New Issue: RBC prices $4.52 million Stars due 2016 linked to S&P 500 index

By Jennifer Chiou

New York, Jan. 27 – Royal Bank of Canada priced $4,519,530 of 0% Strategic Accelerated Redemption Securities due Feb. 1, 2016 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the index closes at or above its initial level on a quarterly observation date, the notes will be called at par of $10 plus an annualized call premium of 6.05%. The observation dates are on July 24, Oct. 23, 2015 and Jan. 25, 2016.

If the notes are not called and the index finishes at or above 95% of the initial value, the payout at maturity will be par.

Otherwise, investors will be exposed to any losses beyond 5%.

BofA Merrill Lynch is the agent.

Issuer:	Royal Bank of Canada
Issue:	Strategic Accelerated Redemption Securities
Underlying index:	S&P 500
Amount:	$4,519,530
Maturity:	Feb. 1, 2016
Coupon:	0%
Price:	Par of $10
Payout at maturity:	If index finishes at or above 95% of the initial value, par; otherwise, investors will be exposed to any losses beyond 5%
Call:	Par plus 6.05% per year if index closes at or above its initial level on July 24, Oct. 23, 2015 and Jan. 25, 2016
Initial level:	2,051.82
Pricing date:	Jan. 23
Settlement date:	Jan. 30
Agent:	BofA Merrill Lynch
Fees:	1.25%
Cusip:	78013B106

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