By Kiku Steinfeld
Chicago, March 25 – Morgan Stanley Finance LLC priced $4.5 million of contingent coupon securities with one-time redemption feature due March 15, 2024 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
For the first year only, a monthly contingent coupon at an annualized rate of 8.85% if the index closes at or above its trigger level, 85% of its initial level, on each day during that month.
The notes are guaranteed by Morgan Stanley.
If the index has not closed below its 85% trigger level on any day during the first year, the notes will be called at par plus the final coupon on March 17, 2021.
If the notes are not called for redemption, the payout at maturity will be par plus the product of $1,000 multiplied by the index strike return. The index strike return equals the quotient of (a) the final index level minus the trigger level divided by (b) the initial index level. This calculation will result in a positive return if the final index level is greater than or equal to the trigger level.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Contingent coupon securities with one-time redemption feature
|
| Underlying index: | S&P 500
|
| Amount: | $4,495,000
|
| Maturity: | March 15, 2024
|
| Coupon: | 8.85%, payable monthly for the first year only if index closes at or above trigger level on each day during month
|
| Call: | If index has not closed below trigger level any day during first year, at par plus final coupon on March 17, 2021
|
| Price: | Par
|
| Payout at maturity: | If notes are not called, par plus product of $1,000 multiplied by index strike return; index strike return equals quotient of (a) final index level minus trigger level divided by (b) initial index level
|
| Initial index level: | 2,480.64
|
| Trigger level: | 2,108.544, 85% of initial level
|
| Pricing date: | March 12
|
| Settlement date: | March 17
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | None
|
| Cusip: | 61770FUF1
|
© 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.
