By Sarah Lizee
Olympia, Wash., March 6 – Royal Bank of Canada priced $2.16 million of autocallable contingent coupon barrier notes with memory coupon due March 2, 2023 linked to the VanEck Vectors Semiconductor ETF and the SPDR S&P Biotech ETF, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 9% if each ETF closes at or above its 65% coupon barrier on the observation date for that quarter. Any previously unpaid coupons will also be paid.
The notes will be called at par plus any coupon if each ETF closes at or above its initial level on any quarterly observation date starting in August.
The payout at maturity will be par unless either ETF finishes below the 65% trigger level, in which case investors will be fully exposed to the decline of the lesser performing ETF from its initial level.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
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| Issue: | Autocallable contingent coupon barrier notes with memory coupon
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| Underlying ETFs: | VanEck Vectors Semiconductor ETF and SPDR S&P Biotech ETF,
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| Amount: | $2,155,000
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| Maturity: | March 2, 2023
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| Coupon: | 9%, payable quarterly if ETFs close at or above coupon barrier on observation date for that quarter; any previously unpaid coupons will also be paid
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| Price: | Par
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| Payout at maturity: | Par unless either ETF finishes below the trigger level, in which case investors will be fully exposed to the decline of the lesser performing ETF from its initial level
|
| Call option: | At par plus any coupon if each ETF closes at or above its initial level on any quarterly observation date starting in August
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| Initial levels: | $134.86 for semiconductor ETF, $91.07 for biotech ETF
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| Trigger levels: | $87.66 for semiconductor ETF, $59.20 for biotech ETF, 65% of initial levels
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| Pricing date: | Feb. 25
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| Settlement date: | Feb. 28
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| Agents: | RBC Capital Markets, LLC
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| Fees: | 2.75%
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| Cusip: | 78015KJY1
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