RBC plans allocation optimizer notes linked to basket of indexes

By Toni Weeks

San Diego, July 26 - Royal Bank of Canada plans to price 0% allocation optimizer notes due Aug. 15, 2014 linked to a basket of indexes, according to an FWP with the Securities and Exchange Commission.

The basket is comprised of the S&P 500 index, the S&P Midcap 400 index and the Russell 2000 index.

On the Aug. 12, 2014 valuation date, the best-performing index will be given a basket weight of 60%, the second best-performing index will be given a weight of 30% and the worst-performing index will be given a weight of 10%.

The payout at maturity will be par plus the basket return, which can be positive or negative. Investors will be fully exposed to losses.

The notes (Cusip: 78008TLR3) are expected to price on Aug. 12 and settle Aug. 17.

RBC Capital Markets, LLC will be the underwriter.

© 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.