RBC plans contingent coupon barrier autocallables tied to three funds

By Wendy Van Sickle

Columbus, Ohio, Jan. 6 – Royal Bank of Canada plans to price autocallable contingent coupon barrier notes due Jan. 24, 2020 linked to the least performing of the Energy Select Sector SPDR fund, the Financial Select Sector SPDR fund and the Health Care Select Sector SPDR fund, according to an FWP filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon at an annual rate of 8.4% to 9.4% if each fund closes at or above its 65% barrier level on the related quarterly observation date.

The notes will be called at par if each fund closes at or above its initial level on any quarterly observation date.

The payout at maturity will be par unless any fund finishes below the barrier level, in which case investors will be fully exposed to any losses of the worst performing fund.

RBC Capital Markets, LLC is the underwriter.

The notes will price on Jan. 20.

The Cusip number is 78012KYN1.

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