By Sarah Lizee
Olympia, Wash., Jan. 24 – Morgan Stanley Finance LLC priced $3 million of contingent income autocallable securities due Jan. 20, 2023 linked to the worst performing of the common stocks of Home Depot, Inc., Lowe’s Cos., Inc. and Masco Corp., according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Morgan Stanley.
Each quarter, the notes will pay a contingent coupon at an annual rate of 11.8% if each stock closes at or above its downside threshold, 65% of its initial level, on the determination date for that period.
The notes will be called at par plus the contingent coupon if each stock closes above its initial level on any monthly redemption date after six months.
The payout at maturity will be par plus the final contingent coupon unless any stock finishes below its 65% downside threshold, in which case investors will be fully exposed to any losses of the worst performing stock.
Morgan Stanley & Co. LLC is the agent.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
|
| Issue: | Contingent income autocallable securities
|
| Underlying stocks: | Home Depot, Inc., Lowe’s Cos., Inc. and Masco Corp.
|
| Amount: | $3 million
|
| Maturity: | Jan. 20, 2023
|
| Coupon: | 11.8% per year, payable each quarter that each stock closes at or above downside threshold level on determination date for that period
|
| Price: | Par
|
| Payout at maturity: | If final share price of least performing stock is greater than or equal to downside threshold level, par plus final contingent coupon; otherwise, full exposure to decline of worst performer
|
| Call: | At par plus contingent coupon if each stock closes at or above initial share price on any monthly redemption date after six months
|
| Initial share prices: | $231.91 for Home Depot, $122.36 for Lowe’s, $49.09 for Masco
|
| Downside thresholds: | $150.742 for Home Depot, $79.534 for Lowe’s, $31.909for Masco; 65% of initial share prices
|
| Pricing date: | Jan. 17
|
| Settlement date: | Jan. 23
|
| Agent: | Morgan Stanley & Co. LLC
|
| Fees: | 2.35%
|
| Cusip: | 61770FCX2
|
|
|
© 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.
