By William Gullotti
Buffalo, N.Y., March 15 – Royal Bank of Canada priced $20.66 million of 10% STEP Income Securities due March 24, 2023 linked to the common stock of Goldman Sachs Group, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
Interest is payable quarterly.
If the shares finish at or above the step level, 110% of the initial share price, the payout at maturity will be par of $10 plus 4.3%.
If the final share price is less than the step level but greater than or equal to the initial share price, the payout will be par.
Otherwise, investors will lose 1% for every 1% decline from initial share price.
BofA Securities Inc. is the underwriter.
| Issuer: | Royal Bank of Canada
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| Issue: | STEP Income Securities
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| Underlying stock: | Goldman Sachs Group, Inc.
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| Amount: | $20,662,140
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| Maturity: | March 24, 2023
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| Coupon: | 10% annually, payable quarterly
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| Price: | Par of $10
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| Payout at maturity: | If shares finish at or above step level, par plus 4.3%; if final share price is less than step level but greater than or equal to initial share price, par; otherwise, investors will be fully exposed to decline in share price
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| Initial share price: | $328.50
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| Step level: | $361.35; 110% of the initial value
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| Pricing date: | March 10
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| Settlement date: | March 17
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| Underwriter: | BofA Securities Inc.
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| Fees: | 1.5%
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| Cusip: | 78015B732
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