By Wendy Van Sickle
Columbus, Ohio, Feb. 28 – Morgan Stanley Finance LLC priced $1.85 million of contingent income autocallable securities due March 2, 2021 linked to the least performing of the Nasdaq-100 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Morgan Stanley.
Each quarter, the notes will pay a contingent coupon at the rate of 6% per year if each index closes at or above its coupon barrier level, 70% of its initial level, on the determination date for that quarter.
After six months, the notes will be automatically called at par if each index closes at or above its initial level on any quarterly determination date.
The payout at maturity will be par unless either index finishes below its initial level and either index ever closes below its 70% downside threshold, in which case investors will lose 1% for every 1% that the least-performing index declines from its initial level.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
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| Guarantor: | Morgan Stanley
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| Issue: | Contingent income autocallable securities
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| Underlying indexes: | Nasdaq-100 index, S&P 500 index
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| Amount: | $1.85 million
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| Maturity: | March 2, 2021
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| Coupon: | 6% per year, payable quarterly if each index closes at or above barrier level on determination date for that quarter
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| Price: | Par
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| Payout at maturity: | Par unless either index finishes below its initial level and either index ever closes below its downside threshold, in which case 1% loss for every 1% that least-performing index declines from its initial level
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| Call: | After six months, automatically at par if each index closes at or above initial level on any quarterly determination date
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| Initial index levels: | 4,980.798 for Nasdaq and 2,796.11 for S&P
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| Coupon barrier levels: | 4,980.798 for Nasdaq and 1,957.277 for S&P; 70% of initial levels
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| Downside thresholds: | 4,980.798 for Nasdaq and 1,957.277 for S&P; 70% of initial levels
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| Pricing date: | Feb. 25
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| Settlement date: | Feb. 28
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| Agent: | Morgan Stanley & Co. LLC
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| Fees: | 2.5%
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| Cusip: | 61768DL86
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