Royal Bank of Canada announced the issuance of Buffered Performance Leveraged Upside Securities (Buffered PLUS) on September 29, 2026. These securities link to the S&P 500 Index. The principal-at-risk securities mature on May 3, 2029. They offer investors a leveraged return on the index's performance up to a cap. The securities also provide a buffer against a portion of potential losses. This offering forms part of the bank's series of fixed-income transactions.
RBC positions this move as part of its broader strategy. This strategy aims to balance funding needs, meet regulatory capital requirements, and deliver shareholder returns. The bank also recently increased its quarterly dividend. This signals confidence in its financial position amidst a changing credit and interest rate environment. A separate, related offering of Limited Recourse Capital Notes also has an expected closing date of September 29, 2026.