By Wendy Van Sickle
Columbus, Ohio, July 29 – Bank of Montreal priced $824,000 of autocallable barrier notes with a contingent coupon due Oct. 29, 2021 linked to the VanEck Vectors Gold Miners ETF and the VanEck Vectors Junior Gold Miners ETF, according to a 424B2 filing with the Securities and Exchange Commission.
Every month, the notes will pay a coupon equal to 12.5% per year if each fund’s share price is at least 62% of the initial share price on the observation date for that month.
The notes will be automatically redeemed at par plus the contingent coupon if each ETF’s shares close above its initial share price on any observation date beginning on Jan. 26, 2021.
If the notes are not called, the payout at maturity will be par unless the final share price of either fund is less than 62% of the initial share price, in which case investors will lose 1% for each 1% decline from the initial share price of the least performing fund.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
|
| Issue: | Autocallable barrier notes with contingent coupon
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| Underlying funds: | VanEck Vectors Gold Miners ETF and VanEck Vectors Junior Gold Miners ETF
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| Amount: | $824,000
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| Maturity: | Oct. 29, 2021
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| Coupon: | 12.5% per year, payable monthly if each fund’s share price is at least 62% of the initial share price on the observation date for that month
|
| Price: | Par
|
| Payout at maturity: | Par unless the final share price of either fund is less than 62% of the initial share price, in which case investors will lose 1% for each 1% decline from the initial share price of the least performing fund
|
| Call: | At par plus contingent coupon if funds close at or above initial prices on any observation date beginning Jan. 26, 2021
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| Initial prices: | $41.83 for Gold Miners, $59.16 for Junior Gold Miners
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| Coupon barrier/trigger prices: | $25.93 for Gold Miners, $36.68 for Junior Gold Miners, 62% of initial prices
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| Pricing date: | July 24
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| Settlement date: | July 29
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| Agent: | BMO Capital Markets Corp.
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| Fees: | 0.75%
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| Cusip: | 06367WZ30
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