Published on 1/23/2018 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley prices $3.69 million 10.1% contingent yield trigger callables tied to indexes
By Susanna Moon
Chicago, Jan. 23 – Morgan Stanley Finance LLC priced $3.69 million of trigger callable contingent yield notes with daily coupon observation due July 22, 2020 linked to the least performing of the S&P 500 index, the Russell 2000 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 10.1% if each index closes at or above its 70% coupon barrier on each trading day during that quarter.
The notes will be callable at par of $10 on each quarterly observation date after six months.
If the notes are not called, the payout at maturity will be par unless either index finishes below its 70% downside threshold, in which case investors will lose 1% for each 1% decline of the worst performing index.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley and UBS Financial Services Inc. are the agents.
Issuer: | Morgan Stanley Finance LLC
|
Guarantor: | Morgan Stanley
|
Issue: | Trigger callable contingent yield notes with daily coupon observation
|
Underlying indexes: | S&P 500, Russell 2000 and Euro Stoxx 50
|
Amount: | $3,689,000
|
Maturity: | July 22, 2020
|
Coupon: | 10.1% annualized, payable quarterly if each index closes at or above its 70% coupon barrier each day that quarter
|
Price: | Par of $10
|
Payout at maturity: | If each index finishes at or above downside threshold, par; otherwise, 1% loss per 1% decline of worst performing index
|
Call option: | At par on each quarterly observation date starting July 19, 2018
|
Initial index levels: | 2,786.24 for S&P, 1,591.972 for Russell and 3,612.61 for Stoxx
|
Downside thresholds: | 2,089.68 for S&P, 1,193.979 for Russell and 2,709.46 for Stoxx, 70% of initial levels
|
Strike date: | Jan. 12
|
Pricing date: | Jan. 19
|
Settlement date: | Jan. 22
|
Agents: | Morgan Stanley and UBS Financial Services Inc.
|
Fees: | 1.5%
|
Cusip: | 61768M386
|
|
|
© 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.