Wells Fargo plans growth securities due 2016 linked to fund basket

By Jennifer Chiou

New York, May 3 - Wells Fargo & Co. plans to price 0% growth securities with leveraged upside participation and buffered downside due December 2016 linked to a basket of funds, according to a 424B2 filing with the Securities and Exchange Commission.

The basket consists of the SPDR S&P 500 ETF Trust with a 45% weight, the iShares Russell 2000 index fund with a 20% weight, the iShares MSCI EAFE index fund with a 20% weight and the iShares MSCI Emerging Markets index fund with a 15% weight.

The payout at maturity will be par plus 1.5 times any basket gain, up to a maximum return of 47% to 57%. The exact cap will be set at pricing.

Investors will receive par if the basket falls by up to 20% and will lose 1% for each 1% decline beyond 20%.

The notes (Cusip: 94986RJQ5) will settle in June.

Wells Fargo Securities, LLC is the agent.

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