[FWP] Bank of Nova Scotia Free Writing Prospectus
Bank of Nova Scotia (BNS) is marketing Contingent Income Auto-Callable Securities linked to the common stock of Uber Technologies, Inc. (ticker: UBER UN). Each unlisted note has a $1,000 face amount, prices on 18-Jul-2025 and matures (unless called) on 21-Jul-2028. The securities offer a contingent quarterly coupon of $26.90 (10.76% p.a.) that is paid only when the closing price of Uber shares on an observation date is at or above the 60% downside threshold. A memory feature allows skipped coupons to be recovered on later dates that meet the threshold.
The notes are auto-callable: if Uber’s closing price on any quarterly determination date (other than the final one) is at or above the 100% call threshold, investors receive the stated principal plus the applicable coupon and the deal terminates early. At maturity, if the final share price is below the 60% threshold, principal is reduced in direct proportion to Uber’s share decline, exposing investors to a loss of up to 100% of principal.
Key terms
- Issuer: The Bank of Nova Scotia, Senior Note Program Series A
- Coupon: 10.76% p.a. contingent, with memory
- Downside threshold: 60% of initial share price
- Call threshold: 100% of initial share price (observed quarterly)
- Issue price vs. estimated value: $1,000 vs. $938.74–$968.74
- Upfront selling commission: $22.50 per note
- Listing: None; liquidity depends on dealer market making
Principal risks highlighted by BNS include
- Full principal risk below the 60% threshold
- Possibility of zero coupons if Uber trades weakly throughout the term
- Credit exposure to BNS as senior unsecured debt
- Limited secondary market and price concessions versus estimated value
- Uncertain tax treatment for U.S. and Canadian investors
The product suits investors seeking enhanced income and willing to take single-stock, equity-linked downside and issuer credit risk in exchange for capped returns and no equity upside.
Bank of Nova Scotia (BNS) sta offrendo titoli auto-rimborso condizionati al reddito, legati alle azioni ordinarie di Uber Technologies, Inc. (ticker: UBER UN). Ogni nota non quotata ha un valore nominale di 1.000 $, viene emessa il 18-lug-2025 e scade (salvo richiamo anticipato) il 21-lug-2028. I titoli offrono un coupon trimestrale condizionato di 26,90 $ (10,76% annuo), pagato solo se il prezzo di chiusura delle azioni Uber alla data di osservazione è pari o superiore alla soglia di ribasso del 60%. Una funzione di memoria consente di recuperare i coupon non pagati in date successive che soddisfano la soglia.
Le note sono auto-rimborso: se il prezzo di chiusura di Uber in una qualsiasi data di determinazione trimestrale (diversa dall’ultima) è pari o superiore alla soglia di richiamo del 100%, gli investitori ricevono il capitale nominale più il coupon dovuto e l’operazione termina anticipatamente. Alla scadenza, se il prezzo finale è inferiore alla soglia del 60%, il capitale viene ridotto in proporzione diretta al calo delle azioni Uber, esponendo gli investitori a una perdita fino al 100% del capitale.
Termini chiave
- Emittente: Bank of Nova Scotia, Programma Senior Note Serie A
- Coupon: 10,76% annuo condizionato, con memoria
- Soglia di ribasso: 60% del prezzo iniziale delle azioni
- Soglia di richiamo: 100% del prezzo iniziale delle azioni (osservata trimestralmente)
- Prezzo di emissione vs. valore stimato: 1.000 $ vs. 938,74–968,74 $
- Commissione di vendita anticipata: 22,50 $ per nota
- Quotazione: nessuna; la liquidità dipende dal market making dei dealer
Principali rischi evidenziati da BNS includono
- Rischio totale sul capitale se il prezzo scende sotto la soglia del 60%
- Possibilità di coupon pari a zero se Uber ha performance deboli per tutta la durata
- Esposizione creditizia verso BNS come debito senior non garantito
- Mercato secondario limitato e possibili sconti sul prezzo rispetto al valore stimato
- Trattamento fiscale incerto per investitori statunitensi e canadesi
Il prodotto è adatto a investitori che cercano un reddito incrementato e sono disposti ad assumersi il rischio di ribasso legato all’azione singola, il rischio di credito dell’emittente e a rinunciare a potenziali rialzi azionari in cambio di rendimenti limitati.
Bank of Nova Scotia (BNS) está comercializando valores contingentes auto-llamables vinculados a las acciones ordinarias de Uber Technologies, Inc. (símbolo: UBER UN). Cada nota no listada tiene un valor nominal de $1,000, se emite el 18-jul-2025 y vence (a menos que sea llamada) el 21-jul-2028. Los valores ofrecen un cupón trimestral contingente de $26.90 (10.76% anual) que se paga solo si el precio de cierre de las acciones de Uber en la fecha de observación está en o por encima del umbral de caída del 60%. Una función de memoria permite recuperar los cupones omitidos en fechas posteriores que cumplan con el umbral.
Las notas son auto-llamables: si el precio de cierre de Uber en cualquier fecha de determinación trimestral (excepto la final) está en o por encima del umbral de llamada del 100%, los inversionistas reciben el principal declarado más el cupón aplicable y la operación termina anticipadamente. Al vencimiento, si el precio final está por debajo del umbral del 60%, el principal se reduce en proporción directa a la caída de las acciones de Uber, exponiendo a los inversionistas a una pérdida de hasta el 100% del principal.
Términos clave
- Emisor: Bank of Nova Scotia, Programa Senior Note Serie A
- Cupón: 10.76% anual contingente, con memoria
- Umbral de caída: 60% del precio inicial de la acción
- Umbral de llamada: 100% del precio inicial de la acción (observado trimestralmente)
- Precio de emisión vs. valor estimado: $1,000 vs. $938.74–$968.74
- Comisión inicial de venta: $22.50 por nota
- Listado: Ninguno; la liquidez depende del market making de los dealers
Riesgos principales destacados por BNS incluyen
- Riesgo total del principal si cae por debajo del umbral del 60%
- Posibilidad de cupones cero si Uber tiene un desempeño débil durante todo el plazo
- Exposición crediticia a BNS como deuda senior no garantizada
- Mercado secundario limitado y posibles descuentos en el precio respecto al valor estimado
- Tratamiento fiscal incierto para inversionistas estadounidenses y canadienses
El producto es adecuado para inversores que buscan ingresos mejorados y están dispuestos a asumir riesgos de caída vinculados a una acción individual, riesgo crediticio del emisor y renunciar a la apreciación del capital a cambio de rendimientos limitados.
Bank of Nova Scotia (BNS)는 Uber Technologies, Inc. (티커: UBER UN) 보통주에 연계된 조건부 소득 자동 상환 증권을 판매하고 있습니다. 각 비상장 노트의 액면가는 $1,000이며, 2025년 7월 18일에 가격이 책정되고 2028년 7월 21일에 만기(자동 상환되지 않을 경우)됩니다. 이 증권은 분기별로 $26.90(연 10.76%)의 조건부 쿠폰을 제공하며, 이는 관찰일에 Uber 주식의 종가가 초기 가격의 60% 하락 임계값 이상일 때만 지급됩니다. 메모리 기능을 통해 누락된 쿠폰을 이후 임계값을 충족하는 날짜에 회복할 수 있습니다.
이 노트는 자동 상환 가능합니다: 최종일을 제외한 분기별 결정일에 Uber 종가가 초기 가격의 100% 상환 임계값 이상이면 투자자는 명시된 원금과 해당 쿠폰을 받고 조기 종료됩니다. 만기 시 최종 주가가 60% 임계값 미만이면 원금이 Uber 주가 하락에 비례해 감소하여 투자자는 최대 100% 원금 손실 위험에 노출됩니다.
주요 조건
- 발행자: Bank of Nova Scotia, Senior Note Program Series A
- 쿠폰: 연 10.76%, 조건부, 메모리 기능 포함
- 하락 임계값: 초기 주가의 60%
- 상환 임계값: 초기 주가의 100% (분기별 관찰)
- 발행가 대비 예상 가치: $1,000 대 $938.74–$968.74
- 선취 판매 수수료: 노트당 $22.50
- 상장 여부: 없음; 유동성은 딜러 시장 조성에 의존
주요 위험으로 BNS는 다음을 강조합니다
- 60% 임계값 이하에서 원금 전액 손실 위험
- Uber 주가가 약세일 경우 쿠폰 미지급 가능성
- BNS에 대한 선순위 무담보 채무로서 신용 위험
- 제한된 2차 시장 및 예상 가치 대비 가격 할인 가능성
- 미국 및 캐나다 투자자에 대한 불확실한 세무 처리
이 상품은 향상된 소득을 추구하며, 단일 주식에 연계된 하락 위험과 발행자 신용 위험을 감수하고, 주식 상승에 따른 수익은 제한되는 투자자에게 적합합니다.
Bank of Nova Scotia (BNS) commercialise des titres à revenu conditionnel auto-remboursables liés aux actions ordinaires de Uber Technologies, Inc. (symbole : UBER UN). Chaque note non cotée a une valeur nominale de 1 000 $, est émise le 18 juillet 2025 et arrive à échéance (sauf remboursement anticipé) le 21 juillet 2028. Ces titres offrent un coupon trimestriel conditionnel de 26,90 $ (10,76 % annuel) versé uniquement si le cours de clôture des actions Uber à la date d’observation est égal ou supérieur au seuil de baisse de 60 %. Une fonction mémoire permet de récupérer les coupons non versés lors de dates ultérieures respectant ce seuil.
Les notes sont auto-remboursables : si le cours de clôture d’Uber à une date de détermination trimestrielle (autre que la dernière) est égal ou supérieur au seuil de remboursement de 100 %, les investisseurs reçoivent le capital nominal plus le coupon dû et l’opération se termine par anticipation. À l’échéance, si le cours final est inférieur au seuil de 60 %, le capital est réduit proportionnellement à la baisse du cours d’Uber, exposant les investisseurs à une perte pouvant atteindre 100 % du capital.
Principaux termes
- Émetteur : Bank of Nova Scotia, programme Senior Note série A
- Coupon : 10,76 % annuel conditionnel, avec mémoire
- Seuil de baisse : 60 % du cours initial
- Seuil de remboursement : 100 % du cours initial (observé trimestriellement)
- Prix d’émission vs. valeur estimée : 1 000 $ vs. 938,74–968,74 $
- Commission de vente initiale : 22,50 $ par note
- Notation : aucune ; la liquidité dépend du market making des courtiers
Principaux risques soulignés par BNS incluent
- Risque total sur le capital si le cours est inférieur au seuil de 60 %
- Possibilité de coupons nuls si Uber évolue faiblement pendant toute la durée
- Exposition au risque de crédit de BNS en tant que dette senior non garantie
- Marché secondaire limité et décotes possibles par rapport à la valeur estimée
- Traitement fiscal incertain pour les investisseurs américains et canadiens
Ce produit convient aux investisseurs recherchant un revenu amélioré et prêts à assumer un risque de baisse lié à une action unique, un risque de crédit émetteur, en échange de rendements plafonnés sans potentiel de hausse du capital.
Bank of Nova Scotia (BNS) bietet bedingte, automatisch kündbare Wertpapiere an, die an die Stammaktien von Uber Technologies, Inc. (Ticker: UBER UN) gekoppelt sind. Jede nicht börsennotierte Note hat einen Nennwert von 1.000 $, wird am 18. Juli 2025 begeben und läuft (sofern nicht vorzeitig gekündigt) bis zum 21. Juli 2028. Die Wertpapiere bieten eine bedingte vierteljährliche Kuponzahlung von 26,90 $ (10,76 % p.a.), die nur gezahlt wird, wenn der Schlusskurs der Uber-Aktie am Beobachtungstag auf oder über der 60%-Abschwunggrenze liegt. Eine Memory-Funktion ermöglicht es, ausgefallene Kupons an späteren Terminen nachzuzahlen, sofern die Schwelle erreicht wird.
Die Notes sind automatisch kündbar: Liegt der Schlusskurs von Uber an einem vierteljährlichen Feststellungstag (außer dem letzten) auf oder über der 100%-Kündigungsschwelle, erhalten die Anleger den Nominalbetrag plus den fälligen Kupon und das Geschäft endet vorzeitig. Bei Fälligkeit, falls der Schlusskurs unter der 60%-Schwelle liegt, wird der Kapitalbetrag proportional zum Kursrückgang von Uber reduziert, was ein Risiko eines Totalverlusts des Kapitals bedeutet.
Wesentliche Bedingungen
- Emittent: Bank of Nova Scotia, Senior Note Programm Serie A
- Kupon: 10,76 % p.a. bedingt, mit Memory
- Abschwunggrenze: 60 % des Anfangskurses
- Kündigungsschwelle: 100 % des Anfangskurses (vierteljährliche Beobachtung)
- Ausgabepreis vs. geschätzter Wert: 1.000 $ vs. 938,74–968,74 $
- Vorabverkaufsprovision: 22,50 $ pro Note
- Notierung: Keine; Liquidität abhängig vom Market Making der Händler
Hauptrisiken, die BNS hervorhebt, sind
- Volles Kapitalrisiko bei Kursen unterhalb der 60%-Schwelle
- Möglichkeit von Nullkupons, falls Uber während der Laufzeit schwach handelt
- Kreditrisiko gegenüber BNS als ungesicherte Seniorverbindlichkeit
- Begrenzter Sekundärmarkt und mögliche Abschläge gegenüber dem geschätzten Wert
- Unsichere steuerliche Behandlung für US- und kanadische Anleger
Das Produkt eignet sich für Anleger, die erhöhte Erträge suchen und bereit sind, Einzelaktien- und Emittenten-Kreditrisiken einzugehen, um begrenzte Renditen ohne Beteiligung an Kurssteigerungen zu erhalten.
- High contingent coupon: 10.76% annualized income if conditions are met, above typical investment-grade yields.
- Memory feature: allows previously missed coupons to be recaptured, improving potential cash-flow consistency.
- 40% downside buffer: principal is protected as long as Uber does not fall more than 40% from the initial price.
- Auto-call mechanism: can return capital early at par plus coupon if Uber stock is flat or higher, reducing exposure period.
- Principal at risk: Uber closing below the 60% threshold at maturity causes proportional loss, potentially to 0%.
- No equity upside: investors forgo any participation in Uber share appreciation beyond coupon payments.
- Credit exposure: payments depend on Bank of Nova Scotia’s ability to pay as senior unsecured debt.
- Liquidity discount: notes are unlisted; dealer bid prices may be well below issue price and intrinsic value.
- Issue price premium: bank’s estimated fair value ($938.74–$968.74) is below $1,000 purchase price.
- Tax uncertainty: U.S. and Canadian tax treatment is not conclusively determined.
Insights
TL;DR 10.76% contingent coupon looks attractive, but investors face 40% buffer only and no upside; overall neutral risk-reward.
The note delivers above-market income if Uber stays above 60% of its initial price. The memory feature partly mitigates missed coupons, and the quarterly auto-call at 100% shortens duration if the stock holds flat or rises. However, investors surrender all upside beyond coupon income, and capital is fully exposed below the 60% barrier—historically, Uber has exhibited high volatility, so downside breach probability is material. The note is priced 3–6% above the bank’s estimated value, reflecting dealer compensation and hedging costs, which may weigh on secondary prices. BNS is rated high-grade, but the unsecured structure still embeds issuer credit risk. Overall, the security may fit yield-seeking portfolios comfortable with single-equity and credit risk, yet it is not impactful for BNS’ own financials and should be viewed as a marketing flow product rather than a strategic financing.
Bank of Nova Scotia (BNS) sta offrendo titoli auto-rimborso condizionati al reddito, legati alle azioni ordinarie di Uber Technologies, Inc. (ticker: UBER UN). Ogni nota non quotata ha un valore nominale di 1.000 $, viene emessa il 18-lug-2025 e scade (salvo richiamo anticipato) il 21-lug-2028. I titoli offrono un coupon trimestrale condizionato di 26,90 $ (10,76% annuo), pagato solo se il prezzo di chiusura delle azioni Uber alla data di osservazione è pari o superiore alla soglia di ribasso del 60%. Una funzione di memoria consente di recuperare i coupon non pagati in date successive che soddisfano la soglia.
Le note sono auto-rimborso: se il prezzo di chiusura di Uber in una qualsiasi data di determinazione trimestrale (diversa dall’ultima) è pari o superiore alla soglia di richiamo del 100%, gli investitori ricevono il capitale nominale più il coupon dovuto e l’operazione termina anticipatamente. Alla scadenza, se il prezzo finale è inferiore alla soglia del 60%, il capitale viene ridotto in proporzione diretta al calo delle azioni Uber, esponendo gli investitori a una perdita fino al 100% del capitale.
Termini chiave
- Emittente: Bank of Nova Scotia, Programma Senior Note Serie A
- Coupon: 10,76% annuo condizionato, con memoria
- Soglia di ribasso: 60% del prezzo iniziale delle azioni
- Soglia di richiamo: 100% del prezzo iniziale delle azioni (osservata trimestralmente)
- Prezzo di emissione vs. valore stimato: 1.000 $ vs. 938,74–968,74 $
- Commissione di vendita anticipata: 22,50 $ per nota
- Quotazione: nessuna; la liquidità dipende dal market making dei dealer
Principali rischi evidenziati da BNS includono
- Rischio totale sul capitale se il prezzo scende sotto la soglia del 60%
- Possibilità di coupon pari a zero se Uber ha performance deboli per tutta la durata
- Esposizione creditizia verso BNS come debito senior non garantito
- Mercato secondario limitato e possibili sconti sul prezzo rispetto al valore stimato
- Trattamento fiscale incerto per investitori statunitensi e canadesi
Il prodotto è adatto a investitori che cercano un reddito incrementato e sono disposti ad assumersi il rischio di ribasso legato all’azione singola, il rischio di credito dell’emittente e a rinunciare a potenziali rialzi azionari in cambio di rendimenti limitati.
Bank of Nova Scotia (BNS) está comercializando valores contingentes auto-llamables vinculados a las acciones ordinarias de Uber Technologies, Inc. (símbolo: UBER UN). Cada nota no listada tiene un valor nominal de $1,000, se emite el 18-jul-2025 y vence (a menos que sea llamada) el 21-jul-2028. Los valores ofrecen un cupón trimestral contingente de $26.90 (10.76% anual) que se paga solo si el precio de cierre de las acciones de Uber en la fecha de observación está en o por encima del umbral de caída del 60%. Una función de memoria permite recuperar los cupones omitidos en fechas posteriores que cumplan con el umbral.
Las notas son auto-llamables: si el precio de cierre de Uber en cualquier fecha de determinación trimestral (excepto la final) está en o por encima del umbral de llamada del 100%, los inversionistas reciben el principal declarado más el cupón aplicable y la operación termina anticipadamente. Al vencimiento, si el precio final está por debajo del umbral del 60%, el principal se reduce en proporción directa a la caída de las acciones de Uber, exponiendo a los inversionistas a una pérdida de hasta el 100% del principal.
Términos clave
- Emisor: Bank of Nova Scotia, Programa Senior Note Serie A
- Cupón: 10.76% anual contingente, con memoria
- Umbral de caída: 60% del precio inicial de la acción
- Umbral de llamada: 100% del precio inicial de la acción (observado trimestralmente)
- Precio de emisión vs. valor estimado: $1,000 vs. $938.74–$968.74
- Comisión inicial de venta: $22.50 por nota
- Listado: Ninguno; la liquidez depende del market making de los dealers
Riesgos principales destacados por BNS incluyen
- Riesgo total del principal si cae por debajo del umbral del 60%
- Posibilidad de cupones cero si Uber tiene un desempeño débil durante todo el plazo
- Exposición crediticia a BNS como deuda senior no garantizada
- Mercado secundario limitado y posibles descuentos en el precio respecto al valor estimado
- Tratamiento fiscal incierto para inversionistas estadounidenses y canadienses
El producto es adecuado para inversores que buscan ingresos mejorados y están dispuestos a asumir riesgos de caída vinculados a una acción individual, riesgo crediticio del emisor y renunciar a la apreciación del capital a cambio de rendimientos limitados.
Bank of Nova Scotia (BNS)는 Uber Technologies, Inc. (티커: UBER UN) 보통주에 연계된 조건부 소득 자동 상환 증권을 판매하고 있습니다. 각 비상장 노트의 액면가는 $1,000이며, 2025년 7월 18일에 가격이 책정되고 2028년 7월 21일에 만기(자동 상환되지 않을 경우)됩니다. 이 증권은 분기별로 $26.90(연 10.76%)의 조건부 쿠폰을 제공하며, 이는 관찰일에 Uber 주식의 종가가 초기 가격의 60% 하락 임계값 이상일 때만 지급됩니다. 메모리 기능을 통해 누락된 쿠폰을 이후 임계값을 충족하는 날짜에 회복할 수 있습니다.
이 노트는 자동 상환 가능합니다: 최종일을 제외한 분기별 결정일에 Uber 종가가 초기 가격의 100% 상환 임계값 이상이면 투자자는 명시된 원금과 해당 쿠폰을 받고 조기 종료됩니다. 만기 시 최종 주가가 60% 임계값 미만이면 원금이 Uber 주가 하락에 비례해 감소하여 투자자는 최대 100% 원금 손실 위험에 노출됩니다.
주요 조건
- 발행자: Bank of Nova Scotia, Senior Note Program Series A
- 쿠폰: 연 10.76%, 조건부, 메모리 기능 포함
- 하락 임계값: 초기 주가의 60%
- 상환 임계값: 초기 주가의 100% (분기별 관찰)
- 발행가 대비 예상 가치: $1,000 대 $938.74–$968.74
- 선취 판매 수수료: 노트당 $22.50
- 상장 여부: 없음; 유동성은 딜러 시장 조성에 의존
주요 위험으로 BNS는 다음을 강조합니다
- 60% 임계값 이하에서 원금 전액 손실 위험
- Uber 주가가 약세일 경우 쿠폰 미지급 가능성
- BNS에 대한 선순위 무담보 채무로서 신용 위험
- 제한된 2차 시장 및 예상 가치 대비 가격 할인 가능성
- 미국 및 캐나다 투자자에 대한 불확실한 세무 처리
이 상품은 향상된 소득을 추구하며, 단일 주식에 연계된 하락 위험과 발행자 신용 위험을 감수하고, 주식 상승에 따른 수익은 제한되는 투자자에게 적합합니다.
Bank of Nova Scotia (BNS) commercialise des titres à revenu conditionnel auto-remboursables liés aux actions ordinaires de Uber Technologies, Inc. (symbole : UBER UN). Chaque note non cotée a une valeur nominale de 1 000 $, est émise le 18 juillet 2025 et arrive à échéance (sauf remboursement anticipé) le 21 juillet 2028. Ces titres offrent un coupon trimestriel conditionnel de 26,90 $ (10,76 % annuel) versé uniquement si le cours de clôture des actions Uber à la date d’observation est égal ou supérieur au seuil de baisse de 60 %. Une fonction mémoire permet de récupérer les coupons non versés lors de dates ultérieures respectant ce seuil.
Les notes sont auto-remboursables : si le cours de clôture d’Uber à une date de détermination trimestrielle (autre que la dernière) est égal ou supérieur au seuil de remboursement de 100 %, les investisseurs reçoivent le capital nominal plus le coupon dû et l’opération se termine par anticipation. À l’échéance, si le cours final est inférieur au seuil de 60 %, le capital est réduit proportionnellement à la baisse du cours d’Uber, exposant les investisseurs à une perte pouvant atteindre 100 % du capital.
Principaux termes
- Émetteur : Bank of Nova Scotia, programme Senior Note série A
- Coupon : 10,76 % annuel conditionnel, avec mémoire
- Seuil de baisse : 60 % du cours initial
- Seuil de remboursement : 100 % du cours initial (observé trimestriellement)
- Prix d’émission vs. valeur estimée : 1 000 $ vs. 938,74–968,74 $
- Commission de vente initiale : 22,50 $ par note
- Notation : aucune ; la liquidité dépend du market making des courtiers
Principaux risques soulignés par BNS incluent
- Risque total sur le capital si le cours est inférieur au seuil de 60 %
- Possibilité de coupons nuls si Uber évolue faiblement pendant toute la durée
- Exposition au risque de crédit de BNS en tant que dette senior non garantie
- Marché secondaire limité et décotes possibles par rapport à la valeur estimée
- Traitement fiscal incertain pour les investisseurs américains et canadiens
Ce produit convient aux investisseurs recherchant un revenu amélioré et prêts à assumer un risque de baisse lié à une action unique, un risque de crédit émetteur, en échange de rendements plafonnés sans potentiel de hausse du capital.
Bank of Nova Scotia (BNS) bietet bedingte, automatisch kündbare Wertpapiere an, die an die Stammaktien von Uber Technologies, Inc. (Ticker: UBER UN) gekoppelt sind. Jede nicht börsennotierte Note hat einen Nennwert von 1.000 $, wird am 18. Juli 2025 begeben und läuft (sofern nicht vorzeitig gekündigt) bis zum 21. Juli 2028. Die Wertpapiere bieten eine bedingte vierteljährliche Kuponzahlung von 26,90 $ (10,76 % p.a.), die nur gezahlt wird, wenn der Schlusskurs der Uber-Aktie am Beobachtungstag auf oder über der 60%-Abschwunggrenze liegt. Eine Memory-Funktion ermöglicht es, ausgefallene Kupons an späteren Terminen nachzuzahlen, sofern die Schwelle erreicht wird.
Die Notes sind automatisch kündbar: Liegt der Schlusskurs von Uber an einem vierteljährlichen Feststellungstag (außer dem letzten) auf oder über der 100%-Kündigungsschwelle, erhalten die Anleger den Nominalbetrag plus den fälligen Kupon und das Geschäft endet vorzeitig. Bei Fälligkeit, falls der Schlusskurs unter der 60%-Schwelle liegt, wird der Kapitalbetrag proportional zum Kursrückgang von Uber reduziert, was ein Risiko eines Totalverlusts des Kapitals bedeutet.
Wesentliche Bedingungen
- Emittent: Bank of Nova Scotia, Senior Note Programm Serie A
- Kupon: 10,76 % p.a. bedingt, mit Memory
- Abschwunggrenze: 60 % des Anfangskurses
- Kündigungsschwelle: 100 % des Anfangskurses (vierteljährliche Beobachtung)
- Ausgabepreis vs. geschätzter Wert: 1.000 $ vs. 938,74–968,74 $
- Vorabverkaufsprovision: 22,50 $ pro Note
- Notierung: Keine; Liquidität abhängig vom Market Making der Händler
Hauptrisiken, die BNS hervorhebt, sind
- Volles Kapitalrisiko bei Kursen unterhalb der 60%-Schwelle
- Möglichkeit von Nullkupons, falls Uber während der Laufzeit schwach handelt
- Kreditrisiko gegenüber BNS als ungesicherte Seniorverbindlichkeit
- Begrenzter Sekundärmarkt und mögliche Abschläge gegenüber dem geschätzten Wert
- Unsichere steuerliche Behandlung für US- und kanadische Anleger
Das Produkt eignet sich für Anleger, die erhöhte Erträge suchen und bereit sind, Einzelaktien- und Emittenten-Kreditrisiken einzugehen, um begrenzte Renditen ohne Beteiligung an Kurssteigerungen zu erhalten.
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ISSUER FREE WRITING PROSPECTUS |
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Filed Pursuant to Rule 433 |
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Registration Statement No. 333-282565 |
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Dated July 10, 2025 |
Contingent Income Auto-Callable Securities due on or about July 21, 2028
Based on the Performance of the Common Stock of Uber Technologies, Inc.
Principal at Risk Securities
This document provides a summary of the terms of the Contingent Income Auto-Callable Securities (the “securities”). Investors should carefully review the accompanying preliminary pricing supplement for the securities, the accompanying product supplement, the prospectus supplement and the prospectus, as well as the “Risk Considerations” section below, before making an investment decision.
The securities do not guarantee any return of principal at maturity. Investors will not participate in any appreciation of the underlying stock and must be willing to accept the risk of not receiving any contingent quarterly coupons over the term of the securities. The securities are senior unsecured debt securities issued by The Bank of Nova Scotia (“BNS”), and all payments on the securities are subject to the credit risk of BNS. As used in this document, “we,” “us,” or “our” refers to BNS.
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SUMMARY TERMS |
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Issuer: |
The Bank of Nova Scotia |
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Issue: |
Senior Note Program, Series A |
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Underlying stock: |
Common stock of Uber Technologies, Inc. (Bloomberg Ticker: “UBER UN”) |
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Stated principal amount: |
$1,000.00 per security |
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Minimum investment: |
$1,000 (1 security) |
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Pricing date: |
July 18, 2025 |
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Original issue date: |
July 23, 2025 (3 business days after the pricing date; see preliminary pricing supplement). |
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Final determination date: |
July 18, 2028, subject to postponement for certain market disruption events and as described in the accompanying product supplement. |
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Maturity date: |
July 21, 2028, subject to postponement for certain market disruption events and as described in the accompanying product supplement. |
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Early redemption: |
If the closing price of the underlying stock on any determination date other than the final determination date is greater than or equal to the call threshold price, the securities will be automatically redeemed for an amount per security equal to the early redemption payment on the first contingent coupon payment date immediately following the related determination date. No further payments will be made on the securities once they have been redeemed. |
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Early redemption payment: |
The early redemption payment will be an amount equal to (i) the stated principal amount plus (ii) the contingent quarterly coupon with respect to the applicable determination date and any previously unpaid contingent quarterly coupons with respect to any previous determination dates pursuant to the memory coupon feature. |
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Contingent quarterly coupon: |
▪If the closing price on any determination date is greater than or equal to the downside threshold price, we will pay on the related contingent coupon payment date a contingent quarterly coupon of $26.90 (equivalent to 10.76% per annum of the stated principal amount) per security, plus any previously unpaid contingent quarterly coupons with respect to any previous determination dates pursuant to the memory coupon feature. ▪If the closing price on any determination date is less than the downside threshold price, we will not pay a contingent quarterly coupon on the related contingent coupon payment date. |
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Memory coupon feature: |
If a contingent quarterly coupon is not paid on a contingent coupon payment date (other than the maturity date) because the closing price of the underlying stock on the related determination date is less than the downside threshold price, such contingent quarterly coupon will be paid on a later contingent coupon payment date if the closing price of the underlying stock on the determination date corresponding to such later contingent coupon payment date is greater than or equal to the downside threshold price. For the avoidance of doubt, once a previously unpaid contingent quarterly coupon has been paid on a later contingent coupon payment date, it will not be made again on any subsequent contingent coupon payment date. If the closing price of the underlying stock on each of the determination dates is less than the downside threshold price, you will receive no contingent quarterly coupons during the term of, and will not receive a positive return on, the securities. |
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Determination dates: |
Quarterly (as set forth on the cover of the preliminary pricing supplement), subject to postponement for non-trading days and certain market disruption events as described in the accompanying product supplement. |
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Contingent coupon payment dates: |
Quarterly (as set forth on the cover of the preliminary pricing supplement), subject to postponement for non-business days and certain market disruption events as described in the accompanying product supplement. |
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Payment at maturity: |
▪If the final share price is greater than or equal to the downside threshold price: (i) the stated principal amount plus (ii) the contingent quarterly coupon with respect to the final determination date and any previously unpaid contingent quarterly coupons with respect to any previous determination dates pursuant to the memory coupon feature ▪If the final share price is less than the downside threshold price: (i) the stated principal amount multiplied by (ii) the share performance factor If the final share price is less than the downside threshold price, the payment at maturity will be less than 60.00% of the stated principal amount and could be as low as zero. |
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Share performance factor: |
Final share price divided by the initial share price |
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Call threshold price: |
100.00% of the initial share price, as may be adjusted in the case of certain adjustment events as described in the accompanying product supplement |
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Downside threshold price: |
60.00% of the initial share price, as may be adjusted in the case of certain adjustment events as described in the accompanying product supplement |
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Initial share price: |
The closing price of the underlying stock on the pricing date, as may be adjusted in the case of certain adjustment events as described in the accompanying product supplement. |
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Final share price: |
The closing price of the underlying stock on the final determination date, as may be adjusted in the case of certain adjustment events as described in the accompanying product supplement |
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CUSIP / ISIN: |
06419DAW3 / US06419DAW39 |
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Listing: |
The securities will not be listed or displayed on any securities exchange or any electronic communications network. |
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Commission: |
$22.50 per stated principal amount. |
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Estimated value on the pricing date: |
Expected to be between $938.74 and $968.74 per security. See “Risk Factors” in the preliminary pricing supplement. |
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Preliminary pricing supplement: |
http://www.sec.gov/Archives/edgar/data/9631/000183988225038222/bns_424b2-20800.htm |
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HYPOTHETICAL PAYOUT |
The below figures are based on a hypothetical downside threshold price of 60.00% of a hypothetical initial share price and are purely hypothetical (the actual terms of your securities will be determined on the pricing date and will be specified in the final pricing supplement).
Hypothetical Payment at Maturity if No Early Redemption Occurs
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Change in Underlying Stock |
Payment at Maturity (excluding any contingent quarterly coupon payable at maturity) |
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+50.00% |
$1,000.00 |
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+40.00% |
$1,000.00 |
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+30.00% |
$1,000.00 |
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+20.00% |
$1,000.00 |
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+10.00% |
$1,000.00 |
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0.00% |
$1,000.00 |
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-10.00% |
$1,000.00 |
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-20.00% |
$1,000.00 |
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-30.00% |
$1,000.00 |
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-40.00% |
$1,000.00 |
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-41.00% |
$590.00 |
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-50.00% |
$500.00 |
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-60.00% |
$400.00 |
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-70.00% |
$300.00 |
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-80.00% |
$200.00 |
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-90.00% |
$100.00 |
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-100.00% |
$0.00 |
A-1
You will find a link to the accompanying preliminary pricing supplement for the securities above and links to the accompanying product supplement and accompanying prospectus for the securities under “Additional Information About BNS and the Securities” in the preliminary pricing supplement, which you should read and understand prior to investing in the securities.
The issuer has filed a registration statement (including a prospectus as supplemented by a prospectus supplement, product supplement and the preliminary pricing supplement) with the Securities and Exchange Commission (the “SEC”) for the offering to which this communication relates. Before you invest, you should read the accompanying prospectus in that registration statement and the other documents the issuer has filed with the SEC, including the accompanying preliminary pricing supplement and the accompanying prospectus supplement and product supplement, for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling (212) 225-5678. Our Central Index Key, or CIK, on the SEC web site is 0000009631.
Risk Considerations
The risks set forth below are discussed in more detail in the “Risk Factors” section in the preliminary pricing supplement. Please review those risk factors carefully prior to making an investment decision.
Risks Relating to Return Characteristics
▪Risk of loss at maturity.
▪Contingent repayment of stated principal amount only at maturity.
▪You may not receive any contingent quarterly coupons.
▪Greater expected volatility with respect to the underlying stock generally reflects a higher contingent quarterly coupon and a higher expectation as of the pricing date that the final share price of the underlying stock could be less than the downside threshold price on the final determination date.
▪The securities are subject to reinvestment risk in the event of an early redemption.
▪The contingent quarterly coupon, if any, is based solely on the closing price or the final share price, as applicable.
▪Your potential return on the securities is limited, you will not participate in any appreciation of the underlying stock and you will not realize a return beyond the returns represented by the contingent quarterly coupons received, if any, during the term of the securities.
Risks Relating to Characteristics of the Underlying Stock
▪The securities are subject to risks associated with investments in single equity securities.
▪There can be no assurance that the investment view implicit in the securities will be successful.
▪There is no affiliation between BNS and the underlying stock issuer.
Risks Relating to Estimated Value and Liquidity
▪BNS’ initial estimated value of the securities at the time of pricing (when the terms of your securities are set on the pricing date) will be lower than the issue price of the securities.
▪Neither BNS’ nor SCUSA’s estimated value of the securities at any time is determined by reference to credit spreads or the borrowing rate BNS would pay for its conventional fixed-rate debt securities.
▪BNS’ initial estimated value of the securities does not represent future values of the securities and may differ from others’ (including SCUSA’s) estimates.
▪The securities have limited liquidity.
▪The price at which SCUSA would buy or sell your securities (if SCUSA makes a market, which it is not obligated to do) will be based on SCUSA’s estimated value of your securities.
▪The price of the securities prior to maturity will depend on a number of factors and may be substantially less than the stated principal amount.
Risks Relating to General Credit Characteristics
▪Payments on the securities are subject to the credit risk of BNS.
Risks Relating to Hedging Activities and Conflicts of Interest
▪Hedging activities by BNS and SCUSA may negatively impact investors in the securities and cause our respective interests and those of our clients and counterparties to be contrary to those of investors in the securities.
▪The calculation agent can make antidilution and other adjustments that may adversely affect the market value of, and any amounts payable on, the securities.
▪We, SCUSA and our other affiliates regularly provide services to, or otherwise have business relationships with, a broad client base, which has included and may include us and the underlying stock issuer and the market activities by us, SCUSA or our other affiliates for our or their own respective accounts or for our clients could negatively impact investors in the securities.
▪Activities conducted by BNS and its affiliates may impact the market price of the underlying stock and the value of the securities.
▪The calculation agent will have significant discretion with respect to the securities, which may be exercised in a manner that is adverse to your interests.
▪BNS and its affiliates may publish research or make opinions or recommendations that are inconsistent with an investment in the securities.
Risks Relating to Canadian and U.S. Federal Income Taxation
▪Uncertain tax treatment. Significant aspects of the tax treatment of the securities are uncertain. You should consult your tax advisor about your tax situation. See “Additional Information About the Securities — Tax Considerations” and “— Material Canadian Income Tax Consequences” in the preliminary pricing supplement.
Underlying Stock
For information about the underlying stock, including historical performance information, see “Information About the Underlying Stock” in the preliminary pricing supplement.
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FAQ
What is the contingent quarterly coupon rate on BNS’s Auto-Callable Securities linked to UBER?
When can the BNS securities be called early?
How much principal protection do investors have?
Is there upside participation in Uber stock gains?
Where will the securities trade after issuance?
