Bond Royal Bank of Canada 0% ( US78015KAL89 ) in USD

Royal Bank of Canada

100 % ⇌

Canada

US78015KAL89 ( in USD )

02/05/2025

Prospectus brochure of the bond Royal Bank of Canada US78015KAL89 en USD 0%, maturity 02/05/2025

1 000 USD

614 000 USD

78015KAL8

N/A

The Royal Bank of Canada (RBC) is a Canadian multinational financial services company offering personal and commercial banking, wealth management, insurance, and investment banking services globally.

Royal Bank of Canada issued a USD 614,000 bond (CUSIP: 78015KAL8, ISIN: US78015KAL89) maturing on 02/05/2025, currently trading at 100% of par value with a 0% coupon rate, paying semi-annually, and having a minimum purchase size of 1,000.

11/1/2019
https://www.sec.gov/Archives/edgar/data/1000275/000114036119019533/form424b2.htm
424B2 1 form424b2.htm PRICING SUPPLEMENT RBC ISSUER 78015KAL8
RBC Capital Markets®
Filed Pursuant to Rule 424(b)(2)
Registration Statement No. 333-227001

Pricing Supplement
$614,000
Dated October 29, 2019
Issuer Cal able Contingent Coupon Barrier
to the Product Prospectus Supplement No. CCBN-2, Dated September 10,
Notes
2018, the Prospectus Supplement Dated September 7, 2018, and the
Linked to the Lesser Performing of Three
Prospectus Dated September 7, 2018
Equity Indices, Due May 2, 2025
Royal Bank of Canada
Royal Bank of Canada is offering Issuer Callable Contingent Coupon Barrier Notes (the "Notes") linked to the lesser performing of three equity indices (each, a
"Reference Index" and collectively, the "Reference Indices"). The Notes are our senior unsecured obligations, will pay a quarterly Contingent Coupon at the rate
and under the circumstances specified below, and will have the terms described in the documents described above, as supplemented or modified by this pricing
supplement.
Reference Indices
Initial Levels
Coupon Barriers and Trigger Levels*
S&P 500® Index ("SPX")
3,036.89
1,822.13, which is 60.00% of its Initial Level
Russell 2000® Index ("RTY")
1,577.073
946.244, which is 60.00% of its Initial Level
Dow Jones Industrial AverageTM ("INDU")
27,071.42
16,242.85, which is 60.00% of its Initial Level
*Rounded to two decimal places in the case of the SPX and the INDU, and three decimal places in the case of the RTY.
The Notes do not guarantee any return of principal at maturity. Any payments on the Notes are subject to our credit risk.
Investing in the Notes involves a number of risks. See "Selected Risk Considerations" beginning on page P-7 of this pricing supplement, and "Risk Factors"
beginning on page PS-5 of the product prospectus supplement dated September 10, 2018 and on page S-1 of the prospectus supplement dated September 7,
2018.
The Notes will not constitute deposits insured by the Canada Deposit Insurance Corporation, the U.S. Federal Deposit Insurance Corporation or any other
Canadian or U.S. government agency or instrumentality. The Notes are not subject to conversion into our common shares under subsection 39.2(2.3) of the
Canada Deposit Insurance Corporation Act.
Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of the Notes or determined that this pricing
supplement is truthful or complete. Any representation to the contrary is a criminal offense.
Issuer:
Royal Bank of Canada
Stock Exchange Listing:
None
Trade Date:
October 29, 2019
Principal Amount:
$1,000 per Note
Issue Date:
October 31, 2019
Maturity Date:
May 2, 2025
Observation Dates:
Quarterly, as set forth below.
Coupon Payment Dates:
Quarterly, as set forth below.
Valuation Date:
April 29, 2025
Contingent Coupon Rate: 5.20% per annum
Initial Level:
For each Reference Index, its closing level on the Trade Date, as set forth in the table above.
Final Level:
For each Reference Index, its closing level on the Valuation Date.
Contingent Coupon:
If the Notes have not been previously called, and if the closing level of each Reference Index is greater than or equal to its
Coupon Barrier on the applicable Observation Date, we will pay the Contingent Coupon on the applicable Coupon Payment Date.
You may not receive any Contingent Coupons during the term of the Notes.
Payment at Maturity (if
If the Notes are not previously called, we will pay you at maturity an amount based on the Final Level of the Lesser Performing
held to maturity):
Reference Index:
For each $1,000 in principal amount, $1,000 plus the Contingent Coupon at maturity, unless the Final Level of the Lesser Performing
Reference Index is less than its Trigger Level.
If the Final Level of the Lesser Performing Reference Index is less than its Trigger Level, then the investor will receive at maturity, for
each $1,000 in principal amount, a cash payment equal to:
$1,000 + ($1,000 x Underlying Return of the Lesser Performing Reference Index)
Investors in the Notes could lose some or all of their principal amount if the Final Level of the Lesser Performing Reference
Index is below its Trigger Level.
Lesser Performing
The Reference Index with the lowest Underlying Return.
Reference Index:
Call Feature:
The Notes may be called at our discretion starting on October 29, 2020 or on any Coupon Payment Date thereafter, if we send
prior written notice, as described below.
CUSIP:
78015KAL8
Per Note
Total
Price to public(1)
100.00%
$614,000
Underwriting discounts and commissions
2.50%
$15,350
Proceeds to Royal Bank of Canada
97.50%
$598,650
(1)Certain dealers who purchase the Notes for sale to certain fee-based advisory accounts may forego some or all of their underwriting discount or selling
concessions. The public offering price for investors purchasing the Notes in these accounts may be between $975.00 and $1,000 per $1,000 in principal amount.
The initial estimated value of the Notes as of the Trade Date was $963.65 per $1,000 in principal amount, which is less than the price to public. The actual value of
the Notes at any time will reflect many factors, cannot be predicted with accuracy, and may be less than this amount. We describe our determination of the initial
estimated value in more detail below.
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RBC Capital Markets, LLC, which we refer to as RBCCM, acting as agent for Royal Bank of Canada, will receive a commission of $25.00 per $1,000 in principal
amount of the Notes and use a portion of that commission to allow selling concessions to other dealers of up to $25.00 per $1,000 in principal amount of the Notes.
The other dealers may forgo, in their sole discretion, some or all of their selling concessions. See "Supplemental Plan of Distribution (Conflicts of Interest)" below.
RBC Capital Markets, LLC
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Issuer Cal able Contingent Coupon Barrier
Notes Linked to the Lesser Performing of Three
Equity Indices
Royal Bank of Canada

SUMMARY
The information in this "Summary" section is qualified by the more detailed information set forth in this pricing supplement,
the product prospectus supplement, the prospectus supplement, and the prospectus.
General:
This pricing supplement relates to an offering of Issuer Cal able Contingent Coupon Barrier Notes
(the "Notes") linked to the lesser performing of three equity indices (the "Reference Indices").
Issuer:
Royal Bank of Canada ("Royal Bank")
Trade Date:
October 29, 2019
Issue Date:
October 31, 2019
Valuation Date:
April 29, 2025
Maturity Date:
May 2, 2025
Denominations:
Minimum denomination of $1,000, and integral multiples of $1,000 thereafter.
Designated Currency:
U.S. Dol ars
Contingent Coupon:
We wil pay you a Contingent Coupon during the term of the Notes, periodical y in arrears on each
Coupon Payment Date, under the conditions described below:
· If the closing level of each Reference Index is greater than or equal to its Coupon Barrier
on the applicable Observation Date, we wil pay the Contingent Coupon applicable to that
Observation Date.
· If the closing level of any of the Reference Indices is less than its Coupon Barrier on the
applicable Observation Date, we wil not pay you the Contingent Coupon applicable to
that Observation Date.
You may not receive a Contingent Coupon for one or more quarterly periods during the term
of the Notes.
Contingent Coupon
5.20% per annum (1.30% per quarter)
Rate:
Observation Dates:
Quarterly on January 29, 2020, April 29, 2020, July 29, 2020, October 29, 2020, January 29,
2021, April 29, 2021, July 29, 2021, October 29, 2021, January 31, 2022, April 29, 2022, July 29,
2022, October 31, 2022, January 30, 2023, April 28, 2023, July 31, 2023, October 30, 2023,
January 29, 2024, April 29, 2024, July 29, 2024, October 29, 2024, January 29, 2025 and the
Valuation Date.
Coupon Payment
The Contingent Coupon, if payable, wil be paid quarterly on February 3, 2020, May 4, 2020,
Dates:
August 3, 2020, November 3, 2020, February 3, 2021, May 4, 2021, August 3, 2021, November 3,
2021, February 3, 2022, May 4, 2022, August 3, 2022, November 3, 2022, February 2, 2023, May
3, 2023, August 3, 2023, November 2, 2023, February 1, 2024, May 2, 2024, August 1, 2024,
November 1, 2024, February 3, 2025 and the Maturity Date.
Record Dates:
The record date for each Coupon Payment Date wil be one business day prior to that scheduled
Coupon Payment Date; provided, however, that any Contingent Coupon payable at maturity or
upon a cal wil be payable to the person to whom the payment at maturity or upon the cal , as the
case may be, wil be payable.
Cal Feature:
The Notes may be cal ed at our discretion starting on October 29, 2020 or on any Coupon
Payment Date thereafter, if we send written notice to the trustee at least three business days prior
to that Coupon Payment Date.
Payment if Cal ed:
If the Notes are cal ed, then, on the applicable Coupon Payment Date, for each $1,000 principal
amount, you wil receive $1,000 plus the Contingent Coupon otherwise due on that Coupon
Payment Date (if payable).
Initial Level:
For each Reference Index, its closing level on the Trade Date, as set forth on the cover page.
Final Level:
For each Reference Index, its closing level on the Valuation Date.
Coupon Barrier and
For each Reference Index, 60.00% of its Initial Level, as set forth on the cover page.
Trigger Level:
Payment at Maturity (if If the Notes are not previously cal ed, we wil pay you at maturity an amount based on the
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Issuer Cal able Contingent Coupon Barrier
Notes Linked to the Lesser Performing of Three
Equity Indices
Royal Bank of Canada

not previously cal ed
Final Level of the Lesser Performing Reference Index:
and held to maturity):
· If the Final Level of the Lesser Performing Reference Index is greater than or equal to its
Trigger Level, we wil pay you a cash payment equal to the principal amount plus the
Contingent Coupon otherwise due on the Maturity Date.
· If the Final Level of the Lesser Performing Reference Index is less than its Trigger Level,
you wil receive at maturity, for each $1,000 in principal amount, a cash payment equal to:
$1,000 + ($1,000 x Underlying Return of the Lesser Performing Reference Index)
The amount of cash that you receive wil be less than your principal amount, if anything, resulting
in a loss that is proportionate to the decline of the Lesser Performing Reference Index from the
Trade Date to the Valuation Date.
Investors in the Notes will lose some or all of their principal amount if the Final Level of the
Lesser Performing Reference Index is below its Trigger Level.
Underlying Return:
With respect to each Reference Index:
Final Level Initial Level
Initial Level
Lesser Performing
The Reference Index with the lowest Underlying Return.
Reference Index:
Market Disruption
The occurrence of a market disruption event (or a non-trading day) as to any of the
Events:
Reference Indices wil result in the postponement of an Observation Date or the Valuation
Date as to that Reference Index, as described in the product prospectus supplement, but not
to any non-affected Reference Index.
Calculation Agent:
RBC Capital Markets, LLC ("RBCCM")
U.S. Tax Treatment:
By purchasing a Note, each holder agrees (in the absence of a change in law, an
administrative determination or a judicial ruling to the contrary) to treat the Notes as a
cal able pre-paid cash-settled contingent income-bearing derivative contract linked to the
Reference Indices for U.S. federal income tax purposes. However, the U.S. federal income
tax consequences of your investment in the Notes are uncertain and the Internal Revenue
Service could assert that the Notes should be taxed in a manner that is different from that
described in the preceding sentence. Please see the section below, "Supplemental
Discussion of U.S. Federal Income Tax Consequences," and the discussion (including the
opinion of our counsel Morrison & Foerster LLP) in the product prospectus supplement
dated September 10, 2018 under "Supplemental Discussion of U.S. Federal Income Tax
Consequences," which apply to the Notes.
Secondary Market:
RBCCM (or one of its affiliates), though not obligated to do so, may maintain a secondary
market in the Notes after the Issue Date. The amount that you may receive upon sale of
your Notes prior to maturity may be less than the principal amount.
Listing:
The Notes wil not be listed on any securities exchange.
Settlement:
DTC global (including through its indirect participants Euroclear and Clearstream,
Luxembourg as described under "Description of Debt Securities--Ownership and Book-
Entry Issuance" in the prospectus dated September 7, 2018).
Terms Incorporated in
Al of the terms appearing above the item captioned "Secondary Market" on the cover page
the Master Note:
and pages P-2 and P-3 of this pricing supplement and the terms appearing under the
caption "General Terms of the Notes" in the product prospectus supplement dated
September 10, 2018, as modified by this pricing supplement.
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Issuer Cal able Contingent Coupon Barrier
Notes Linked to the Lesser Performing of Three
Equity Indices
Royal Bank of Canada

ADDITIONAL TERMS OF YOUR NOTES
You should read this pricing supplement together with the prospectus dated September 7, 2018, as supplemented by the prospectus
supplement dated September 7, 2018 and the product prospectus supplement dated September 10, 2018, relating to our Senior Global
Medium-Term Notes, Series H, of which these Notes are a part. Capitalized terms used but not defined in this pricing supplement will
have the meanings given to them in the product prospectus supplement. In the event of any conflict, this pricing supplement will control.
The Notes vary from the terms described in the product prospectus supplement in several important ways. You should read
this pricing supplement carefully.
This pricing supplement, together with the documents listed below, contains the terms of the Notes and supersedes all prior or
contemporaneous oral statements as well as any other written materials including preliminary or indicative pricing terms,
correspondence, trade ideas, structures for implementation, sample structures, brochures or other educational materials of ours. You
should carefully consider, among other things, the matters set forth in "Risk Factors" in the prospectus supplement dated September 7,
2018 and in the product prospectus supplement dated September 10, 2018, as the Notes involve risks not associated with conventional
debt securities. We urge you to consult your investment, legal, tax, accounting and other advisors before you invest in the Notes. You
may access these documents on the Securities and Exchange Commission (the "SEC") website at www.sec.gov as follows (or if that
address has changed, by reviewing our filings for the relevant date on the SEC website):
Prospectus dated September 7, 2018:
https://www.sec.gov/Archives/edgar/data/1000275/000121465918005973/l96181424b3.htm
Prospectus Supplement dated September 7, 2018:
https://www.sec.gov/Archives/edgar/data/1000275/000121465918005975/f97180424b3.htm
Product Prospectus Supplement dated September 10, 2018:
https://www.sec.gov/Archives/edgar/data/1000275/000114036118038089/form424b5.htm
Our Central Index Key, or CIK, on the SEC website is 1000275. As used in this pricing supplement, "we," "us," or "our" refers to Royal
Bank of Canada.
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Issuer Cal able Contingent Coupon Barrier
Notes Linked to the Lesser Performing of Three
Equity Indices
Royal Bank of Canada

HYPOTHETICAL EXAMPLES
The table set out below is included for illustration purposes only. The table illustrates the Payment at Maturity of the Notes (including the
final Contingent Coupon, if payable) for a hypothetical range of performance for the Lesser Performing Reference Index, assuming the
following terms and that the Notes are not called prior to maturity:
Hypothetical Initial Level (for each Reference Index):
1,000.00*
Hypothetical Trigger Level (for each Reference Index):
600.00, which is 60.00% of the hypothetical Initial Level
Hypothetical Coupon Barrier (for each Reference Index):
600.00, which is 60.00% of the hypothetical Initial Level
Contingent Coupon Rate:
5.20% per annum (or 1.30% per quarter)
Contingent Coupon Amount:
$13.00 per quarter
Principal Amount:
$1,000 per Note
* The hypothetical Initial Level of 1,000.00 used in the examples below has been chosen for il ustrative purposes only and is not the actual Initial Level of any
Reference Index. The actual Initial Levels for each Reference Index are set forth on the cover page of this pricing supplement. We make no representation or
warranty as to which of the Reference Indices will be the Lesser Performing Reference Index. It is possible that the Final Level of each Reference Index
will be less than its Initial Level.
Hypothetical Final Levels of the Lesser Performing Reference Index are shown in the first column on the left. The second column shows
the Payment at Maturity as a percentage of the principal amount for a range of Final Levels. The third column shows the amount of cash
to be paid on the Notes per $1,000 in principal amount. If the Notes are called prior to maturity, the hypothetical examples below will not
be relevant, and you will receive on the applicable Coupon Payment Date, for each $1,000 principal amount, $1,000 plus the Contingent
Coupon otherwise due on the Notes.
Payment at Maturity as
Cash Payment Amount
Hypothetical Final Level of the Lesser
Percentage of Principal
per $1,000 in Principal
Performing Reference Index
Amount
Amount
1,300.00
101.30%*
$1,013.00*
1,250.00
101.30%*
$1,013.00*
1,100.00
101.30%*
$1,013.00*
1,000.00
101.30%*
$1,013.00*
900.00
101.30%*
$1,013.00*
800.00
101.30%*
$1,013.00*
700.00
101.30%*
$1,013.00*
600.00
101.30%*
$1,013.00*
599.90
59.99%
$599.90
500.00
50.00%
$500.00
400.00
40.00%
$400.00
300.00
30.00%
$300.00
250.00
25.00%
$250.00
0.00
0.00%
$0.00
*Including the final Contingent Coupon, if payable.
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Issuer Cal able Contingent Coupon Barrier
Notes Linked to the Lesser Performing of Three
Equity Indices
Royal Bank of Canada

Hypothetical Examples of Amounts Payable at Maturity
The following hypothetical examples illustrate how the payments at maturity set forth in the table above are calculated, assuming the
Notes have not been called.
Example 1: The level of the Lesser Performing Reference Index increases by 25% from the Initial Level to its Final Level of
1,250.00. Because the Final Level of the Lesser Performing Reference Index is greater than its Trigger Level and Coupon Barrier, the
investor receives at maturity, in addition to the final Contingent Coupon otherwise due on the Notes, a cash payment of $1,000 per Note,
despite the 25% appreciation in the level of the Lesser Performing Reference Index.
Example 2: The level of the Lesser Performing Reference Index decreases by 20% from the Initial Level to its Final Level of
800.00. Because the Final Level of the Lesser Performing Reference Index is greater than its Trigger Level and Coupon Barrier, the
investor receives at maturity, in addition to the final Contingent Coupon otherwise due on the Notes, a cash payment of $1,000 per Note,
despite the 20% decline in the level of the Lesser Performing Reference Index.
Example 3: The level of the Lesser Performing Reference Index decreases by 60% from the Initial Level to its Final Level of
400.00, which is less than its Trigger Level. Because the Final Level of the Lesser Performing Reference Index is less than its Trigger
Level and Coupon Barrier, the final Contingent Coupon will not be payable on the Maturity Date, and we will pay only $400.00 for each
$1,000 in the principal amount of the Notes, calculated as follows:
Principal Amount + (Principal Amount x Underlying Return of the Lesser Performing Reference Index)
= $1,000 + ($1,000 x -60.00%) = $1,000 - $600.00 = $400.00
* * *
The Payments at Maturity shown above are entirely hypothetical; they are based on levels of the Reference Indices that may not be
achieved on the Valuation Date and on assumptions that may prove to be erroneous. The actual market value of your Notes on the
Maturity Date or at any other time, including any time you may wish to sell your Notes, may bear little relation to the hypothetical
Payments at Maturity shown above, and those amounts should not be viewed as an indication of the financial return on an investment in
the Notes or on an investment in the securities included in any Reference Index.
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Issuer Cal able Contingent Coupon Barrier
Notes Linked to the Lesser Performing of Three
Equity Indices
Royal Bank of Canada

SELECTED RISK CONSIDERATIONS
An investment in the Notes involves significant risks. Investing in the Notes is not equivalent to investing directly in the
Reference Indices. These risks are explained in more detail in the section "Risk Factors" in the product prospectus
supplement. In addition to the risks described in the prospectus supplement and the product prospectus supplement, you
should consider the fol owing:
·
Principal at Risk -- Investors in the Notes could lose al or a substantial portion of their principal amount if there
is a decline in the level of the Lesser Performing Reference Index between the Trade Date and the Valuation Date.
If the Notes are not cal ed and the Final Level of the Lesser Performing Reference Index is less than its Trigger
Level, the amount of cash that you receive at maturity wil represent a loss of your principal that is proportionate to
the decline in the closing level of the Lesser Performing Reference Index from the Trade Date to the Valuation
Date. Any Contingent Coupons received on the Notes prior to the Maturity Date may not be sufficient to
compensate for any such loss.
·
The Notes Are Subject to an Issuer Call -- We may cal the Notes at our discretion on any Coupon Payment
Date beginning in October 2020. If the Notes are cal ed, then, on the applicable Coupon Payment Date, for each
$1,000 in principal amount, you wil receive $1,000 plus the Contingent Coupon otherwise due on the applicable
Coupon Payment Date. You wil not receive any Contingent Coupons after that payment. You may be unable to
reinvest your proceeds from the cal in an investment with a return that is as high as the return on the Notes would
have been if they had not been cal ed. We are more likely to cal the Notes if we anticipate that the yield on the
Notes wil exceed that payable on our conventional debt securities.
·
You May Not Receive Any Contingent Coupons -- We wil not necessarily make any coupon payments on the
Notes. If the closing level of any of the Reference Indices on an Observation Date is less than its Coupon Barrier,
we wil not pay you the Contingent Coupon applicable to that Observation Date. If the closing level of any of the
Reference Indices is less than its Coupon Barrier on each of the Observation Dates and on the Valuation Date, we
wil not pay you any Contingent Coupons during the term of, and you wil not receive a positive return on your
Notes. General y, this non-payment of the Contingent Coupon coincides with a period of greater risk of principal
loss on your Notes. Accordingly, if we do not pay the Contingent Coupon on the Maturity Date, you wil also incur a
loss of principal because the Final Level of the Lesser Performing Reference Index wil be less than its Trigger
Level.
·
The Notes Are Linked to the Lesser Performing Reference Index, Even if the Other Reference Indices
Perform Better -- If any of the Reference Indices has a Final Level that is less than its Trigger Level, your return
wil be linked to the lesser performing of the three Reference Indices. Even if the Final Levels of the other
Reference Indices have increased compared to their respective Initial Levels, or have experienced a decrease that
is less than that of the Lesser Performing Reference Index, your return wil only be determined by reference to the
performance of the Lesser Performing Reference Index, regardless of the performance of the other Reference
Indices. Because each Reference Index tracks a different segment of the U.S. securities markets, it is possible
that al three wil decline in value during the term of the Notes.
·
Your Payment on the Notes Will Be Determined by Reference to Each Reference Index Individually, Not to
a Basket, and the Payment at Maturity Will Be Based on the Performance of the Lesser Performing
Reference Index -- The Payment at Maturity wil be determined only by reference to the performance of the
Lesser Performing Reference Index, regardless of the performance of the other Reference Indices. The Notes are
not linked to a weighted basket, in which the risk may be mitigated and diversified among each of the basket
components. For example, in the case of notes linked to a weighted basket, the return would depend on the
weighted aggregate performance of the basket components reflected as the basket return. As a result, the
depreciation of one basket component could be mitigated by the appreciation of the other basket components, as
scaled by the weighting of that basket component. However, in the case of the Notes, the individual performance
of each of the Reference Indices would not be combined, and the depreciation of one Reference Index would not
be mitigated by any appreciation of the other Reference Indices. Instead, your return wil depend solely on the
Final Level of the Lesser Performing Reference Index.
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Issuer Cal able Contingent Coupon Barrier
Notes Linked to the Lesser Performing of Three
Equity Indices
Royal Bank of Canada

·
The Call Feature and the Contingent Coupon Feature Limit Your Potential Return -- The return potential of
the Notes is limited to the pre-specified Contingent Coupon Rate, regardless of the appreciation of the Reference
Indices. In addition, the total return on the Notes wil vary based on the number of Observation Dates on which the
Contingent Coupon becomes payable prior to maturity or an issuer cal . Further, if the Notes are cal ed due to the
Cal Feature, you wil not receive any Contingent Coupons or any other payment in respect of any Observation
Dates after the applicable Coupon Payment Date. Since the Notes could be cal ed as early as October 2020, the
total return on the Notes could be limited to one year. If the Notes are not cal ed, you may be subject to the ful
downside performance of the Lesser Performing Reference Index even though your potential return is limited to
the Contingent Coupon Rate. As a result, the return on an investment in the Notes could be less than the return on
a direct investment in securities included in the Reference Indices.
·
Your Return May Be Lower than the Return on a Conventional Debt Security of Comparable Maturity --
The return that you wil receive on the Notes, which could be negative, may be less than the return you could earn
on other investments. Even if your return is positive, your return may be less than the return you would earn if you
bought a conventional senior interest bearing debt security of Royal Bank.
·
Payments on the Notes Are Subject to Our Credit Risk, and Changes in Our Credit Ratings Are Expected
to Affect the Market Value of the Notes -- The Notes are our senior unsecured debt securities. As a result, your
receipt of any Contingent Coupons and the amount due on any relevant payment date is dependent upon our
ability to repay our obligations on the applicable payment dates. This wil be the case even if the levels of the
Reference Indices increase after the Trade Date. No assurance can be given as to what our financial condition wil
be at any time during the term of the Notes.
·
There May Not Be an Active Trading Market for the Notes-Sales in the Secondary Market May Result in
Significant Losses -- There may be little or no secondary market for the Notes. The Notes wil not be listed on
any securities exchange. RBCCM and our other affiliates may make a market for the Notes; however, they are not
required to do so. RBCCM or any other affiliate of ours may stop any market-making activities at any time. Even if
a secondary market for the Notes develops, it may not provide significant liquidity or trade at prices advantageous
to you. We expect that transaction costs in any secondary market would be high. As a result, the difference
between bid and asked prices for your Notes in any secondary market could be substantial.
·
Owning the Notes Is Not the Same as Owning the Securities Represented by the Reference Indices -- The
return on your Notes is unlikely to reflect the return you would realize if you actual y owned the securities
represented by the Reference Indices. For instance, you wil not receive or be entitled to receive any dividend
payments or other distributions on those securities during the term of your Notes. As an owner of the Notes, you
wil not have voting rights or any other rights that holders of the Reference Indices may have. Furthermore, the
Reference Indices may appreciate substantial y during the term of the Notes, while your potential return wil be
limited to the applicable Contingent Coupon payments.
·
The Initial Estimated Value of the Notes Is Less than the Price to the Public -- The initial estimated value that
is set forth on the cover page of this pricing supplement does not represent a minimum price at which we, RBCCM
or any of our affiliates would be wil ing to purchase the Notes in any secondary market (if any exists) at any time. If
you attempt to sel the Notes prior to maturity, their market value may be lower than the price you paid for them
and the initial estimated value. This is due to, among other things, changes in the levels of the Reference Indices,
the borrowing rate we pay to issue securities of this kind, and the inclusion in the price to the public of the
underwriting discount and the estimated costs relating to our hedging of the Notes. These factors, together with
various credit, market and economic factors over the term of the Notes, are expected to reduce the price at which
you may be able to sel the Notes in any secondary market and wil affect the value of the Notes in complex and
unpredictable ways. Assuming no change in market conditions or any other relevant factors, the price, if any, at
which you may be able to sel your Notes prior to maturity may be less than your original purchase price, as any
such sale price would not be expected to include the underwriting discount and the hedging costs relating to the
Notes. In addition to bid-ask spreads, the value of the Notes determined by RBCCM for any secondary market
price is expected to be based on the secondary rate rather than the internal funding rate used to price the Notes
P-8
RBC Capital Markets, LLC
https://www.sec.gov/Archives/edgar/data/1000275/000114036119019533/form424b2.htm
10/23