The Trigger PLUS is a senior unsecured debt security issued by The Toronto-Dominion Bank, linked to the performance of the S&P 500® Index. With a principal amount of $6,428,000 and a maturity date of February 4, 2032, the security offers leverage of 120.35%.
Investors receive the stated principal amount plus leveraged upside performance if the final index value is greater than the initial value. However, if the final index value is less than the initial value but greater than the trigger level (85% of the initial value), investors only receive the principal amount. If the final index value falls below the trigger level, investors lose 1% for every 1% the index value drops below the initial value, potentially resulting in a total loss of investment.
The Trigger PLUS does not pay interest or dividends, and the estimated value at pricing is $954.30 per Trigger PLUS, lower than the public offering price of $1,850.00. The security is unsecured and not listed on any exchange, with limited liquidity and potential for significant losses. Investors should be aware of the risks associated with the underlying index, including market risk and potential changes to the index value due to various factors. Additionally, investors should consult with their financial advisors to understand the tax implications of investing in the Trigger PLUS.
