By Angela McDaniels
Tacoma, Wash., Aug. 4 – BofA Finance LLC priced $10 million of airbag autocallable contingent yield notes with memory coupon due Aug. 5, 2024 linked to the SPDR S&P 500 ETF trust, according to a 424B2 filing with the Securities and Exchange Commission.
If the ETF closes at or above the downside threshold, 90% of the initial share price, on a quarterly observation date, the notes will pay a contingent coupon at the rate of 10.3% per year plus all previously unpaid coupons.
The notes will be automatically called at par if the ETF closes at or above the initial share price on any quarterly observation date.
If the notes are not called and the final share price is greater than or equal to the downside threshold, the payout at maturity will be par. Otherwise, investors will lose 1.1111% for every 1% that the stock declines beyond 10%.
The notes are guaranteed by Bank of America Corp.
UBS Securities LLC and BofA Securities, Inc. are the agents.
| Issuer: | BofA Finance LLC
|
| Guarantor: | Bank of America Corp.
|
| Issue: | Airbag autocallable contingent yield notes with memory coupons
|
| Underlying ETF: | SPDR S&P 500 ETF trust
|
| Amount: | $10 million
|
| Maturity: | Aug. 5, 2024
|
| Coupon: | 10.3% per year, payable quarterly plus all previously unpaid coupons if ETF closes at or above downside threshold on observation date for that quarter
|
| Price: | Par
|
| Payout at maturity: | Par unless final share price is less than downside threshold, in which case 1.1111% loss for every 1% that stock declines beyond 10%
|
| Call: | Automatically at par if ETF closes at or above initial share price on any quarterly observation date
|
| Initial share price: | $457.79
|
| Downside threshold: | $412.01, or 90% of initial share price
|
| Strike date: | July 31
|
| Pricing date: | Aug. 1
|
| Settlement date: | Aug. 4
|
| Underwriters: | UBS Securities LLC and BofA Securities, Inc.
|
| Fees: | 0.1%
|
| Cusip: | 09710K867
|
|
|
© 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.
