New Issue: RBC prices $9.38 million bear market PLUS linked inversely to S&P 500

By William Gullotti

Buffalo, N.Y., July 31 – Royal Bank of Canada priced $9.38 million of 0% bear market Performance Leveraged Upside Securities due Feb. 5, 2024 linked inversely to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the final index level is less than the initial index level, the payout at maturity will be par plus 3% for every 1% that the index declines, subject to a maximum return of 40%.

If the final index level is greater than or equal to the initial index level, the payout will be par minus 1% for every 1% that the index increases.

RBC Capital Markets LLC is the agent. Morgan Stanley Wealth Management is handling distribution.

Issuer:	Royal Bank of Canada
Issue:	Bear market Performance Leveraged Upside Securities
Underlying index:	S&P 500 index
Amount:	$9,384,000
Maturity:	Feb. 5, 2024
Coupon:	0%
Price:	Par
Payout at maturity:	If final index level is less than initial index level, par plus 3% for every 1% that index declines, subject to 40% maximum return; if final index level is greater than or equal to initial index level, par minus 1% for every 1% that index increases
Initial level:	4,505.42
Pricing date:	July 14
Settlement date:	July 19
Agent:	RBC Capital Markets LLC
Distribution:	Morgan Stanley Wealth Management
Fees:	1.5%
Cusip:	78016NKD8

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