By Angela McDaniels
Tacoma, Wash., Aug. 2 - Wells Fargo & Co. priced $4.5 million of 0% enhanced growth securities due Feb. 5, 2016 with upside participation to a cap and contingent downside protection linked to a basket of exchange-traded funds, according to a 424B2 filing with the Securities and Exchange Commission.
The basket includes 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 Market index fund with a 15% weight.
The payout at maturity will be par plus 150% of any increase in the basket, subject to a maximum return of 57%.
If the basket declines by 40% or less, the payout will be par.
If the basket declines by more than 40%, investors will be fully exposed to the decline from the initial level.
Wells Fargo Securities, LLC is the agent.
| Issuer: | Wells Fargo & Co.
|
| Issue: | Enhanced growth securities
|
| Underlying ETFs: | SPDR S&P 500 ETF Trust (45% weight), iShares Russell 2000 index fund (20% weight), iShares MSCI EAFE index fund (20% weight) and iShares MSCI Emerging Market index fund (15% weight)
|
| Amount: | $4,502,000
|
| Maturity: | Feb. 5, 2016
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | Par plus 150% of any basket gain, up to maximum return of 57%; par if basket declines by 40% or less; par plus basket return if basket declines by more than 40%
|
| Initial share prices: | $129.05 for SPDR; $79.65 for iShares Russell; $58.65 for iShares MSCI EAFE; $47.15 for iShares MSCI Emerging Markets
|
| Pricing date: | July 29
|
| Settlement date: | Aug. 5
|
| Agent: | Wells Fargo Securities, LLC
|
| Fees: | 2.5%
|
| Cusip: | 94986REM9
|
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