Morgan Stanley plans contingent income autocallable notes on indexes

By Marisa Wong

Madison, Wis., March 3 – Morgan Stanley plans to price contingent income autocallable securities due March 29, 2030 linked to the worst performing of the Russell 2000 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon at an annual rate of 9% if both indexes close at or above their initial levels on the determination date for that quarter.

Following an initial one-year non-call period, the notes will be automatically called at par plus the contingent coupon if both indexes close at or above their initial levels on any quarterly determination date.

If the notes are not called and both indexes finish at or above their 50% downside threshold levels, the payout at maturity will be par. Investors will receive the contingent coupon if the indexes close at or above the coupon barrier.

Otherwise, investors will be fully exposed to the decline of the worst-performing index.

Morgan Stanley & Co. LLC is the agent.

The notes will price on March 26 and settle on March 31.

The Cusip number is 61761JXJ3.

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