LIRNs® Linked to a Global Equity Index Basket | This graph reflects the hypothetical return on the notes, based on the mid-point of the range(s) set forth in the table to the left. This graph has been prepared for purposes of illustration only. | |
Issuer | BofA Finance LLC (BofA Finance) | |
Guarantor | Bank of America Corporation (BAC) | |
Principal Amount | $10.00 per unit | |
Term | Approximately three years | |
Market Measure | A global equity index basket comprised of the Dow Jones Industrial AverageSM (Bloomberg symbol: INDU), the EURO STOXX 50® Index (Bloomberg symbol: SX5E), FTSE® 100 Index (Bloomberg symbol: UKX), the Nikkei Stock Average Index (Bloomberg symbol: NKY), the Swiss Market Index (Bloomberg symbol: SMI), S&P/ASX 200 Index (Bloomberg symbol: AS51) and the Hang Seng® Index (Bloomberg symbol: HSI). Each Basket Component is a price return index.The Dow Jones Industrial AverageSM will be given an initial weight of 40.00%, the EURO STOXX 50® Index will be given an initial weight of 24.00%, each of the FTSE® 100 Index and the Nikkei Stock Average Index will be given an initial weight of 12.00%, each of the Swiss Market Index and the S&P/ASX 200 Index will be given an initial weight of 4.50% and the Hang Seng® Index will be given an initial weight of 3.00% | |
Payout Profile at Maturity | ● [130% to 150%] leveraged upside exposure to increases in the Market Measure
● 1-to-1 downside exposure to decreases in the Market Measure beyond a 10.00% decline, with up to 90.00% of your principal at risk | |
Participation Rate | [130% to 150%], to be determined on the pricing date. | |
Threshold Value | 90% of the Starting Value of the Market Measure | |
Interest Payments | None | |
Preliminary Offering Documents | https://www.sec.gov/Archives/edgar/data/70858/000152041218002228/bac-ye5g6lx9naprhpaq_2386.htm | |
Exchange Listing | No |
● | Depending on the performance of the Market Measure as measured shortly before the maturity date, your investment may result in a loss; there is no guaranteed return of principal. |
● | Payments on the notes are subject to the credit risk of BofA Finance and the credit risk of BAC, and actual or perceived changes in the creditworthiness of BofA Finance or BAC are expected to affect the value of the notes. If BofA Finance and BAC become insolvent or are unable to pay their respective obligations, you may lose your entire investment. |
● | Changes in the level of one of the Basket Components may be offset by changes in the level off the other Basket Components. |
● | The initial estimated value of the notes on the pricing date will be less than their public offering price. |
● | If you attempt to sell the notes prior to maturity, their market value may be lower than both the public offering price and the initial estimated value of the notes on the pricing date. |
● | You will have no rights of a holder of the securities included in the Basket Components, and you will not be entitled to receive securities or dividends or other distributions by the issuers of those securities. |
● | Your return on the notes and the value of the notes may be affected by exchange rate movements and factors affecting the international securities markets. |