By Wendy Van Sickle
Columbus, Ohio, May 20 – Morgan Stanley Finance LLC priced $1.4 million of contingent income autocallable securities due May 4, 2023 tied to the worst performing of the stocks of Airbnb, Inc., FedEx Corp. and Walmart Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly contingent coupon at the rate of 6.12% per year if each stock closes at or above its coupon barrier level, 50% of its initial level, on the observation date that period.
The notes will be automatically called at par if each stock closes at or above 87% of its initial level on any monthly call determination date after four months.
If the lowest-performing stock finishes at or above its downside threshold level, 50% of its initial level, the payout at maturity will be par plus the final coupon. If the lowest-performing stock finishes below its downside threshold level, investors will be fully exposed to the decline of the lowest-performing stock from its initial level.
The notes are guaranteed by Morgan Stanley.
Morgan Stanley & Co. LLC is the agent.
Issuer: | Morgan Stanley Finance LLC
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Guarantor: | Morgan Stanley
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Issue: | Contingent income autocallable securities
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Underlying stocks: | Airbnb, Inc., FedEx Corp. and Walmart Inc.
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Amount: | $1.4 million
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Maturity: | May 4, 2023
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Coupon: | 6.12% per year, payable monthly if each stock closes at or above coupon barrier level on any observation date
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Price: | Par
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Payout at maturity: | If each stock finishes at or above downside threshold level, par; if any stock finishes below downside threshold level, full exposure to decline of lowest-performing stock from its initial level
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Call option: | At par if each stock closes at or above 87% of its initial level on any monthly call determination date after four months
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Initial levels: | $177.94 for Airbnb, $287.51 for FedEx and $138.38 for Walmart
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Coupon barriers: | $88.97 for Airbnb, $143.755 for FedEx and $69.19 for Walmart; 50% of initial levels
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Downside threshold levels: | $88.97 for Airbnb, $143.755 for FedEx and $69.19 for Walmart; 50% of initial levels
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Pricing date: | April 28
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Settlement date: | May 4
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Agent: | Morgan Stanley & Co. LLC
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Fees: | 2%
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Cusip: | 61771VYK0
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