By Taylor Fox
New York, Aug. 26 – Royal Bank of Canada priced $245,000 of capped barrier return notes due March 9, 2022 linked to an equally weighted basket of the common equity securities of Bank of America Corp., Capital One Financial Corp. and Morgan Stanley, according to a 424B2 filing with the Securities and Exchange Commission.
If the final basket level is greater than the initial level, the payout at maturity will be par plus the return, capped at par plus 25%.
If the final basket level is less than or equal to the initial price but greater than or equal to the barrier level, 75% of the initial level, the payout will be par.
If the final basket level is less than the barrier level, investors will lose 1% for every 1% that the basket declines from its initial level.
RBC Capital Markets, LLC is the agent.
JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC are the placement agents.
| Issuer: | Royal Bank of Canada
|
| Issue: | Issuer callable barrier notes
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| Underlying stocks: | Bank of America Corp., Capital One Financial Corp. and Morgan Stanley
|
| Amount: | $245,000
|
| Maturity: | March 9, 2022
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If final basket level is greater than initial level, par plus the return, capped at par plus 25%; if final basket level is less than or equal to initial level but greater than or equal to barrier level, par; if final basket level is less than barrier level, 1% loss for every 1% decline that basket declines from initial level
|
| Initial prices: | $34.54 for Bank of America, $119.56 for Capital and $76 for Morgan Stanley
|
| Barrier level: | 75% of initial level
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| Pricing date: | Feb. 19
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| Settlement date: | Feb. 24
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| Agent: | RBC Capital Markets, LLC
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| Placement agents: | JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC
|
| Fees: | 1%
|
| Cusip: | 78016EFY8
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