Published on 12/29/2017 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley prices $5.59 million callable contingent income notes on indexes
By Tali Rackner
Minneapolis, Dec. 29 – Morgan Stanley Finance LLC priced $5.59 million of callable contingent income securities due Dec. 30, 2019 linked to the least performing of the S&P 500 index, the Russell 2000 index and the Euro Stoxx 50 index, 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 the rate of 7.3% per year if each index closes at or above its coupon barrier level, 75% of its initial level, on every trading day that quarter.
If each index finishes at or above its downside threshold level, 65% of its initial level, the payout at maturity will be par plus the final coupon, if any.
If any index finishes below its downside threshold, investors will be fully exposed to the decline of the least-performing index from its initial level.
Beginning June 27, 2018, the notes will be callable at par on any interest payment date.
Morgan Stanley & Co. LLC is the agent.
Issuer: | Morgan Stanley Finance LLC
|
Guarantor: | Morgan Stanley
|
Issue: | Callable contingent income securities
|
Underlying indexes: | S&P 500, Russell 2000 and Euro Stoxx 50
|
Amount: | $5,592,000
|
Maturity: | Dec. 30, 2019
|
Coupon: | 7.3% per year, payable quarterly if each index closes at or above coupon barrier level on every trading day that quarter
|
Price: | Par
|
Payout at maturity: | Par if each index finishes at or above downside threshold; if any index finishes below downside threshold, full exposure to decline of least-performing index from its initial level
|
Call option: | Beginning June 27, 2018, at par on any interest payment date
|
Initial levels: | 2,683.34 for S&P, 1,542.925 for Russell and 3,553.39 for Stoxx
|
Coupon barriers: | 2,012.505 for S&P, 1,157.194 for Russell and 2,665.043 for Stoxx; 75% of initial levels
|
Downside thresholds: | 1,744.171 for S&P, 1,002.901 for Russell and 2,309.704 for Stoxx; 65% of initial levels
|
Pricing date: | Dec. 22
|
Settlement date: | Dec. 29
|
Agent: | Morgan Stanley & Co. LLC
|
Fees: | 1.75%
|
Cusip: | 61768CWU7
|
|
|
© 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.