Obligation JPMorgan Chase 1.942% ( US48126NSZ14 ) en USD

JPMorgan Chase

100 % ▲

Etas-Unis

US48126NSZ14 ( en USD )

1.942% par an ( paiement semestriel )

31/10/2028

Prospectus brochure de l'obligation JP Morgan US48126NSZ14 en USD 1.942%, échéance 31/10/2028

1 000 USD

2 080 000 USD

48126NSZ1

A- ( Qualité moyenne supérieure )

01/05/2026 ( Dans 82 jours )

JPMorgan Chase & Co. est une société multinationale de services financiers américaine, offrant des services bancaires d'investissement, de gestion de patrimoine, de banque commerciale et de cartes de crédit à une clientèle mondiale.

L'Obligation émise par JPMorgan Chase ( Etas-Unis ) , en USD, avec le code ISIN US48126NSZ14, paye un coupon de 1.942% par an.
Le paiement des coupons est semestriel et la maturité de l'Obligation est le 31/10/2028

L'Obligation émise par JPMorgan Chase ( Etas-Unis ) , en USD, avec le code ISIN US48126NSZ14, a été notée NR par l'agence de notation Moody's.

L'Obligation émise par JPMorgan Chase ( Etas-Unis ) , en USD, avec le code ISIN US48126NSZ14, a été notée A- ( Qualité moyenne supérieure ) par l'agence de notation Standard & Poor's ( S&P ).

http://www.sec.gov/Archives/edgar/data/19617/000089109213008971/e...
424B2 1 e56048_424b2.htm PRICING SUPPLMENT NO. 1868
CALCULATION OF REGISTRATION FEE
Maximum Aggregate
Amount of
Title of Each Class of Securities Offered
Offering Price
Registration Fee
Notes
$2,080,000
$267.90

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Pricing supplement no. 1868
Pricing supplement to
To prospectus dated November 14, 2011,
Product Supplement No. 1-II
prospectus supplement dated November 14, 2011 and
Registration Statement No. 333-177923
product supplement no. 1-II dated April 5, 2013
Dated October 28, 2013; Rule 424(b)(2)
JPMorgan Chase & Co.
Callable Fixed to Floating Rate Notes Linked to the 30-Year
Structured Constant Maturity Swap Rate and 5-Year Constant Maturity
Investments
Swap Rate due October 31, 2028
$2,080,000
General
· Unsecured and unsubordinated obligations of JPMorgan Chase & Co. maturing October 31, 2028, subject to
postponement as described below.
· The notes are designed for investors who seek periodic interest payments that (a) for the Initial Interest Periods,
wil be equal to a fixed Interest Rate of 10.00% per annum and (b) for al subsequent Interest Periods, wil be equal
to the greater of (a) zero or (b) the Multiplier multiplied by the Spread, which is equal to the 30-Year CMS Rate
minus the 5-Year CMS Rate minus 0.15%. After the Initial Interest Periods, the Interest Rate is subject to the
Minimum Interest Rate of 0.00% per annum and the Maximum Interest Rate of 10.00% per annum. Any payment
on the notes is subject to the credit risk of JPMorgan Chase & Co.
· The terms of the notes as set forth below, to the extent they differ or conflict with those set forth in the
accompanying product supplement no. 1-II, wil supersede the terms set forth in the accompanying product
supplement no. 1-II. Among other things, your interest rate wil be determined as described below under "Key
Terms -- Interest Rate."
· At our option, we may redeem the notes, in whole but not in part, on any of the Redemption Dates specified below.
· Minimum denominations of $1,000 and integral multiples of $1,000 thereafter.
· The notes priced on October 28, 2013 and are expected to settle on or about October 31, 2013.
Key Terms
Payment at Maturity:
If the notes have not been redeemed, at maturity you wil receive a cash payment for
each $1,000 principal amount note of $1,000 plus any accrued and unpaid interest.
Redemption Feature:
At our option, we may redeem the notes, in whole but not in part, on the last day of
January, April, July and October of each year, commencing October 31, 2014 (each, a
"Redemption Date"). We may redeem your notes, in whole but not in part, at a price
equal to the principal amount being redeemed plus any accrued and unpaid interest,
subject to the Business Day Convention and the Accrual Period Convention described
below and in the accompanying product supplement.
Initial Interest Period(s):
Each Interest Period beginning on and including the Issue Date of the notes and ending
on but excluding October 31, 2014.
Initial Interest Rate(s):
10.00% per annum
Interest:
With respect to each Interest Period and subject to the Accrual Period Convention
described below and in the accompanying product supplement no. 1-II, for each $1,000
principal amount note, the interest payment wil be calculated as fol ows:
$1,000 x Interest Rate x Day Count Fraction
Interest Period:
The period beginning on and including the Issue Date of the notes and ending on but
excluding the first Interest Payment Date, and each successive period beginning on and
including an Interest Payment Date and ending on but excluding the next succeeding
Interest Payment Date, subject to the Accrual Period Convention described below and
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in the accompanying product supplement no. 1-II.
Interest Payment Date(s):
Interest on the notes wil be payable in arrears on the last day of January, April, July
and October of each year, commencing on January 31, 2014, to and including the
Maturity Date, or, if the notes have been redeemed, the applicable Redemption Date,
subject to the Business Day Convention and Accrual Period Convention described below
and in the accompanying product supplement no. 1-II.
Interest Rate:
With respect to each Initial Interest Period, a rate per annum equal to 10.00%, and with
respect to each Interest Period thereafter, a rate per annum, subject to the Minimum
Interest Rate and the Maximum Interest Rate, equal to the greater of (a) zero and (b)
the Multiplier multiplied by the Spread. With respect to each Interest Period fol owing
the final Initial Interest Period, the Interest Rate for any such Interest Period wil not be
less than the Minimum Interest Rate or greater than the Maximum Interest Rate.
Multiplier:
4.00
Spread:
With respect to each Interest Period (after the Initial Interest Periods), the 30-Year
CMS Rate minus the 5-Year CMS Rate minus 0.15% as determined on the applicable
Determination Date.
Minimum Interest Rate:
0.00% per annum
Maximum Interest Rate:
With respect to each Interest Period after the Initial Interest Periods, 10.00% per
annum
30-Year CMS Rate:
The 30-Year U.S. Dol ar Constant Maturity Swap Rate, which is the rate for a U.S.
dol ar swap with a Designated Maturity of 30 years that appears on Reuters page
"ISDAFIX1" (or any successor page) at approximately 11:00 a.m., New York City time,
on the Determination Date, as determined by the calculation agent. On the applicable
Determination Date, if the 30-Year CMS Rate cannot be determined by reference to
Reuters page "ISDAFIX1" (or any successor page), then the calculation agent wil
determine the 30-Year CMS Rate in accordance with the fal backs set forth under
"What is a CMS Rate?" below.
5-Year CMS Rate:
The 5-Year U.S. Dol ar Constant Maturity Swap Rate, which is the rate for a U.S. dol ar
swap with a Designated Maturity of 5 years that appears on Reuters page "ISDAFIX1"
(or any successor page) at approximately 11:00 a.m., New York City time, on the
Determination Date, as determined by the calculation agent. On the applicable
Determination Date, if the 5-Year CMS Rate cannot be determined by reference to
Reuters page "ISDAFIX1" (or any successor page), then the calculation agent wil
determine the 5-Year CMS Rate in accordance with the fal backs set forth under "What
is a CMS Rate?" below.

We refer to the 30-Year Constant Maturity Swap Rate and the 5-Year Constant
Maturity Swap Rate each as a "CMS Rate" and together as the "CMS Rates".
Designated Maturity:
5 years or 30 years, as the case may be, depending on whether the 5-Year CMS Rate
or the 30-Year CMS Rate is being calculated.
Determination Date:
For each Interest Period (other than the Initial Interest Periods), two U.S. Government
Securities Business Days immediately prior to the beginning of the applicable Interest
Period.
U.S. Government
Any day, other than a Saturday, Sunday or a day on which the Securities Industry and
Securities
Financial Markets Association ("SIFMA") recommends that the fixed income
Business Day:
departments of its members be closed for the entire day for purposes of trading in U.S.
government securities.
Pricing Date:
October 28, 2013
Issue Date:
October 31, 2013, subject to the Business Day Convention.
Maturity Date:
October 31, 2028, subject to the Business Day Convention.
Business Day Convention:
Fol owing
Accrual Period Convention:
Unadjusted
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Day Count Fraction:
30/360
CUSIP:
48126NSZ1
Investing in the notes involves a number of risks. See "Risk Factors" beginning on page PS-14 of the
accompanying product supplement no. 1-II and "Selected Risk Considerations" beginning on page PS-1 of this
pricing supplement.
Neither the SEC nor any state securities commission has approved or disapproved of the notes or passed upon the
accuracy or the adequacy of this pricing supplement, the accompanying product supplement no. 1-II or the
accompanying prospectus supplement and prospectus. Any representation to the contrary is a criminal offense.
Fees and Commissions

Price to Public (1)(2)(3)
(2)
Proceeds to Issuer
Per note
At variable prices
$36.15
$963.85
Total
At variable prices
$75,192
$2,004,808
(1) See "Supplemental Use of Proceeds" in this pricing supplement for information about the components of the price to
public of the notes.
(2) J.P. Morgan Securities LLC, which we refer to as JPMS, acting as agent for JPMorgan Chase & Co., wil pay al of
the selling commissions of $36.15 per $1,000 principal amount note it receives from us to other affiliated or unaffiliated
dealers. See "Plan of Distribution (Conflicts of Interest)" beginning on page PS-43 of the accompanying product
supplement no. 1-II.
(3) JPMS sold the notes in one or more negotiated transactions, at varying prices determined at the time of each sale,
which were at market prices prevailing, at prices related to such prevailing prices or at negotiated prices, provided that
such prices were not less than $960.00 per $1,000 principal amount note and not more than $1,000 per $1,000 principal
amount note. See "Plan of Distribution (Conflicts of Interest)" beginning on page PS-43 of the accompanying product
supplement no. 1-II.
The estimated value of the notes as determined by JPMS, when the terms of the notes were set, was $908.94
per $1,000 principal amount note. See "JPMS's Estimated Value of the Notes" in this pricing supplement for
additional information.
The notes are not bank deposits and are not insured or guaranteed by the Federal Deposit Insurance Corporation or
any other governmental agency, nor are they obligations of, or guaranteed by, a bank.
October 28, 2013

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Additional Terms Specific to the Notes
You should read this pricing supplement together with the prospectus dated November 14, 2011, as supplemented by
the prospectus supplement dated November 14, 2011, relating to our Series E medium-term notes of which these notes
are a part, and the more detailed information contained in product supplement no. 1-II dated April 5, 2013. This pricing
supplement, together with the documents listed below, contains the terms of the notes, supplements the term
sheet related hereto, dated October 16, 2013 and supersedes all other prior or contemporaneous oral
statements as well as any other written materials including preliminary or indicative pricing terms,
correspondence, trade ideas, structures for implementation, sample structures, fact sheets, brochures or other
educational materials of ours. You should careful y consider, among other things, the matters set forth in "Risk
Factors" in the accompanying product supplement no. 1-II, as the notes involve risks not associated with conventional
debt securities. We urge you to consult your investment, legal, tax, accounting and other advisers before you invest in
the notes.
You may access these documents on the SEC website at www.sec.gov as fol ows (or if such address has changed, by
reviewing our filings for the relevant date on the SEC website):
· Product supplement no. 1-II dated April 5, 2013:
http://www.sec.gov/Archives/edgar/data/19617/000089109213003066/e53030_424b2.htm
Prospectus supplement dated November 14, 2011:
http://www.sec.gov/Archives/edgar/data/19617/000089109211007578/e46180_424b2.pdf
· Prospectus dated November 14, 2011:
http://www.sec.gov/Archives/edgar/data/19617/000089109211007568/e46179_424b2.pdf
Our Central Index Key, or CIK, on the SEC website is 19617. As used in this pricing supplement, the "Company," "we,"
"us," or "our" refers to JPMorgan Chase & Co.
The notes are subject to the limitation on interest described under "Description of Notes -- Floating Rate Notes" on page
S-10 of the Prospectus Supplement dated November 14, 2011.
Selected Purchase Considerations
· PRESERVATION OF CAPITAL AT MATURITY OR UPON REDEMPTION -- Regardless of the performance of the
30-Year CMS Rate or the 5-Year CMS Rate, we wil pay you at least the principal amount of your notes if you hold
the notes to maturity or upon redemption. Because the notes are our unsecured and unsubordinated obligations,
payment of any amount at maturity or upon redemption is subject to our ability to pay our obligations as they
become due.
· PERIODIC INTEREST PAYMENTS -- The notes offer periodic interest payments on each Interest Payment Date.
With respect to the Initial Interest Periods, your notes wil pay an annual interest rate equal to the Initial Interest
Rate, and for the applicable Interest Periods thereafter, your notes wil pay a rate per annum equal to the greater
of (a) zero and (b) the Multiplier multiplied by the Spread, provided that such rate wil not be greater than the
Maximum Interest Rate or less than the Minimum Interest Rate. The yield on the notes may be less than the overal
return you would receive from a conventional debt security that you could purchase today with the same maturity as
the notes.
· POTENTIAL PERIODIC REDEMPTION BY US AT OUR OPTION -- At our option, we may redeem the notes, in
whole but not in part, for a cash payment equal to $1,000 for each $1,000 principal amount note plus any accrued
and unpaid interest, subject to the Business Day Convention and the Accrual Period Convention described on the
cover of this pricing supplement and in the accompanying product supplement.
· TAXED AS CONTINGENT PAYMENT DEBT INSTRUMENTS You should review careful y the section entitled
"Material U.S. Federal Income Tax Consequences" in the accompanying product supplement no. 1-II. Subject to the
limitations described therein, in the opinion of our special tax counsel, Sidley Austin LLP, the notes wil be treated
for U.S. federal income tax purposes as "contingent payment debt instruments." You wil general y be required to
accrue and recognize original issue discount ("OID") as interest income in each year at the "comparable yield," as
determined by us, even though the actual interest payments made with respect to the notes during a taxable year
may differ from the amount of OID that must be accrued during that taxable year. In addition, solely for purposes of
determining the amount of OID that you wil be required to accrue, we are also required to construct a "projected
payment schedule" in respect of the notes representing a series of payments the amount and timing of which would
produce a yield to maturity on the notes equal to the comparable yield. You wil be required to make adjustments to
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the amount of OID you must recognize each taxable year to reflect the difference, if any, between the actual
amount of interest payments made and the projected amount of the interest payments (as reflected in the projected
payment schedule). Under the forgoing rules, you wil not be required to separately include in income the interest
payments you receive with respect to the notes. To obtain the comparable yield and the projected payment
schedule in respect of the notes, contact a certified financial analyst at the Global Securities Group desk at (800)
576-3529. General y, amounts received at maturity or earlier sale or disposition in excess of your tax basis, if any,
wil be treated as additional interest income while any loss wil be treated as an ordinary loss to the extent of al
previous interest inclusions with respect to the notes, which wil be deductible against other income (e.g.,
employment and interest income), with the balance treated as capital loss, the deductibility of which may be subject
to limitations. Purchasers who are not initial purchasers of notes at the issue price should consult their tax advisers
with respect to the tax consequences of an investment in the notes, including the treatment of the difference, if any,
between their basis in the notes and the notes' adjusted issue price.
Subject to certain assumptions and representations received from us, the discussion in this section entitled "Taxed
as Contingent Payment Debt Instruments", when read in combination with the section entitled "Material U.S. Federal
Income Tax Consequences" in the accompanying product supplement, constitutes the ful opinion of Sidley Austin
LLP regarding the material U.S. federal income tax treatment of owning and disposing of the notes.
Selected Risk Considerations
An investment in the notes involves significant risks. These risks are explained in more detail in the "Risk Factors"
section of the accompanying product supplement no. 1-II dated April 5, 2013.
· THE NOTES ARE NOT ORDINARY DEBT SECURITIES BECAUSE, EXCEPT FOR THE INITIAL INTEREST
PERIODS, THE INTEREST RATE ON THE NOTES IS VARIABLE AND MAY BE EQUAL TO THE MINIMUM
INTEREST RATE With respect to the Initial Interest Periods, your notes wil pay an annual interest rate equal to
the Initial Interest Rate, and for the applicable Interest Periods thereafter, your notes wil pay a rate per annum
equal to the greater of (a) zero and (b) the Multiplier multiplied by the Spread, provided that such rate wil not be
less than the Minimum Interest Rate or greater than the Maximum Interest Rate. If the Spread as described on the
cover of this pricing supplement is less than or equal to zero, the Interest Rate for such Interest Period wil be equal
to the Minimum Interest Rate. You wil not be compensated for any loss in value due to inflation and other factors
relating to the value of money over time during such period.
· THE INTEREST RATE ON THE NOTES FOR AN INTEREST PERIOD (OTHER THAN AN INITIAL INTEREST
PERIOD) IS SUBJECT TO THE MAXIMUM INTEREST RATE The Interest Rate for an Interest Period (other
than an Initial Interest Period) is variable; however, it wil not exceed the Maximum Interest Rate set forth on the
front cover of this pricing supplement, regardless of the performance of the CMS Rates or the Spread. In other
words, for an Interest Period (other than an Initial Interest Period), if the Multiplier multiplied by the Spread is
greater than or equal to the Maximum Interest Rate, your Interest Rate on the notes wil be capped at the Maximum
Interest Rate.
· THE INTEREST RATE ON THE NOTES IS BASED ON THE SPREAD, WHICH MAY RESULT IN YOU
RECEIVING THE MINIMUM INTEREST RATE OF 0.00% PER ANNUM  The Spread is calculated as (a) the
30-Year CMS Rate minus (b) the 5-Year CMS Rate minus (c) 0.15%. The CMS Rates may be influenced by a
number of factors, including (but not limited to) monetary
JPMorgan Structured Investments --
PS-1
Cal able Fixed to Floating Rate Notes Linked to the 30-Year Constant Maturity Swap Rate and 5-Year Constant Maturity
Swap Rate

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policies, fiscal policies, inflation, general economic conditions and public expectations with respect to such factors.
The effect that any single factor may have on the CMS Rates may be partial y offset by other factors. We cannot
predict the factors that may cause the CMS Rates, and consequently the Spread, to increase or decrease. A
decrease in a positive Spread wil result in a reduction of the Interest Rate payable for the corresponding Interest
Period (other than the Initial Interest Periods). A negative Spread wil cause the Interest Rate for the corresponding
Interest Period to be equal to the Minimum Interest Rate of 0.00% per annum. The amount of interest you accrue
on the notes in any Interest Period (other than the Initial Interest Periods) may decrease even if either or both of the
CMS Rates increase. Interest during any Interest Period (other than the Initial Interest Periods) may be equal to
0.00% per annum, and you wil not be compensated for any loss in value due to inflation and other factors relating
to the value of money over time during such period.
· THE METHOD OF DETERMINING THE VARIABLE INTEREST RATE FOR ANY INTEREST PERIOD MAY NOT
DIRECTLY CORRELATE WITH THE ACTUAL CMS RATES -- The determination of the Interest Rate payable for
any Interest Period (other than the Initial Interest Periods) wil be based on the Spread, but it wil not directly
correlate with actual CMS Rates. In addition, the Interest Rate applicable to the notes during any Interest Period
(other than the Initial Interest Periods) wil not be greater than the Maximum Interest Rate or less than the Minimum
Interest Rate. We wil use the CMS Rates on each Determination Date to determine the Spread on such
Determination Date, which in turn wil be used to determine the Interest Rate for the Interest Period corresponding
to such Determination Date, regardless of what the actual CMS Rates and differences between the CMS Rates are
for the calendar days during such Interest Period that are not Determination Dates.
· WE MAY CALL YOUR NOTES PRIOR TO THEIR SCHEDULED MATURITY DATE -- We may choose to cal the
notes early or choose not to cal the notes early on any Redemption Date in our sole discretion. If the notes are
cal ed early, you wil receive the principal amount of your notes plus accrued and unpaid interest to, but not including
the Redemption Date. The aggregate amount that you wil receive through and including the Redemption Date wil
be less than the aggregate amount that you would have received had the notes not been cal ed early. If we cal the
notes early, your overal return may be less than the yield which the notes would have earned if you held your notes
to maturity and you may not be able to reinvest your funds at the same rate as the original note. We may choose to
cal the notes early, for example, if U.S. interest rates decrease significantly or if volatility of U.S. interest rates
decreases significantly.
· VARIABLE RATE NOTES DIFFER FROM FIXED RATE NOTES After the Initial Interest Periods, the rate of
interest on your notes wil be variable and determined based on the Spread, provided that such rate wil not be
greater than the Maximum Interest Rate or less than the Minimum Interest Rate, which may be less than returns
otherwise payable on notes issued by us with similar maturities. You should consider, among other things, the
overal potential annual percentage rate of interest to maturity of the notes as compared to other investment
alternatives.
· LONGER DATED NOTES MAY BE MORE RISKY THAN SHORTER DATED NOTES By purchasing a note with
a longer tenor, you are more exposed to fluctuations in interest rates than if you purchased a note with a shorter
tenor. Specifically, you may be negatively affected if certain interest rate scenarios occur. The applicable discount
rate, which is the prevailing rate in the market for notes of the same tenor, wil likely be higher for notes with longer
tenors than if you had purchased a note with a shorter tenor. Therefore, assuming that short term rates rise, the
market value of a longer dated note wil be lower than the market value of a comparable short term note with
similar terms.
· CREDIT RISK OF JPMORGAN CHASE & CO. -- The notes are subject to the credit risk of JPMorgan Chase &
Co., and our credit ratings and credit spreads may adversely affect the market value of the notes. Investors are
dependent on JPMorgan Chase & Co.'s ability to pay all amounts due on the notes. Any actual or potential change
in our creditworthiness or credit spreads, as determined by the market for taking our credit risk, is likely to
adversely affect the value of the notes. If we were to default on our payment obligations, you may not receive any
amounts owed to you under the notes and you could lose your entire investment.
· POTENTIAL CONFLICTS -- We and our affiliates play a variety of roles in connection with the issuance of the
notes, including acting as calculation agent and as an agent of the offering of the notes, hedging our obligations
under the notes and making the assumptions used to determine the pricing of the notes and the estimated value of
the notes when the terms of the notes are set, which we refer to as JPMS's estimated value. In performing these
duties, our economic interests and the economic interests of the calculation agent and other affiliates of ours are
potential y adverse to your interests as an investor in the notes. In addition, our business activities, including hedging
and trading activities as wel as modeling and structuring the economic terms of the notes, could cause our
economic interests to be adverse to yours and could adversely affect any payment on the notes and the value of
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the notes. It is possible that hedging or trading activities of ours or our affiliates in connection with the notes could
result in substantial returns for us or our affiliates while the value of the notes declines. Please refer to "Risk
Factors -- Risks Relating to the Notes General y" in the accompanying product supplement no. 1-II for additional
information about these risks.
· JPMS'S ESTIMATED VALUE OF THE NOTES IS LOWER THAN THE ORIGINAL ISSUE PRICE (PRICE TO
PUBLIC) OF THE NOTES -- JPMS's estimated value is only an estimate using several factors. The original issue
price of the notes exceeds JPMS's estimated value because costs associated with selling, structuring and hedging
the notes are included in the original issue price of the notes. These costs include the sel ing commissions, the
projected profits, if any, that our affiliates expect to realize for assuming risks inherent in hedging our obligations
under the notes and the estimated cost of hedging our obligations under the notes. See "JPMS's Estimated Value of
the Notes" in this pricing supplement.
· JPMS'S ESTIMATED VALUE DOES NOT REPRESENT FUTURE VALUES OF THE NOTES AND MAY DIFFER
FROM OTHERS' ESTIMATES -- JPMS's estimated value of the notes is determined by reference to JPMS's
internal pricing models when the terms of the notes are set. This estimated value is based on market conditions and
other relevant factors existing at that time and JPMS's assumptions about market parameters, which can include
volatility, interest rates and other factors. Different pricing models and assumptions could provide valuations for
notes that are greater than or less than JPMS's estimated value. In addition, market conditions and other relevant
factors in the future may change, and any assumptions may prove to be incorrect. On future dates, the value of the
notes could change significantly based on, among other things, changes in market conditions, our creditworthiness,
interest rate movements and other relevant factors, which may impact the price, if any, at which JPMS would be
wil ing to buy notes from you in secondary market transactions. See "JPMS's Estimated Value of the Notes" in this
pricing supplement.
· JPMS'S ESTIMATED VALUE IS NOT DETERMINED BY REFERENCE TO CREDIT SPREADS FOR OUR
CONVENTIONAL FIXED-RATE DEBT -- The internal funding rate used in the determination of JPMS's estimated
value general y represents a discount from the credit spreads for our conventional fixed-rate debt. The discount is
based on, among other things, our view of the funding value of the notes as wel as the higher issuance, operational
and ongoing liability management costs of the notes in comparison to those costs for our conventional fixed-rate
debt. If JPMS were to use the interest rate implied by our conventional fixed-rate credit spreads, we would expect
the economic terms of the notes to be more favorable to you. Consequently, our use of an internal funding rate
would have an adverse effect on the terms of the notes and any secondary market prices of the notes. See
"JPMS's Estimated Value of the Notes" in this pricing supplement.
· THE VALUE OF THE NOTES AS PUBLISHED BY JPMS (AND WHICH MAY BE REFLECTED ON CUSTOMER
ACCOUNT STATEMENTS) MAY BE HIGHER THAN JPMS'S THEN-CURRENT ESTIMATED VALUE OF THE
NOTES FOR A LIMITED TIME PERIOD -- We general y expect that some of the costs included in the original
issue price of the notes wil be partial y paid back to you in connection with any repurchases of your notes by JPMS
in an amount that wil decline to zero over an initial predetermined period. These costs can include projected
hedging profits, if any, and, in some circumstances, estimated hedging costs and our secondary market credit
spreads for structured debt issuances. See "Secondary Market Prices of the Notes" in this pricing supplement for
additional information relating to this initial period. Accordingly, the estimated value of your notes during this initial
period may be lower than the value of the notes as published by JPMS (and which may be shown on your customer
account statements).
· SECONDARY MARKET PRICES OF THE NOTES WILL LIKELY BE LOWER THAN THE ORIGINAL ISSUE
PRICE OF THE NOTES -- Any secondary market prices of the notes wil likely be lower than the original issue
price of the notes because, among other things, secondary market prices take into account our secondary market
credit spreads for structured debt
JPMorgan Structured Investments --
PS-2
Cal able Fixed to Floating Rate Notes Linked to the 30-Year Constant Maturity Swap Rate and 5-Year Constant Maturity
Swap Rate

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issuances and, also, because secondary market prices (a) exclude sel ing commissions and (b) may exclude
projected hedging profits, if any, and estimated hedging costs that are included in the original issue price of the
notes. As a result, the price, if any, at which JPMS wil be wil ing to buy notes from you in secondary market
transactions, if at al , is likely to be lower than the original issue price. Any sale by you prior to the maturity date
could result in a substantial loss to you. See the two immediately fol owing risk considerations for information about
additional factors that wil impact any secondary market prices of the notes.
The notes are not designed to be short-term trading instruments. Accordingly, you should be able and wil ing to hold
your notes to maturity. See "-- Lack of Liquidity" below.
· SECONDARY MARKET PRICES OF THE NOTES WILL BE IMPACTED BY MANY ECONOMIC AND MARKET
FACTORS -- The secondary market price of the notes during their term wil be impacted by a number of economic
and market factors, which may either offset or magnify each other, aside from the sel ing commissions, projected
hedging profits, if any, estimated hedging costs, including, but not limited to:
· any actual or potential change in our creditworthiness or credit spreads;
· customary bid-ask spreads for similarly sized trades;
· secondary market credit spreads for structured debt issuances;
· the time to maturity of the notes;
· interest and yield rates in the market general y, as wel as the volatility of those rates;
· the likelihood, or expectation, that the notes wil be redeemed by us, based on prevailing market interest rates
or otherwise; and
· a variety of other economic, financial, political, regulatory and judicial events.
Additionally, independent pricing vendors and/or third party broker-dealers may publish a price for the notes, which
may also be reflected on customer account statements. This price may be different (higher or lower) than the price
of the notes, if any, at which JPMS may be wil ing to purchase your notes in the secondary market.
· LACK OF LIQUIDITY -- The notes wil not be listed on any securities exchange. JPMS intends to offer to purchase
the notes in the secondary market but is not required to do so. Even if there is a secondary market, it may not
provide enough liquidity to allow you to trade or sel the notes easily. Because other dealers are not likely to make a
secondary market for the notes, the price at which you may be able to trade your notes is likely to depend on the
price, if any, at which JPMS is wil ing to buy the notes.
· THE AMOUNT OF INTEREST, IF ANY, WILL BE AFFECTED BY A NUMBER OF FACTORS -- After the Initial
Interest Periods, the amount of interest, if any, payable on your notes wil depend primarily on the CMS Rates. A
number of factors can affect the value of your notes and/or the amount of interest that you wil receive, including,
but not limited to:
· changes in, or perceptions, about the future CMS Rates;
· general economic conditions;
· prevailing interest rates; and
· policies of the Federal Reserve Board regarding interest rates.
These and other factors may have a negative impact on the payment of interest on the notes and on the value of
the notes in the secondary market.
· THE CMS RATES MAY BE VOLATILE -- The CMS Rates are subject to volatility due to a variety of factors
affecting interest rates general y, including but not limited to:
· sentiment regarding the U.S. and global economies;
· expectation regarding the level of price inflation;
· sentiment regarding credit quality in U.S. and global credit markets;
· central bank policy regarding interest rates; and
· performance of capital markets.
· VARIABLE PRICE REOFFERING RISKS -- JPMS sold the notes at market prices prevailing, at prices related to
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then-prevailing prices or at negotiated prices, provided that such prices were not less than $960.00 per $1,000
principal amount note or more than $1,000 per $1,000 principal amount note. Accordingly, there is a risk that the
price you pay for the notes wil be higher than the prices paid by other investors based on the date and time you
make your purchase, from whom you purchase the notes (e.g., directly from JPMS or through a broker or dealer),
any related transaction cost (e.g., any brokerage commission), whether you hold your notes in a brokerage
account, a fiduciary or fee-based account or another type of account and other market factors beyond our control.
JPMorgan Structured Investments --
PS-3
Cal able Fixed to Floating Rate Notes Linked to the 30-Year Constant Maturity Swap Rate and 5-Year Constant Maturity
Swap Rate

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