By Sarah Lizee
Olympia, Wash., July 8 – Royal Bank of Canada priced $3.14 million of trigger autocallable contingent yield notes due June 30, 2022 linked to the Dow Jones industrial average, according to a 424B2 filing with the Securities and Exchange Commission.
Each quarter, the notes will pay a contingent coupon at the rate of 11.25% per year if the shares close at or above the coupon barrier, 70% of the initial share price, on the observation date for that quarter.
The notes will be automatically called at par of $10 if the shares close at or above the initial share price on any quarterly observation date after six months.
If the notes are not called and the final share price is greater than or equal to the downside threshold level, 70% of the initial share price, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the final share price is less than the initial share price.
UBS Financial Services Inc. is the agent.
| Issuer: | Royal Bank of Canada
|
| Issue: | Trigger autocallable contingent yield notes
|
| Underlying index: | Dow Jones industrial average
|
| Amount: | $3,141,000
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| Maturity: | June 30, 2022
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| Contingent coupon: | 11.25%, payable quarterly if index closes at or above coupon barrier level on related quarterly observation date
|
| Price: | Par of $10
|
| Payout at maturity: | Par unless index finishes below downside threshold level, in which case 1% loss for each 1% decline from initial price
|
| Call: | Automatically at par if index closes at or above initial level on any quarterly observation date after six months
|
| Initial level: | 25,015.55
|
| Coupon barrier: | 17,510.89, 70% of initial price
|
| Downside threshold: | 17,510.89, 70% of initial price
|
| Pricing date: | June 26
|
| Settlement date: | June 30
|
| Agent: | UBS Financial Services Inc.
|
| Fees: | None
|
| Cusip: | 78014K824
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