By Susanna Moon
Chicago, Aug. 14 - Morgan Stanley priced $2.16 million of trigger phoenix autocallable optimization securities due Aug. 15, 2018 linked to VMware Inc. shares, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annualized rate of 9% if the price of VMware stock closes at or above the 67.97% trigger price on the observation date for that month.
If the stock closes at or above the initial price on any monthly observation date after one year, the notes will be called at par of $10 plus the contingent coupon.
If the notes are not called and the VMware share price finishes at or above the trigger price, the payout at maturity will be par plus the contingent coupon.
Otherwise, investors will be exposed to losses.
Morgan Stanley & Co. LLC is the agent with UBS Financial Services Inc. as dealer.
Issuer: | Morgan Stanley
|
Issue: | Trigger phoenix autocallable optimization securities
|
Underlying stock: | VMware Inc. (Symbol: VMW)
|
Amount: | $2,162,100
|
Maturity: | Aug. 15, 2018
|
Coupon: | 9%, payable monthly if stock closes at or above trigger price on observation date for that month
|
Price: | Par of $10.00
|
Payout at maturity: | Par plus contingent coupon if VMware shares finish at or above trigger price; otherwise, par plus stock return
|
Call: | At par plus contingent coupon if VMware shares close at or above initial price on a monthly observation date Aug. 11, 2014
|
Initial share price: | $84.99
|
Trigger price: | $57.77, 67.97% of initial price
|
Pricing date: | Aug. 9
|
Settlement date: | Aug. 14
|
Agent: | Morgan Stanley & Co. LLC with UBS Financial Services Inc. as dealer
|
Fees: | 2.5%
|
Cusip: | 61762P492
|
© 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.