RBC to price PLUS linked to basket of indexes, ETFs

By Angela McDaniels

Tacoma, Wash., June 23 – Royal Bank of Canada plans to price 0% Performance Leveraged Upside Securities due December 2014 linked to a basket of indexes and exchange-traded funds, according to an FWP filing with the Securities and Exchange Commission.

The basket includes the Russell 2000 index with a 40% weight, the Euro Stoxx 50 index with a 25% weight, the WisdomTree Japan Hedged Equity fund with a 25% weight and the Market Vectors Gold Miners ETF with a 10% weight.

If the final basket level is greater than the initial basket level, the payout at maturity will be par of $10 plus 200% of the basket return, subject to a maximum return that is expected to be 6% and will be set at pricing. If the final basket level is less than the initial basket level, investors will have one-to-one exposure to the decline.

RBC Capital Markets, LLC is the agent. Distribution is through Morgan Stanley Wealth Management.

The notes are expected to price June 30.

The Cusip number is 78011Q675.

© 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.