Morgan Stanley Finance LLC filed a Free Writing Prospectus to Preliminary Pricing Supplement No. 19,778 on November 2, 2026, summarizing the terms of Worst-of SX5E and RTY Market-Linked Notes due November 29, 2030.

Key Highlights

  • Issuer and guarantor: Morgan Stanley Finance LLC is the issuer, with Morgan Stanley as guarantor.
  • Underliers: The notes are linked to the EURO STOXX 50 Index (SX5E) and the Russell 2000 Index (RTY), with payment based solely on the worst performing underlier.
  • Participation rate: The participation rate is 137% to 142%.
  • Estimated value: $945.50 per note, or within $45.00 of that estimate, according to the filing.
  • Key dates: Pricing date is November 24, 2026; observation date is November 25, 2030; maturity date is November 29, 2030.
  • CUSIP: 61781TPP2.
  • No interest payments: The filing discloses that the notes do not pay interest.

Worst-of Structure and Payment Terms for MSFL Notes No. 19,778

According to the filing, the notes are issued by Morgan Stanley Finance LLC under Registration Statement Nos. 333-293641 and 333-293641-01, with Morgan Stanley serving as guarantor. The notes are linked to two underliers, the EURO STOXX 50 Index (SX5E) and the Russell 2000 Index (RTY), and payment at maturity is based solely on the performance of the worst performing of the two. The filing states that the participation rate ranges from 137% to 142%, and the estimated value is $945.50 per note, or within $45.00 of that estimate, which is less than the original issue price.

The filing provides a hypothetical payment table assuming a participation rate of 137%. Under those assumptions, a +100.00% change in the closing level of the worst performing underlier would produce a payment at maturity of $2,370.00 per note, while a +50.00% change would produce $1,685.00 per note. The filing further discloses that for a 0.00%, -50.00%, or -100.00% change, the payment at maturity per note would be $1,000.00 in each case.

The filing lists several risk considerations, including that the notes may not pay more than the stated principal amount, that they will not be listed on any securities exchange and secondary trading may be limited, and that all payments are subject to Morgan Stanley's credit risk. The filing also notes that, as a finance subsidiary, MSFL "has no independent operations and will have no independent assets." The filing discloses that the estimated value "is not a maximum or minimum secondary market price" and is determined by reference to Morgan Stanley's own pricing and valuation models. Investors are directed to the accompanying preliminary pricing supplement for additional risk factors and tax considerations.

What Was Disclosed

Morgan Stanley Finance LLC filed a Free Writing Prospectus summarizing the terms of Market-Linked Notes (CUSIP 61781TPP2) linked to the SX5E and RTY indices on a worst-of basis, with a maturity date of November 29, 2030, a participation rate of 137% to 142%, and an estimated value of $945.50 per note.