Published on 6/15/2021 in the Prospect News Structured Products Daily.
New Issue: RBC prices $1 million notes linked to basket of five indexes
By Kiku Steinfeld
Chicago, June 15 – Royal Bank of Canada priced $1 million of 0% notes due June 22, 2022 linked to a basket of indexes, according to a 424B2 filing with the Securities and Exchange Commission.
The basket consists of the Euro Stoxx 50 index with a 36% weight, the Topix index with a 29% weight, the FTSE 100 index with a 16% weight, the Swiss Market index with an 11% weight and the S&P/ASX 200 index with an 8% weight.
The payout at maturity will be par plus any gain in the basket, capped at 8.15%. If the basket return is zero or negative but not less than negative 20%, investors will be exposed to the first 5% of the losses of the basket. If the basket return is less than negative 20%, the payout for each $1,000 principal amount of notes will be $950 minus 1.1875% for every 1% decline in the basket beyond 20%.
RBC Capital Markets, LLC is the underwriter.
| Issuer: | Royal Bank of Canada
|
| Issue: | Notes
|
| Underlying indexes: | Euro Stoxx 50 (36% weight), Topix (29% weight), FTSE 100 (16% weight), Swiss Market (11% weight) and S&P/ASX 200 (8% weight)
|
| Amount: | $1 million
|
| Maturity: | June 22, 2022
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | Par plus any gain in the basket, capped at 8.15%; exposure to the first 5% of the losses of the basket if the basket declines by 20% or less; otherwise, 95% of par minus 1.1875% for every 1% decline in the basket beyond 20%
|
| Initial level: | 4,005.34 for Euro Stoxx, 1,907.74 for Topix, 7,034.24 for FTSE, 11,141.75 for Swiss Market, 7,065.981 for S&P/ASX
|
| Buffer level: | 80% of initial basket level
|
| Pricing date: | May 18
|
| Settlement date: | May 25
|
| Underwriter: | RBC Capital Markets, LLC
|
| Fees: | 0.8%
|
| Cusip: | 78016EP84
|
© 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.
