BofA plans step up notes tied to emerging currency basket via Merrill

By Jennifer Chiou

New York, June 25 - Bank of America Corp. plans to price zero-coupon currency-linked step up notes due July 2012 linked to a basket of emerging market currencies against the euro, according to an FWP with the Securities and Exchange Commission.

The basket includes equal weights of the Brazilian real and the Mexican peso.

If the basket appreciates or remains unchanged relative to the euro, the payout at maturity will be par of $10.00 plus the greater of the return and the step up payment of $1.60 to $2.20 per note. The exact rate will be set at pricing.

Investors will be exposed to any depreciation in the basket relative to the euro, subject to a minimum payout of $9.00 per note.

The notes will price in July and settle in August.

Merrill Lynch, Pierce, Fenner & Smith Inc. and First Republic Securities Co., LLC are the agents.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.