BMO eyes autocallable barrier notes with contingent coupons on Russell, S&P

By Sarah Lizee

Olympia, Wash., Aug. 24 – Bank of Montreal plans to price of autocallable barrier notes with contingent coupons due Sept. 30, 2021 linked to the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

Every month, the notes will pay a coupon equal to 5.75% per year if each asset’s closing level is at least 70% of the initial level on the observation date for that month.

The notes will be automatically redeemed at par plus the contingent coupon if each index closes above its initial level on any observation date beginning on Feb. 23, 2021.

If the notes are not called, the payout at maturity will be par unless the final level of either asset is less than 70% of the initial level, in which case investors will lose 1% for each 1% decline from the initial level of the least performing asset.

BMO Capital Markets Corp. is the agent.

The notes will price on Aug. 26.

The Cusip number is 06367W3K7.

© 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.