Published on 12/17/2021 in the Prospect News Structured Products Daily.
New Issue: BMO sells $3.57 million callable barrier notes with contingent coupon on indexes, ETF
By Wendy Van Sickle
Columbus, Ohio, Dec. 17 – Bank of Montreal priced $3.57 million of callable barrier notes with contingent coupons due Dec. 15, 2026 linked to the iShares MSCI EAFE ETF, the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly coupon equal to 9% per year if each underlier’s closing level is at least 70% of its initial level on the relevant observation date.
The notes will be callable on any monthly observation date.
If the notes have not been called, the payout at maturity will be par unless any underlier finishes below its 60% trigger level, in which case investors will lose 1% for every 1% that the worst performer finishes below its initial level.
BMO Capital Markets Corp. is the agent.
| Issuer: | Bank of Montreal
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| Issue: | Callable barrier notes with contingent coupons
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| Underlying assets: | iShares MSCI EAFE ETF, S&P 500 index, Russell 2000 index
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| Amount: | $3,565,000
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| Maturity: | Dec. 15, 2026
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| Coupon: | 9% per year, payable monthly if each underlier’s closing level is at or above its coupon barrier level on the relevant observation date
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| Price: | Par
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| Payout at maturity: | Par unless any underlier finshes below its trigger level, in which case investors will lose 1% for every 1% that the worst performer finishes below its initial level
|
| Call option: | At par plus any coupon otherwise due on any monthly observation date
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| Initial levels: | $79.07 for ETF, 4,712.02 for S&P, 2,211.806 for Russell
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| Coupon barrier levels: | $55.35 for ETF, 3,298.41 for S&P, 1,548.264 for Russell; 70% of initial levels
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| Trigger levels: | $47.44 for ETF, 2,827.21 for S&P, 1,327.084 for Russell; 60% of initial levels
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| Pricing date: | Dec. 10
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| Settlement date: | Dec. 15
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| Agent: | BMO Capital Markets Corp.
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| Fees: | 0.6%
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| Cusip: | 06368GC62
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