US Wrap: RBC launches Russell 2000 kick-out in rise of the mid-cap
Royal Bank of Canada has launched an autocallable product linked to the Russell 2000 as mid-cap indexes find favour among the US audience. The product lasts 18 months and will pay a return of 11.5% provided that the index is at or above its initial level.
Capital is not protected if the index falls below a 15% barrier, in which case losses will be 1:1 beyond the buffer. Aggregate issuance on the note was $899,000.
The Russell 2000 Index has formed the basis for 12 products so far in 2010
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