Morgan Stanley is issuing a bond that will protect 100% of principal deposits while giving 100% upside in the S&P 500 to a cap of doubling the original deposit. But only during the month of December 2023,

Here’s how it works:

If the S&P is down 30% you get your money back, but if it is up 30% you earn 30%. If it is up 110% you only double your money, but still. Pretty crazy.

They are doing this through something called a structured note, which is a custom five year bond issued and backed directly by Morgan Stanley.

With the recent volatility and interest rates so high, a custom bond like this is not uncommon, but this one is the best I have seen.

However, Morgan Stanley is ending this deal at the end of December. Hard stop.

So I’d recommend you get ahold of your advisor soon.

Have you heard of custom bond? If not, you should ask your advisor about them.

Honestly, I was in the industry with my previous firm for almost 20 years and had never heard of them, so there is a good chance your advisor either doesn’t know about them or only has access to the commission-based versions.

In that case, here is what I recommend you look at with your advisor:

1. Ensure it’s fee based, not commission based

2. Should be issued by a US bank

3. The 5-year duration seems to be priced best right now, but 3 years are attractive too.

If you have a question feel free to email me at

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