Wells Fargo eyes callable market-linked notes tied to indexes, ETF

By Sarah Lizee

Olympia, Wash., March 7 – Wells Fargo Finance LLC plans to price market-linked securities due April 1, 2024 – callable with contingent coupon and contingent downside – linked to the lowest performing of the Russell 2000 index, the S&P 500 index and the iShares MSCI Emerging Markets ETF, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be guaranteed by Wells Fargo & Co.

The notes will pay a contingent quarterly coupon at an annual rate of at least 5.25% if each underlying closes at or above its 65% coupon threshold value on a quarterly observation date. The exact interest rate will be set at pricing.

The notes will be callable at par plus any coupon on any quarterly redemption date after one year.

The payout at maturity will be par unless either underlying finishes below its 65% downside threshold, in which case investors will be fully exposed to any losses of the worse performing underlying.

Wells Fargo Securities, LLC is the agent.

The notes will price on March 26.

The Cusip number is 95001H3Q2.

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