New Issue: RBC prices $2.14 million leveraged buffered notes tied to index basket

By Susanna Moon

Chicago, Aug. 10 – Royal Bank of Canada priced $2.14 million of leveraged buffered notes due March 11, 2019 linked to a basket of indexes, according to a 424B2 filed with the Securities and Exchange Commission.

The basket includes 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 170% of any basket gain, up to a maximum settlement amount of $1,227.29 per $1,000 principal amount of notes.

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

RBC Capital Markets, LLC is the agent.

Issuer:	Royal Bank of Canada
Issue:	Leveraged buffered notes
Underlying basket:	Euro Stoxx 50 index (37% weight), FTSE 100 index (23% weight), Topix index (23% weight), Swiss Market index (9% weight) and S&P/ASX 200 index (8% weight)
Amount:	$2,135,000
Maturity:	March 11, 2019
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus 170% of any basket gain, capped at 22.729%; par if index falls by 10% or less; 1.1111% loss for each 1% decline beyond 10%
Initial index levels:	3,459.32 for Stoxx, 7,411.43 for FTSE, 1,634.38 for Topix, 9,122.68 for Swiss Market and 5,744.203 for S&P/ASX
Barrier levels:	90% of initial levels
Pricing date:	Aug. 2
Settlement date:	Aug. 9
Underwriter:	RBC Capital Markets, LLC
Fees:	None
Cusip:	78012K3G0

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