By Wendy Van Sickle
Columbus, Ohio, Dec. 22 – Morgan Stanley Finance LLC priced $5 million of 0% autocallable worst-of index-linked notes due Dec. 20, 2023 linked to the lesser performing of the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
Starting Dec. 27, 2021, the notes will be automatically called at par plus a 10.5% annualized call premium if each underlying index closes at or above its initial level on any quarterly observation date. Because the first call payment date, Dec. 29, 2021, is slightly more than a year after issuance, the call premium amount for that date is 10.7301%.
The payout at maturity will be plus 31.5% if both indexes finish at or above their initial levels. The payout will be par if the laggard index falls by up to 25%. Investors will have full exposure to the loss of the laggard index if it falls by more than 25%.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley & Co. LLC is the underwriter.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Autocallable worst-of index-linked notes
|
| Underlying indexes: | Russell 2000 index and S&P 500 index
|
| Amount: | $5 million
|
| Maturity: | Dec. 20, 2023
|
| Coupon: | 0%
|
| Price: | Par
|
| Call: | Automatically at par plus a 10.5% annualized call premium if each index closes at or above initial level on any quarterly observation date after one year
|
| Payout at maturity: | Par plus 31.5% if both indexes finish at or above initial levels; par if laggard index falls by up to 25%; full exposure to loss of laggard index if it falls by more than 25%
|
| Initial levels: | 1,952.722 for Russell and 3,701.17 for S&P
|
| Threshold levels: | 1,464.5415 for Russell and 2,775.8775 for S&P
|
| Pricing date: | Dec. 16
|
| Settlement date: | Dec. 23
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 2%
|
| Cusip: | 61771ETT5
|
© 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.
