GS plans relative performance notes on Stoxx Europe 600 versus basket

By Tali Rackner

Norfolk, Va., May 19 – GS Finance Corp. plans to price 0% relative performance notes due June 7, 2017 linked to the performance of the Stoxx Europe 600 index and a basket that includes the CAC 40 index with a 50% weight, the MDAX index with a 30% weight and the Swiss Market index with a 20% weight, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be guaranteed by Goldman Sachs Group, Inc.

If the basket performance is positive and the Stoxx Europe 600 return is positive or zero, the payout at maturity will be par plus the basket performance.

If the basket performance is positive but the Stoxx Europe 600 return is negative, the payout will par plus 1.31 times the basket performance plus the Stoxx Europe 600 return. In this case, the return on the notes could be positive or negative and will be negative in the event that the decline in the Stoxx Europe 600 is greater than the basket performance.

If the basket performance is zero or negative but the Stoxx Europe 600 return is positive, the payout will be par.

If the basket performance is zero or negative and the Stoxx Europe 600 return is zero, the payout will be par.

If the basket performance is zero or negative and the Stoxx Europe 600 return is negative, investors will be fully exposed to the decline of the Stoxx Europe 600.

Goldman Sachs & Co. is the agent.

The notes will price on May 20 and settle on May 25.

The Cusip number is 40054KCP9.

© 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.