What are "Principal at Risk Securities"?

Principal at Risk Securities are a type of investment where the investor may lose some or all of their principal investment if the performance of the linked underlying asset (in this case, the S&P 500® Index or the iShares® MSCI Emerging Markets ETF) does not meet certain conditions. The exact terms of potential principal loss are detailed in the specific note documentation.

What is the significance of this 8-K filing for Wells Fargo investors?

This filing is primarily informational, detailing the terms and legal standing of newly issued debt securities. For existing Wells Fargo shareholders, it indicates the company is actively managing its capital structure through debt issuance. For potential investors in these specific notes, it provides critical documentation outlining the investment's structure and risks.

What are the maturity dates for these new notes?

The Principal at Risk Securities linked to the S&P 500® Index have a maturity date of October 2, 2023. The Principal at Risk Securities linked to the iShares® MSCI Emerging Markets ETF have a maturity date of October 4, 2021.

Who provided the legal opinion for these notes?

The legal opinion regarding these notes was provided by Faegre Baker Daniels LLP, and their consent is also included as part of the filing.

WELLS FARGO & COMPANY/MN 8-K SEC Disclosure

Summary

Wells Fargo & Company/MN (WFC) filed an 8-K on October 2, 2018, primarily to disclose the issuance of new Medium-Term Notes, Series S. These notes are structured as "Principal at Risk Securities," meaning the principal amount is subject to loss based on the performance of underlying financial instruments. Specifically, one set of notes is linked to the S&P 500® Index and matures on October 2, 2023, while another is linked to the iShares® MSCI Emerging Markets ETF and matures on October 4, 2021. This filing is administrative in nature, providing the form of these notes and the legal opinion from Faegre Baker Daniels LLP regarding them. Investors should note that these are structured products and carry specific risks related to market performance. The issuance itself is part of the company's broader financing activities and is registered under a Form S-3 filing.

Key Highlights

1Wells Fargo issued new "Principal at Risk Securities" under Medium-Term Notes, Series S.
2One note issuance is linked to the S&P 500® Index with a maturity date of October 2, 2023.
3Another note issuance is linked to the iShares® MSCI Emerging Markets ETF with a maturity date of October 4, 2021.
4The filing's primary purpose is to provide the official forms of these notes and related legal opinions.
5These are structured financial products where the principal is at risk based on underlying market performance.
6The issuance is registered under a Form S-3 filing (File No. 333-221324).

WELLS FARGO & COMPANY/MN 8-K Report, Exhibit Filing (Oct 2, 2018)

Summary

Key Highlights

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