BofA Finance Introduces $1,000 Contingent Income Notes Tied to EURO STOXX 50, Nasdaq-100, and Russell 2000 with Pricing on July 29, 2026

Overview and Terms of the Contingent Income Notes

BofA Finance’s newly announced notes are a sophisticated structured product designed to deliver enhanced coupon income in exchange for exposure to multiple equity indices. The instrument references three major global indices—the European EURO STOXX 50, the U.S. tech-focused Nasdaq-100, and the U.S. small-cap Russell 2000—and bases returns on the performance of the lowest-performing index among them. The public offering price is $1,000.00 per note, with a minimum investment of $1,000.00 and increments of $1,000.00 thereafter.

The notes mature approximately 23 months after issuance, from August 3, 2026, to July 5, 2028, with a Valuation Date on June 29, 2028. Monthly observation and contingent payment dates are incorporated throughout the term. BofA Securities, Inc., an affiliate of the issuer, will act as calculation and selling agent. The notes will not be listed on any securities exchange.

Contingent Coupon Structure and Monthly Income

A key feature is the contingent coupon mechanism, offering an 11.00% per annum coupon rate, equivalent to 0.9167% monthly payments. Coupons are paid only if, on each monthly Observation Date, all three indices close at or above 70.00% of their Starting Values. If any index falls below this threshold, the coupon for that month is forfeited. Monthly payments of $9.167 per $1,000 principal will be made on applicable Contingent Payment Dates, including maturity if conditions are met. The elevated coupon rate reflects the risk that all three geographically and sector-diverse indices must simultaneously maintain minimum performance levels.

Issuer’s Call Option and Early Redemption

Starting November 3, 2026, BofA Finance may redeem all outstanding notes on any monthly Call Payment Date. This call feature allows the issuer to manage liabilities, especially if market conditions favor terminating the high coupon payments. Redemption will be at $1,000 plus any applicable contingent coupon if observation conditions are satisfied on the relevant date.

Notice of call must be given at least five business days and no more than 60 calendar days before the Call Payment Date. This early call option, available roughly 3.5 months after issuance, limits investor certainty on investment duration despite the stated 23-month maturity. The issuer benefits by potentially retiring the notes when underlying indices perform well.

Principal Risk and Protection Conditions

The notes carry significant principal risk tied to the least-performing underlying index. At maturity, if the notes are not called, investors receive full principal ($1,000) only if the least-performing index’s Ending Value is at least 70.00% of its Starting Value. If the index declines more than 30%, investors incur losses on a 1:1 basis relative to that decline, risking up to 100% of principal.

For example, a 50% drop in the lowest-performing index would reduce the redemption amount to $500 per $1,000 principal, equating to a 50% loss. Final contingent coupon payments at maturity require all indices to meet the 70.00% threshold, maintaining the all-or-nothing performance condition.

Credit Risk and Bank of America Guarantee

Payments on the notes, including coupons and principal, depend on the creditworthiness of BofA Finance LLC, but are fully and unconditionally guaranteed by Bank of America Corporation. This guarantee provides additional credit support but does not eliminate risks related to adverse index performance or issuer credit events.

The notes are not FDIC insured, nor are they bank deposits. Investors should understand that the guarantee’s strength depends on Bank of America’s financial condition and ability to meet obligations.

Valuation and Initial Pricing

The initial estimated value at pricing is expected between $910.00 and $960.00 per $1,000 principal, below the $1,000 public offering price. This discount accounts for embedded options and structuring costs. Actual values will vary with market factors including volatility and interest rates.

BofA Securities, Inc. will determine index values and payment calculations. The notes’ CUSIP is 09712G3Z5. Prospective investors should review the detailed "Risk Factors" sections in the pricing supplement and related documents for comprehensive risk information.

Underwriting and Distribution Details

The underwriting discount is $21.75 per $1,000 principal, yielding net proceeds of $978.25 per note before expenses—approximately a 2.175% discount. Dealers selling to fee-based advisory accounts may waive some or all selling concessions, potentially lowering the public offering price to $978.25 for those investors.

BofA Finance affiliates will pay referral fees up to $3.00 per $1,000 principal to registered broker-dealers involved in distribution. These fees contribute to the overall embedded costs investors should consider when assessing net returns.

Default and Acceleration Provisions

The notes are governed by a senior indenture’s events of default framework. Upon default and acceleration, redemption amounts are calculated as if the acceleration date were the maturity date, using values from three trading days prior.

Final contingent coupon payments upon acceleration depend on index levels at the deemed Valuation Date and are prorated accordingly. Notably, no default interest rate applies, meaning investors receive no additional compensation if payments are missed due to default.

Regulatory and Registration Information

The notes are offered under a preliminary pricing supplement filed pursuant to Rule 424(b)(2), relating to an effective Registration Statement under the Securities Act of 1933 (Nos. 333-290665 and 333-290665-01). Accompanying documents include a prospectus, Series A Prospectus Supplement, and Product Supplement EQUITY-1, all dated December 8, 2025. The pricing supplement is subject to completion and may change before final pricing on July 29, 2026.

Regulatory bodies including the SEC and state commissions have not approved or disapproved the notes or verified the completeness or accuracy of offering documents. Any contrary representation is a criminal offense, underscoring that regulatory clearance does not imply endorsement of the investment’s merits.