | $13.284 for oil ETF, $29.874 for banking ETF; 60% of initial levels
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| Downside thresholds: | $11.07 for oil ETF, $24.895 for banking ETF, or 50% of initial levels
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| Pricing date: | Aug. 20
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| Settlement date: | Aug. 23
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 4.025%
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| Cusip: | 61769HQL2
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