Published on 10/29/2019 in the Prospect News Structured Products Daily.
New Issue: Morgan Stanley sells $1.24 million jump autocallables on three indexes
By Wendy Van Sickle
Columbus, Ohio, Oct. 29 – Morgan Stanley Finance LLC priced $1.24 million of 0% jump securities with autocallable feature due Oct. 31, 2025 linked to the worst performing of the S&P 500 index, Dow Jones industrial average and Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes are guaranteed by Morgan Stanley.
The notes will be called at par plus an annual premium of 11.5% if each index closes at or above the call threshold on any annual review date. The call threshold is 92% of the initial level for the first three determination dates and 98% of the initial level for the fourth and fifth dates.
The payout at maturity will be par plus 69% if each index finishes at or above its initial level. If the worst performing index declines by no more than 25%, the payout will be par. If the worst performing index finishes below its 75% downside threshold level, investors will be fully exposed to the decline of that index.
Morgan Stanley & Co. LLC is the underwriter.
| Issuer: | Morgan Stanley Finance LLC
|
| Guarantor: | Morgan Stanley
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| Issue: | Jump securities with autocallable feature
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| Underlying indexes: | S&P 500 index, Dow Jones industrial average and Russell 2000 index
|
| Amount: | $1,241,000
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| Maturity: | Oct. 31, 2025
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| Coupon: | 0%
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| Price: | Par
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| Call: | At par plus 11.5% a year if each index closes at or above initial level on any annual review date
|
| Payout at maturity: | If each index finishes at or above initial level, par plus 69%; if worst performing index falls by up to 25%, par; otherwise, full exposure to decline of worst performing index
|
| Initial levels: | 3,010.29 for S&P, 26,805.53 for Dow, 1,550.18 for Russell
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| Call thresholds: | 2,769.467 for S&P, 24,661.088 for Dow, 1,426.166 for Russell, 92% of initial levels for first three determination dates; 2,950.84 for S&P, 26,269.419 for Dow, 1,519.176 for Russell, 98% of initial levels for fourth and fifth dates
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| Downside thresholds: | 2,257.718 for S&P, 20,104.148 for Dow, 1,162.635 for Russell; 75% of initial levels
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| Pricing date: | Oct. 24
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| Settlement date: | Oct. 31
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| Agent: | Morgan Stanley & Co. LLC
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| Fees: | None
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| Cusip: | 61769HC94
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