Published on 1/24/2020 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley prices $3.87 million contingent income autocallables on indexes
By Sarah Lizee
Olympia, Wash., Jan. 24 – Morgan Stanley Finance LLC sold $3.87 million of contingent income autocallable securities due Jan. 23, 2025 tied to the lesser performing of the Russell 2000 index, the S&P 500 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
Each quarter, the notes will pay a contingent coupon at the rate of 7.6% per year if each index closes at or above its coupon threshold level, 75% of its initial level, on the related determination date.
The notes will be automatically called at par plus the coupon if each index closes at or above its initial level on any quarterly redemption determination date after one year.
The payout at maturity will be par plus the coupon unless any index finishes below its 75% downside threshold, in which case investors will be fully exposed to the performance of the least performing index.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley & Co. LLC is the agent. Morgan Stanley Wealth Management is the dealer.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
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| Issue: | Contingent income autocallable securities
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| Underlying indexes: | Russell 2000 index, S&P 500 index and Euro Stoxx 50 index
|
| Amount: | $3,872,000
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| Maturity: | Jan. 23, 2025
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| Coupon: | 7.6% per year, payable each quarter if each index closes at or above its coupon threshold level on the related determination date
|
| Price: | Par
|
| Payout at maturity: | Par unless any index finishes below its downside threshold, in which case investors will be fully exposed to the performance of the least performing index
|
| Call: | Automatically at par plus coupon if each index closes at or above initial level on any quarterly redemption determination date after one year
|
| Initial levels: | 1,699.635 for Russell, 3,329.62 for S&P, 3,808.26 for Stoxx
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| Downside threshold levels: | 1,274.726 for Russell, 2,497.215 for S&P, 2,856.195 for Stoxx, or 75% of initial levels
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| Coupon thresholds: | 1,274.726 for Russell, 2,497.215 for S&P, 2,856.195 for Stoxx, or 75% of initial levels
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| Pricing date: | Jan. 17
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| Settlement date: | Jan. 23
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| Agent: | Morgan Stanley & Co. LLC
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| Dealer: | Morgan Stanley Wealth Management
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| Fees: | 3%
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| Cusip: | 61770FBS4
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