Published on 12/24/2020 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley sells $3.22 million jump securities with autocallable feature on indexes
By Taylor Fox
New York, Dec. 24 – Morgan Stanley Finance LLC priced $3.22 million of 0% jump securities with autocallable feature due Dec. 11, 2025 linked to the worst performing of the S&P 500 index, the Nasdaq-100 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be guaranteed by Morgan Stanley.
The notes will be called at par plus an annual premium of 10.25% if each index closes at or above its initial level on a semiannual observation date starting Dec. 8, 2021. The premium related to the maturity date is 51.25%.
If the notes are not called, meaning the worst performer has finished below its initial level, and the worst performing index declines by not more than 40%, the payout will be par. If the worst performing index finishes below its 60% downside threshold level, investors will be fully exposed to the decline of that index.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Jump securities with autocallable feature
|
| Underlying indexes: | S&P 500 index, Nasdaq-100 index and Russell 2000 index
|
| Amount: | $3,216,000
|
| Maturity: | Dec. 11, 2025
|
| Coupon: | 0%
|
| Price: | Par
|
| Call: | At par plus an annual premium of 10.25% if each index closes at or above its initial level on a semiannual observation date starting after one year
|
| Payout at maturity: | If not called because worst performer has declined from initial level and if it declines by not more than 40%, par; if the worst performing index finishes below its downside threshold level, investors will be fully exposed to the decline
|
| Initial levels: | 1,891.252 for Russell, 12,596.47 for Nasdaq, 3,691.96 for S&P
|
| Downside thresholds: | 1,134.751 for Russell, 7,557.882 for Nasdaq, 2,215.176 for S&P; 60% of initial levels
|
| Pricing date: | Dec. 7
|
| Settlement date: | Dec. 10
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 0.75%
|
| Cusip: | 61771ERF7
|
|
|
© 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.
