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Published on 10/24/2022 in the Prospect News Structured Products Daily.

New Issue: BofA sells $2.3 million leveraged market-linked notes with contingent downside on stocks

By William Gullotti

Buffalo, N.Y., Oct. 24 – BofA Finance LLC priced $2.3 million of 0% market-linked securities – leveraged upside participation and contingent downside due Oct. 21, 2026 linked to the stock performance of Apple Inc., Amazon.com, Inc. and Alphabet Inc., according to a 424B2 filing with the Securities and Exchange Commission.

The notes are guaranteed by Bank of America Corp.

The payout at maturity will be par plus 206% of any gain of the lowest performing stock.

If the worst performer falls by up to 25%, the payout will be par. Otherwise, investors will lose 1% for each 1% decline of the worst performer from its initial level.

BofA Securities, Inc. and Wells Fargo Securities LLC are the selling agents.

Issuer:BofA Finance LLC
Guarantor:Bank of America Corp.
Issue:Market-linked securities – leveraged upside participation and contingent downside
Underlying stocks:Apple Inc., Amazon.com, Inc., Alphabet Inc.
Amount:$2.3 million
Maturity:Oct. 21, 2026
Coupon:0%
Price:Par
Payout at maturity:Par plus 206% of any gain in the lowest performing stock; par if worst performer falls by up to 25%; otherwise, 1% loss for every 1% decline of the worst performer from initial level
Initial levels:$143.75 for Apple, $116.36 for Amazon, $100.77 for Alphabet
Threshold levels:$107.8125 for Apple, $87.27 for Amazon, $75.5775 for Alphabet; 75% of initial levels
Pricing date:Oct. 18
Settlement date:Oct. 21
Selling agents:BofA Securities, Inc. and Wells Fargo Securities LLC
Fees:3.125%
Cusip:09709V4R4

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