Published on 11/22/2017 in the Prospect News Structured Products Daily.
New Issue: RBC sells $2 million 8.3% contingent coupon autocalls tied to indexes
By Susanna Moon
Chicago, Nov. 22 – Royal Bank of Canada priced $2 million of autocallable contingent coupon barrier notes due Nov. 18, 2021 linked to the lesser performing of the Russell 2000 index, the Nikkei 225 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes pay a contingent quarterly coupon at an annual rate of 8.3% if each index closes at or above its 75% coupon barrier on the observation date for that quarter.
The notes will be called at par if each index closes at or above its initial level on any quarterly observation date.
The payout at maturity will be par unless any index finishes below its 75% trigger level, in which case investors will be fully exposed to any losses of the worst performing index.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | Autocallable contingent coupon barrier notes
|
| Underlying indexes: | Russell 2000 index, Nikkei 225 index and Euro Stoxx 50 index
|
| Amount: | $2 million
|
| Maturity: | Nov. 18, 2021
|
| Coupon: | 8.3% annualized, payable quarterly if each index closes at or above 75% coupon barrier on observation date for that quarter
|
| Price: | Par
|
| Payout at maturity: | Par unless any index finishes below 75% trigger, in which case 1% loss per 1% decline of worst performing index
|
| Call: | At par if each index closes at or above initial level on any quarterly observation date
|
| Initial levels: | 1,464.095 for Russell, 22,028.32 for Nikkei and 3,545.72 for Stoxx
|
| Trigger levels: | 1,098.071 for Russell, 16,521.24 for Nikkei and 2,659.29 for Stoxx; 75% of initial levels
|
| Pricing date: | Nov. 15
|
| Settlement date: | Nov. 20
|
| Underwriter: | RBC Capital Markets, LLC
|
| Fees: | 3.25%
|
| Cusip: | 78013XAY4
|
|
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
