Investor Solutions

BNS International Autocallable Notes, Series 2 (USD)

ISSUE SUMMARY
Product Type: Principal at Risk Note
Fund Code: SSP1601
Issuer: The Bank of Nova Scotia
Issue Date: 2018-06-01 00:00:00.0
Maturity Date: 2023-06-01 00:00:00.0 – 5.0 yr term
Principal Payment: The original principal amount invested is not protected (See Variable Return Calculation for more details)

Autocall Feature: The Notes will be automatically called (i.e., redeemed) by the Bank and a Variable Return will be paid to investors if the Closing Index Level on any Autocall Valuation Date or the Final Valuation Date is greater than or equal to the Initial Index Level.

May 28, 2019, May 26, 2020, May 25, 2021, May 25, 2022 (each an "Autocall Valuation Date”), and May 25, 2023 (the “Final Valuation Date”).
Variable Return: Variable Return, if any, is linked to the performance of the Reference Portfolio. (See Variable Return Calculation for more details).
Reference Portfolio: A notional portfolio (the “Reference Portfolio”) consisting of securities (each, a “Reference Share” and collectively, the “Reference Shares”) of five U.S. listed issuers (collectively, the “Reference Companies”), equally dollar-weighted as at the Issue Date. The Reference Companies are, subject to any adjustment for a Reference Share that may be made upon the occurrence of special circumstances, including a Merger Event, Tender Offer, Substitution Event or an Extraordinary Event: AT&T Inc. , BP p.l.c. , China Mobile Limited , Simon Property Group, Inc. , The Kraft Heinz Company.
  • AT&T Inc.
  • BP PLC
  • China Mobile Limited
  • Kraft Heinz Co
  • Simon Property Group Inc

ISSUE DOCUMENTS
Base Shelf Prospectus: English | French
Product Supplement: English | French
Pricing Supplement: English | French
Investor Summary: English | French
CURRENT ISSUE STATUS
Current Bid Price: 98.99
Term Remaining: 4.8 Years
Annualized Return: -1.01%
Adjusted Cost Base if held since Inception: 100
Current ETC: 3.5%
ETC End Date: 2018-11-29 00:00:00.0
Indicative Variable Rate of Return at Maturity: 10.75
Historical Bid Prices: view

VARIABLE RETURN CALCULATION

The Variable Return, if any, applicable to each respective Valuation Date will be calculated using the following formula:

Principal Amount x (Fixed Return + Additional Return)

Valuation
Date
Fixed Return Additional Return, if any
(if Index Return > Fixed Return)

2019 Autocall Valuation Date

10.75%

(Index Return less 10.75%) x 5%

2020 Autocall Valuation Date

21.50%

(Index Return less 21.50%) x 5%

2021 Autocall Valuation Date

32.25%

(Index Return less 32.25%) x 5%

2022 Autocall Valuation Date

43.00%

(Index Return less 43.00%) x 5%

Final Valuation Date

53.75%

(Index Return less 53.75%) x 5%

The Fixed Return for each of the Autocall Valuation Dates and the Final Valuation Date is equal to an annualized return of 10.75%, 10.23%, 9.77%, 9.35% and 8.98%, respectively.

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The amount payable on the Notes if they are automatically called by the Bank or at maturity will be calculated by the Calculation Agent in accordance with the formula below:

  • If the Closing Portfolio Price on an Autocall Valuation Date or the Final Valuation Date is greater than or equal to the Autocall Price, the Maturity Redemption Amount will equal:

Principal Amount + Variable Return

  • If the Final Portfolio Price on the Final Valuation Date is less than the Autocall Price but greater than the Barrier Price, the Maturity Redemption Amount will equal:

Principal Amount

  • If the Final Portfolio Price on the Final Valuation Date is equal to or less than the Barrier Price, the Maturity Redemption Amount will equal:

Principal Amount + (Principal Amount x Index Return)

Where:

Barrier Level: 80% of the Initial Index Level

The Maturity Redemption Amount may be less than the Principal Amount invested by an investor. The Maturity Redemption Amount will be subject to a minimum principal repayment of $1.00 per Note.


Performance Commentary

Index Performance
Index Weight Initial Level
2018-06-01 00:00:00.0
Current Level
2018-08-13 00:00:00.0
Index Performance Lock-In Date
AT&T Inc. 20% 32.47 32.26 -0.6467508500%
BP PLC 20% 45.92 42.99 -6.3806620200%
China Mobile Limited 20% 45.25 45.41 0.3535911600%
Kraft Heinz Co 20% 57.65 59.65 3.4692107500%
Simon Property Group Inc 20% 160.8 174.38 8.4452736300%



Note: An investment in principal at risk notes may not be suitable for all investors. Important information about these investments is contained in the Base Shelf Prospectus, the Product Supplement and the Pricing Supplement for the note (see above for such documents). Investors should obtain and carefully read a copy of these documents prior to investing, paying particular attention to the associated risks. Past performance is not indicative of future returns. Commissions, trailing commissions, management fees and expenses all may be associated with these investments. None of the Bank, the investment dealers or any of their respective affiliates, or any other person guarantees that investors in the notes will receive an amount equal to their original investment or guarantees that any return will be paid on the notes (subject to a minimum principal repayment of $1.00 per note) at or prior to maturity. Since the notes are not principal protected, it is possible that an investor could lose substantially all of his or her investment in the notes (subject to a minimum principal repayment of $1.00 per note). A person should reach a decision to invest in the notes only after carefully considering with his or her advisor, the suitability of this investment in light of his or her investment objectives and the information set out in the respective documentation.

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