JPMorgan aims to sell contingent interest autocallable linked to ETFs

By Devika Patel

Knoxville, Tenn., Oct. 16 – JPMorgan Chase Financial Co. LLC plans to price autocallable contingent interest notes due Oct. 21, 2021 linked to the lesser performing of the Invesco QQQ Trust, Series 1 and the SPDR S&P 500 ETF Trust, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be guaranteed by JPMorgan Chase & Co.

Each quarter, the notes will pay a contingent coupon if each ETF closes at or above its interest barrier level, 75% of its initial level, on the review date for that quarter. The contingent coupon rate is expected to be between 7.25% and 7.75% per year and will be set at pricing.

Beginning Oct. 17, 2019, the notes will be automatically called at par plus the contingent coupon if each ETF closes at or above its initial level on any quarterly review date other than the final one.

If the notes have not been called, the payout at maturity will be par plus the final coupon, unless either ETF finishes below its trigger value, 75% of its initial level, in which case investors will lose 1% for every 1% that the least-performing ETF finishes below its initial level.

J.P. Morgan Securities LLC is the agent.

The notes (Cusip: 48130UG58) will price on Oct. 17 and settle on Oct. 22.

© 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.