By Sarah Lizee
Olympia, Wash., Aug. 19 – BofA Finance LLC priced $400,000 of contingent income buffered autocallable yield notes due Aug. 18, 2022 linked to the lesser performing of the SPDR S&P Biotech ETF and the Technology Select Sector SPDR fund, according to a 424B2 filing with the Securities and Exchange Commission.
Each month, the notes will pay a contingent coupon at the rate of 7.25% per year if each ETF closes at or above its threshold value, 80% of its initial share price, on the observation date for that month.
Beginning in February 2020, the notes will be automatically called at par if each ETF closes at or above 95% of its initial share price on any quarterly observation date other than the final one.
If the notes are not called and each ETF finishes at or above its threshold value, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the lesser-performing ETF declines beyond 20%.
The notes are guaranteed by Bank of America Corp.
BofA Securities, Inc. is the agent.
Issuer: | BofA Finance LLC
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Guarantor: | Bank of America Corp.
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Issue: | Contingent income buffered autocallable yield notes
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Underlying ETFs: | SPDR S&P Biotech ETF and Technology Select Sector SPDR fund
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Amount: | $400,000
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Maturity: | Aug. 18, 2022
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Coupon: | 7.25% per year, payable monthly if each ETF closes at or above threshold value on observation date for that month
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Price: | Par
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Payout at maturity: | Par unless either ETF finishes below threshold value, in which case 1% loss for every 1% that lesser-performing ETF declines beyond 20%
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Call: | Beginning in February 2020, automatically at par if each ETF closes at or above 95% of initial share price on any quarterly observation date other than final one
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Initial share prices: | $81.25 for biotech, $76.96 for tech
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Threshold values: | $65.00 for biotech, $61.57 for tech, or 80% of initial share prices
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Pricing date: | Aug. 14
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Settlement date: | Aug. 19
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Agent: | BofA Securities Inc.
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Fees: | 2.75%
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Cusip: | 09709TUF6
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