Morgan Stanley Finance LLC filed a Free Writing Prospectus to Preliminary Pricing Supplement No. 20,005 on November 9, 2026, disclosing the terms of Worst-of INDU, RTY and SPX Trigger Jump Securities due December 6, 2033.

Key Highlights

  • Issuer and guarantor: Morgan Stanley Finance LLC is the issuer, with Morgan Stanley as guarantor, and all payments are subject to Morgan Stanley's credit risk.
  • Upside payment: The filing states the upside payment is $798.50 per security, or 79.85% of the stated principal amount.
  • Downside threshold: The downside threshold level is set at 75% of the initial level for each underlier.
  • Estimated value: The estimated value is $922.90 per security, or within $55.00 of that estimate, according to the filing.
  • Key dates: The pricing date is December 1, 2026, the observation date is December 1, 2033, and the maturity date is December 6, 2033.
  • CUSIP: The securities carry CUSIP 61781TYR8 and will not be listed on any securities exchange.
  • No principal guarantee: The filing states the securities "do not guarantee the return of any principal and do not pay interest."

Terms and Payment Structure of the Trigger Jump Securities

According to the filing, these securities are linked to the worst performing of three underliers: the Dow Jones Industrial Average (INDU), the Russell 2000 Index (RTY), and the S&P 500 Index (SPX). The payment at maturity is based solely on the performance of the worst performing underlier as of the observation date, December 1, 2033. The filing notes that this structure exposes investors to greater risk than if the securities were linked to only one underlier.

The filing provides hypothetical payment examples. If the worst performing underlier appreciates 10%, investors would receive a return of 79.85%, or $1,798.50 per security. If the worst performing underlier depreciates 85%, investors would receive only $150 per security, representing a loss of 85% of principal. At a 0.00% change in the worst performing underlier, the payment at maturity would be $1,798.50 per security. If the worst performing underlier falls by 26%, the payment would be $740.00 per security, illustrating that losses begin once the worst performer breaches the 75% downside threshold level.

The filing also discloses that the estimated value of $922.90 per security is less than the original issue price, noting that "the inclusion of costs associated with issuing, selling, structuring and hedging the securities in the original issue price reduce the economic terms of the securities." The securities are issued under Registration Statement Nos. 333-293641 and 333-293641-01. The U.S. federal income tax consequences are described in the filing as uncertain, and investors are directed to consult a tax adviser.

What Was Disclosed

Morgan Stanley Finance LLC disclosed the preliminary terms of structured securities tied to the worst of three equity indexes, with a maturity date of December 6, 2033, an estimated value of $922.90 per security, no principal guarantee, and no interest payments.