By Angela McDaniels
Tacoma, Wash., May 23 – Royal Bank of Canada priced $329,000 of autocallable contingent coupon barrier notes due May 23, 2019 linked to the lesser performing of the common stocks of Ford Motor Co. and General Motors Corp., according to a 424B2 filing with the Securities and Exchange Commission.
Each quarter, the notes pay a contingent coupon at the rate of 9.5% per year if each stock closes at or above its trigger price, 65% of its initial price, on the observation date for that quarter.
Beginning Nov. 20, 2017, the notes will be called at par if each stock closes at or above its initial share price on any quarterly observation date.
The payout at maturity will be par unless either stock finishes below its trigger price, in which case investors will lose 1% for every 1% that the lesser-performing index declines from its initial level.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | Autocallable contingent coupon barrier notes
|
| Underlying stocks: | Ford Motor Co. (Symbol: F) and General Motors Corp. (Symbol: GM)
|
| Amount: | $329,000
|
| Maturity: | May 23, 2019
|
| Coupon: | 9.5% per year, payable quarterly if each stock closes at or above trigger price on observation date for that quarter
|
| Price: | Par
|
| Payout at maturity: | Par unless either stock finishes below trigger price, in which 1% loss for every 1% that lesser-performing index declines form initial level
|
| Call: | Beginning Nov. 20, 2017, at par if each stock closes at or above initial share price on any quarterly observation date
|
| Initial share prices: | $10.87 for Ford and $32.72 for GM
|
| Trigger prices: | $7.07 for Ford and $21.27 for GM; 65% of initial prices
|
| Pricing date: | May 19
|
| Settlement date: | May 24
|
| Underwriter: | RBC Capital Markets, LLC
|
| Fees: | 1.75%
|
| Cusip: | 78012KR33
|
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