Published on 8/10/2017 in the Prospect News Structured Products Daily.
New Issue: RBC prices $1.13 million contingent coupon barrier autocallables tied to four stocks
By Susanna Moon
Chicago, Aug. 10 – Royal Bank of Canada priced $1.13 million of autocallable contingent coupon barrier notes due Aug. 7, 2020 linked to the worst performing of the common stocks of Amazon.com, Inc., Facebook, Inc., Alphabet Inc. and Netflix Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 9.6% if each stock closes at or above its 50% coupon barrier on the observation date for that quarter.
The notes will be called at par if each stock closes above its initial level on any observation date.
The payout at maturity will be par unless either stock finishes below its 50% trigger level, in which case investors will receive a number shares of the worse performing stock equal to $1,000 divided by its initial share price.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
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| Issue: | Autocallable contingent coupon barrier notes
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| Underlying stock: | Amazon.com, Inc. (Symbol: AMZN), Facebook, Inc. (Symbol: FB), Alphabet Inc. (Symbol: GOOGL) and Netflix Inc. (Symbol: NFLX)
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| Amount: | $1,127,000
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| Maturity: | Aug. 7, 2020
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| Coupon: | 9.6%, payable quarterly if each stock closes at or above 50% coupon barrier on observation date for that quarter
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| Price: | Par
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| Payout at maturity: | Par unless either stock finishes below 50% trigger, in which case shares of the worse performing stock equal to $1,000 divided by initial level
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| Call: | At par if each stock closes above initial level on any observation date
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| Initial levels: | $987.58 for Amazon, $169.62 for Facebook, $945.79 for Alphabet and $180.27 for Netflix
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| Trigger levels: | $493.79 for Amazon, $84.81 for Facebook, $472.90 for Alphabet and $90.14 for Netflix; 50% of initial levels
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| Pricing date: | Aug. 4
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| Settlement date: | Aug. 9
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| Agents: | RBC Capital Markets, LLC
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| Fees: | 2.25%
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| Cusip: | 78012K3X3
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