JPMorgan plans contingent interest autocallables tied to indexes

By Angela McDaniels

Tacoma, Wash., Aug. 1 – JPMorgan Chase Financial Co. LLC plans to price autocallable contingent interest notes due Dec. 3, 2018 linked to the least performing of the Russell 2000 index, the S&P 500 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be guaranteed by JPMorgan Chase & Co.

Each quarter, the notes will pay a contingent coupon if each index closes at or above its trigger value, 70% of its initial level, on the review date for that quarter. The contingent coupon rate is expected to be 6% to 8% per year and will be set at pricing.

The notes will be automatically called at par plus the contingent coupon if each index closes at or above its initial level on any quarterly review date other than the first and final review dates.

If the notes have not been called, the payout at maturity will be par unless any index closes below its trigger value during the life of the notes and any index finishes below its initial level, in which case investors will lose 1% for every 1% that the least-performing index finishes below its initial level.

J.P. Morgan Securities LLC is the agent.

The notes will price Aug. 28.

The Cusip number is 46647M2W2.

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