Published on 6/6/2014 in the Prospect News Structured Products Daily.
New Issue: RBC prices $5.21 million trigger autocallables linked to indexes
By Angela McDaniels
Tacoma, Wash., June 6 – Royal Bank of Canada priced $5.21 million of 0% trigger autocallable optimization securities due June 9, 2016 linked to a basket of indexes, according to a 424B2 filing with the Securities and Exchange Commission.
The basket includes the Euro Stoxx 50 index with a 40% weight, the S&P 500 index with a 20% weight, the Russell 2000 index with a 20% weight and the MSCI Emerging Markets index with a 20% weight.
The notes will be called at par of $10 plus a call return of 7.84% per year if the basket closes at or above the initial basket level on any quarterly observation date.
If the notes are not called and the final basket level is at least 80% of the initial basket level, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the final basket level is less than the initial basket level.
UBS Financial Services Inc. and RBC Capital Markets, LLC are the agents.
| Issuer: | Royal Bank of Canada
|
| Issue: | Trigger autocallable optimization securities
|
| Underlying indexes: | Euro Stoxx 50 (40% weight), S&P 500 (20% weight), Russell 2000 (20% weight) and MSCI Emerging Markets index (20% weight)
|
| Amount: | $5,209,090
|
| Maturity: | June 9, 2016
|
| Coupon: | 0%
|
| Price: | Par of $10
|
| Payout at maturity: | Par if final basket level is at least 80% of initial basket level; otherwise, 1% loss for every 1% that final basket level is less than initial basket level
|
| Call: | Automatically at par plus 7.84% per year if basket closes at or above initial basket level on any quarterly observation date
|
| Initial index levels: | 3,241.04 for Euro Stoxx 50; 1,924.24 for S&P 500; 1,126.15 for Russell 2000; 1,035.95 for MSCI Emerging Markets
|
| Pricing date: | June 3
|
| Settlement date: | June 6
|
| Agents: | UBS Financial Services Inc. and RBC Capital Markets, LLC
|
| Fees: | 1.5%
|
| Cusip: | 78011Q527
|
© 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.
