Published on 7/21/2021 in the Prospect News Structured Products Daily.
New Issue: BMO sells $2.17 million callable barrier notes with contingent coupon on three indexes
By William Gullotti
Buffalo, N.Y., July 21 – Bank of Montreal priced $2.17 million of callable barrier notes with contingent coupons due July 20, 2026 linked to the Dow Jones industrial average, the Nasdaq-100 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a quarterly coupon equal to 7% per year if each index’s closing level is at least 65% of its initial level on the relevant observation date.
The notes will be callable on any quarterly observation date.
If the notes are not called, the payout at maturity will be par unless any index finishes below its 60% trigger level, in which case investors will lose 1% for each 1% decline based on the final level from the initial level of the least-performing index.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
|
| Issue: | Callable barrier notes with contingent coupons
|
| Underlying indexes: | Dow Jones industrial average, Nasdaq-100 index, Russell 2000 index
|
| Amount: | $2,173,000
|
| Maturity: | July 20, 2026
|
| Coupon: | 7% per year, payable quarterly if each index’s closing level is at or above its coupon barrier level on the relevant observation date
|
| Price: | Par
|
| Payout at maturity: | Par unless any index finishes below its trigger level, in which case investors will lose 1% for each 1% decline from the initial level of the least-performing index
|
| Call option: | At par on any quarterly observation date
|
| Initial levels: | 34,987.02 for Dow, 14,794.69 for Nasdaq, 2,190.293 for Russell
|
| Coupon barrier levels: | 22,741.56 for Dow, 9,616.55 for Nasdaq, 1,423.690 for Russell; 65% of initial levels
|
| Trigger levels: | 20,992.21 for Dow, 8,876.81 for Nasdaq, 1,314.176 for Russell; 60% of initial levels
|
| Pricing date: | July 15
|
| Settlement date: | July 20
|
| Agent: | BMO Capital Markets Corp.
|
| Fees: | 0.7%
|
| Cusip: | 06368ESF0
|
|
|
© 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.
