Published on 3/2/2020 in the Prospect News Structured Products Daily.
New Issue: BofA sells $2.13 million contingent income buffered callable notes on indexes
By Sarah Lizee
Olympia, Wash., March 2 – BofA Finance LLC priced $2.13 million of contingent income buffered callable yield notes due March 1, 2023 linked to the least performing of the Dow Jones industrial average, the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Bank of America Corp.
The notes will pay a contingent quarterly coupon at an annual rate of 5.4% if each underlying asset closes at or above its 80% coupon barrier on the relevant observation date.
The notes will be callable quarterly at par starting in August.
The payout at maturity will be par plus the final coupon if the least performing asset finishes at or above its 80% threshold value. Otherwise, investors will lose 1% for each 1% decline of the least performing asset beyond 20%.
BofA Securities, Inc. is the agent.
| Issuer: | BofA Finance LLC
|
| Guarantor: | Bank of America Corp.
|
| Issue: | Contingent income buffered callable yield notes
|
| Underlying assets: | Dow Jones industrial average, Russell 2000 index and S&P 500 index
|
| Amount: | $2,133,000
|
| Maturity: | March 1, 2023
|
| Coupon: | 5.4% per year; payable each quarter that each asset’s closing level is greater than or equal to coupon barrier on observation date for that period
|
| Price: | Par
|
| Payout at maturity: | Par unless either asset finishes below threshold value, in which case 1% loss for each 1% decline of the least performing asset beyond buffer
|
| Call option: | Quarterly at par starting in August
|
| Initial values: | 27,960.80 for Dow, 1,628.104 for Russell, 3,225.89 for S&P
|
| Coupon barriers: | 22,368.64 for Dow, 1,302.483 for Russell, 2,580.71 for S&P; 80% of initial values
|
| Threshold values: | 22,368.64 for Dow, 1,302.483 for Russell, 2,580.71 for S&P; 80% of initial values
|
| Pricing date: | Feb. 24
|
| Settlement date: | Feb. 27
|
| Underwriter: | BofA Securities, Inc.
|
| Fees: | 0.5%
|
| Cusip: | 09709TA76
|
|
|
© 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.
