New Issue: Morgan Stanley prices $6.03 million buffered securities linked to ETF, two indexes

By Toni Weeks

San Luis Obispo, Calif., May 8 – Morgan Stanley priced $6.03 million of 0% buffered securities due May 11, 2017 linked to a basket of two indexes and one exchange-traded fund, , unequally weighted, according to a 424B2 filing with the Securities and Exchange Commission.

The basket components are the Euro Stoxx 50 index with a 70% weight, the Nikkei 225 index with a 20% weight and the WisdomTree India Earnings fund with a 10% weight.

If the basket return is positive, the payout at maturity will be par plus the basket return, subject to a maximum return of 50%. Investors will receive par if the basket falls by up to 10% and will lose 1.1111% for every 1% decline in the basket beyond the 10% buffer.

Morgan Stanley & Co. LLC is the agent.

Issuer:	Morgan Stanley
Issue:	Buffered securities
Underlying basket:	Euro Stoxx 50 index (70% weight), Nikkei 225 index (20% weight) and WisdomTree India Earnings fund (10% weight)
Amount:	$6,025,000
Maturity:	May 11, 2017
Coupon:	0%
Price:	Par of $1,000
Payout at maturity:	If basket return is positive, par plus basket return, capped at 50%; par if basket falls by up to 10%; 1.1111% loss for each 1% basket decline beyond 10%
Initial component levels:	3,558.03 for Euro Stoxx, 19,531.63 for Nikkei, $21.21 for WisdomTree India Earnings
Initial basket level:	100
Buffer level:	90, or 90% of initial basket level
Pricing date:	May 6
Settlement date:	May 11
Agent:	Morgan Stanley & Co. LLC
Fees:	0.25%
Cusip:	61761JZC6

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