RBC plans trigger phoenix autocallables linked to two stocks

By Toni Weeks

San Luis Obispo, Calif., July 16 – Royal Bank of Canada plans to price trigger phoenix autocallable notes due July 27, 2018 linked to the worst performing of the common stocks of Bank of America Corp. and Wells Fargo & Co., according to an FWP filing with the Securities and Exchange Commission.

The notes will pay a contingent quarterly coupon of 8% per year if each stock closes at or above its coupon barrier level, 75% of its initial price, on any quarterly observation date.

The notes will be called at par if each stock closes at or above its initial price on any quarterly observation date.

If the notes are not called and each stock finishes at or above its 75% trigger level, the payout at maturity will be par plus the final contingent coupon. Otherwise, investors will receive a number of shares of the worst-performing stock equal to $1,000 divided by its initial price or, at the issuer’s option, the cash value of those shares.

The notes (Cusip: 78013GAD7) are expected to price July 24 and settle July 29.

UBS Securities LLC and UBS Investment Bank are the agents.

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