Filed Pursuant to Rule 433
Registration Statement No. 333-261476
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BEAR ACCELERATED RETURN NOTES® (BEAR ARNs®)
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Bear ARNs® Linked to the Nasdaq-100 Index®
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Issuer
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The Bank of Nova Scotia (“BNS”)
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Principal Amount
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$10.00 per unit
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Term
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Approximately fourteen months
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Market Measure
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The Nasdaq-100 Index® (Bloomberg symbol: “NDX”)
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Payout Profile at Maturity
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• 3-to-1
leveraged upside exposure to decreases in the Market Measure, subject to the Capped Value
• 1-to-1 downside exposure to increases in the Market Measure, with up to 100.00% of your principal at risk
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Participation Rate
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300.00%
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Capped Value
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[$15.70 to $17.70] per unit, a [57.00% to 77.00%] return over the principal amount, to be determined on the pricing date
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Investment Considerations
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This investment is designed for investors who anticipate that the Market Measure will decrease moderately over the term of the notes, and are willing to accept a capped return, take
full risk of any increase in the Market Measure and forgo interim interest payments.
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Preliminary Offering
Documents
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Exchange Listing
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No
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You should read the relevant Preliminary Offering Documents before you invest. Click on the Preliminary Offering Documents hyperlink above or call your
Financial Advisor for a hard copy.
Risk Factors
Please see the Preliminary Offering Documents for a description of certain risks related to this investment, including, but not limited to, the following:
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Depending on the performance of the Market Measure as measured shortly before the maturity date, your investment may result in a loss; there is no guaranteed return of principal. If the Ending Value is
greater than the Starting Value, you will lose all or a portion of your principal amount.
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Payments on the notes are subject to the credit risk of BNS, and actual or perceived changes in the creditworthiness of BNS are expected to affect the value of the notes. If BNS becomes insolvent or is
unable to pay its obligations, you may lose your entire investment.
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Your investment return is limited to the return represented by the Capped Value and may be less than a comparable investment that takes a short position directly in the Market Measure or the stocks
included in the Market Measure.
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The initial estimated value of the notes on the pricing date will be less than their public offering price.
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If you attempt to sell the notes prior to maturity, their market value may be lower than both the public offering price and the initial estimated value of the notes on the pricing date.
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You will have no rights of a holder of the securities represented by the Market Measure, and you will not be entitled to receive securities or dividends or other distributions by the issuers of those
securities.
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The notes are subject to risks associated with investments in securities linked to the value of non-U.S. equity securities.
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Final terms will be set on the pricing date within the given range for the specified Market-Linked Investment. Please see the Preliminary Offering Documents for complete
product disclosure, including related risks and tax disclosure.
The graph above and the table below reflect the hypothetical return on the notes, based on the terms contained in the table to the left
(using the mid-point for any range(s)). The graph and table have been prepared for purposes of illustration only and do not take into account any tax consequences from investing in the notes.
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Hypothetical
Percentage Change
from the Starting
Value to the Ending
Value
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Hypothetical
Redemption
Amount per Unit
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Hypothetical Total
Rate of Return on
the Notes
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-100.00%
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$16.70
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67.00%
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-75.00%
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$16.70
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67.00%
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-50.00%
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$16.70
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67.00%
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-40.00%
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$16.70
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67.00%
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-30.00%
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$16.70
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67.00%
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-22.33%
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$16.70
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67.00%
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-20.00%
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$16.00
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60.00%
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-10.00%
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$13.00
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30.00%
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-5.00%
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$11.50
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15.00%
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0.00%
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$10.00
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0.00%
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10.00%
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$9.00
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-10.00%
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20.00%
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$8.00
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-20.00%
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30.00%
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$7.00
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-30.00%
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40.00%
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$6.00
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-40.00%
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50.00%
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$5.00
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-50.00%
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60.00%
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$4.00
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-60.00%
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80.00%
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$2.00
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-80.00%
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100.00%
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$0.00
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-100.00%
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110.00%
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$0.00
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-100.00%
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| (1) |
The Redemption Amount per unit cannot exceed the hypothetical Capped Value.
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The Bank of Nova Scotia (“BNS”) has filed a registration statement (which includes a prospectus) with the U.S. Securities and Exchange Commission (SEC) for the notes that are described in this Guidebook.
Before you invest, you should carefully read the prospectus in that registration statement and other documents that BNS has filed with the SEC for more complete information about BNS and any offering described in this Guidebook. You may
obtain these documents without cost by visiting EDGAR on the SEC Website at www.sec.gov. BNS’s Central Index Key, or CIK, on the SEC website is 9631. Alternatively, Merrill Lynch will arrange to send you the prospectus and other
documents relating to any offering described in this document if you so request by calling toll-free 1-800-294-1322. BNS faces risks that are specific to its business, and we encourage you to carefully consider these risks before making
an investment in its securities.