Published on 12/1/2017 in the Prospect News Structured Products Daily.
New Issue: RBC prices $556,000 step-down autocallable barrier notes linked to Stoxx, Russell
By Wendy Van Sickle
Columbus, Ohio, Dec. 1 – Royal Bank of Canada priced $556,000 of 0% step-down autocallable barrier notes due Dec. 2, 2020 linked to the lesser performing of the Euro Stoxx 50 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
Beginning Nov. 30, 2018, the notes will be called at par plus a 9.4% annualized premium if each index closes at or above its call level on any annual observation date. The call level is 100% of the initial level on the first observation date and steps down by 50 basis points each subsequent year.
If the final level of the lesser-performing index is greater than or equal to its 70% barrier level, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the lesser-performing index finishes below its initial level.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | Step-down autocallable barrier notes
|
| Underlying indexes: | Euro Stoxx 50 and Russell 2000
|
| Amount: | $556,000
|
| Maturity: | Dec. 2, 2020
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If final level of lesser-performing index is greater than or equal to trigger level, par; otherwise, 1% loss for every 1% that lesser-performing index finishes below initial level
|
| Call: | Beginning Nov. 30, 2018, notes will be called at par plus 9.4% annualized premium if each index closes at or above call level on any annual observation date; call level is 100% of the initial level on the first observation date and steps down by 50 basis points each subsequent year
|
| Initial index levels: | 3,564.02 for Euro Stoxx 50 and 1,513.309 for Russell 2000
|
| Barrier levels: | 2,494.81 for Euro Stoxx 50 and 1,059.316 for Russell 2000; 70% of initial levels
|
| Pricing date: | Nov. 27
|
| Settlement date: | Nov. 30
|
| Underwriter: | RBC Capital Markets, LLC
|
| Fees: | 2.25%
|
| Cusip: | 78013GLJ2
|
|
|
© 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.
