RBC plans 24- to 27-month leveraged buffer notes tied to five indexes

By Susanna Moon

Chicago, Oct. 21 – Royal Bank of Canada plans to price 0% 24- to 27-month leveraged buffered notes linked to a basket of five indexes, according to an FWP filed with the Securities and Exchange Commission.

The basket consists of the Euro Stoxx 50 index with a 37% initial weight, the FTSE 100 index with a 23% initial weight, the Topix index with a 23% initial weight, the Swiss Market index with a 9% initial weight and the S&P/ASX 200 index with an 8% initial weight.

The payout at maturity will be par plus 150% of any basket gain, up to a maximum settlement amount of $1,274.35 to $1,322.65 per $1,000 of notes. The exact cap will be set at pricing.

Investors will receive par if the basket falls by 10% or less and will lose 1.1111% for each 1% decline beyond 10%.

RBC Capital Markets, LLC is the agent.

The Cusip number is 78012KUU9.

© 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.