| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers R > Headlines for Royal Bank of Canada > News item |
RBC to price redeemable leveraged steepener notes tied to CMS rates
By Jennifer Chiou
New York, Sept. 11 - Royal Bank of Canada plans to price redeemable leveraged steepener notes due Sept. 30, 2033 linked to the 30-year and two-year Constant Maturity Swap Rates, according to a 424B2 filing with the Securities and Exchange Commission.
The coupon will be 7.5% for the first year. After that, interest will be equal to 4 times the reference rate, subject to a cap of 7.5% and a floor of 0%. The reference rate is the spread of the 30-year CMS rate over the two-year CMS rate, minus 50 basis points. Interest is payable semiannually.
The payout at maturity will be par.
The notes will be callable at par in whole but not in part on Sept. 30, 2014, Sept. 30, 2019, Sept. 30, 2024 and Sept. 30, 2029.
The notes (Cusip: 78010UCT2) are expected to settle on Sept. 30.
RBC Capital Markets, LLC will be the agent.
© 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.