New Issue: RBC prices $1.47 million barrier absolute return notes linked to S&P, Dow

By William Gullotti

Buffalo, N.Y., Feb. 22 – Royal Bank of Canada priced $1.47 million of barrier absolute return notes due Feb. 18, 2028 linked to the S&P 500 index and the Dow Jones industrial average, according to a 424B2 filing with the Securities and Exchange Commission.

If each index finishes at or above its initial level, the payout at maturity will be par plus 175% of the return of the laggard index, capped at par plus 93.5%.

If the laggard index declines up to the barrier level, 80% of the initial index level, the payout will be par plus the absolute value of that index’s return.

Otherwise, investors will lose 1% for every 1% decline of the laggard index from its initial level.

RBC Capital Markets LLC is the underwriter.

Issuer:	Royal Bank of Canada
Issue:	Barrier absolute return notes
Underlying indexes:	S&P 500 index, Dow Jones industrial average
Amount:	$1,472,000
Maturity:	Feb. 18, 2028
Coupon:	0%
Price:	Par
Payout at maturity:	If each index finishes at or above its initial level, par plus 175% of laggard index’s return, capped at par plus 93.5%; if each index declines by no more than 20%, par plus absolute value of laggard index’s return; otherwise, full exposure to the decline of laggard index from initial level
Initial index levels:	4,147.6 for S&P, 34,128.05 for Dow
Barrier levels:	3,318.08 for S&P, 27,302.44 for Dow; 80% of initial levels
Pricing date:	Feb. 15
Settlement date:	Feb. 21
Underwriter:	RBC Capital Markets LLC
Fees:	None
Cusip:	78016HSH4

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