Published on 1/26/2023 in the Prospect News Structured Products Daily.
New Issue: BofA sells $1 million contingent income issuer callable yield notes on three indexes
By William Gullotti
Buffalo, N.Y., Jan. 26 – BofA Finance LLC priced $1 million of contingent income issuer callable yield notes due Jan. 25, 2028 linked to the worst performing of the Nasdaq-100 index, the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 11% if each underlying index closes at or above its 70% coupon barrier on the observation date for that period.
The notes are callable at par plus any coupon otherwise due on any quarterly determination date after six months.
The payout at maturity will be par plus the final coupon if each index finishes at or above its 70% threshold level. Otherwise, investors will be fully exposed to the decline of the worst performing index from its initial level.
The notes are guaranteed by Bank of America Corp.
BofA Securities, Inc. is the selling agent.
| Issuer: | BofA Finance LLC
|
| Guarantor: | Bank of America Corp.
|
| Issue: | Contingent income issuer callable yield notes
|
| Underlying indexes: | Nasdaq-100 index, Russell 2000, S&P 500 index
|
| Amount: | $1 million
|
| Maturity: | Jan. 25, 2028
|
| Coupon: | 11% annualized rate, payable quarterly if each index closes at or above its coupon barrier on observation date for that period
|
| Price: | Par
|
| Payout at maturity: | If each index finishes at or above downside threshold, par plus final coupon; otherwise, 1% loss for each 1% decline of worst performing index from initial level
|
| Call option: | At par plus any coupon due on any quarterly determination date after six months
|
| Initial levels: | 11,619.03 Nasdaq, 1,867.336 for Russell, 3,972.61 for S&P
|
| Coupon barriers: | 8,133.32 for Nasdaq, 1,307.135 for Russell, 2,780.83 for S&P; 70% of initial levels
|
| Downside thresholds: | 8,133.32 for Nasdaq, 1,307.135 for Russell, 2,780.83 for S&P; 70% of initial levels
|
| Pricing date: | Jan. 20
|
| Settlement date: | Jan. 25
|
| Selling agent: | BofA Securities, Inc.
|
| Fees: | 1.65%
|
| Cusip: | 09709VEX0
|
|
|
© 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.
