New Issue: RBC prices $7.39 million absolute return barrier notes tied to S&P 500

By Susanna Moon

Chicago, July 23 - Royal Bank of Canada priced $7.39 million of 0% absolute return barrier notes due Jan. 23, 2015 linked to the S&P 500 index, according to a 424B2 with the Securities and Exchange Commission.

If the index finishes above its initial level, the payout at maturity will be par plus the gain, up to a maximum return of 27%.

If the index falls but finishes at or above the 73% barrier level, the payout at maturity will be par plus the absolute value of the index decline.

Otherwise, investors will be fully exposed to losses.

RBC Capital Markets, LLC is the agent.

Issuer:	Royal Bank of Canada
Issue:	Absolute return barrier notes
Underlying index:	S&P 500
Amount:	$7,385,000
Maturity:	Jan. 23, 2015
Coupon:	0%
Price:	Par
Payout at maturity:	If index gains, par plus return capped at 27%; par plus absolute return of losses if index falls but ends at or above barrier level; full exposure to losses if index falls below barrier
Initial index level:	1,372.78
Barrier level:	1,002.13, 73% of initial index level
Pricing date:	July 18
Settlement date:	July 23
Underwriter:	RBC Capital Markets, LLC
Fees:	2.25%
Cusip:	78008SDM5

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