By Toni Weeks
San Luis Obispo, Calif., March 20 - Royal Bank of Canada priced $10 million of trigger phoenix autocallable optimization notes due March 24, 2017 linked to the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
If the index closes at or above the coupon barrier, 70% of the initial level, on a quarterly observation date, the issuer will pay a contingent coupon for that quarter at the annual rate of 5.2%. Otherwise, no coupon will be paid that quarter.
If the index closes at or above the initial level on any quarterly observation date beginning March 18, 2015, the notes will be called at par plus the contingent coupon.
If the notes are not called and the index finishes at or above the 70% trigger level, the payout at maturity will be par plus the contingent coupon. Otherwise, investors will be exposed to the index decline from the initial level.
UBS Financial Services Inc. and RBC Capital Markets, LLC are the underwriters.
| Issuer: | Royal Bank of Canada
|
| Issue: | Trigger phoenix autocallable optimization notes
|
| Underlying index: | Euro Stoxx 50
|
| Amount: | $10 million
|
| Maturity: | March 24, 2017
|
| Coupon: | 5.2%, payable quarterly if index closes at or above trigger level on observation date for that quarter
|
| Price: | Par of $10.00
|
| Payout at maturity: | Par plus contingent coupon if index finishes at or above trigger level; otherwise, par plus index return
|
| Call: | Automatically at par plus contingent coupon if index closes at or above initial level on any quarterly observation date beginning March 18, 2015
|
| Initial level: | 3,073.75
|
| Coupon barrier/trigger: | 2,151.63, 70% of initial level
|
| Pricing date: | March 18
|
| Settlement date: | March 21
|
| Underwriters: | UBS Financial Services Inc. and RBC Capital Markets, LLC
|
| Fees: | 1.5%
|
| Cusip: | 78010Y794
|
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