New Issue: RBC sells $1.26 million barrier absolute return notes tied to S&P 500

By Marisa Wong

Morgantown, W.Va., May 7 – Royal Bank of Canada priced $1.26 million of 0% barrier absolute return notes due April 28, 2023 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the index return is positive, the payout at maturity will be par plus 126% of the index return. If the final index level is less than or equal to the initial index level but greater than or equal to the barrier level, 80% of the initial index level, the payout will be par plus the absolute value of the index return. If the final index level is less than the barrier level, investors will have one-to-one exposure to the index’s decline from its initial level.

RBC Capital Markets LLC is the underwriter.

Issuer:	Royal Bank of Canada
Issue:	Barrier absolute return notes
Underlying index:	S&P 500
Amount:	$1.26 million
Maturity:	April 28, 2023
Coupon:	0%
Price:	Par
Payout at maturity:	If index return is positive, par plus 126% of index return; if final index level is less than or equal to initial index level but greater than or equal to barrier level, par plus absolute value of index return; otherwise, one-to-one exposure to the index’s decline from its initial level
Initial index level:	2,639.40
Barrier level:	2,111.52, 80% of initial level
Pricing date:	April 25
Settlement date:	April 30
Underwriter:	RBC Capital Markets LLC
Fees:	2.75%
Cusip:	78013XJC3

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