New Issue: Morgan Stanley prices $3 million CMS curve, S&P 500-linked range accrual notes

By Marisa Wong

Madison, Wis., July 6 – Morgan Stanley priced $3 million of floating-rate CMS curve and S&P 500 index-linked range accrual securities due June 30, 2030, according to a 424B2 filing with the Securities and Exchange Commission.

The coupon will be 8% times the proportion of days in the interest period that the spread of the 30-year Constant Maturity Swap rate over the two-year CMS rate is zero or positive and the index closes at or above the 70% reference level. Interest is payable monthly and cannot be less than zero.

The payout at maturity will be par unless the index finishes below the 50% barrier level, in which case the payout will be par plus the index return with full exposure to losses.

Morgan Stanley & Co. LLC is the agent.

Issuer:	Morgan Stanley
Issue:	Floating-rate CMS curve and S&P 500 index-linked range accrual securities
Amount:	$3 million
Maturity:	June 30, 2030
Coupon:	8% times the proportion of days in the interest period that the spread of the 30-year CMS rate over the two-year CMS rate is zero or positive and the index closes at or above the reference level, subject to floor of zero; payable monthly
Price:	Variable
Payout at maturity:	Par unless the index finishes below the	barrier level, in which case par plus the index return with full exposure to losses
Initial index level:	2,102.31
Reference index level:	1,471.617, 70% of initial level
Barrier level:	1,051.155, 50% of initial level
Pricing date:	June 25
Settlement date:	June 30
Agent:	Morgan Stanley & Co. LLC
Fees:	3.5%
Cusip:	61760QGF5

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