What are 'Principal at Risk Securities'?

'Principal at Risk Securities' are investment products where the return of the principal amount invested is not guaranteed and may be subject to loss, depending on the performance of an underlying asset or index. In this case, the principal is at risk based on the performance of the Russell 2000® Index and the EURO STOXX 50® Index.

What is the risk associated with these specific notes?

The primary risk is that the value and potential return of the notes are directly tied to the performance of the lowest performing index between the Russell 2000® Index and the EURO STOXX 50® Index. If one or both indices perform poorly, investors could lose a portion or all of their principal investment by the maturity date.

What is the purpose of filing the legal opinion?

The legal opinion from Faegre Baker Daniels LLP likely provides assurance on the legality and structure of the issued Medium-Term Notes, Series K. It often confirms the validity of the securities and compliance with relevant regulations for investors and regulatory bodies.

Where can I find more information about the Russell 2000® Index and the EURO STOXX 50® Index?

Information about the Russell 2000® Index and the EURO STOXX 50® Index can be found through financial news outlets, stock market data providers, and the official websites of the index providers (e.g., FTSE Russell for the Russell 2000 and STOXX Ltd. for the EURO STOXX 50).

WELLS FARGO & COMPANY/MN 8-K SEC Disclosure

Summary

This Form 8-K filing by Wells Fargo & Company on May 25, 2016, primarily serves to disclose the issuance of new financial instruments, specifically Medium-Term Notes, Series K, Principal at Risk Securities. These notes are linked to the performance of the Russell 2000® Index and the EURO STOXX 50® Index, with a maturity date of May 27, 2026. The filing includes the form of these notes and an accompanying legal opinion from Faegre Baker Daniels LLP regarding their issuance. Investors should note that the 'Principal at Risk' designation indicates potential loss of principal based on the performance of the underlying indices, which are subject to market volatility.

Key Highlights

1Wells Fargo & Company issued new Medium-Term Notes, Series K, on May 24, 2016.
2These notes are classified as 'Principal at Risk Securities'.
3The performance of the notes is linked to the lowest performing of the Russell 2000® Index and the EURO STOXX 50® Index.
4The maturity date for these notes is May 27, 2026.
5The filing includes the official form of the Medium-Term Notes.
6A legal opinion from Faegre Baker Daniels LLP regarding the notes is also provided.
7The filing is made in connection with a Registration Statement on Form S-3.

WELLS FARGO & COMPANY/MN 8-K Report, Exhibit Filing (May 25, 2016)

Summary

Key Highlights

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