By Angela McDaniels
Tacoma, Wash., Feb. 26 – JPMorgan Chase Financial Co. LLC priced $850,000 of autocallable contingent interest notes due Feb. 26, 2020 linked to the performance of the Brazilian real relative to the dollar, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by JPMorgan Chase & Co.
Each quarter, the notes pay a contingent coupon at an annual rate of 8.02% if the spot rate is less than or equal to the trigger rate, 120% of the starting spot rate, on the review date for that quarter (i.e., the Brazilian real has appreciated relative to the dollar, has remained flat relative to the dollar or has not depreciated relative to the dollar beyond the trigger rate).
The notes will be automatically called at par if the spot rate on any of the first three review dates is less than or equal to the starting spot rate (i.e., the Brazilian real has appreciated or remained flat relative to the dollar).
The payout at maturity will be par unless the ending spot rate is greater than the trigger rate, in which case the payout per $1,000 principal amount of notes will be $1,000 plus the product of the reference currency return multiplied by $1,000.
The reference currency return will equal the quotient of (a) the starting spot rate minus the ending spot rate divided by (b) the starting spot rate. In no event, however, will the reference currency return be less than negative 100%.
J.P. Morgan Securities LLC is the agent.
| Issuer: | JPMorgan Chase Financial Co. LLC
|
| Guarantor: | JPMorgan Chase & Co.
|
| Issue: | Autocallable contingent interest notes
|
| Underlying currency: | Brazilian real, measured relative to dollar
|
| Amount: | $850,000
|
| Maturity: | Feb. 26, 2020
|
| Coupon: | 8.02% per year, payable quarterly if spot rate is less than or equal to trigger rate on review date for that quarter
|
| Price: | Par
|
| Payout at maturity: | Par unless ending spot rate is greater than trigger rate, in which case $1,000 plus product of reference currency return multiplied by $1,000; reference currency return equals quotient of (a) starting spot rate minus ending spot rate divided by (b) starting spot rate, subject to floor of negative 100%
|
| Call: | Automatically at par if spot rate is less than or equal to starting spot rate on May 22, 2019, Aug. 22, 2019 or Nov. 22, 2019
|
| Initial spot price: | 3.743
|
| Trigger rate: | 4.4916, 120% of initial spot rate
|
| Pricing date: | Feb. 22
|
| Settlement date: | Feb. 27
|
| Agent: | J.P. Morgan Securities LLC
|
| Fees: | 1%
|
| Cusip: | 48130UQH1
|
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