By Marisa Wong
Morgantown, W.Va., April 5 – Morgan Stanley Finance LLC priced $1.64 million of contingent income autocallable securities due March 31, 2031 linked to the lesser performing of the S&P 500 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Morgan Stanley.
For the first year, the notes will pay a fixed quarterly coupon at a rate of 9% per year. After that, the notes will pay a contingent coupon each quarter at an annualized rate of 9% if each index closes at or above its initial level on the determination date for that quarter; otherwise, no coupon will be paid that quarter.
Following a one-year non-call period, the notes will be called if each index closes at or above its initial level on any quarterly early redemption determination date.
If the final level of each index is greater than or equal to 50% of its initial level, the payout at maturity will be par. Otherwise, investors will be fully exposed to the decline of the worse performing index.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
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| Issue: | Contingent income autocallable securities
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| Underlying indexes: | S&P 500 and Euro Stoxx 50
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| Amount: | $1,637,000
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| Maturity: | March 31, 2031
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| Coupon: | 9% for first year; after that, contingent coupon each quarter at 9% per year if each index closes at or above its initial level on the determination date for that quarter
|
| Price: | Par
|
| Payout at maturity: | If final level of each index is greater than or equal to downside threshold level, par; otherwise, full exposure to decline of worse performing index
|
| Call: | After one year, automatically if each index closes at or above its initial level on any quarterly early redemption determination date
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| Initial index levels: | 2,055.01 for S&P 500, 3,004.87 for Euro Stoxx
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| Downside thresholds: | 1,027.505 for S&P 500, 1,502.435 for Euro Stoxx; 50% of initial levels
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| Pricing date: | March 28
|
| Settlement date: | March 31
|
| Agent: | Morgan Stanley & Co. LLC
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| Fees: | 3.5%
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| Cusip: | 61766BAC5
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