By Wendy Van Sickle
Columbus, Ohio, Oct. 4 – BofA Finance LLC priced $9.41 million of contingent income autocallable yield notes due July 2, 2024 linked an equally weighted basket of the common stocks of Cleveland-Cliffs Inc., Freeport-McMoRan Inc., Steel Dynamics, Inc. and United States Steel Corp., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annual rate of 12% if the basket closes at or above its coupon barrier, 70% of its initial level, on the observation date for that month.
After six months, the notes will be called at par plus any contingent coupon if the basket closes above its initial level on any observation date other than the final one.
The payout at maturity will be par the final coupon due unless the basket finishes below its 60% threshold level, in which case investors will be fully exposed to the losses.
The notes are guaranteed by Bank of America Corp.
BofA Securities, Inc. is the selling agent.
| Issuer: | BofA Finance LLC
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| Guarantor: | Bank of America Corp.
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| Issue: | Contingent income autocallable yield notes
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| Underlying basket: | Cleveland-Cliffs Inc., Freeport-McMoRan Inc., Steel Dynamics, Inc. and United States Steel Corp., equal weights
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| Amount: | $9.41 million
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| Maturity: | July 2, 2024
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| Coupon: | 12% annual rate, payable monthly if the basket closes at or above coupon barrier on observation date for that month
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| Price: | Par
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| Payout at maturity: | If basket finishes at or above downside threshold, par plus final coupon; otherwise, 1% loss for each 1% decline
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| Call: | After six months at par plus any coupon if basket closes above its initial level on any observation date other than final one
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| Initial level: | $19.92 for Cleveland-Cliffs, $33.11 for Freeport-McMoRan, $59.55 for Steel Dynamics, $21.86 for United States Steel
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| Coupon barrier: | 70% of initial level
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| Downside threshold: | 60% of initial level
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| Pricing date: | Sept. 29
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| Settlement date: | Sept. 30
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| Selling agent: | BofA Securities, Inc.
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| Fees: | 4%
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| Cusip: | 09709URP5
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