By William Gullotti
Buffalo, N.Y., July 20 – Royal Bank of Canada priced $4.8 million issuer callable contingent coupon buffered notes due July 11, 2024 tied to the shares of Ford Motor Co., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a monthly contingent coupon at an annual rate of 17.25% if the stock closes at or above its 80% coupon barrier on the corresponding observation date.
The notes may be called at par plus any coupon otherwise due on the coupon payment date occurring in April 2024.
Investors will receive par plus the contingent coupon if the final level of the stock is above its 90% trigger level.
Otherwise, investors will lose 1% for each 1% decline of the stock beyond 10%, payable as cash or an equivalent number of shares at the issuer’s option.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
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| Issue: | Issuer callable contingent coupon buffered notes
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| Underlying stock: | Ford Motor Co.
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| Amount: | $4.8 million
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| Maturity: | July 11, 2024
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| Coupon: | 17.25% per year, paid monthly if stock closes at or above coupon barrier on the related observation date
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| Price: | Par
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| Payout at maturity: | Par plus contingent coupon if stock finishes at or above trigger level; otherwise, lose 1% for each 1% decline beyond 10%, payable as cash or an equivalent number of shares at the issuer’s option
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| Call option: | At par plus any coupon due on the coupon payment date occurring in April 2024
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| Initial price: | $14.98
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| Coupon barrier level: | $11.98; 80% of initial level
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| Trigger level: | $13.48; 90% of initial level
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| Pricing date: | July 6
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| Settlement date: | July 11
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| Agent: | RBC Capital Markets, LLC
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| Fees: | 0.35%
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| Cusip: | 78015QFB2
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