Published on 6/5/2019 in the Prospect News Structured Products Daily.
New Issue: Scotia prices $5.1 million market-linked step-up notes on index basket
By Wendy Van Sickle
Columbus, Ohio, June 5 – Bank of Nova Scotia priced $5.1 million of 0% market-linked step-up notes with absolute return buffer due May 26, 2023 linked to an equity index basket, according to a 424B2 filing with the Securities and Exchange Commission.
The basket includes the Dow Jones industrial average with an initial weight of 50%, the Euro Stoxx 50 index with an initial weight of 20%, each of the FTSE 100 index and the Nikkei Stock Average index with an initial weight of 10%, each of the Swiss Market index and the S&P/ASX 200 index with an initial weight of 3.75% and the Hang Seng index with an initial weight of 2.5%.
If the basket finishes above its step-up level – 133.41% of the initial level – the payout at maturity will be par plus the gain.
If the basket gains by up to the step-up level, the payout will be par plus the step-up return of 33.41%.
The payout will be par plus the absolute value of the return if the basket declines by up to 10%. Investors will be exposed to any decline in the basket beyond 10%.
BofA Merrill Lynch is the agent.
| Issuer: | Bank of Nova Scotia
|
| Issue: | Market-linked step-up notes with absolute return buffer
|
| Underlying basket: | Dow Jones industrial average (50% weight), Euro Stoxx 50 index (20% weight), FTSE 100 index (10% weight), Nikkei Stock Average index (10% weight), Swiss Market index (3.75% weight), S&P/ASX 200 index (3.75% weight), and Hang Seng index (2.5% weight)
|
| Amount: | $5,095,290
|
| Maturity: | May 26, 2023
|
| Coupon: | 0%
|
| Price: | Par of $10
|
| Payout at maturity: | If basket finishes at or above the step-up level, par plus gain; if basket gains by up to step-up level, par plus 33.41%; par plus absolute value of basket return if basket falls by up to 10%; exposure to declines beyond 10%
|
| Initial index levels: | 25,169.88 for Dow, 3,318.15 for Stoxx, 20,942.53 for Nikkei, 7,218.16 for FTSE, 9,523.98 for Swiss, 6,392.125 for S&P/ASX, 27,114.88 for Hang Seng
|
| Step-up level: | 133.41% of initial basket level
|
| Pricing date: | May 30
|
| Settlement date: | June 6
|
| Underwriter: | BofA Merrill Lynch
|
| Fees: | 2.5%
|
| Cusip: | 06417P298
|
|
|
© 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.
