New Issue: Morgan Stanley prices $2.2 million autocallable securities on S&P 500

By Wendy Van Sickle

Columbus, Ohio, April 19 – Morgan Stanley Finance LLC priced $2.2 million of 0% autocallable securities due April 16, 2020 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes are guaranteed by Morgan Stanley.

If the index’s closing level on Oct. 15, 2018 is greater than or equal to 120% of the initial index level, the notes will be redeemed at $12 per $10 principal amount.

If the index finishes at or above its initial level, the payout at maturity will be par plus 120% of the index return, subject to a maximum return of 40%. Investors will receive par if the index falls by up to 25% and will have one-to-one exposure to the index’s decline from its initial level if it falls beyond 25%.

Morgan Stanley & Co. LLC is the agent.

Issuer:	Morgan Stanley Finance LLC
Guarantor:	Morgan Stanley
Issue:	Autocallable securities
Underlying index:	S&P 500
Amount:	$2,195,000
Maturity:	April 16, 2020
Coupon:	0%
Price:	Par
Call:	Automatically at par plus 20% if index closes at or above call threshold on Oct. 15, 2018
Payout at maturity:	If index gains or is flat, par plus 120% of return up to maximum return of 40%; par if index falls by up to 25%; 1-to-1 exposure to losses beyond 25%
Initial level:	2,328.95
Call threshold:	2,794.74, 120% of initial level
Downside threshold:	1,746.713, 75% of initial level
Pricing date:	April 13
Settlement date:	April 19
Underwriter:	Morgan Stanley & Co. LLC
Fees:	3%
Cusip:	61766V883

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