New Issue: Morgan Stanley sells $12.53 million contingent income autocalls on four stocks

By Wendy Van Sickle

Columbus, Ohio, April 5 – Morgan Stanley Finance LLC priced $12.53 million of contingent income autocallable securities due March 30, 2023 tied to an equally weighted basket of the stocks of Apple Inc., Shopify Inc., PayPal Holdings, Inc. and Square, Inc., according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a monthly contingent coupon at the rate of 7.25% per year if the basket closes at or above its coupon barrier level, 70% of its initial level, on the observation date that period.

The notes will be automatically called at par if the basket closes at or above its initial level on any monthly call determination date after six months.

If the basket finishes at or above its downside threshold level, 60% of its initial level, the payout at maturity will be par plus the final coupon. If the basket finishes below its downside threshold level, investors will be fully exposed to the decline of the basket from its initial level.

The notes are guaranteed by Morgan Stanley.

Morgan Stanley & Co. LLC is the agent.

Issuer:	Morgan Stanley Finance LLC
Guarantor:	Morgan Stanley
Issue:	Contingent income autocallable securities
Underlying stocks:	Apple Inc., Shopify Inc., PayPal Holdings, Inc. and Square, Inc., equal weights
Amount:	$12,533,000
Maturity:	March 30, 2023
Coupon:	7.25% per year, payable monthly if the basket closes at or above coupon barrier level on any observation date
Price:	Par
Payout at maturity:	If the basket finishes at or above downside threshold level, par; if the basket finishes below downside threshold level, full exposure to decline of basket from its initial level
Call option:	At par if the basket closes at or above its initial level on any monthly call determination date after six months
Initial levels:	$121.21 for Apple, $1,065.21 for Shopify, $241.03 for PayPal Holdings and $213.60 for Square
Coupon barriers:	70% of initial levels
Downside threshold levels:	60% of initial levels
Pricing date:	March 26
Settlement date:	March 31
Agent:	Morgan Stanley & Co. LLC
Fees:	2.5%
Cusip:	61771VJL5

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