Bank of Nova Scotia Issues Equity-Linked Notes Tied to Amazon, Alphabet, and Meta Stocks

The Bank of Nova Scotia is introducing equity-linked notes tied to Amazon, Alphabet, and Meta stocks. The notes are linked to the lowest performing stock among these three, with payouts based on its performance. The face amount per note is $1,000, available in increments of $1,000.

If the lowest performing stock closes at or above its initial price on October 20, 2027, the notes will be automatically called, paying investors the face amount plus a minimum 35% call premium. This means that investors will receive at least $350 per $1,000 note if the auto-call feature is triggered.

However, if the lowest performing stock closes below its initial price and the notes are not called, investors may face losses proportional to the negative return. The threshold price for this scenario is set at 60% of each stock's initial price. If the lowest performing stock falls below this threshold at maturity, investors could lose more than 40% of their principal.