JPMorgan Chase Bank plans digital coupon CDs due 2020 on 10 stocks

By Marisa Wong

Madison, Wis., Nov. 6 - JPMorgan Chase Bank, NA plans to price digital contingent coupon certificates of deposit due Nov. 30, 2020 linked to a basket of 10 stocks, according to a term sheet.

The equally weighted basket includes the common stocks of Altria Group, Inc., AT&T, Inc., Bristol-Meyers Squibb Co., Coca-Cola Co., Kimberly-Clark Corp., McDonald's Corp., Philip Morris International, Inc., Procter & Gamble Co., Southern Co. and Unilever plc.

Interest is payable annually and will equal the sum of the weighted performances of the basket stocks, subject to a minimum coupon of 0%. If a basket stock's underlying return is zero or positive, its performance will be equal to the coupon cap, which will be at least 7% and will be set at pricing. If the underlying return is negative, the basket component's performance will be the greater of the stock return and negative 10%.

The payout at maturity will be par.

The CDs (Cusip: 48124J7B8) are expected to price Nov. 25 and settle Nov. 29.

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

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