Published on 3/16/2023 in the Prospect News Structured Products Daily.
New Issue: CIBC prices $22.8 million trigger callable contingent yield notes on three indexes
By Wendy Van Sickle
Columbus, Ohio, March 16 – Canadian Imperial Bank of Commerce priced $22.8 million of trigger callable contingent yield notes with daily coupon observation due Sept. 17, 2026 linked to the performance of the Euro Stoxx 50 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 quarterly contingent coupon at an annual rate of 13% if each index’s closing level is at least 70% of its initial level on every day that quarter.
The notes will be callable at par on any quarterly observation date.
If the notes are not called and each index finishes at or above its 55% trigger level, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the least-performing index’s final level is below its initial level.
CIBC Capital Markets and UBS Investment Bank are the agents.
| Issuer: | Canadian Imperial Bank of Commerce
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| Issue: | Trigger callable contingent yield notes with daily coupon observation
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| Underlying indexes: | Euro Stoxx 50 index, Russell 2000 index, S&P 500 index
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| Amount: | $22,799,790
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| Maturity: | Sept. 17, 2026
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| Coupon: | 13% per year, payable quarterly if each index closes at or above its coupon barrier every day that quarter
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| Price: | Par
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| Payout at maturity: | Par plus final coupon, if any, if each index finishes at or above trigger level; otherwise, full exposure to the losses of the worst performing index
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| Call option: | At par on any quarterly observation date
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| Initial levels: | 4,096.54 for Stoxx, 1,744.302 for Russell, 4,045.64 for S&P
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| Coupon barrier levels: | 2,867.58 for Stoxx, 1,221.011 for Russell, 2,699.03 for S&P; 70% of initial levels
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| Trigger levels: | 2,253.1 for Stoxx, 959.366 for Russell, 2,120.67 for S&P; 55% of initial levels
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| Pricing date: | March 13
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| Settlement date: | March 16
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| Agents: | CIBC Capital Markets and UBS Investment Bank
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| Fees: | 1%
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| Cusip: | 13608K286
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