Underlying Market Details
Hypothetical Note Returns
| Final Reference |
Index Rate Variable Interest |
Annualized Return |
| 1.00% |
$0.00 |
1.002% |
| 2.00% |
$0.00 |
1.002% |
| 3.00% |
$2.45 |
1.479% |
| 3.69%* |
$7.28 |
2.393% |
| 4.00% |
$9.45 |
2.793% |
| 5.00% |
$16.45 |
4.042% |
| 6.00% |
$23.45 |
5.234% |
| 7.00% |
$30.45 |
6.373% |
| 8.00% |
$37.45 |
7.466% |
| 9.00% |
$44.45 |
8.515% |
Example: If the 30 Year CMS Rate is 5.00% at maturity, then the Variable Interest is equal to 7.0 * (5.00% – 2.65%) = $16.45
*Investors would need the Index to be at least 3.69% at maturity in order to earn an overall Note yield similar to the highest yields currently available on other 5.5 year RBC bonds or GICs (Interpolated) at the inception of the note.
Disclaimer
The material on this website is for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy Notes. An investment in principal at risk notes may not be suitable for all investors. Principal at risk notes are not principal protected and repayment of the principal amount invested is not guaranteed. Any payment on principal at risk notes depends on the performance of the underlying assets. Investors should read the applicable Prospectus Supplement for an issue of Notes carefully before investing and should discuss the suitability of an investment in the Notes with their investment advisor before making an investment decision. The offering and sale of Notes may be prohibited or restricted by laws in certain jurisdictions. Notes may only be purchased where they may be lawfully offered for sale and only through individuals qualified to sell them. For a copy of the Prospectus Supplement for an issue of Notes, click on the link above.
