Published on 12/19/2020 in the Prospect News Structured Products Daily.
New Issue: BMO sells $7.33 million autocallable barrier notes with contingent coupon on indexes
By Taylor Fox
New York, Dec. 21 – Bank of Montreal priced $7.33 million of autocallable barrier notes with contingent coupons due Dec. 16, 2025 linked to the S&P 500 index, the Nasdaq-100 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
Every quarter, the notes will pay a coupon equal to 6% per year if each index’s closing level is at least 70% of the initial level on the observation date for that period.
The notes will be automatically redeemed at par plus the contingent coupon if each index closes above its initial level on any quarterly observation date beginning on June 11.
If the notes are not called, the payout at maturity will be par unless the final level of any index is less than 55% of the initial level, in which case investors will lose 1% for each 1% decline from the initial level of the least performing index.
BMO Capital Markets Corp. is the agent.
Issuer: | Bank of Montreal
|
Issue: | Autocallable barrier notes with contingent coupons
|
Underlying indexes: | S&P 500 index, Nasdaq-100 index and Russell 2000 index
|
Amount: | $7,326,000
|
Maturity: | Dec. 16, 2025
|
Coupon: | 6% per year, payable quarterly if each index’s closing level is at least 70% of the initial level on the observation date for that period
|
Price: | Par
|
Payout at maturity: | Par unless the final level of any index is less than trigger level, in which case investors will lose 1% for each 1% decline from the initial level of the least performing index
|
Call: | At par plus contingent coupon if indexes close at or above initial levels on any quarterly observation date beginning June 11
|
Initial levels: | 3,663.46 for S&P, 12,375.41 for Nasdaq, 1,911.697 for Russell
|
Coupon barrier levels: | 2,564.42 for S&P, 8,662.79 for Nasdaq, 1,338.188 for Russell; 70% of initial levels
|
Trigger levels: | 2,014.90 for S&P, 6,806.48 for Nasdaq, 1,051.433 for Russell; 55% of initial levels
|
Pricing date: | Dec. 11
|
Settlement date: | Dec. 16
|
Agent: | BMO Capital Markets Corp.
|
Fees: | 3.473%
|
Cusip: | 06368E6K3
|
© 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.