JPMorgan plans six-year digital contingent coupon CDs tied to stocks

By Marisa Wong

Madison, Wis., Nov. 1 - JPMorgan Chase Bank, NA plans to price digital contingent coupon certificates of deposit due Nov. 29, 2016 linked to an equally weighted basket of stocks, according to a term sheet.

The basket includes the common stocks of Altria Group, Inc., Amazon.com, Inc., AT&T Inc., Bristol-Myers Squibb Co., General Mills, Inc., Intel Corp., Newmont Mining Corp., Time Warner Cable Inc., Wells Fargo & Co. and Whole Foods Market, Inc.

Interest is payable in November of each year and will equal the sum of the weighted performances of the basket stocks, subject to a floor of zero.

If a stock's return is zero or positive, its performance will be a fixed rate that will be at least 7% and will be set at pricing. Otherwise, the stock's performance will be the greater of its return and negative 25%.

The payout at maturity will be par.

The CDs (Cusip: 48123YQS8) are expected to price Nov. 23 and settle on Nov. 30.

J.P. Morgan Securities LLC is the agent. Incapital LLC is the distributor.

© 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.