Morgan Stanley plans buffered notes with contingent coupon on Russell

By Marisa Wong

Madison, Wis., Nov. 2 - Morgan Stanley plans to price buffered securities with contingent coupon due Nov. 29, 2019 linked to the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

Investors will receive a contingent monthly coupon at a rate of 7% per year if the index closes at or above the barrier level, 75% of the initial index level, on a monthly determination date. Otherwise, no contingent monthly coupon will be paid that month.

If the final index level is greater than or equal to the barrier level, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the index declines beyond 25%. In both cases, investors will also receive the final contingent monthly coupon, if any.

The notes will price Nov. 27 and settle Nov. 30.

Morgan Stanley & Co. LLC is the agent.

The Cusip number is 6174823P7.

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