By Sarah Lizee
Olympia, Wash., Aug. 11 – Morgan Stanley Finance LLC priced $1.26 million of contingent income autocallable securities due Feb. 3, 2022 linked to the common stock of Tesla, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
If the shares close at or above the coupon threshold level, 60% of the initial share price, on a monthly determination date, the notes will pay a contingent payment that month at an annualized rate of 20%.
The notes will be called at par plus the contingent coupon if the shares close at or above the call threshold, 80% of the stock’s initial price, on any monthly determination date other than the final one after three months.
If the final share price is greater than or equal to the downside threshold level, 50% of the initial share price, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the final share price is less than the initial share price.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley & Co. LLC is the agent.
Issuer: | Morgan Stanley Finance LLC
|
Guarantor: | Morgan Stanley
|
Issue: | Contingent income autocallable securities
|
Underlying stock: | Tesla, Inc.
|
Amount: | $1,258,000
|
Maturity: | Feb. 3, 2022
|
Coupon: | 20% per year, payable monthly if shares close at or above coupon threshold level on determination date for that month
|
Price: | Par
|
Payout at maturity: | If final share price is greater than or equal to downside threshold level, par plus final contingent coupon; otherwise, 1% loss for every 1% that final share price is less than initial share price
|
Call: | At par plus contingent coupon if shares close at or above call threshold on any monthly determination date other than the final one after three months
|
Initial share price: | $1,487.49
|
Call threshold: | $1,189.992; 80% of initial share price
|
Coupon threshold: | $892.494; 60% of initial share price
|
Downside threshold: | $743.745, 50% of initial share price
|
Pricing date: | July 30
|
Settlement date: | Aug. 4
|
Agent: | Morgan Stanley & Co. LLC
|
Fees: | 1.875%
|
Cusip: | 61771BA61
|
|
© 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.