By Susanna Moon
Chicago, April 30 - Morgan Stanley priced $2.69 million of contingent income securities due April 28, 2028 linked to the worse performing of the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be 7% for the first five years. After that, the notes will pay a contingent monthly coupon at an annualized rate of 7% if each underlying index closes at or above its respective barrier level, 50% of the initial level, on the observation date for that month.
If each index finishes at or above the barrier level, the payout at maturity will be par plus the contingent monthly coupon.
Otherwise, investors will be fully exposed to any losses of the worse performing index.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley
|
| Issue: | Contingent income securities
|
| Underlying indexes: | Russell 2000, S&P 500
|
| Amount: | $2,691,000
|
| Maturity: | April 28, 2028
|
| Coupon: | 7% initially; after five years, 7% annualized if each index closes at or above barrier level on observation date for that month; interest is payable monthly
|
| Price: | Par
|
| Payout at maturity: | Par plus final coupon unless either index closes below barrier, in which case full exposure to decline of worse performing index
|
| Initial index levels: | 935.25 for Russell and 1,582.24 for S&P
|
| Barrier levels: | 467.625 for Russell and 791.12 for S&P; 50% of initial levels
|
| Pricing date: | April 26
|
| Settlement date: | April 30
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 3.5%
|
| Cusip: | 61761JFK0
|
© 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.
