New Issue: Morgan Stanley prices $2.7 million contingent income securities linked to S&P 500

By Toni Weeks

San Luis Obispo, Calif., April 29 - Morgan Stanley priced $2.7 million of contingent income buffered securities due April 28, 2028 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes pay a contingent monthly payment of 7.5% per year, or $6.25 per $1,000 principal amount of notes, if the index closes at or above the coupon barrier level, 75% of the initial level, on the determination date for that month. Otherwise, no coupon will be paid that month.

If the final index level is greater than or equal to 50% of the initial level, the payout at maturity will be par plus the final contingent monthly payment, if any.

If the final index level is less than the 50% trigger level, investors will lose 2% for every 1% decline in the index beyond 50%.

Morgan Stanley & Co. LLC is the agent.

Issuer:	Morgan Stanley
Issue:	Contingent income buffered securities
Underlying index:	S&P 500
Amount:	$2,698,000
Maturity:	April 28, 2028
Coupon:	7.5% per year if index closes at or above coupon barrier level on determination date for that month; otherwise, no coupon will be paid that month
Price:	Par
Payout at maturity:	If index finishes at or above 50% trigger level, par plus final contingent monthly payment, if any; otherwise, 2% loss for every 1% index decline beyond 50%
Initial index level:	1,585.16
Coupon barrier level:	1,188.87, 75% of initial level
Trigger level:	50% of initial level
Pricing date:	April 25
Settlement date:	April 30
Agent:	Morgan Stanley & Co. LLC
Fees:	3.5%
Cusip:	61761JEZ8

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