Toronto-Dominion to price leveraged buffered notes linked to six ETFs

By Angela McDaniels

Tacoma, Wash., Feb. 8 – Toronto-Dominion Bank plans to price 0% market-linked securities due Sept. 3, 2020 with leveraged upside participation to a cap and fixed percentage buffered downside linked to a basket of six exchange-traded funds, according to a 424B2 filing with the Securities and Exchange Commission.

The basket consists of the SPDR S&P 500 ETF Trust (50% weight), the iShares Russell 2000 exchange-traded fund (15% weight), the iShares MSCI EAFE exchange-traded fund (15% weight), the iShares MSCI Emerging Markets exchange-traded fund (10% weight), the PowerShares DB Commodity Index Tracking Fund (5% weight) and the Vanguard REIT exchange-traded fund (5% weight).

The basket return is positive, the payout at maturity will be par plus 150% of the basket return, subject to a maximum return that is expected to be 45% to 50% and will be set at pricing. Investors will receive par if the basket declines by 15% or less and will lose 1% for every 1% that it declines beyond 15%.

TD Securities (USA) LLC and Wells Fargo Securities Inc. are the agents.

The notes will price Feb. 29.

The Cusip number is 89114QUS5.

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