Bank of America plans market-linked step-up autocallables on S&P 500

By Marisa Wong

Madison, Wis., April 26 - Bank of America Corp. plans to price autocallable market-linked step-up notes due May 2016 linked to the S&P 500 index, according to an FWP filing with the Securities and Exchange Commission.

The notes will be called at par plus 8% per year if the index closes above the initial level on May 2014 or May 2015.

If the index finishes at or above the step-up value - 120% to 126% of the initial level - the payout at maturity will be par plus the index gain.

If the index finishes below the step-up level but at or above the initial level, the payout will be par plus the step-up return of 20% to 26%.

Investors will be exposed to any losses.

The exact deal terms will be set at pricing.

The notes are expected to price in May and settle in June.

BofA Merrill Lynch is the agent.

© 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.