By Wendy Van Sickle
Columbus, Ohio, Feb. 8 – Bank of Montreal priced $1.31 million of autocallable barrier notes with contingent coupons due Jan. 31, 2024 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 11.5%% per year if each ETF’s closing level is greater than 60% of the initial level on the observation date for that month.
The notes will be automatically redeemed at par plus the contingent coupon if each ETF closes above its initial level on any monthly observation date after six months.
If the notes are not called and both ETFs finish at or above 60% of their initial levels, the payout at maturity will be par plus the final coupon. If the notes are not called and either ETF has fallen below 60% of its initial level, investors will lose 1% for each 1% decline from the initial level of the lesser-performing ETF.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
|
| Issue: | Autocallable barrier notes with contingent coupon
|
| Underlying ETFs: | VanEck Vectors Gold Miners ETF and VanEck Vectors Junior Gold Miners ETF
|
| Amount: | $1,305,000
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| Maturity: | Jan. 31, 2024
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| Coupon: | 11.5%% per year, payable monthly if each ETF’s level is greater than 60% of the initial level on the observation date for that month
|
| Price: | Par
|
| Payout at maturity: | Par plus the final coupon unless the final level of either ETF is less than 60% of the initial level, in which case investors will lose 1% for each 1% decline from the initial level of the lesser-performing ETF
|
| Call: | At par plus contingent coupon if ETFs close above initial levels on any monthly observation date after six months
|
| Initial levels: | $34.58 for Gold Miners, $50.20 for Junior Gold Miners
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| Coupon barrier/trigger levels: | $20.75 for Gold Miners, $30.12 for Junior Gold Miners, 60% of initial levels
|
| Pricing date: | Jan. 28
|
| Settlement date: | Feb. 2
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| Agent: | BMO Capital Markets Corp.
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| Fees: | 1.6%
|
| Cusip: | 06368ED66
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