By Angela McDaniels
Tacoma, Wash., Feb. 9 – Royal Bank of Canada priced $3.25 million of redeemable fixed-to-floating rate range accrual notes due June 29, 2033 linked to the difference between the 30-year U.S. dollar SOFR ICE swap rate and the two-year U.S. dollar SOFR ICE swap rate, according to a 424B2 filing with the Securities and Exchange Commission.
The interest rate is 8% per year for two years. Beginning June 29, 2025, the interest rate is 8% per year multiplied by the proportion of days on which the 30-year swap rate is greater than or equal to the two-year swap rate, subject to a minimum interest rate of zero and a maximum interest rate of 8% per year. Interest is payable quarterly.
The notes are callable at par on June 29, 2024 and each following interest payment date.
The payout at maturity will be par.
RBC Capital Markets, LLC is the agent.
| Issuer: | Royal Bank of Canada
|
| Issue: | Redeemable fixed-to-floating rate range accrual notes
|
| Underlying rates: | 30-year U.S. dollar SOFR ICE swap rate and two-year U.S. dollar SOFR ICE swap rate
|
| Amount: | $3.25 million
|
| Maturity: | June 29, 2033
|
| Coupon: | 8% per year for two years; beginning June 29, 2025, 8% per year multiplied by proportion of days on which 30-year swap rate is greater than or equal to two-year swap rate, subject to floor of zero and cap of 8% per year; payable quarterly
|
| Price: | Par
|
| Payout at maturity: | Par
|
| Call option: | At par quarterly beginning June 29, 2024
|
| Pricing date: | June 28, 2023
|
| Settlement date: | June 29, 2023
|
| Agent: | RBC Capital Markets, LLC
|
| Fees: | 1.75%
|
| Cusip: | 78014RNV8
|
|
|
© 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.
