RBC plans autocallable contingent coupon barrier notes on JPMorgan, BofA

By Wendy Van Sickle

Columbus, Ohio, May 24 – Royal Bank of Canada plans to price 0% autocallable contingent coupon barrier notes due June 13, 2019 linked to the least performing of the common stocks of JPMorgan Chase & Co. and Bank of America Corp., according to an FWP filing with the Securities and Exchange Commission.

The notes will pay a quarterly coupon at an annual rate of 8.1% to 9.1% if each stock closes above its trigger level, 75% of its initial level, on the review date for that quarter.

The notes will be called at par plus the coupon if each stock closes above its initial price on a review date, starting Dec. 11, 2017.

The payout at maturity will be par plus the final coupon unless either stock finishes below the 75% trigger level, in which case investors will lose 1% for each 1% that the lesser-performing stock’s final level is less than its initial level.

RBC Capital Markets, LLC is the agent.

The notes (Cusip: 78012KU39) will price on June 9 and settle on June 14.

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