JPMorgan plans six-year digital contingent coupon CDs linked to stocks

By Toni Weeks

San Luis Obispo, Calif., Oct. 4 - JPMorgan Chase Bank, NA plans to price digital contingent coupon certificates of deposit due Oct. 31, 2019 linked to a basket of 10 equally weighted common stocks, according to a term sheet.

The underlying companies are Bristol-Myers Squibb Co., Kimberly-Clark Corp., Coca-Cola Co., McDonald's Corp., Altria Group, Inc., Procter & Gamble Co., Philip Morris International Inc., Southern Co., AT&T Inc. and Unilever plc.

Interest is payable annually and will equal the sum of the weighted performances of the basket stocks, subject to a floor of zero.

If a stock's return is greater than or equal to zero, its performance will be equal to the coupon cap of at least 7%. Otherwise, its performance will be equal to the greater of its return and negative 20%.

The payout at maturity will be par plus the final coupon.

J.P. Morgan Securities LLC is the agent. Incapital LLC is the distributor.

The CDs will price Oct. 28 and settle Oct. 31.

The Cusip number is 48124J5R5.

© 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.