By Marisa Wong
Madison, Wis., May 5 – Morgan Stanley priced $5.32 million of securities with leveraged upside participation to a cap and fixed-percentage buffered downside due Nov. 5, 2020 linked to a basket of unequally weighted exchange-traded funds, according to a 424B2 filing with the Securities and Exchange Commission.
The basket components are the SPDR S&P 500 ETF Trust with a 60% weight, the SPDR S&P MidCap 400 ETF with a 20% weight and the iShares Russell 2000 ETF with a 20% weight.
If the basket return is positive, the payout at maturity will be par plus 150% of the basket return, subject to a maximum payout of $1,630 per $1,000 principal amount of notes.
Investors will receive par if the basket falls by up to 20% and will lose 1% for every 1% decline beyond 20%.
Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC are the agents, and Wells Fargo Advisors, LLC is the dealer.
| Issuer: | Morgan Stanley
|
| Issue: | Securities
|
| Underlying basket: | SPDR S&P 500 ETF Trust (60% weight), SPDR S&P MidCap 400 ETF (20% weight) and iShares Russell 2000 ETF (20% weight)
|
| Amount: | $5,322,000
|
| Maturity: | Nov. 5, 2020
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If basket gains, par plus 1.5 times basket return, subject to maximum return of 63%; par if basket falls by up to 20%; exposure to losses beyond 20%
|
| Initial ETF levels: | $208.52 for SPDR S&P 500, $273.15 for SPDR S&P MidCap, $121.16 for iShares Russell
|
| Initial basket level: | 100
|
| Threshold level: | 80
|
| Pricing date: | April 30
|
| Settlement date: | May 5
|
| Underwriter: | Morgan Stanley & Co. LLC
|
| Fees: | 3.5%
|
| Cusip: | 61761JYG8
|
|
|
© 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.
