Registration Statement Nos. 333-236659 and 333-236659-01
The PLUS will pay no interest and do not guarantee any return of your principal at maturity.
At maturity, if the underlying index has appreciated in value, investors will receive the stated principal amount of their investment
plus leveraged upside performance of the underlying index, subject to a maximum payment at maturity. However, if the underlying index
has declined in value, at maturity investors will lose 1% for every 1% decline. The PLUS are for investors who seek an equity-based return
and who are willing to risk their principal and forgo current income and upside above the maximum payment at maturity in exchange for
the leverage feature that applies to a limited range of positive performance of the underlying index. The PLUS are unsecured and unsubordinated
obligations of JPMorgan Chase Financial Company LLC, which we refer to as JPMorgan Financial, the payment on which is fully and unconditionally
guaranteed by JPMorgan Chase & Co., issued as part of JPMorgan Financial’s Medium-Term Notes, Series A, program. Any payment
on the PLUS is subject to the credit risk of JPMorgan Financial, as issuer of the PLUS, and the credit risk of JPMorgan Chase & Co.,
as guarantor of the PLUS. The investor may lose some or all of the stated principal amount of the PLUS.
SUMMARY TERMS |
Issuer: |
JPMorgan Chase Financial Company LLC, an indirect, wholly owned finance subsidiary of JPMorgan Chase & Co. |
Guarantor: |
JPMorgan Chase & Co. |
Underlying index: |
EURO STOXX 50® Index (Bloomberg ticker: SX5E Index) |
Aggregate principal amount: |
$ |
Payment at maturity: |
If the final index value is greater than the initial index value, for each
$10 stated principal amount PLUS,
$10 + leveraged upside payment
In no event will the payment at maturity exceed the maximum payment at maturity.
If the final index value is less than or equal to the initial index value,
for each $10 stated principal amount PLUS,
$10 × index performance factor
This amount will be less than or equal to the stated principal amount of $10 per
PLUS. |
Leveraged upside payment: |
$10 × leverage factor × index percent increase |
Index percent increase: |
(final index value – initial index value) / initial index value |
Initial index value: |
The closing level of the underlying index on the pricing date |
Final index value: |
The closing level of the underlying index on the valuation date |
Leverage factor: |
300% |
Index performance factor: |
final index value / initial index value |
Maximum payment at maturity: |
At least $12.90 (at least 129.00% of the stated principal amount) per PLUS. The actual maximum payment at maturity will be provided in the pricing supplement and will not be less than $12.90 per PLUS. |
Stated principal amount: |
$10 per PLUS |
Issue price: |
$10 per PLUS (see “Commissions and issue price” below) |
Pricing date: |
August , 2022 (expected to price on or about August 31, 2022) |
Original issue date (settlement date): |
September , 2022 (3 business days after the pricing date) |
Valuation date: |
November 30, 2023, subject to postponement in the event of certain market disruption events and as described under “General Terms of Notes — Postponement of a Determination Date — Notes Linked to a Single Underlying — Notes Linked to a Single Underlying (Other Than a Commodity Index)” in the accompanying product supplement |
Maturity date: |
December 5, 2023, subject to postponement in the event of certain market disruption events and as described under “General Terms of Notes — Postponement of a Payment Date” in the accompanying product supplement |
CUSIP / ISIN: |
48133H499 / US48133H4992 |
Listing: |
The PLUS will not be listed on any securities exchange. |
Agent: |
J.P. Morgan Securities LLC (“JPMS”) |
Commissions and issue price: |
Price to public(1) |
Fees and commissions |
Proceeds to issuer |
Per PLUS |
$10.00 |
$0.175(2) |
$9.775 |
|
|
$0.05(3) |
|
Total |
$ |
$ |
$ |
| (1) | See “Additional Information about the PLUS — Supplemental use of proceeds and hedging” in this document for information
about the components of the price to public of the PLUS. |
| (2) | JPMS, acting as agent for JPMorgan Financial, will pay all of the selling commissions it receives from us to Morgan Stanley Smith
Barney LLC (“Morgan Stanley Wealth Management”). In no event will these selling commissions exceed $0.175 per $10 stated principal
amount PLUS. See “Plan of Distribution (Conflicts of Interest)” in the accompanying product supplement. |
| (3) | Reflects a structuring fee payable to Morgan Stanley Wealth Management by the agent or its affiliates of $0.05 for each $10 stated
principal amount PLUS |
If the PLUS priced today and assuming a maximum payment at maturity equal to
the minimum listed above, the estimated value of the PLUS would be approximately $9.68 per $10 stated principal amount PLUS. The estimated
value of the PLUS on the pricing date will be provided in the pricing supplement and will not be less than $9.40 per $10 stated principal
amount PLUS. See “Additional Information about the PLUS — The estimated value of the PLUS” in this document for additional
information.
Investing in the PLUS involves a number of risks. See “Risk Factors”
beginning on page S-2 of the accompanying prospectus supplement, “Risk Factors” beginning on page PS-12 of the accompanying
product supplement, “Risk Factors” beginning on page US-3 of the accompanying underlying supplement and “Risk Factors”
beginning on page 5 of this document.
Neither the Securities and Exchange Commission (the “SEC”) nor any state
securities commission has approved or disapproved of the PLUS or passed upon the accuracy or the adequacy of this document or the accompanying
product supplement, underlying supplement, prospectus supplement and prospectus. Any representation to the contrary is a criminal offense.
The PLUS are not bank deposits, are not insured by the Federal Deposit Insurance
Corporation or any other governmental agency and are not obligations of, or guaranteed by, a bank.
You should read this document together with the related product supplement,
underlying supplement, prospectus supplement and prospectus, each of which can be accessed via the hyperlinks below. Please also see “Additional
Information about the PLUS” at the end of this document.
Product
supplement no. MS-1-II dated November 4, 2020: http://www.sec.gov/Archives/edgar/data/19617/000095010320021469/crt_dp139325-424b2.pdf
Underlying supplement no. 1-II dated November 4, 2020: http://www.sec.gov/Archives/edgar/data/19617/000095010320021471/crt_dp139381-424b2.pdf
Prospectus
supplement and prospectus, each dated April 8, 2020: http://www.sec.gov/Archives/edgar/data/19617/000095010320007214/crt_dp124361-424b2.pdf
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
Investment Summary
Performance Leveraged Upside Securities
Principal at Risk Securities
The PLUS Based on the Value of the EURO STOXX 50® Index due
December 5, 2023 (the “PLUS”) can be used:
| § | As an alternative to direct exposure to the underlying index that enhances returns for a certain range of positive performance of
the underlying index. |
| § | To potentially achieve similar levels of upside exposure to the underlying index as a direct investment, subject to the maximum payment
at maturity, while using fewer dollars by taking advantage of the leverage factor. |
The PLUS are exposed on a 1:1 basis to the negative performance
of the underlying index.
Maturity: |
Approximately 15 months |
Leverage factor: |
300% |
Maximum payment at maturity: |
At least $12.90 (at least 129.00% of the stated principal amount) per PLUS (to be provided in the pricing supplement) |
Minimum payment at maturity: |
None. Investors may lose their entire initial investment in the PLUS. |
Supplemental Terms of the PLUS
For purposes of the accompanying product supplement,
the underlying index is an “Index.”
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
Key Investment Rationale
PLUS offer leveraged exposure to an underlying asset, which may be equities,
commodities and/or currencies, without any protection against negative performance of the underlying asset. If the underlying asset has
decreased in value, investors are fully exposed to the negative performance of the underlying asset. At maturity, if the underlying asset
has appreciated, investors will receive the stated principal amount of their investment plus leveraged upside performance of the underlying
asset, subject to the maximum payment at maturity. At maturity, if the underlying asset has depreciated, the investor will lose 1% for
every 1% decline. Investors may lose some or all of the stated principal amount of the PLUS.
Leveraged Performance |
The PLUS offer investors an opportunity to capture enhanced returns for a certain range of positive performance relative to a direct investment in the underlying index. |
Upside Scenario |
The underlying index increases in value and, at maturity, the PLUS pay the stated principal amount of $10 plus a return equal to 300% of the index percent increase, subject to the maximum payment at maturity of at least $12.90 (at least 129.00% of the stated principal amount) per PLUS. The actual maximum payment at maturity will be provided in the pricing supplement. |
Par Scenario |
The final index value is equal to the initial index value and, at maturity, the PLUS pay the stated principal amount of $10 per PLUS. |
Downside Scenario |
The underlying index declines in value and, at maturity, the PLUS pay an amount that is less than the stated principal amount by an amount that is proportionate to the percentage decline of the final index value from the initial index value. (Example: if the underlying index decreases in value by 20%, the PLUS will pay an amount that is less than the stated principal amount by 20%, or $8 per PLUS.) |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
How the PLUS Work
Payoff Diagram
The payoff diagram below illustrates the payment at maturity on the PLUS based
on the following terms:
Stated principal amount: |
$10 per PLUS |
Leverage factor: |
300% |
Hypothetical maximum payment at maturity: |
$12.90 (129.00% of the stated principal amount) per PLUS (which represents the lowest hypothetical maximum payment at maturity)* |
*The actual maximum payment at maturity will be provided in the pricing supplement
and will not be less than $12.90 per PLUS. |
PLUS Payoff Diagram |
|
How it works
| § | Upside
Scenario. If the final index value is greater than the initial index value, for each $10 principal amount PLUS, investors
will receive the $10 stated principal amount plus a return equal to 300% of the appreciation of the underlying index over the
term of the PLUS, subject to the maximum payment at maturity. Under the hypothetical terms of the PLUS, an investor will realize the
hypothetical maximum payment at maturity at a final index value of approximately 109.667% of the initial index value. |
| § | Par
Scenario. If the final index value is equal to the initial index value, investors will receive the stated principal amount
of $10 per PLUS. |
| § | Downside Scenario. If the final index value is less
than the initial index value, investors will receive an amount that is less than the stated principal amount by an amount
proportionate to the percentage decrease of the final index value from the initial index value. |
| § | For example, if the underlying index depreciates 50%, investors will lose 50% of their principal and receive only $5 per PLUS at maturity,
or 50% of the stated principal amount. |
The hypothetical returns and hypothetical payments on the PLUS
shown above apply only if you hold the PLUS for their entire term. These hypotheticals do not reflect fees or expenses that would
be associated with any sale in the secondary market. If these fees and expenses were included, the hypothetical returns and hypothetical
payments shown above would likely be lower.
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
Risk Factors
The following is a non-exhaustive list
of certain key risk factors for investors in the PLUS. For further discussion of these and other risks, you should read
the sections entitled “Risk Factors” of the accompanying prospectus supplement, the accompanying product supplement and the
accompanying underlying supplement. We urge you to consult your investment, legal, tax, accounting and other advisers in connection with
your investment in the PLUS.
Risks Relating to the PLUS Generally
| § | The PLUS do not
pay interest or guarantee the return of any principal and your investment in the PLUS may result in a loss. The terms of the
PLUS differ from those of ordinary debt securities in that the PLUS do not pay interest or guarantee the payment of any principal amount
at maturity. If the final index value is less than the initial index value, the payment at maturity will be an amount in cash that is
less than the stated principal amount of each PLUS by an amount proportionate to the decrease in the value of the underlying index and
may be zero. |
| § | The appreciation potential of the PLUS is limited by the maximum payment at maturity.
The appreciation potential of the PLUS is limited by the maximum payment at maturity of at least $12.90 (at least 129.00% of the stated
principal amount) per PLUS. The actual maximum payment at maturity will be provided in the pricing supplement. Because the maximum payment
at maturity will be limited to at least 129.00% of the stated principal amount for the PLUS, any increase in the final index value by
more than approximately 9.667% (if the maximum payment at maturity is set at 129.00% of the stated principal amount) will not further
increase the return on the PLUS. |
| § | The PLUS are subject to the credit risks of JPMorgan Financial and JPMorgan Chase &
Co., and any actual or anticipated changes to our or JPMorgan Chase & Co.’s credit ratings or credit spreads may adversely affect
the market value of the PLUS. Investors are dependent on our and JPMorgan Chase & Co.’s
ability to pay all amounts due on the PLUS. Any actual or anticipated decline in our or JPMorgan Chase & Co.’s credit ratings
or increase in our or JPMorgan Chase & Co.’s credit spreads determined by the market for taking that credit risk is likely to
adversely affect the market value of the PLUS. If we and JPMorgan Chase & Co. were to default on our payment obligations, you may
not receive any amounts owed to you under the PLUS and you could lose your entire investment. |
| § | As a finance subsidiary, JPMorgan Financial has no independent operations and has limited assets. As a finance subsidiary of
JPMorgan Chase & Co., we have no independent operations beyond the issuance and administration of our securities. Aside from the initial
capital contribution from JPMorgan Chase & Co., substantially all of our assets relate to obligations of our affiliates to make payments
under loans made by us or other intercompany agreements. As a result, we are dependent upon payments from our affiliates to meet our obligations
under the PLUS. If these affiliates do not make payments to us and we fail to make payments on the PLUS, you may have to seek payment
under the related guarantee by JPMorgan Chase & Co., and that guarantee will rank pari passu with all other unsecured and unsubordinated
obligations of JPMorgan Chase & Co. |
| § | Secondary trading may be limited. The
PLUS will not be listed on a securities exchange. There may be little or no secondary market for the PLUS. Even if there is a secondary
market, it may not provide enough liquidity to allow you to trade or sell the PLUS easily.
JPMS may act as a market maker for the PLUS, but is not required to do so. Because we do not expect that other market makers will
participate significantly in the secondary market for the PLUS, the price at which you may be able to trade your PLUS is likely to depend
on the price, if any, at which JPMS is willing to buy the PLUS.
If at any time JPMS or another agent does not act as a market
maker, it is likely that there would be little or no secondary market for the PLUS. |
| § | The final terms and estimated valuation of the PLUS will be provided in the pricing supplement.
The final terms of the PLUS will be provided in the pricing supplement. In particular, each of the estimated value of
the PLUS and the maximum payment at maturity will be provided in the pricing supplement and each may be as low as the applicable minimum
set forth on the cover of this document. Accordingly, you should consider your potential investment in the PLUS based on the minimums
for the estimated value of the PLUS and the maximum payment at maturity. |
| § | The tax consequences of an investment in the PLUS are uncertain. There is no direct legal authority as to the proper U.S. federal
income tax characterization of the PLUS, and we do not intend to request a |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
ruling from the IRS. The IRS might not accept, and a
court might not uphold, the treatment of the PLUS described in “Additional Information about the PLUS ― Additional Provisions
― Tax considerations” in this document and in “Material U.S. Federal Income Tax Consequences” in the accompanying
product supplement. If the IRS were successful in asserting an alternative treatment for the PLUS, the timing and character of any income
or loss on the PLUS could differ materially and adversely from our description herein. In addition, in 2007 Treasury and the IRS released
a notice requesting comments on the U.S. federal income tax treatment of “prepaid forward contracts” and similar instruments.
The notice focuses in particular on whether to require investors in these instruments to accrue income over the term of their investment.
It also asks for comments on a number of related topics, including the character of income or loss with respect to these instruments;
the relevance of factors such as the nature of the underlying property to which the instruments are linked; the degree, if any, to which
income (including any mandated accruals) realized by non-U.S. investors should be subject to withholding tax; and whether these instruments
are or should be subject to the “constructive ownership” regime, which very generally can operate to recharacterize certain
long-term capital gain as ordinary income and impose a notional interest charge. While the notice requests comments on appropriate transition
rules and effective dates, any Treasury regulations or other guidance promulgated after consideration of these issues could materially
and adversely affect the tax consequences of an investment in the PLUS, possibly with retroactive effect. You should review carefully
the section entitled “Material U.S. Federal Income Tax Consequences” in the accompanying product supplement and consult your
tax adviser regarding the U.S. federal income tax consequences of an investment in the PLUS, including possible alternative treatments
and the issues presented by this notice.
Risks Relating to Conflicts of Interest
| § | Economic interests of the issuer, the guarantor, the calculation agent, the agent of the offering of the PLUS and other affiliates
of the issuer may be different from those of investors. We and our
affiliates play a variety of roles in connection with the issuance of the PLUS, including acting as calculation agent and as an agent
of the offering of the PLUS, hedging our obligations under the PLUS and making the assumptions used to determine the pricing of the PLUS
and the estimated value of the PLUS, which we refer to as the estimated value of the PLUS. In performing these duties, our and JPMorgan
Chase & Co.’s economic interests and the economic interests of the calculation agent and other affiliates of ours are potentially
adverse to your interests as an investor in the PLUS. The calculation agent will determine the initial index value and the final index
value and will calculate the amount of payment you will receive at maturity, if any. Determinations made by the calculation agent, including
with respect to the occurrence or non-occurrence of market disruption events, the selection of a successor to the underlying index or
calculation of the final index value in the event of a discontinuation or material change in method of calculation of the underlying index,
may affect the payment to you at maturity. |
In addition,
our and JPMorgan Chase & Co.’s business activities, including hedging and trading activities, could cause our and JPMorgan Chase
& Co.’s economic interests to be adverse to yours and could adversely affect any payment on the PLUS and the value of the PLUS.
It is possible that hedging or trading activities of ours or our affiliates in connection with the PLUS could result in substantial returns
for us or our affiliates while the value of the PLUS declines. Please refer to “Risk Factors — Risks Relating to Conflicts
of Interest” in the accompanying product supplement for additional information about these risks.
| § | Hedging and trading activities by the issuer and its affiliates could potentially affect the value of the PLUS.
The hedging or trading activities of the issuer’s affiliates and of any other hedging counterparty with respect to the PLUS
on or prior to the pricing date and prior to maturity could adversely affect the value of the underlying index and, as a result, could
decrease the amount an investor may receive on the PLUS at maturity, if any. Any of these hedging or trading activities on or prior
to the pricing date could potentially affect the initial index value and, therefore, could potentially increase the level that the final
index value must reach before you receive a payment at maturity that exceeds the issue price of the PLUS or so that you do not suffer
a loss on your initial investment in the PLUS. Additionally, these hedging or trading activities during the term of the PLUS,
including on the valuation date, could adversely affect the final index value and, accordingly, the amount of cash an investor will receive
at maturity, if any. It is possible that these hedging or trading activities could result in substantial returns for us or our affiliates
while the value of the PLUS declines. |
Risks Relating to the Estimated Value and Secondary Market Prices
of the PLUS
| § | The estimated value of the PLUS will be lower than the original issue price (price to public) of the PLUS.
The estimated value of the PLUS is only an estimate determined by reference to several factors. |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
The original issue price of the PLUS will exceed the
estimated value of the PLUS because costs associated with selling, structuring and hedging the PLUS are included in the original issue
price of the PLUS. These costs include the selling commissions, the structuring fee, the projected profits, if any, that our affiliates
expect to realize for assuming risks inherent in hedging our obligations under the PLUS and the estimated cost of hedging our obligations
under the PLUS. See “Additional Information about the PLUS — The estimated value of the PLUS” in this document.
| § | The estimated value of the PLUS does not represent future values of the PLUS and may differ from others’ estimates.
The estimated value of the PLUS is determined by reference to internal pricing models of our affiliates. This estimated value
of the PLUS is based on market conditions and other relevant factors existing at the time of pricing and assumptions about market parameters,
which can include volatility, dividend rates, interest rates and other factors. Different pricing models and assumptions could provide
valuations for the PLUS that are greater than or less than the estimated value of the PLUS. In addition, market conditions and other relevant
factors in the future may change, and any assumptions may prove to be incorrect. On future dates, the value of the PLUS could change significantly
based on, among other things, changes in market conditions, our or JPMorgan Chase & Co.’s creditworthiness, interest rate movements
and other relevant factors, which may impact the price, if any, at which JPMS would be willing to buy PLUS from you in secondary market
transactions. See “Additional Information about the PLUS — The estimated value of the PLUS” in this document. |
| § | The estimated value of the PLUS is derived by reference to an internal funding rate.
The internal funding rate used in the determination of the estimated value of the PLUS may differ from the market-implied funding
rate for vanilla fixed income instruments of a similar maturity issued by JPMorgan Chase & Co. or its affiliates. Any difference may
be based on, among other things, our and our affiliates’ view of the funding value of the PLUS as well as the higher issuance, operational
and ongoing liability management costs of the PLUS in comparison to those costs for the conventional fixed income instruments of JPMorgan
Chase & Co. This internal funding rate is based on certain market inputs and assumptions, which may prove to be incorrect, and is
intended to approximate the prevailing market replacement funding rate for the PLUS. The use of an internal funding rate and any potential
changes to that rate may have an adverse effect on the terms of the PLUS and any secondary market prices of the PLUS. See “Additional
Information about the PLUS — The estimated value of the PLUS” in this document. |
| § | The value of the PLUS as published by JPMS (and which may be reflected on customer account statements) may be higher than the then-current
estimated value of the PLUS for a limited time period. We generally
expect that some of the costs included in the original issue price of the PLUS will be partially paid back to you in connection
with any repurchases of your PLUS by JPMS in an amount that will decline to zero over an initial predetermined period. These costs can
include selling commissions, the structuring fee, projected hedging profits, if any, and, in some circumstances, estimated hedging costs
and our internal secondary market funding rates for structured debt issuances. See “Additional Information about the PLUS —
Secondary market prices of the PLUS” in this document for additional information relating to this initial period. Accordingly, the
estimated value of your PLUS during this initial period may be lower than the value of the PLUS as published by JPMS (and which may be
shown on your customer account statements). |
| § | Secondary market prices of the PLUS will likely be lower than the original issue price of the PLUS.
Any secondary market prices of the PLUS will likely be lower than the original issue price of the PLUS because, among other
things, secondary market prices take into account our internal secondary market funding rates for structured debt issuances and, also,
because secondary market prices may exclude selling commissions, the structuring fee, projected hedging profits, if any, and estimated
hedging costs that are included in the original issue price of the PLUS. As a result, the price, if any, at which JPMS will be willing
to buy PLUS from you in secondary market transactions, if at all, is likely to be lower than the original issue price. Any sale by you
prior to the maturity date could result in a substantial loss to you. See the immediately following risk factor for information about
additional factors that will impact any secondary market prices of the PLUS. |
The PLUS are not designed to be short-term trading instruments.
Accordingly, you should be able and willing to hold your PLUS to maturity. See “— Secondary trading may be limited”
below.
| § | Secondary market prices of the PLUS will be impacted by many economic and market factors.
The secondary market price of the PLUS during their term will be impacted by a number of economic and market factors, which
may either offset or magnify each other, aside from the selling commissions, |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
structuring fee, projected hedging profits, if any,
estimated hedging costs and the closing level of the underlying index, including:
| o | any actual or potential change in our or JPMorgan Chase & Co.’s creditworthiness or credit spreads; |
| o | customary bid-ask spreads for similarly sized trades; |
| o | our internal secondary market funding rates for structured debt issuances; |
| o | the actual and expected volatility of the underlying index; |
| o | the time to maturity of the PLUS; |
| o | the dividend rates on the equity securities included in the underlying index; |
| o | interest and yield rates in the market generally; |
| o | the exchange rates and the volatility of the exchange rates between the U.S. dollar and each of the currencies in which the equity
securities included in the underlying index trade and the correlation among those rates and the levels of the underlying index; and |
| o | a variety of other economic, financial, political, regulatory and judicial events. |
Additionally, independent pricing vendors and/or third
party broker-dealers may publish a price for the PLUS, which may also be reflected on customer account statements. This price may be different
(higher or lower) than the price of the PLUS, if any, at which JPMS may be willing to purchase your PLUS in the secondary market.
Risks Relating to the Underlying Index
| § | Investing in the PLUS is not equivalent to investing in the underlying index. Investing
in the PLUS is not equivalent to investing in the underlying index or its component stocks. Investors in the PLUS will not have voting
rights or rights to receive dividends or other distributions or any other rights with respect to the stocks that constitute the underlying
index. |
| § | Adjustments to the underlying index could adversely affect the value of the PLUS. The
underlying index publisher may discontinue or suspend calculation or publication of the underlying index at any time. In these circumstances,
the calculation agent will have the sole discretion to substitute a successor index that is comparable to the discontinued underlying
index and is not precluded from considering indices that are calculated and published by the calculation agent or any of its affiliates. |
| § | The PLUS are subject to risks associated with securities issued by non-U.S. companies.
The equity securities included in the underlying index have been issued by non-U.S. companies. Investments
in securities linked to the value of such non-U.S. equity securities involve risks associated with the securities markets in the home
countries of the issuers of those non-U.S. equity securities, including risks of volatility in those markets, governmental intervention
in those markets and cross shareholdings in companies in certain countries. Also, there is generally less publicly available information
about companies in some of these jurisdictions than there is about U.S. companies that are subject to the reporting requirements of the
SEC, and generally non-U.S. companies are subject to accounting, auditing and financial reporting standards and requirements and securities
trading rules different from those applicable to U.S. reporting companies. |
| § | The PLUS are not directly exposed to fluctuations in foreign exchange rates. The
value of your PLUS will not be adjusted for exchange rate fluctuations between the U.S. dollar and the currencies upon which the equity
securities included in the underlying index are based, although any currency fluctuations could affect the performance of the underlying
index. Therefore, if the applicable currencies appreciate or depreciate relative to the U.S. dollar over the term of the PLUS, you will
not receive any additional payment or incur any reduction in any payment on the PLUS. |
| § | Governmental legislative and regulatory actions, including sanctions, could adversely
affect your investment in the PLUS. Governmental legislative and regulatory actions, including,
without limitation, sanctions-related actions by the U.S. or a foreign government, could prohibit or otherwise restrict persons from holding
the PLUS or the securities included in the underlying index, or engaging in transactions in them, and any such action could adversely
affect the value of the PLUS or the underlying index. These |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
legislative and regulatory
actions could result in restrictions on the PLUS. You may lose a significant portion or all of your initial investment in the PLUS
if you are forced to divest the PLUS due to the government mandates, especially if such divestment must be made at a time when the value
of the PLUS has declined.
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
EURO STOXX 50® Index Overview
The EURO STOXX 50® Index consists of 50 component stocks of market
sector leaders from within the Eurozone. For additional information about the EURO STOXX 50® Index, see “Equity Index
Descriptions ― The STOXX Benchmark Indices” in the accompanying underlying supplement.
Information as of market close on August 9, 2022:
Bloomberg Ticker Symbol: |
SX5E |
Current Closing Level: |
3,715.37 |
52 Weeks Ago (on 8/9/2021): |
4,177.15 |
52 Week High (on 11/16/2021): |
4,401.49 |
52 Week Low (on 7/5/2022): |
3,359.83 |
The following table sets forth the published high and low closing levels, as
well as end-of-quarter closing levels, of the underlying index for each quarter in the period from January 3, 2017 through August 9, 2022.
The graph following the table sets forth the daily closing levels of the underlying index during the same period. The closing level of
the underlying index on August 9, 2022 was 3,715.37. We obtained the closing level information above and in the table and graph below
from the Bloomberg Professional® service (“Bloomberg”), without independent verification. The historical levels
of the underlying index should not be taken as an indication of future performance, and no assurance can be given as to the closing level
of the underlying index on the valuation date. The payment of dividends on the stocks that constitute the underlying index are not reflected
in its closing level and, therefore, have no effect on the calculation of the payment at maturity.
EURO STOXX 50® Index |
High |
Low |
Period End |
2017 |
|
|
|
First Quarter |
3,500.93 |
3,230.68 |
3,500.93 |
Second Quarter |
3,658.79 |
3,409.78 |
3,441.88 |
Third Quarter |
3,594.85 |
3,388.22 |
3,594.85 |
Fourth Quarter |
3,697.40 |
3,503.96 |
3,503.96 |
2018 |
|
|
|
First Quarter |
3,672.29 |
3,278.72 |
3,361.50 |
Second Quarter |
3,592.18 |
3,340.35 |
3,395.60 |
Third Quarter |
3,527.18 |
3,293.36 |
3,399.20 |
Fourth Quarter |
3,414.16 |
2,937.36 |
3,001.42 |
2019 |
|
|
|
First Quarter |
3,409.00 |
2,954.66 |
3,351.71 |
Second Quarter |
3,514.62 |
3,280.43 |
3,473.69 |
Third Quarter |
3,571.39 |
3,282.78 |
3,569.45 |
Fourth Quarter |
3,782.27 |
3,413.31 |
3,745.15 |
2020 |
|
|
|
First Quarter |
3,865.18 |
2,385.82 |
2,786.90 |
Second Quarter |
3,384.29 |
2,662.99 |
3,234.07 |
Third Quarter |
3,405.35 |
3,137.06 |
3,193.61 |
Fourth Quarter |
3,581.37 |
2,958.21 |
3,552.64 |
2021 |
|
|
|
First Quarter |
3,926.20 |
3,481.44 |
3,919.21 |
Second Quarter |
4,158.14 |
3,924.80 |
4,064.30 |
Third Quarter |
4,246.13 |
3,928.53 |
4,048.08 |
Fourth Quarter |
4,401.49 |
3,996.41 |
4,298.41 |
2022 |
|
|
|
First Quarter |
4,392.15 |
3,505.29 |
3,902.52 |
Second Quarter |
3,951.12 |
3,427.91 |
3,454.86 |
Third Quarter (through August 9, 2022) |
3,757.22 |
3,359.83 |
3,715.37 |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
EURO STOXX 50® Index
Historical Performance – Daily Closing Levels
January
3, 2017 to August 9, 2022 |
|
License Agreement. The EURO STOXX 50® Index and STOXX®
are the intellectual property (including registered trademarks) of STOXX Limited, Zurich, Switzerland and/or its licensors (the “Licensors”),
which are used under license. The securities based on the EURO STOXX 50® Index are in no way sponsored, endorsed, sold
or promoted by STOXX Limited and its Licensors and neither Stoxx Limited nor any of its Licensors shall have any liability with respect
thereto. See “Equity Index Descriptions — The STOXX Benchmark Indices — License Agreement” in the accompanying
underlying supplement.
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
Additional Information about the PLUS
Please read this information in conjunction with the summary terms on the front
cover of this document.
Additional Provisions: |
Postponement of maturity date: |
If the scheduled maturity date is not a business day, then the maturity date will be the following business day. If the scheduled valuation date is not a trading day or if a market disruption event occurs on that day so that the valuation date is postponed and falls less than three business days prior to the scheduled maturity date, the maturity date of the PLUS will be postponed to the third business day following the valuation date as postponed. |
Minimum ticketing size: |
$1,000 / 100 PLUS |
Trustee: |
Deutsche Bank Trust Company Americas (formerly Bankers Trust Company) |
Calculation agent: |
JPMS |
The estimated value of the PLUS: |
The estimated value of the PLUS set forth on the cover of this
document is equal to the sum of the values of the following hypothetical components: (1) a fixed-income debt component with the same maturity
as the PLUS, valued using the internal funding rate described below, and (2) the derivative or derivatives underlying the economic terms
of the PLUS. The estimated value of the PLUS does not represent a minimum price at which JPMS would be willing to buy your PLUS in any
secondary market (if any exists) at any time. The internal funding rate used in the determination of the estimated value of the PLUS may
differ from the market-implied funding rate for vanilla fixed income instruments of a similar maturity issued by JPMorgan Chase &
Co. or its affiliates. Any difference may be based on, among other things, our and our affiliates’ view of the funding value of
the PLUS as well as the higher issuance, operational and ongoing liability management costs of the PLUS in comparison to those costs for
the conventional fixed income instruments of JPMorgan Chase & Co. This internal funding rate is based on certain market inputs and
assumptions, which may prove to be incorrect, and is intended to approximate the prevailing market replacement funding rate for the PLUS.
The use of an internal funding rate and any potential changes to that rate may have an adverse effect on the terms of the PLUS and any
secondary market prices of the PLUS. For additional information, see “Risk Factors — Risks Relating to the Estimated Value
and Secondary Market Prices of the PLUS — The estimated value of the PLUS is derived by reference to an internal funding rate”
in this document. The value of the derivative or derivatives underlying the economic terms of the PLUS is derived from internal pricing
models of our affiliates. These models are dependent on inputs such as the traded market prices of comparable derivative instruments and
on various other inputs, some of which are market-observable, and which can include volatility, dividend rates, interest rates and other
factors, as well as assumptions about future market events and/or environments. Accordingly, the estimated value of the PLUS on the pricing
date is based on market conditions and other relevant factors and assumptions existing at that time. See “Risk Factors — Risks
Relating to the Estimated Value and Secondary Market Prices of the PLUS — The estimated value of the PLUS does not represent future
values of the PLUS and may differ from others’ estimates” in this document.
The estimated value of the PLUS will be lower than the original issue
price of the PLUS because costs associated with selling, structuring and hedging the PLUS are included in the original issue price of
the PLUS. These costs include the selling commissions paid to JPMS and other affiliated or unaffiliated dealers, the structuring fee,
the projected profits, if any, that our affiliates expect to realize for assuming risks inherent in hedging our obligations under the
PLUS and the estimated cost of hedging our obligations under the PLUS. Because hedging our obligations entails risk and may be influenced
by market forces beyond our control, this hedging may result in a profit that is more or less than expected, or it may result in a loss.
A portion of the profits, if any, realized in hedging our obligations under the PLUS may be allowed to other affiliated or unaffiliated
dealers, and we or one or more of our affiliates will retain any remaining hedging profits. See “Risk Factors — Risks Relating
to the Estimated Value and Secondary Market Prices of the PLUS — The estimated value of the PLUS will be lower than the original
issue price (price to public) of the PLUS” in this document. |
Secondary market prices of the PLUS: |
For information about factors that will impact any secondary market prices of the PLUS, see “Risk Factors — Risks Relating to the Estimated Value and Secondary Market Prices of the PLUS — Secondary market prices of the PLUS will be impacted by many economic and market factors” in this document. In addition, we generally expect that some of the costs included in the original issue price of the PLUS will be partially paid back to you in connection with any repurchases of your PLUS by JPMS in an amount that will decline to zero over an initial predetermined period that is intended to be the shorter of two years and one-half of the stated term of the PLUS. The length of any such initial period reflects the structure of the PLUS, whether our affiliates expect to earn a profit in connection with our hedging activities, the estimated costs of hedging the PLUS and when these costs are incurred, as determined by our |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
|
affiliates. See “Risk Factors — Risks Relating to the Estimated Value and Secondary Market Prices of the PLUS — The value of the PLUS as published by JPMS (and which may be reflected on customer account statements) may be higher than the then-current estimated value of the PLUS for a limited time period.” |
Tax considerations: |
You should review carefully the section entitled “Material
U.S. Federal Income Tax Consequences” in the accompanying product supplement no. MS-1-II. The following discussion, when read in
combination with that section, constitutes the full opinion of our special tax counsel, Davis Polk & Wardwell LLP, regarding the material
U.S. federal income tax consequences of owning and disposing of the PLUS.
Based on current market conditions, in the opinion of our special
tax counsel, your PLUS should be treated as “open transactions” that are not debt instruments for U.S. federal income tax
purposes, as more fully described in “Material U.S. Federal Income Tax Consequences — Tax Consequences to U.S. Holders —
Notes Treated as Open Transactions That Are Not Debt Instruments” in the accompanying product supplement. Assuming this treatment
is respected, the gain or loss on your PLUS should be treated as long-term capital gain or loss if you hold your PLUS for more than a
year, whether or not you are an initial purchaser of PLUS at the issue price. However, the IRS or a court may not respect this treatment
of the PLUS, in which case the timing and character of any income or loss on the PLUS could be materially and adversely affected. In addition,
in 2007 Treasury and the IRS released a notice requesting comments on the U.S. federal income tax treatment of “prepaid forward
contracts” and similar instruments. The notice focuses in particular on whether to require investors in these instruments to accrue
income over the term of their investment. It also asks for comments on a number of related topics, including the character of income or
loss with respect to these instruments; the relevance of factors such as the nature of the underlying property to which the instruments
are linked; the degree, if any, to which income (including any mandated accruals) realized by non-U.S. investors should be subject to
withholding tax; and whether these instruments are or should be subject to the “constructive ownership” regime, which very
generally can operate to recharacterize certain long-term capital gain as ordinary income and impose a notional interest charge. While
the notice requests comments on appropriate transition rules and effective dates, any Treasury regulations or other guidance promulgated
after consideration of these issues could materially and adversely affect the tax consequences of an investment in the PLUS, possibly
with retroactive effect. You should consult your tax adviser regarding the U.S. federal income tax consequences of an investment in the
PLUS, including possible alternative treatments and the issues presented by this notice. |
Supplemental use of proceeds and hedging: |
The PLUS are offered to meet investor demand for products that reflect
the risk-return profile and market exposure provided by the PLUS. See “How the PLUS Work” in this document for an illustration
of the risk-return profile of the PLUS and “EURO STOXX 50® Index Overview” in this document for a description
of the market exposure provided by the PLUS.
The original issue price of the PLUS is equal to the estimated value
of the PLUS plus the selling commissions paid to JPMS and other affiliated or unaffiliated dealers and the structuring fee, plus (minus)
the projected profits (losses) that our affiliates expect to realize for assuming risks inherent in hedging our obligations under the
PLUS, plus the estimated cost of hedging our obligations under the PLUS. |
Benefit plan investor considerations: |
See “Benefit Plan Investor Considerations” in the accompanying product supplement. |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
Supplemental plan of distribution: |
Subject to regulatory constraints, JPMS intends to use its reasonable
efforts to offer to purchase the PLUS in the secondary market, but is not required to do so. JPMS, acting as agent for JPMorgan Financial,
will pay all of the selling commissions it receives from us to Morgan Stanley Wealth Management. In addition, Morgan Stanley Wealth Management
will receive a structuring fee as set forth on the cover of this document for each PLUS.
We or our affiliate may enter into swap agreements or related hedge transactions
with one of our other affiliates or unaffiliated counterparties in connection with the sale of the PLUS and JPMS and/or an affiliate may
earn additional income as a result of payments pursuant to the swap or related hedge transactions. See “— Supplemental use
of proceeds and hedging” above and “Use of Proceeds and Hedging” in the accompanying product supplement.
We expect that delivery of the PLUS will be made against payment for the
PLUS on or about the original issue date set forth on the front cover of this document, which will be the third business day following
the pricing date of the PLUS (this settlement cycle being referred to as “T+3”). Under Rule 15c6-1 of the Securities Exchange
Act of 1934, as amended, trades in the secondary market generally are required to settle in two business days, unless the parties to that
trade expressly agree otherwise. Accordingly, purchasers who wish to trade PLUS on any date prior to two business days before delivery
will be required to specify an alternate settlement cycle at the time of any such trade to prevent a failed settlement and should consult
their own advisors.
Canada
The PLUS may be sold only to purchasers purchasing, or deemed to be purchasing,
as principal that are accredited investors, as defined in National Instrument 45-106 Prospectus Exemptions (“NI 45-106”) or
subsection 73.3(1) of the Securities Act (Ontario) (the “OSA”), and are permitted clients, as defined in National Instrument
31-103 Registration Requirements, Exemptions and Ongoing Registrant Obligations (“NI-33-103”).
Accordingly, by placing a purchase order for PLUS, each purchaser of PLUS in
Canada will be deemed to have represented to the issuer, the guarantor and each agent and dealer participating in the sale of the PLUS
that such purchaser:
·
is an “accredited investor” as defined in section 1.1
of NI 45-106 or subsection 73.3(1) of the OSA and is either purchasing the PLUS as principal for its own account, or is deemed to be purchasing
the PLUS as principal by applicable law;
·
is a “permitted client” as defined in section 1.1 of
NI 31-103 and, in particular, if the purchaser is an individual, he or she beneficially owns financial assets (as defined in section 1.1
of NI 45-106) having an aggregate realizable value that, before taxes but net of any related liabilities, exceeds CAD$5,000,000;
·
is not a company or other entity created or being used solely to
purchase or hold PLUS as an “accredited investor”; and
·
is not an “insider” of the issuer or the guarantor and
is not registered as a dealer, adviser or otherwise under the securities laws of any province or territory of Canada.
The PLUS are being distributed in Canada on a private placement basis only and
therefore any resale of the PLUS must be made in accordance with an exemption from, or in a transaction not subject to, the prospectus
requirements of applicable securities laws. Each of the issuer and the guarantor is not a reporting issuer in any province or territory
in Canada and the PLUS are not listed on any stock exchange in Canada and there is currently no public market for the PLUS in Canada.
Each of the issuer and the guarantor currently has no intention of becoming a reporting issuer in Canada, filing a prospectus with any
securities regulatory authority in Canada to qualify the resale of the PLUS to the public, or listing its PLUS on any stock exchange in
Canada. Canadian purchasers are advised to seek legal advice prior to any resale of the PLUS.
Securities legislation in certain provinces or territories of Canada may provide
a purchaser with remedies for rescission or damages if this document (including any amendment thereto) contains a misrepresentation, provided
that the remedies for rescission or damages are exercised by the purchaser within the time limit prescribed by the securities legislation
of the purchaser’s province or territory. The purchaser should refer to any applicable provisions of the securities legislation
of the purchaser’s province or territory for particulars of these rights or consult with a legal advisor.
The issuer, the guarantor, the agents and the dealers are relying on the statutory
exemption contained in section 3A.3 of National Instrument 33-105 Underwriting Conflicts (“NI 33-105”), which provides that
the disclosure requirements of NI 33-105 regarding underwriter conflicts of interest in connection with this offering are not applicable. |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
|
By purchasing PLUS, the purchaser acknowledges that the issuer, the guarantor,
the agents and the dealers and their respective agents and advisers may each collect, use and disclose its name, telephone number, address,
the number and value of any PLUS purchased and other specified personally identifiable information (the “personal information”),
including the principal amount of PLUS that it has purchased and whether the purchaser is an “insider” of the issuer or the
guarantor or a “registrant” for purposes of meeting legal, regulatory and audit requirements and as otherwise permitted or
required by law or regulation. By purchasing PLUS, the purchaser consents to the foregoing collection, use and disclosure of the personal
information pertaining to the purchaser.
Furthermore, by purchasing PLUS, the purchaser acknowledges that the personal
information concerning the purchaser (A) will be disclosed to the relevant Canadian securities regulatory authorities and may become available
to the public in accordance with the requirements of applicable securities and freedom of information laws and the purchaser consents
to the disclosure of the personal information; (B) is being collected indirectly by the applicable Canadian securities regulatory authority
under the authority granted to it in securities legislation; and (C) is being collected for the purposes of the administration and enforcement
of the applicable Canadian securities legislation. By purchasing PLUS, the purchaser shall be deemed to have authorized such indirect
collection of the personal information by the relevant Canadian securities regulatory authorities.
Questions about the indirect collection of personal information should be directed
to the securities regulatory authority in the province of the purchaser, using the following contact information: in British Columbia,
the British Columbia Securities Commission can be contacted at P.O. Box 10142, Pacific Center, 701 West Georgia Street, Vancouver, British
Columbia V7Y 1L2 or at (604) 899-6500 or 1-800-373-6393; in Alberta, the Alberta Securities Commission can be contacted at Suite 600,
250 – 5th Street SW, Calgary, Alberta T2P 0R4 or at (403) 297-6454 or 1-877-355-0585; in Saskatchewan, the Financial and Consumer
Affairs Authority of Saskatchewan can be contacted at Suite 601 – 1919 Saskatchewan Drive, Regina, Saskatchewan S4P 4H2 or at (306)
787-5842; in Manitoba, The Manitoba Securities Commission can be contacted at 500 – 400 St. Mary Avenue, Winnipeg, Manitoba R3C
4K5 or at (204) 945-2561 or 1-800-655-5244; in Ontario, the Ontario Securities Commission can be contacted at 20 Queen Street West, 22nd
Floor, Toronto, Ontario M5H 3S8 or at (416) 593-8314 or 1-877-785-1555; in Québec, the Autorité des marchés financiers
can be contacted at 800, Square Victoria, 22e étage, C.P. 246, Tour de la Bourse, Montréal, Québec H4Z 1G3 or at
(514) 395-0337 or 1-877-525-0337; in New Brunswick, the Financial and Consumer Services Commission (New Brunswick) can be contacted at
85 Charlotte Street, Suite 300, Saint John, New Brunswick E2L 2J2 or at (506) 658-3060 or 1-866-933-2222; in Nova Scotia, the Nova Scotia
Securities Commission can be contacted at Suite 400, 5251 Duke Street, Duke Tower, P.O. Box 458, Halifax, Nova Scotia B3J 2P8 or at (902)
424-7768; in Prince Edward Island, the Prince Edward Island Securities Office can be contacted at 95 Rochford Street, 4th Floor Shaw Building,
P.O. Box 2000, Charlottetown, Prince Edward Island C1A 7N8 or at (902) 368-4569; and in Newfoundland and Labrador, the Director of Securities
of the Government of Newfoundland and Labrador’s Financial Services Regulation Division can be contacted at P.O. Box 8700, Confederation
Building, 2nd Floor, West Block, Prince Philip Drive, St. John's, Newfoundland and Labrador A1B 4J6 or at (709) 729-4189; and (b) has
authorized the indirect collection of the personal information by the securities regulatory authority or regulator in the local jurisdiction.
The purchaser acknowledges that each of the issuer and the guarantor is an entity
formed under the laws of a jurisdiction outside of Canada. Some or all of the managers and officers of the issuer or the guarantor may
be located outside Canada and, as a result, it may not be possible for purchasers to effect service of process within Canada upon such
entity or such persons. All or a substantial portion of the assets of each of the issuer and the guarantor may be located outside of Canada
and, as a result, it may not be possible to satisfy a judgment in Canada against the issuer, the guarantor or their respective directors
and officers or to enforce a judgment obtained in Canadian courts against the issuer, the guarantor or such persons outside of Canada.
The PLUS will not be governed by the laws of any province or territory of Canada. Accordingly, it may not be possible to enforce PLUS
in accordance with their terms in a Canadian court.
This document does not address the Canadian tax consequences of ownership
of PLUS. Prospective purchasers should consult their own tax advisors with respect to the Canadian and other tax considerations applicable
to them. |
Supplemental information |
The PLUS will initially be represented by a type of global security that we refer to as a master |
JPMorgan Chase Financial Company LLC
PLUS Based on the Value of the EURO STOXX 50® Index due December 5, 2023
Performance Leveraged Upside SecuritiesSM
Principal at Risk Securities
about the form of the PLUS: |
note. A master note represents multiple securities that may be issued at different times and that may have different terms. The trustee and/or paying agent will, in accordance with instructions from us, make appropriate entries or notations in its records relating to the master note representing the PLUS to indicate that the master note evidences the PLUS. |
Where you can find more information: |
You may revoke your offer to purchase the PLUS at any time prior to the
time at which we accept such offer by notifying the applicable agent. We reserve the right to change the terms of, or reject any offer
to purchase, the PLUS prior to their issuance. In the event of any changes to the terms of the PLUS, we will notify you and you will be
asked to accept such changes in connection with your purchase. You may also choose to reject such changes in which case we may reject
your offer to purchase.
You should read this document together with the accompanying prospectus,
as supplemented by the accompanying prospectus supplement relating to our Series A medium-term notes of which these PLUS are a part, and
the more detailed information contained in the accompanying product supplement and the accompanying underlying supplement.
This document, together with the documents listed below, contains the terms
of the PLUS and supersedes all other prior or contemporaneous oral statements as well as any other written materials including preliminary
or indicative pricing terms, correspondence, trade ideas, structures for implementation, sample structures, stand-alone fact sheets, brochures
or other educational materials of ours. You should carefully consider, among other things, the matters set forth in the “Risk Factors”
sections of the accompanying prospectus supplement, the accompanying product supplement and the accompanying underlying supplement, as
the PLUS involve risks not associated with conventional debt securities. We urge you to consult your investment, legal, tax, accounting
and other advisers before you invest in the PLUS.
You may access these documents on the SEC website at www.sec.gov as follows
(or if such address has changed, by reviewing our filings for the relevant date on the SEC website):
• Product supplement no. MS-1-II dated November 4, 2020:
http://www.sec.gov/Archives/edgar/data/19617/000095010320021469/crt_dp139325-424b2.pdf
• Underlying supplement no. 1-II dated November 4, 2020:
http://www.sec.gov/Archives/edgar/data/19617/000095010320021471/crt_dp139381-424b2.pdf
• Prospectus supplement and prospectus, each dated April 8, 2020:
http://www.sec.gov/Archives/edgar/data/19617/000095010320007214/crt_dp124361-424b2.pdf
Our Central Index Key, or CIK, on the SEC website is 1665650, and JPMorgan
Chase & Co.’s CIK is 19617.
As used in this document, “we,” “us,” and “our”
refer to JPMorgan Financial.
“Performance Leveraged Upside SecuritiesSM” and
“PLUSSM” are service marks of Morgan Stanley. |