Wells Fargo Bank to price CDs due 2022 linked to CMS yield curve

By Jennifer Chiou

New York, April 14 - Wells Fargo Bank, NA plans to price certificates of deposit due April 30, 2022 linked to the yield curve, according to a term sheet.

The yield curve will be the spread of the 30-year dollar Constant Maturity Swap rate over the two-year dollar CMS rate.

Interest for the first year will be 8%. After that, the rate will be four times the yield curve minus 25 basis points, with a floor of 0% and a cap of 8%. Interest is payable quarterly.

The payout at maturity will be par.

The CDs are callable on any interest payment date beginning on April 30, 2012.

The CDs will price on April 23 and settle on April 30.

Incapital LLC is the distributor.

© 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.