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Silver Predator Corp. Capital/Financing Update 2025
46263_rns_2025-03-21_92190c7b-a052-456c-93b7-d97406ccaf58.pdf
Capital/Financing Update
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RBC
Capital Markets
This summary is qualified in its entirety by a pricing supplement (the "Pricing Supplement") and the base shelf prospectus dated March 15, 2024
March 21, 2025
RBC GLOBAL INVESTMENT SOLUTIONS
RBC Solactive United Parcel Service AR 6.64 Index Callable Contingent Yield 13.50% Securities (USD), Series 2318 Non-Principal Protected Security
| 7.0 year term | Performance linked to the Solactive United Parcel Service AR 6.64 Index | Potential 13.50% coupon p.a. paid monthly | 50% protection barrier level | Callable monthly at 105% of Initial Index Level starting on December 24, 2025 |
|---|---|---|---|---|
| Fundserv | Subscriptions Close | Issue Date | Maturity Date | |
| --- | --- | --- | --- | |
| RBC12641 | April 8, 2025 | April 9, 2025 | April 9, 2032 |
KEY TERMS
Issuer: Royal Bank of Canada
Issuer Credit Ratings: Moody's: Aa1; S&P: AA-; DBRS: AA
Currency: USD
Minimum Investment: 50 Securities or US$5,000.
Term: Approximately 7.0 years
Principal at Risk: The Securities are not principal protected.
Underlying Index:
The return on the Securities is linked to the performance of the Solactive United Parcel Service AR 6.64 Index (the "Underlying Index"). The Underlying Index is an adjusted return index that aims to track the gross total return performance of the Solactive United Parcel Service GTR Index (the "Target Index"), subject to a reduction of a synthetic dividend of 6.64 index points per annum (the "Adjusted Return Factor"). The only constituent securities in the Target Index are the shares of class B common stock of United Parcel Service, Inc. (the "Constituent Securities" and the "Constituent Securities Issuer", respectively). For the avoidance of doubt, the return on the Securities is linked to the Underlying Index and is not linked to the Target Index or the Constituent Securities. The Closing Level on March 18, 2025 was 118.31. The Adjusted Return Factor divided by the Closing Level was therefore equal to $5.6124\%$ on March 18, 2025. If an Autocall Redemption Event does not occur, over the term of the Securities the sum of the Adjusted Return Factor will be approximately 46.48 index points, representing $39.2866\%$ of the Closing Level on March 18, 2025. For the calculation of the level of the Target Index, any dividends or other distributions paid on the Constituent Securities are assumed to be reinvested on the Constituent Securities. As of March 18, 2025, the annual dividend yield on the Target Index was $5.494\%$ , representing an aggregate dividend yield of approximately $45.410\%$ compounded annually over the term of the Securities, on the assumption that the dividend yield remains constant.
Issue Date: April 9, 2025.
A final base shelf prospectus containing important information relating to the securities described in this document has been filed with the securities regulatory authorities in each of the provinces and territories of Canada. The final base shelf prospectus, any applicable shelf prospectus supplement, the Pricing Supplement and any amendment to such documents are accessible through SEDAR+ at www.sedarplus.com. Copies of the documents may also be obtained from www.rbcnotes.com. This document does not provide full disclosure of all material facts relating to the securities offered. Investors should read the final base shelf prospectus, any applicable shelf prospectus supplement, the Pricing Supplement and any amendment to such documents for disclosure of those facts, especially risk factors relating to the securities offered, before making an investment decision.
www.rbcnotes.com
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| Initial Index Level: | The Closing Level as published by the Index Sponsor on the Initial Valuation Date. |
|---|---|
| Initial Valuation Date: | March 24, 2025. |
| Protection Barrier Level: | 50.00% of the Initial Index Level. |
| Coupon Barrier Level: | 70.00% of the Initial Index Level. |
| Final Index Level: | The Closing Level as published by the Index Sponsor on the Final Valuation Date. |
| Final Valuation Date: | March 24, 2032. |
| Closing Level: | The official closing level of the Underlying Index as announced by the Index Sponsor for the relevant date, as determined by the Calculation Agent. |
| Maturity Date: | April 9, 2032. |
| Observation Dates: | The dates set out below under the heading “Observation Dates”, provided that if any Observation Date is not an Exchange Day, such Observation Date will be the next following day that is an Exchange Day, subject to the occurrence of an Extraordinary Event. |
| Interest Payment Dates: | The dates set out below under the heading “Interest Payment Dates”, subject to the occurrence of an Extraordinary Event, and provided that (i) the Securities are not redeemed by the Bank as described below, and (ii) if any Interest Payment Date is not a Business Day, such Interest Payment Date will be the first following day that is a Business Day. For greater certainty, the final Interest Payment, if any, will be made on the earlier of the Autocall Redemption Date, if any, and the Maturity Date. |
| Interest Payments: | Interest payments, if any, on the Securities will be payable in arrears on each Interest Payment Date at a fixed interest rate of 1.1250% for each monthly period ending on an Interest Payment Date (an “Interest Period”) in which a Digital Payout Event occurs. |
| If a Digital Payout Event does not occur on an Observation Date, no interest will be payable for the relevant Interest Period. | |
| Digital Payout Event: | If the Closing Level is greater than or equal to the Coupon Barrier Level on the relevant Observation Date, a Digital Payout Event will occur. |
| Autocall Redemption Event: | If the Closing Level on an Observation Date immediately preceding an Autocall Redemption Date is greater than or equal to 105.00% of the Initial Index Level (the “Autocall Redemption Level”), an Autocall Redemption Event will occur. |
| Following the occurrence of an Autocall Redemption Event, the Securities will be redeemed for an amount equal to the Principal Amount thereof (the “Autocall Redemption Amount”) on the applicable Autocall Redemption Date. In addition to the Autocall Redemption Amount, an Interest Payment will be paid on the Autocall Redemption Date. | |
| Autocall Redemption Dates: | The dates set out below under the heading “Autocall Redemption Dates”, subject to the occurrence of an Extraordinary Event and provided that if any Autocall Redemption Date is not a Business Day, such Autocall Redemption Date will be the first following day that is a Business Day. |
| Payment at Maturity: | If the Securities have not been previously redeemed, the amount payable on the Maturity Date (the “Final Redemption Amount”) for each Security will be: |
| (a) if the Final Index Level is greater than or equal to the Protection Barrier Level, US$100.00; or | |
| (b) if the Final Index Level is less than the Protection Barrier Level, an amount equal to the Index Return, but in any event not less than US$1.00. | |
| Index Return: | US$100.00 × (X_{t} / X_{i}), |
| where: | |
| “X_{t}” means the Final Index Level, and | |
| “X_{i}” means the Initial Index Level. | |
| Secondary Market: | Fundserv, RBC12641 |
| Generally, to be effective on a Business Day, a redemption request will need to be initiated by 2:00 p.m. (Toronto time) on that Business Day (or such other time as may be established by Fundserv). Any request received after such time will be deemed to be a request sent and received on the next following Business Day. |
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Initial Estimated Value:
The initial estimated value of the Securities on or about the date of the Pricing Supplement was US$93.23 per Security, which is less than the price to the public and is not an indication of the actual profit to the Bank or its affiliates. The actual value of the Securities at any time will reflect many factors and may be less than this amount. The initial estimated value of the Securities is an estimate only and does not represent a minimum price at which the Bank, RBC DS or any of our affiliates would be willing to purchase the Securities in any secondary market. We describe our determination of the initial estimated value in more detail in the Pricing Supplement.
| Early Trading Charge Schedule: | If Sold Within the Following No. of Days from the Issue Date | Early Trading Charge (% of Principal Amount) |
|---|---|---|
| 1 - 30 days | 4.00% | |
| 31 - 60 days | 2.70% | |
| 61 - 90 days | 1.40% | |
| Thereafter | Nil |
SAMPLE CALCULATIONS
The following examples show how the return on the Securities would be calculated under different scenarios. These examples are included for illustration purposes only. The performance of the Underlying Index used in the examples is not an estimate or forecast of the performance of the Underlying Index or the Securities. The actual performance of the Underlying Index and the Securities will be different from these examples and the differences may be material. All examples below assume that a holder of the Securities has purchased Securities with an aggregate Principal Amount of US$100.00 and that no Extraordinary Event has occurred. For convenience, each vertical line in the charts below represents both a hypothetical Observation Date and the next succeeding Interest Payment Date. Where applicable, dollar amounts shown below are rounded to the nearest whole cent for ease of reading, but the amount(s) payable to an investor per Security may reflect more decimal places.
Example #1 — Loss Scenario with Payment on the Maturity Date at Less Than the Principal Amount
- Indicates Observation Dates on which the Coupon Barrier Level is breached; therefore no Interest Payment will occur on the related Interest Payment Date.
- Indicates Observation Dates on which there is a Digital Payout Event; therefore an Interest Payment will occur on the related Interest Payment Date.
- Solactive United Parcel Service AR 6.64 Index
In this scenario, the Closing Level is below the Autocall Redemption Level on all Observation Dates, so the Securities would not be redeemed before the Maturity Date. The Closing Level is at or above the Coupon Barrier Level on 41 of the 84 Observation Dates. On the Final Valuation Date, the Final Index Level is below the Protection Barrier Level.
(i) Interest Payments
Digital Payout Events occur on 41 of the 84 Observation Dates. Therefore, an Interest Payment would be payable for 41 Interest Periods on the applicable Interest Payment Date, for total Interest Payments of:
$$
\text{Principal Amount of Securities} \times 1.1250\% \text{ per Interest Period} \times 41 \text{ Interest Periods}
$$
$$
\text{US\$100.00} \times 1.1250\% \times 41 = \text{US\$46.13}
$$
(ii) Final Redemption Amount
In this example, the Initial Index Level $(X_i)$ is 118.31 and the Final Index Level $(X_f)$ is 43.77. Therefore, the Final Redemption Amount is as follows:
$$
\text{US\$100.00} \times (X_f / X_i)
$$
$$
\text{US\$100.00} \times (43.77 / 118.31) = \text{US\$37.00}
$$
Therefore, the total amounts payable per Security from the Issue Date to the Maturity Date are:
(a) Total Interest Payments: US$46.13
(b) Final Redemption Amount: US$37.00
(c) Total amount paid over the term of the Securities: US$83.13
The equivalent annually compounded rate of return in this example is -2.61%.
Example #2 — Gain Scenario with Payment on the Maturity Date at the Principal Amount
- Indicates Observation Dates on which the Coupon Barrier Level is breached; therefore no Interest Payment will occur on the related Interest Payment Date.
- Indicates Observation Dates on which there is a Digital Payout Event; therefore an Interest Payment will occur on the related Interest Payment Date.
- Solactive United Parcel Service AR 6.64 Index
In this scenario, the Closing Level is below the Autocall Redemption Level on all Observation Dates so the Securities would not be redeemed before the Maturity Date. The Closing Level is at or above the Coupon Barrier Level on 42 of the 84 Observation Dates. On the Final Valuation Date, the Final Index Level is at or above the Protection Barrier Level.
(i) Interest Payments
Digital Payout Events occur on 42 of the 84 Observation Dates. Therefore, an Interest Payment would be payable for 42 Interest Periods on the applicable Interest Payment Date, for total Interest Payments of:
$$
\text{Principal Amount of Securities} \times 1.1250\% \text{ per Interest Period} \times 42 \text{ Interest Periods}
$$
$$
\text{US\$100.00} \times 1.1250\% \times 42 = \text{US\$47.25}
$$
(ii) Final Redemption Amount
In this example, the Final Index Level is greater than or equal to the Protection Barrier Level. Therefore, the Final Redemption Amount is US$100.00.
Therefore, the total amounts payable per Security from the Issue Date to the Maturity Date are:
(a) Total Interest Payments: US$47.25
(b) Final Redemption Amount: US$100.00
(c) Total amount paid over the term of the Securities: US$147.25
The equivalent annually compounded rate of return in this example is 5.68%.
Example #3 — Gain Scenario with Autocall Redemption Event
- Indicates Observation Date on which the Autocall Redemption Level is exceeded.
- Indicates Observation Dates on which there is a Digital Payout Event; therefore an Interest Payment will occur on the related Interest Payment Date.
- Solactive United Parcel Service AR 6.64 Index
In this scenario, the Closing Level is at or above the Autocall Redemption Level on the Observation Date that falls 34 months into the term of the Securities. This would constitute an Autocall Redemption Event and the Bank would redeem the Securities on the next succeeding Autocall Redemption Date. The Closing Level is at or above the Coupon Barrier Level on 34 Observation Dates prior to the Autocall Redemption Date.
(i) Interest Payments
Digital Payout Events occur on each of the 34 Observation Dates. Therefore, an Interest Payment would be payable for each Interest Period on the applicable Interest Payment Date (including on the Autocall Redemption Date), for total Interest Payments of:
Principal Amount of Securities × 1.1250% per Interest Period × 34 Interest Periods
US$100.00 × 1.1250% × 34 = US$38.25
(ii) Autocall Redemption Amount
The Autocall Redemption Amount per Security is equal to US$100.00.
Therefore, the total amounts payable per Security from the Issue Date to the Autocall Redemption Date are:
(a) Total Interest Payments: US$38.25
(b) Autocall Redemption Amount: US$100.00
(c) Total amount paid over the term of the Securities: US$138.25
The equivalent annually compounded rate of return in this example is 12.11%.
INFORMATION REGARDING THE OBSERVATION DATES, INTEREST PAYMENT DATES AND AUTOCALL REDEMPTION DATES:
| Observation Dates | Interest Payment Dates | Autocall Redemption Dates |
|---|---|---|
| April 24, 2025 | April 29, 2025 | - |
| May 27, 2025 | May 30, 2025 | - |
| June 24, 2025 | June 27, 2025 | - |
| July 24, 2025 | July 29, 2025 | - |
| August 25, 2025 | August 28, 2025 | - |
| September 24, 2025 | September 29, 2025 | - |
| October 24, 2025 | October 29, 2025 | - |
| November 24, 2025 | November 28, 2025 | - |
| December 24, 2025 | December 30, 2025 | December 30, 2025 |
| January 26, 2026 | January 29, 2026 | January 29, 2026 |
| February 24, 2026 | February 27, 2026 | February 27, 2026 |
| March 24, 2026 | March 27, 2026 | March 27, 2026 |
| April 24, 2026 | April 29, 2026 | April 29, 2026 |
| May 26, 2026 | May 29, 2026 | May 29, 2026 |
| June 24, 2026 | June 29, 2026 | June 29, 2026 |
| July 24, 2026 | July 29, 2026 | July 29, 2026 |
| August 24, 2026 | August 27, 2026 | August 27, 2026 |
| September 24, 2026 | September 29, 2026 | September 29, 2026 |
| October 26, 2026 | October 29, 2026 | October 29, 2026 |
| November 24, 2026 | November 30, 2026 | November 30, 2026 |
| December 24, 2026 | December 30, 2026 | December 30, 2026 |
| January 25, 2027 | January 28, 2027 | January 28, 2027 |
| February 24, 2027 | March 1, 2027 | March 1, 2027 |
| March 24, 2027 | March 30, 2027 | March 30, 2027 |
| April 26, 2027 | April 29, 2027 | April 29, 2027 |
| May 24, 2027 | May 27, 2027 | May 27, 2027 |
| June 24, 2027 | June 29, 2027 | June 29, 2027 |
| July 26, 2027 | July 29, 2027 | July 29, 2027 |
| August 24, 2027 | August 27, 2027 | August 27, 2027 |
| September 24, 2027 | September 29, 2027 | September 29, 2027 |
| October 25, 2027 | October 28, 2027 | October 28, 2027 |
| November 24, 2027 | November 30, 2027 | November 30, 2027 |
| December 27, 2027 | December 30, 2027 | December 30, 2027 |
| January 24, 2028 | January 27, 2028 | January 27, 2028 |
| February 24, 2028 | February 29, 2028 | February 29, 2028 |
| March 24, 2028 | March 29, 2028 | March 29, 2028 |
| April 24, 2028 | April 27, 2028 | April 27, 2028 |
| May 24, 2028 | May 30, 2028 | May 30, 2028 |
| June 26, 2028 | June 29, 2028 | June 29, 2028 |
| July 24, 2028 | July 27, 2028 | July 27, 2028 |
| August 24, 2028 | August 29, 2028 | August 29, 2028 |
| September 25, 2028 | September 28, 2028 | September 28, 2028 |
| October 24, 2028 | October 27, 2028 | October 27, 2028 |
| November 24, 2028 | November 29, 2028 | November 29, 2028 |
| December 26, 2028 | December 29, 2028 | December 29, 2028 |
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| January 24, 2029 | January 29, 2029 | January 29, 2029 |
| --- | --- | --- |
| February 26, 2029 | March 1, 2029 | March 1, 2029 |
| March 26, 2029 | March 29, 2029 | March 29, 2029 |
| April 24, 2029 | April 27, 2029 | April 27, 2029 |
| May 24, 2029 | May 30, 2029 | May 30, 2029 |
| June 25, 2029 | June 28, 2029 | June 28, 2029 |
| July 24, 2029 | July 27, 2029 | July 27, 2029 |
| August 24, 2029 | August 29, 2029 | August 29, 2029 |
| September 24, 2029 | September 27, 2029 | September 27, 2029 |
| October 24, 2029 | October 29, 2029 | October 29, 2029 |
| November 26, 2029 | November 29, 2029 | November 29, 2029 |
| December 24, 2029 | December 28, 2029 | December 28, 2029 |
| January 24, 2030 | January 29, 2030 | January 29, 2030 |
| February 25, 2030 | February 28, 2030 | February 28, 2030 |
| March 25, 2030 | March 28, 2030 | March 28, 2030 |
| April 24, 2030 | April 29, 2030 | April 29, 2030 |
| May 24, 2030 | May 30, 2030 | May 30, 2030 |
| June 24, 2030 | June 27, 2030 | June 27, 2030 |
| July 24, 2030 | July 29, 2030 | July 29, 2030 |
| August 26, 2030 | August 29, 2030 | August 29, 2030 |
| September 24, 2030 | September 27, 2030 | September 27, 2030 |
| October 24, 2030 | October 29, 2030 | October 29, 2030 |
| November 25, 2030 | November 29, 2030 | November 29, 2030 |
| December 24, 2030 | December 30, 2030 | December 30, 2030 |
| January 24, 2031 | January 29, 2031 | January 29, 2031 |
| February 24, 2031 | February 27, 2031 | February 27, 2031 |
| March 24, 2031 | March 27, 2031 | March 27, 2031 |
| April 24, 2031 | April 29, 2031 | April 29, 2031 |
| May 27, 2031 | May 30, 2031 | May 30, 2031 |
| June 24, 2031 | June 27, 2031 | June 27, 2031 |
| July 24, 2031 | July 29, 2031 | July 29, 2031 |
| August 25, 2031 | August 28, 2031 | August 28, 2031 |
| September 24, 2031 | September 29, 2031 | September 29, 2031 |
| October 24, 2031 | October 29, 2031 | October 29, 2031 |
| November 24, 2031 | November 28, 2031 | November 28, 2031 |
| December 24, 2031 | December 30, 2031 | December 30, 2031 |
| January 26, 2032 | January 29, 2032 | January 29, 2032 |
| February 24, 2032 | February 27, 2032 | February 27, 2032 |
| March 24, 2032 | April 9, 2032 | - |
The Underlying Index is calculated and published by Solactive AG ("Solactive"), and the name "Solactive" is a registered trademark of Solactive. The Underlying Index has been licensed for use by the Bank in connection with the Securities. The Securities are not sponsored, promoted, sold or supported in any other manner by Solactive and Solactive makes no representation or warranty, express or implied, regarding the advisability of investing in securities generally or the Securities in particular. Solactive does not guarantee the accuracy or completeness of the Underlying Index or the Target Index, any data included therein, or any data from which it is derived, nor has any liability for any errors, omissions, or interruptions therein.
All capitalized terms unless otherwise defined have the meanings ascribed to them in the Pricing Supplement.
Clients should evaluate the financial, market, legal, regulatory, credit, tax and accounting risks and consequences of the proposal before entering into any transaction, or purchasing any instrument. Clients should evaluate such risks and consequences independently of Royal Bank of Canada and the Dealers, RBC Dominion Securities Inc. ("RBC DS") and Wellington-Altus Private Wealth Inc., respectively. RBC DS is a wholly-owned subsidiary of the Bank. Consequently, the Bank is a related and connected issuer of RBC DS within the meaning of applicable securities legislation.
The Securities will not constitute deposits insured under the Canada Deposit Insurance Corporation Act or any other deposit insurance regime. The Securities are not fixed income securities and are not designed to be alternatives to fixed income or money market instruments.
An investment in the Securities involves risks. None of Royal Bank of Canada, the Dealers or any of their respective affiliates, associates, or any other person or entity guarantees that holders of Securities will receive an amount equal to their original investment in the Securities or guarantees that any return will be paid on the Securities (subject to the minimum amount payable at maturity of US$1.00 per Security) at or prior to maturity of the Securities. See "Risk Factors" in the base shelf prospectus and "Risk Factors" in the Pricing Supplement. Since the Securities are not principal protected and the Principal Amount will be at risk, you could lose substantially all of your investment.
® Registered trademark of Royal Bank of Canada
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