New Issue: RBC sells $1.16 million barrier absolute return notes linked to iShares MSCI EM

By Susanna Moon

Chicago, July 31 – Royal Bank of Canada priced $1.16 million of 0% barrier absolute return notes due July 31, 2019 linked to the iShares MSCI Emerging Markets exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.

If the fund finishes above the initial level, the payout at maturity will be par plus 105.1% of the gain.

If the fund never closes below its 77% barrier during the life of the notes, the payout will be par plus the absolute value of the return.

Otherwise, investors will lose 1% for each 1% decline.

RBC Capital Markets LLC is the underwriter.

Issuer:	Royal Bank of Canada
Issue:	Barrier absolute return notes
Underlying fund:	iShares MSCI Emerging Markets ETF
Amount:	$1,161,000
Maturity:	July 31, 2019
Coupon:	0%
Price:	Par
Payout at maturity:	If fund gains, par plus 105.1% of return; if fund never dips below 77% barrier, par plus absolute return; otherwise, 1% loss per 1% decline
Initial level:	$44.01
Barrier level:	$33.89, 77% of initial level
Pricing date:	July 26
Settlement date:	July 31
Agent:	RBC Capital Markets, LLC
Fees:	None
Cusip:	78012K3A3

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