Published on 11/14/2020 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley sells $500,000 contingent income buffered autocalls on indexes
By Taylor Fox
New York, Nov. 16 – Morgan Stanley Finance LLC priced $500,000 of contingent income buffered autocallable securities due Oct. 26, 2023 linked to the worst performing of the Russell 2000 index, the S&P 500 index and the Nasdaq-100 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Morgan Stanley.
Each quarter, the notes will pay a contingent coupon at an annualized rate of 4% if each index closes at or above its coupon barrier level, 70% of its initial level, on the determination date for that quarter.
Beginning on April 26, 2021, the notes will be called at par plus the coupon if each index closes at or above its initial level on any quarterly early redemption determination date.
If the final level of each index is greater than or equal to 75% of its initial level, the payout at maturity will be par plus the last contingent coupon. Otherwise, investors will lose 1% for every 1% that the worst-performing index declines beyond 25%.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Contingent income buffered autocallable securities
|
| Underlying indexes: | Russell 2000, S&P 500 and Nasdaq-100
|
| Amount: | $500,000
|
| Maturity: | Oct. 26, 2023
|
| Coupon: | 4% annual rate if each index closes at or above coupon barrier level on quarterly determination date
|
| Price: | Par
|
| Call: | At par if each index closes at or above its initial level on any quarterly early redemption determination date beginning on April 26, 2021
|
| Payout at maturity: | If final level of each index is greater than or equal to 75% of initial level, par plus last contingent coupon; otherwise, 1% loss for every 1% that worst-performing index declines beyond 25%
|
| Initial index levels: | 1,603.776 for Russell, 3,435.56 for S&P and 11,665.37 for Nasdaq
|
| Coupon barrier levels: | 1,122.643 for Russell, 2,404.892 for S&P and 8,165.759 for Nasdaq; 70% of initial levels
|
| Buffer levels: | 1,202.832 for Russell, 2,576.67 for S&P and 8,749.028 for Nasdaq; 75% of initial levels
|
| Pricing date: | Oct. 21
|
| Settlement date: | Oct. 26
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 0.25%
|
| Cusip: | 61771EDE5
|
|
|
© 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.
