New Issue: RBC prices $1 million buffered bullish enhanced return notes on fund, index basket

By Marisa Wong

Madison, Wis., Oct. 15 - Royal Bank of Canada priced $1 million of 0% buffered bullish enhanced return notes due Feb. 15, 2018 linked to a basket of exchange-traded funds and indexes, according to an FWP with the Securities and Exchange Commission.

The basket consists of the S&P 500 index with a 70% weight, the iShares MSCI EAFE ETF with a 15% weight, the SPDR S&P Midcap 400 ETF with an 8% weight, the iShares MSCI Emerging Market ETF with a 4% weight and the Russell 2000 index with a 3% weight.

The payout at maturity will be par plus 113.5% of any increase in the basket.

Investors will receive par if the index falls by up to 25% and will lose 1.3333% for every 1% that the index declines beyond 25%.

RBC Capital Markets, LLC is the agent.

Issuer:	Royal Bank of Canada
Issue:	Buffered bullish enhanced return notes
Underlying basket:	S&P 500 index (70% weight), iShares MSCI EAFE ETF (15% weight), SPDR S&P Midcap 400 ETF (8% weight), iShares MSCI Emerging Market ETF (4% weight) and Russell 2000 index (3% weight)
Amount:	$1 million
Maturity:	Feb. 15, 2018
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus 113.5% of basket gain; par if index falls by up to 25%; 1.3333% loss for every 1% drop beyond 25%
Initial levels:	1,692.56 for S&P, $64.09 for iShares EAFE, $227.35 for SPDR MidCap, $42.64 for iShares EM, 1,069.50 for Russell
Pricing date:	Oct. 10
Settlement date:	Oct. 16
Underwriter:	RBC Capital Markets LLC
Fees:	None
Cusip:	78010UGK7

© 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.