Published on 1/3/2022 in the Prospect News Structured Products Daily.
New Issue: BMO prices $2.55 million autocallable buffer notes on Nasdaq, Russell
By William Gullotti
Buffalo, N.Y., Jan. 3 – Bank of Montreal priced $2.55 million of autocallable buffer notes with contingent coupons due Dec. 31, 2026 linked to the Nasdaq-100 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes pay a contingent monthly coupon at an annual rate of 5.75% if each index finishes above 85% of its initial level on the related observation date.
The notes will be automatically called at par plus the coupon if the least performing index closes at or above its initial index level on any quarterly observation date after one year.
If the notes are not called and the least performing index return is greater than or equal to 85% of its initial level, the payout at maturity will be par plus the final coupon. Otherwise, investors will lose 1% for each 1% loss beyond 15%.
BMO Capital Markets Corp. is the underwriter.
| Issuer: | Bank of Montreal
|
| Issue: | Autocallable buffer notes with contingent coupons
|
| Underlying indexes: | Nasdaq-100 index, Russell 2000 index
|
| Amount: | $2,546,000
|
| Maturity: | Dec. 31, 2026
|
| Coupon: | 5.75% annual rate, payable monthly if each index finishes above its coupon barrier level on related observation date
|
| Price: | Par
|
| Payout at maturity: | If the notes are not called and each index finishes at or above 85% of its initial level, par plus final coupon; otherwise, 1% loss for each 1% loss beyond 15%
|
| Call: | Automatically at par plus coupon if both indexes close at or above their initial level on any quarterly observation date after one year
|
| Initial levels: | 2,241.576 for Russell, 16,308.21 for Nasdaq
|
| Coupon/buffer levels: | 1,905.34 for Russell, 13,861.98 for Nasdaq; 85% of initial level
|
| Pricing date: | Dec. 23
|
| Settlement date: | Dec. 29
|
| Agent: | BMO Capital Markets Corp.
|
| Fees: | 3.959%
|
| Cusip: | 06368GD61
|
|
|
© 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.
