RBC plans buffered bullish return notes tied to housing sector stocks

By Toni Weeks

San Diego, Dec. 10 - Royal Bank of Canada plans to price 0% buffered bullish enhanced return notes due Jan. 24, 2014 linked to a basket of four housing sector common stocks, according to an FWP filing with the Securities and Exchange Commission.

The equally weighted basket stocks include DR Horton, Inc., Toll Bros., Inc., PulteGroup Inc. and Lennar Corp.

The payout at maturity will be par plus 1.5 times any gain in the basket, up to a maximum return of 13.25% to 17.25%. The exact maximum return will be set at pricing.

Investors will receive par if the basket declines by 15% or less and will lose 1% for every 1% that it declines beyond 15%.

The notes (Cusip: 78008STB2) are expected to price Dec. 21 and settle Dec. 27.

RBC Capital Markets, LLC is the agent.

© 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.