The Bank of Nova Scotia filed a preliminary free writing prospectus on November 4, 2026, disclosing terms for Autocallable Strategic Accelerated Redemption Securities linked to the EURO STOXX 50 Index, with a maturity date in November 2029 and a public offering price of $10.00 per unit.

Key Highlights

  • Issuer and principal amount: The Bank of Nova Scotia is issuing the notes at $10.00 principal amount per unit, with proceeds before expenses to BNS of $9.80 per unit.
  • Automatic call feature: The notes are automatically callable if the EURO STOXX 50 Index closes at or above 100.00% of the Starting Value on any of three Observation Dates approximately one, two, and three years after the pricing date.
  • Call amounts: If called, payment per unit ranges from [$11.05 to $11.15] on the first Observation Date, [$12.10 to $12.30] on the second, and [$13.15 to $13.45] on the final Observation Date, according to the filing.
  • Downside risk: If not called, the notes carry 1-to-1 downside exposure to Index decreases, with up to 100.00% of principal at risk.
  • Initial estimated value: The filing states the initial estimated value is expected to be between $9.11 and $9.41 per unit, less than the $10.00 public offering price.
  • Fees and charges: The underwriting discount is $0.20 per unit, with an additional hedging-related charge of $0.05 per unit; for purchases of 300,000 units or more in a single transaction, the public offering price and underwriting discount are $9.95 and $0.15 per unit, respectively.
  • No interest or exchange listing: The notes pay no periodic interest and have no exchange listing, with limited secondary market liquidity disclosed by the filing.

Bank of Nova Scotia's EURO STOXX 50-Linked Autocallable Note Terms

According to the filing, The Bank of Nova Scotia is offering Autocallable Strategic Accelerated Redemption Securities linked to the EURO STOXX 50 Index (Bloomberg symbol: "SX5E"), a price return index, under Registration Statement No. 333-298611. The notes are senior unsecured debt securities with a $10.00 principal amount per unit and a term of approximately three years if not called on either of the first two Observation Dates. BofA Securities, Inc. serves as the Calculation Agent, as the filing discloses.

The filing describes the automatic call mechanism: if the closing level of the Index on any Observation Date equals or exceeds the Call Level, set at 100.00% of the Starting Value, the notes are redeemed at the applicable Call Amount. The Call Premiums range from [10.50% to 11.50%] if called on the first Observation Date, [21.00% to 23.00%] on the second, and [31.50% to 34.50%] on the final Observation Date. The actual Call Amounts and Call Premiums, the filing notes, will be determined on the pricing date, which had not yet occurred as of the filing date.

The filing states that the Threshold Value equals 100.00% of the Starting Value, meaning investors lose all or a portion of their principal if the Ending Value is below the Starting Value at maturity. The filing also discloses that "all payments are subject to the credit risk of The Bank of Nova Scotia," and that the notes are not insured or guaranteed by the CDIC, the FDIC, or any other governmental agency. The filing further states that the public offering price exceeds the initial estimated value due to the internal funding rate differential, underwriting discount, and hedging-related charge.

What Was Disclosed

The Bank of Nova Scotia filed a preliminary free writing prospectus under Rule 433 covering autocallable structured notes linked to the EURO STOXX 50 Index, detailing call mechanics, downside risk, fees, estimated value range of $9.11 to $9.41 per unit, and credit risk considerations.