JPMorgan Chase Financial Company LLC, fully guaranteed by JPMorgan Chase & Co., is offering $844,000 of Auto-Callable Contingent Interest Notes maturing on 23 December 2026. The notes are linked individually (not as a basket) to the Nasdaq-100, Russell 2000 and S&P 500 Indices.
Coupon mechanics: Investors receive a monthly contingent coupon of 0.60417% (7.25% p.a.) only when, on a given Review Date, each index closes at or above 70 % of its initial level (the “Interest Barrier”). If the condition is not met, that period’s coupon is skipped.
Automatic call feature: Starting 18 September 2025 (3rd Review Date), the notes will be redeemed early at par + accrued coupon if all three indices close at or above their respective initial levels on any subsequent Review Date (except the first, second and final).
Principal return: • If never called and each index closes on the final Review Date at or above 70 % of its initial level, principal is repaid in full plus the final coupon.
• If any index finishes <70 % of its initial level, repayment is par × (1 + Least Performing Index Return), resulting in a loss of >30 % and up to 100 % of principal.
Key economics:
- Issue price: $1,000; estimated value: $963.80; selling commission: $22.25 (2.225 %).
- Initial index levels: NDX 21,719.69; RTY 2,112.964; SPX 5,980.87.
- Trigger/Barrier levels (70 %): NDX 15,203.783; RTY 1,479.0748; SPX 4,186.609.
- 18 scheduled review/interest dates between July 2025 and December 2026.
Risk highlights: Unsecured, unsubordinated obligations subject to JPMorgan credit risk; potential loss of entire principal; no fixed coupons or dividends; secondary market likely limited and at a discount; initial value indicates a 3.6 % pricing premium over internal valuation.