Published on 10/17/2016 in the Prospect News Structured Products Daily.
New Issue: RBC prices $155,000 best profile notes linked to best-performing ETF basket
By Angela McDaniels
Tacoma, Wash., Oct. 17 – Royal Bank of Canada priced $155,000 of 0% best profile notes due Oct. 19, 2021 linked to the best-performing basket of exchange-traded funds, according to a 424B2 filing with the Securities and Exchange Commission.
Basket A consists of the SPDR S&P 500 ETF trust with a 30% weight, the iShares MSCI EAFE exchange-traded fund with a 30% weight, the SPDR Gold trust with a 20% weight, the iShares iBoxx $ High Yield Corporate Bond ETF with a 10% weight and the iShares iBoxx $ Investment Grade Corporate Bond ETF with a 10% weight.
Basket B consists of the gold trust with a 25% weight; the S&P 500 trust, the EAFE ETF and the high-yield ETF with a 20% weight each and the investment-grade ETF with a 15% weight.
Basket C consists of the gold trust and the investment-grade ETF with a 30% weight each, the high-yield ETF with a 20% weight and the S&P 500 trust and the EAFE ETF with a 10% weight each.
The payout at maturity will be par plus the return of the best-performing basket. The notes are not principal protected, so if the best-performing basket has a negative return, the payout will be less than par.
RBC Capital Markets LLC is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | Best profile notes
|
| Underlying ETFs: | SPDR S&P 500 ETF trust, iShares MSCI EAFE ETF, SPDR Gold trust, iShares iBoxx $ High Yield Corporate Bond ETF and iShares iBoxx $ Investment Grade Corporate Bond ETF
|
| Basket A: | S&P 500 trust with 30% weight, EAFE ETF with 30% weight, gold trust with 20% weight, high-yield ETF with 10% weight and investment-grade ETF with 10% weight
|
| Basket B: | Gold trust with 25% weight, S&P 500 trust with 20% weight, EAFE ETF with 20% weight, high-yield ETF with 20% weight and investment-grade ETF with 15% weight
|
| Basket C: | Gold trust with 30% weight, investment-grade ETF with 30% weight, high-yield ETF with 20% weight, S&P 500 trust with 10% weight and EAFE ETF with 10% weight
|
| Amount: | $155,000
|
| Maturity: | Oct. 19, 2021
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | Par plus return of best-performing basket; if that return is negative, payout will be less than par
|
| Pricing date: | Oct. 14
|
| Settlement date: | Oct. 19
|
| Underwriter: | RBC Capital Markets LLC
|
| Fees: | 3%
|
| Cusip: | 78012KTW7
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
