Published on 6/23/2020 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley sells additional $24,000 contingent income autocalls on Dow, Russell
By Kiku Steinfeld
Chicago, June 23 – Morgan Stanley Finance LLC sold an additional $24,000, bringing the total up to $1,777,000, of contingent income autocallable securities due Sept. 2, 2021 linked to the least performing of the Russell 2000 index and the Dow Jones industrial average, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Morgan Stanley.
Each month, the notes will pay a contingent coupon at the rate of 12.5% per year if each index closes at or above its coupon barrier level, 70% of its initial level, on the determination date for that month.
The notes will be automatically called at par if each index closes at or above its initial level on any quarterly determination date after six months.
The payout at maturity will be par unless either index closes below its 70% downside threshold, in which case investors will lose 1% for every 1% that the least-performing index declines from its initial level.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
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| Issue: | Contingent income autocallable securities
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| Underlying indexes: | Russell 2000 index, Dow Jones industrial average
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| Amount: | $24,000, total of $1,777,000
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| Maturity: | Sept. 2, 2021
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| Coupon: | 12.5% per year, payable monthly if each index closes at or above barrier level on determination date for that month
|
| Price: | Par
|
| Payout at maturity: | Par unless either index closes below its downside threshold, in which case 1% loss for every 1% that least-performing index declines from its initial level
|
| Call: | Automatically at par if each index closes at or above initial level on any quarterly determination date after six months
|
| Initial index levels: | 25,383.11 for Dow, 1,394.035 for Russell
|
| Coupon barrier levels: | 17,768.177 for Dow, 975.825 for Russell; 70% of initial levels
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| Downside thresholds: | 17,768.177 for Dow, 975.825 for Russell; 70% of initial levels
|
| Pricing date: | June 8
|
| Settlement date: | June 9
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| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | None
|
| Original issue: | $1,753,000, issued on June 3
|
| Cusip: | 61771BFL3
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