[FWP] Bank of America Corporation Free Writing Prospectus
Royal Bank of Canada (Series J) is offering unsecured, senior Market-Linked Securities linked to the S&P 500 Index, due August 3, 2028. The $1,000-denominated notes are auto-callable after roughly one year (call date: August 4, 2026). If the Index closing value on that date is at or above the starting value, investors receive the face amount plus a minimum 7.15% call premium and the notes terminate early.
If not called, the maturity payment depends on Index performance from the starting value (set on July 30, 2025) to the ending value (July 31, 2028):
- Upside: 125% participation in any Index gain (no cap).
- Buffer: Full principal back if the Index is flat or 鈮�10% down.
- Downside: 1-to-1 loss beyond the 10% buffer; investors may lose up to 90% of principal.
The securities pay no coupons, dividends, or interest, and are not listed on any exchange. All cash flows are subject to RBC鈥檚 credit risk. The initial estimated value is expected between $910.50 and $960.50鈥攂elow the $1,000 offering price鈥攔eflecting agent discounts (Wells Fargo Securities as principal distributor), hedging costs, and RBC鈥檚 internal funding rate. RBC Capital Markets acts as calculation agent.
Key risk disclosures stress potential principal loss, limited liquidity, uncertain tax treatment, and conflicts of interest arising from dealer hedging and pricing activities. Hypothetical tables show returns ranging from +125% to 鈭�90%, illustrating leverage, buffer protection, and auto-call limitations.
Royal Bank of Canada (Serie J) offre titoli senior non garantiti Market-Linked legati all'indice S&P 500, con scadenza il 3 agosto 2028. Le note denominate in $1.000 sono auto-rimborso dopo circa un anno (data di call: 4 agosto 2026). Se il valore di chiusura dell'indice in quella data 猫 pari o superiore al valore iniziale, gli investitori ricevono l'importo nominale pi霉 un premio minimo di richiamo del 7,15% e le note si estinguono anticipatamente.
Se non viene esercitato il call, il pagamento a scadenza dipende dalla performance dell'indice dal valore iniziale (stabilito il 30 luglio 2025) al valore finale (31 luglio 2028):
- Rendimento positivo: partecipazione al 125% di qualsiasi guadagno dell'indice (senza limite massimo).
- Buffer: restituzione completa del capitale se l'indice 猫 stabile o scende fino al 10%.
- Rischio al ribasso: perdita 1 a 1 oltre il buffer del 10%; gli investitori possono perdere fino al 90% del capitale.
I titoli non pagano cedole, dividendi o interessi e non sono quotati in alcuna borsa. Tutti i flussi di cassa sono soggetti al rischio di credito di RBC. Il valore iniziale stimato 猫 previsto tra $910,50 e $960,50, inferiore al prezzo di offerta di $1.000, riflettendo sconti dell'agente (Wells Fargo Securities come distributore principale), costi di copertura e il tasso di finanziamento interno di RBC. RBC Capital Markets agisce come agente di calcolo.
Le principali informazioni sui rischi evidenziano la possibile perdita del capitale, la liquidit脿 limitata, il trattamento fiscale incerto e i conflitti di interesse derivanti dalle attivit脿 di copertura e pricing del dealer. Tabelle ipotetiche mostrano rendimenti da +125% a 鈭�90%, illustrando leva, protezione buffer e limiti dell'auto-call.
Royal Bank of Canada (Serie J) ofrece valores senior no garantizados vinculados al mercado y ligados al 铆ndice S&P 500, con vencimiento el 3 de agosto de 2028. Los bonos denominados en $1,000 son autocancelables tras aproximadamente un a帽o (fecha de llamada: 4 de agosto de 2026). Si el valor de cierre del 铆ndice en esa fecha est谩 en o por encima del valor inicial, los inversores reciben el monto nominal m谩s una prima m铆nima de llamada del 7,15% y los bonos se terminan anticipadamente.
Si no se ejerce la llamada, el pago al vencimiento depende del desempe帽o del 铆ndice desde el valor inicial (establecido el 30 de julio de 2025) hasta el valor final (31 de julio de 2028):
- Subida: participaci贸n del 125% en cualquier ganancia del 铆ndice (sin l铆mite m谩ximo).
- Buffer: devoluci贸n total del principal si el 铆ndice est谩 estable o cae hasta un 10%.
- Bajada: p茅rdida 1 a 1 m谩s all谩 del buffer del 10%; los inversores pueden perder hasta el 90% del principal.
Los valores no pagan cupones, dividendos ni intereses y no est谩n listados en ninguna bolsa. Todos los flujos de efectivo est谩n sujetos al riesgo crediticio de RBC. El valor estimado inicial se espera entre $910.50 y $960.50, por debajo del precio de oferta de $1,000, reflejando descuentos de agentes (Wells Fargo Securities como distribuidor principal), costos de cobertura y la tasa interna de financiamiento de RBC. RBC Capital Markets act煤a como agente de c谩lculo.
Las divulgaciones clave de riesgos destacan la posible p茅rdida de capital, liquidez limitada, tratamiento fiscal incierto y conflictos de inter茅s derivados de las actividades de cobertura y fijaci贸n de precios del distribuidor. Tablas hipot茅ticas muestran rendimientos que van desde +125% a 鈭�90%, ilustrando apalancamiento, protecci贸n buffer y limitaciones del autocall.
搿滌棿 氡呿伂 鞓る笇 旌愲倶雼�(鞁滊Μ歃� J)電� 2028雲� 8鞗� 3鞚� 毵岅赴鞚� S&P 500 歆�靾� 鞐瓣硠 氍措嫶氤� 靹犾垳鞙� 鞁滌灔 鞐瓣硠 歃濌秾鞚� 鞝滉车頃╇媹雼�. 1,000雼煬 雼渼鞚� 鞚� 雲疙姼電� 鞎� 1雲� 頉� 鞛愲彊 靸來櫂 臧�電ロ晿氅�(旖� 雮犾: 2026雲� 8鞗� 4鞚�), 頃措嫻 雮犾 歆�靾� 膦呹皜臧� 鞁滌瀾 臧�旃� 鞚挫儊鞚� 瓴届毎 韴瀽鞛愲姅 鞗愱笀瓿� 斓滌唽 7.15% 旖� 頂勲Μ氙胳梽鞚� 氚涥碃 臁瓣赴 靸來櫂霅╇媹雼�.
旖滌澊 鞚措（鞏挫歆� 鞎婌溂氅� 毵岅赴 鞁� 歆�旮夓暋鞚� 鞁滌瀾 臧�旃�(2025雲� 7鞗� 30鞚� 靹れ爼)攵�韯� 膦呺 臧�旃�(2028雲� 7鞗� 31鞚�)旯岇 歆�靾� 靹标臣鞐� 霐半澕 瓴办爼霅╇媹雼�:
- 靸侅姽: 歆�靾� 靸侅姽攵勳棎 雽�頃� 125% 彀胳棳(靸來暅 鞐嗢潓).
- 氩勴嵓: 歆�靾橁皜 氤�霃� 鞐嗞卑雮� 斓滊寑 10% 頃橂澖 鞁� 鞗愱笀 鞝勳暋 氚橅櫂.
- 顷橂澖: 10% 氩勴嵓 齑堦臣 靻愳嫟鞚� 1:1 牍勳湪; 韴瀽鞛愲姅 斓滊寑 90%旯岇 鞗愱笀 靻愳嫟 臧�電�.
鞚� 歃濌秾鞚� 炜犿彴, 氚半嫻旮� 霕愲姅 鞚挫瀽毳� 歆�旮夗晿歆� 鞎婌溂氅�, 鞏措枻 瓯半灅靻岇棎霃� 靸侅灔霅橃柎 鞛堨 鞎婌姷雼堧嫟. 氇摖 順勱笀 頋愲鞚� RBC 鞁犾毄 鞙勴棙鞐� 雲胳稖霅╇媹雼�. 齑堦赴 鞓堨儊 臧�旃�電� 910.50雼煬鞐愳劀 960.50雼煬 靷澊搿�, 1,000雼煬 瓿惦臧�氤措嫟 雮溂氅�, 鞚措姅 雽�毽澑 頃犾澑(Wells Fargo Securities臧� 欤检殧 氚瓣笁靷�), 項れ 牍勳毄 氚� RBC 雮措秬 鞛愱笀 臁半嫭 旮堧Μ毳� 氚橃榿頃╇媹雼�. RBC Capital Markets臧� 瓿勳偘 雽�毽澑 鞐暊鞚� 頃╇媹雼�.
欤检殧 鞙勴棙 瓿奠嫓鞐愲姅 鞗愱笀 靻愳嫟 臧�電レ劚, 鞝滍暅霅� 鞙犽彊靹�, 攵堩檿鞁ろ暅 靹鸽 觳橂Μ, 霐滊煬 項れ 氚� 臧�瓴� 毂呾爼 頇滊彊鞐愳劀 氚滌儩頃橂姅 鞚错暣 靸侅订鞚� 臧曥“霅橃柎 鞛堨姷雼堧嫟. 臧�靸� 響滊姅 +125%鞐愳劀 鈭�90%旯岇 靾橃澋毳犾潉 氤挫棳欤茧┌ 霠堧矂毽, 氩勴嵓 氤错樃 氚� 鞛愲彊 旖� 鞝滍暅鞚� 靹る獏頃╇媹雼�.
La Banque Royale du Canada (s茅rie J) propose des titres seniors non garantis li茅s au march茅, index茅s sur l'indice S&P 500, 茅ch茅ance le 3 ao没t 2028. Les billets libell茅s en 1 000 $ sont auto-remboursables apr猫s environ un an (date d'appel : 4 ao没t 2026). Si la valeur de cl么ture de l'indice 脿 cette date est 茅gale ou sup茅rieure 脿 la valeur initiale, les investisseurs re莽oivent le montant nominal plus une prime d'appel minimale de 7,15% et les titres prennent fin anticipativement.
Si le remboursement anticip茅 n'a pas lieu, le paiement 脿 l'茅ch茅ance d茅pend de la performance de l'indice entre la valeur de d茅part (fix茅e au 30 juillet 2025) et la valeur finale (31 juillet 2028) :
- Hausse : participation 脿 125 % de toute hausse de l'indice (sans plafond).
- Buffer : remboursement int茅gral du capital si l'indice est stable ou en baisse jusqu'脿 10 %.
- Baisse : perte au-del脿 du buffer de 10 % au taux de 1 pour 1 ; les investisseurs peuvent perdre jusqu'脿 90 % du capital.
Les titres ne versent ni coupons, ni dividendes, ni int茅r锚ts et ne sont cot茅s sur aucune bourse. Tous les flux de tr茅sorerie sont soumis au risque de cr茅dit de RBC. La valeur initiale estim茅e est attendue entre 910,50 $ et 960,50 $, inf茅rieure au prix d'offre de 1 000 $, refl茅tant les remises d'agents (Wells Fargo Securities en tant que distributeur principal), les co没ts de couverture et le taux de financement interne de RBC. RBC Capital Markets agit en tant qu'agent de calcul.
Les principales informations sur les risques soulignent la perte potentielle du capital, la liquidit茅 limit茅e, le traitement fiscal incertain et les conflits d'int茅r锚ts li茅s aux activit茅s de couverture et de tarification du distributeur. Des tableaux hypoth茅tiques montrent des rendements allant de +125 % 脿 鈭�90 %, illustrant l'effet de levier, la protection buffer et les limites de l'auto-call.
Die Royal Bank of Canada (Serie J) bietet unbesicherte, vorrangige Market-Linked Securities, die an den S&P 500 Index gekoppelt sind, mit F盲lligkeit am 3. August 2028 an. Die auf 1.000 $ lautenden Notes sind nach etwa einem Jahr automatisch k眉ndbar (Call-Datum: 4. August 2026). Liegt der Schlusskurs des Index an diesem Tag auf oder 眉ber dem Anfangswert, erhalten Anleger den Nennbetrag zuz眉glich einer mindestens 7,15%igen Call-Pr盲mie und die Notes laufen vorzeitig aus.
Wird nicht gek眉ndigt, h盲ngt die R眉ckzahlung bei F盲lligkeit von der Indexentwicklung zwischen dem Anfangswert (festgelegt am 30. Juli 2025) und dem Endwert (31. Juli 2028) ab:
- 础耻蹿飞盲谤迟蝉辫辞迟别苍锄颈补濒: 125% Beteiligung an jeglichem Indexgewinn (ohne Obergrenze).
- Schutzpuffer: Volle R眉ckzahlung des Kapitals, wenn der Index unver盲ndert bleibt oder bis zu 10% f盲llt.
- 础产飞盲谤迟蝉谤颈蝉颈办辞: 1:1 Verlust 眉ber den 10%-Puffer hinaus; Anleger k枚nnen bis zu 90% des Kapitals verlieren.
Die Wertpapiere zahlen keine Kupons, Dividenden oder Zinsen und sind an keiner B枚rse notiert. Alle Zahlungsfl眉sse unterliegen dem Kreditrisiko von RBC. Der anf盲ngliche gesch盲tzte Wert wird zwischen 910,50 $ und 960,50 $ erwartet 鈥� unter dem Ausgabepreis von 1.000 $ 鈥� was Agentenrabatte (Wells Fargo Securities als Hauptvertrieb), Absicherungskosten und RBCs interne Finanzierungskosten widerspiegelt. RBC Capital Markets fungiert als Berechnungsstelle.
Wesentliche Risikoangaben heben potenzielle Kapitalverluste, eingeschr盲nkte Liquidit盲t, unsichere steuerliche Behandlung und Interessenkonflikte durch H盲ndler-Hedging und Preisgestaltungsaktivit盲ten hervor. Hypothetische Tabellen zeigen Renditen von +125% bis 鈭�90% und veranschaulichen Hebelwirkung, Pufferschutz und Auto-Call-Beschr盲nkungen.
- 125% upside participation in Index gains if not called, allowing leveraged exposure versus direct equity ownership.
- 10% downside buffer protects principal against moderate market declines.
- Early call premium of at least 7.15% delivers a fixed return if markets are flat to positive in year one.
- High-grade issuer (Royal Bank of Canada) provides senior unsecured claim, benefiting from RBC鈥檚 strong credit profile.
- Potential loss of up to 90% of principal if the Index declines beyond the 10% buffer at maturity.
- Automatic call caps upside at the call premium, eliminating participation in sustained bull markets.
- Initial estimated value (鈮�$960.50) below offer price implies immediate economic drag and dealer profit.
- No exchange listing and limited secondary market, exposing investors to liquidity risk and wide bid-ask spreads.
- No periodic interest or dividend payments; opportunity cost versus conventional debt or equity income.
- Complex tax treatment with uncertain IRS characterization and potential future regulatory changes.
Insights
TL;DR: Leveraged S&P 500 upside (125%), 10% buffer, early call at 鈮�7.15%, but up to 90% downside and illiquidity risk.
The note offers retail investors enhanced equity participation with partial downside protection and an early-call sweetener. The upside leverage (1.25脳) is attractive relative to plain equities, yet the potential auto-call after one year truncates gains to a minimum 7.15% if markets rally early. The 10% buffer is modest for a three-year horizon; beyond it, losses are linear. Because the initial estimated value is up to 8.95% below par, investors pay a meaningful premium versus RBC鈥檚 model value. Secondary markets will be limited, and valuations will be opaque. Overall risk/return skews toward RBC鈥檚 funding benefit rather than investor advantage.
TL;DR: Complex note shifts tail risk to buyer; suitable only for buy-and-hold capital with high risk tolerance.
Credit exposure to RBC (AA-), lack of periodic income, and uncertain liquidity make these notes inappropriate for short-term or income-oriented mandates. The product embeds option structures (digital call + leveraged forward) that dealers hedge profitably. Investors should treat the 7.15% call premium as a ceiling on returns in bullish scenarios. If the S&P 500 falls 25%, holders lose 15%. For diversified portfolios, the asymmetric payoff may complement core equity but should be sized conservatively given the 90% maximum loss potential.
Royal Bank of Canada (Serie J) offre titoli senior non garantiti Market-Linked legati all'indice S&P 500, con scadenza il 3 agosto 2028. Le note denominate in $1.000 sono auto-rimborso dopo circa un anno (data di call: 4 agosto 2026). Se il valore di chiusura dell'indice in quella data 猫 pari o superiore al valore iniziale, gli investitori ricevono l'importo nominale pi霉 un premio minimo di richiamo del 7,15% e le note si estinguono anticipatamente.
Se non viene esercitato il call, il pagamento a scadenza dipende dalla performance dell'indice dal valore iniziale (stabilito il 30 luglio 2025) al valore finale (31 luglio 2028):
- Rendimento positivo: partecipazione al 125% di qualsiasi guadagno dell'indice (senza limite massimo).
- Buffer: restituzione completa del capitale se l'indice 猫 stabile o scende fino al 10%.
- Rischio al ribasso: perdita 1 a 1 oltre il buffer del 10%; gli investitori possono perdere fino al 90% del capitale.
I titoli non pagano cedole, dividendi o interessi e non sono quotati in alcuna borsa. Tutti i flussi di cassa sono soggetti al rischio di credito di RBC. Il valore iniziale stimato 猫 previsto tra $910,50 e $960,50, inferiore al prezzo di offerta di $1.000, riflettendo sconti dell'agente (Wells Fargo Securities come distributore principale), costi di copertura e il tasso di finanziamento interno di RBC. RBC Capital Markets agisce come agente di calcolo.
Le principali informazioni sui rischi evidenziano la possibile perdita del capitale, la liquidit脿 limitata, il trattamento fiscale incerto e i conflitti di interesse derivanti dalle attivit脿 di copertura e pricing del dealer. Tabelle ipotetiche mostrano rendimenti da +125% a 鈭�90%, illustrando leva, protezione buffer e limiti dell'auto-call.
Royal Bank of Canada (Serie J) ofrece valores senior no garantizados vinculados al mercado y ligados al 铆ndice S&P 500, con vencimiento el 3 de agosto de 2028. Los bonos denominados en $1,000 son autocancelables tras aproximadamente un a帽o (fecha de llamada: 4 de agosto de 2026). Si el valor de cierre del 铆ndice en esa fecha est谩 en o por encima del valor inicial, los inversores reciben el monto nominal m谩s una prima m铆nima de llamada del 7,15% y los bonos se terminan anticipadamente.
Si no se ejerce la llamada, el pago al vencimiento depende del desempe帽o del 铆ndice desde el valor inicial (establecido el 30 de julio de 2025) hasta el valor final (31 de julio de 2028):
- Subida: participaci贸n del 125% en cualquier ganancia del 铆ndice (sin l铆mite m谩ximo).
- Buffer: devoluci贸n total del principal si el 铆ndice est谩 estable o cae hasta un 10%.
- Bajada: p茅rdida 1 a 1 m谩s all谩 del buffer del 10%; los inversores pueden perder hasta el 90% del principal.
Los valores no pagan cupones, dividendos ni intereses y no est谩n listados en ninguna bolsa. Todos los flujos de efectivo est谩n sujetos al riesgo crediticio de RBC. El valor estimado inicial se espera entre $910.50 y $960.50, por debajo del precio de oferta de $1,000, reflejando descuentos de agentes (Wells Fargo Securities como distribuidor principal), costos de cobertura y la tasa interna de financiamiento de RBC. RBC Capital Markets act煤a como agente de c谩lculo.
Las divulgaciones clave de riesgos destacan la posible p茅rdida de capital, liquidez limitada, tratamiento fiscal incierto y conflictos de inter茅s derivados de las actividades de cobertura y fijaci贸n de precios del distribuidor. Tablas hipot茅ticas muestran rendimientos que van desde +125% a 鈭�90%, ilustrando apalancamiento, protecci贸n buffer y limitaciones del autocall.
搿滌棿 氡呿伂 鞓る笇 旌愲倶雼�(鞁滊Μ歃� J)電� 2028雲� 8鞗� 3鞚� 毵岅赴鞚� S&P 500 歆�靾� 鞐瓣硠 氍措嫶氤� 靹犾垳鞙� 鞁滌灔 鞐瓣硠 歃濌秾鞚� 鞝滉车頃╇媹雼�. 1,000雼煬 雼渼鞚� 鞚� 雲疙姼電� 鞎� 1雲� 頉� 鞛愲彊 靸來櫂 臧�電ロ晿氅�(旖� 雮犾: 2026雲� 8鞗� 4鞚�), 頃措嫻 雮犾 歆�靾� 膦呹皜臧� 鞁滌瀾 臧�旃� 鞚挫儊鞚� 瓴届毎 韴瀽鞛愲姅 鞗愱笀瓿� 斓滌唽 7.15% 旖� 頂勲Μ氙胳梽鞚� 氚涥碃 臁瓣赴 靸來櫂霅╇媹雼�.
旖滌澊 鞚措（鞏挫歆� 鞎婌溂氅� 毵岅赴 鞁� 歆�旮夓暋鞚� 鞁滌瀾 臧�旃�(2025雲� 7鞗� 30鞚� 靹れ爼)攵�韯� 膦呺 臧�旃�(2028雲� 7鞗� 31鞚�)旯岇 歆�靾� 靹标臣鞐� 霐半澕 瓴办爼霅╇媹雼�:
- 靸侅姽: 歆�靾� 靸侅姽攵勳棎 雽�頃� 125% 彀胳棳(靸來暅 鞐嗢潓).
- 氩勴嵓: 歆�靾橁皜 氤�霃� 鞐嗞卑雮� 斓滊寑 10% 頃橂澖 鞁� 鞗愱笀 鞝勳暋 氚橅櫂.
- 顷橂澖: 10% 氩勴嵓 齑堦臣 靻愳嫟鞚� 1:1 牍勳湪; 韴瀽鞛愲姅 斓滊寑 90%旯岇 鞗愱笀 靻愳嫟 臧�電�.
鞚� 歃濌秾鞚� 炜犿彴, 氚半嫻旮� 霕愲姅 鞚挫瀽毳� 歆�旮夗晿歆� 鞎婌溂氅�, 鞏措枻 瓯半灅靻岇棎霃� 靸侅灔霅橃柎 鞛堨 鞎婌姷雼堧嫟. 氇摖 順勱笀 頋愲鞚� RBC 鞁犾毄 鞙勴棙鞐� 雲胳稖霅╇媹雼�. 齑堦赴 鞓堨儊 臧�旃�電� 910.50雼煬鞐愳劀 960.50雼煬 靷澊搿�, 1,000雼煬 瓿惦臧�氤措嫟 雮溂氅�, 鞚措姅 雽�毽澑 頃犾澑(Wells Fargo Securities臧� 欤检殧 氚瓣笁靷�), 項れ 牍勳毄 氚� RBC 雮措秬 鞛愱笀 臁半嫭 旮堧Μ毳� 氚橃榿頃╇媹雼�. RBC Capital Markets臧� 瓿勳偘 雽�毽澑 鞐暊鞚� 頃╇媹雼�.
欤检殧 鞙勴棙 瓿奠嫓鞐愲姅 鞗愱笀 靻愳嫟 臧�電レ劚, 鞝滍暅霅� 鞙犽彊靹�, 攵堩檿鞁ろ暅 靹鸽 觳橂Μ, 霐滊煬 項れ 氚� 臧�瓴� 毂呾爼 頇滊彊鞐愳劀 氚滌儩頃橂姅 鞚错暣 靸侅订鞚� 臧曥“霅橃柎 鞛堨姷雼堧嫟. 臧�靸� 響滊姅 +125%鞐愳劀 鈭�90%旯岇 靾橃澋毳犾潉 氤挫棳欤茧┌ 霠堧矂毽, 氩勴嵓 氤错樃 氚� 鞛愲彊 旖� 鞝滍暅鞚� 靹る獏頃╇媹雼�.
La Banque Royale du Canada (s茅rie J) propose des titres seniors non garantis li茅s au march茅, index茅s sur l'indice S&P 500, 茅ch茅ance le 3 ao没t 2028. Les billets libell茅s en 1 000 $ sont auto-remboursables apr猫s environ un an (date d'appel : 4 ao没t 2026). Si la valeur de cl么ture de l'indice 脿 cette date est 茅gale ou sup茅rieure 脿 la valeur initiale, les investisseurs re莽oivent le montant nominal plus une prime d'appel minimale de 7,15% et les titres prennent fin anticipativement.
Si le remboursement anticip茅 n'a pas lieu, le paiement 脿 l'茅ch茅ance d茅pend de la performance de l'indice entre la valeur de d茅part (fix茅e au 30 juillet 2025) et la valeur finale (31 juillet 2028) :
- Hausse : participation 脿 125 % de toute hausse de l'indice (sans plafond).
- Buffer : remboursement int茅gral du capital si l'indice est stable ou en baisse jusqu'脿 10 %.
- Baisse : perte au-del脿 du buffer de 10 % au taux de 1 pour 1 ; les investisseurs peuvent perdre jusqu'脿 90 % du capital.
Les titres ne versent ni coupons, ni dividendes, ni int茅r锚ts et ne sont cot茅s sur aucune bourse. Tous les flux de tr茅sorerie sont soumis au risque de cr茅dit de RBC. La valeur initiale estim茅e est attendue entre 910,50 $ et 960,50 $, inf茅rieure au prix d'offre de 1 000 $, refl茅tant les remises d'agents (Wells Fargo Securities en tant que distributeur principal), les co没ts de couverture et le taux de financement interne de RBC. RBC Capital Markets agit en tant qu'agent de calcul.
Les principales informations sur les risques soulignent la perte potentielle du capital, la liquidit茅 limit茅e, le traitement fiscal incertain et les conflits d'int茅r锚ts li茅s aux activit茅s de couverture et de tarification du distributeur. Des tableaux hypoth茅tiques montrent des rendements allant de +125 % 脿 鈭�90 %, illustrant l'effet de levier, la protection buffer et les limites de l'auto-call.
Die Royal Bank of Canada (Serie J) bietet unbesicherte, vorrangige Market-Linked Securities, die an den S&P 500 Index gekoppelt sind, mit F盲lligkeit am 3. August 2028 an. Die auf 1.000 $ lautenden Notes sind nach etwa einem Jahr automatisch k眉ndbar (Call-Datum: 4. August 2026). Liegt der Schlusskurs des Index an diesem Tag auf oder 眉ber dem Anfangswert, erhalten Anleger den Nennbetrag zuz眉glich einer mindestens 7,15%igen Call-Pr盲mie und die Notes laufen vorzeitig aus.
Wird nicht gek眉ndigt, h盲ngt die R眉ckzahlung bei F盲lligkeit von der Indexentwicklung zwischen dem Anfangswert (festgelegt am 30. Juli 2025) und dem Endwert (31. Juli 2028) ab:
- 础耻蹿飞盲谤迟蝉辫辞迟别苍锄颈补濒: 125% Beteiligung an jeglichem Indexgewinn (ohne Obergrenze).
- Schutzpuffer: Volle R眉ckzahlung des Kapitals, wenn der Index unver盲ndert bleibt oder bis zu 10% f盲llt.
- 础产飞盲谤迟蝉谤颈蝉颈办辞: 1:1 Verlust 眉ber den 10%-Puffer hinaus; Anleger k枚nnen bis zu 90% des Kapitals verlieren.
Die Wertpapiere zahlen keine Kupons, Dividenden oder Zinsen und sind an keiner B枚rse notiert. Alle Zahlungsfl眉sse unterliegen dem Kreditrisiko von RBC. Der anf盲ngliche gesch盲tzte Wert wird zwischen 910,50 $ und 960,50 $ erwartet 鈥� unter dem Ausgabepreis von 1.000 $ 鈥� was Agentenrabatte (Wells Fargo Securities als Hauptvertrieb), Absicherungskosten und RBCs interne Finanzierungskosten widerspiegelt. RBC Capital Markets fungiert als Berechnungsstelle.
Wesentliche Risikoangaben heben potenzielle Kapitalverluste, eingeschr盲nkte Liquidit盲t, unsichere steuerliche Behandlung und Interessenkonflikte durch H盲ndler-Hedging und Preisgestaltungsaktivit盲ten hervor. Hypothetische Tabellen zeigen Renditen von +125% bis 鈭�90% und veranschaulichen Hebelwirkung, Pufferschutz und Auto-Call-Beschr盲nkungen.
|
ACCELERATED RETURN NOTES® (ARNs®)
|
Filed Pursuant to Rule 433
Registration No. 333-234425
|
|
Accelerated Return Notes® Linked to the iShares U.S. Aerospace & Defense ETF
|
The graph above and the table below reflect the hypothetical return on the notes, based on the terms contained in the table to the left (using the mid-point for any range(s)). The graph and table have been prepared for purposes of illustration only and do not take into account any tax consequences from investing in the notes.
Hypothetical Percentage Change from the Starting Value to the Ending Value
Hypothetical Redemption Amount per Unit
Hypothetical Total Rate of Return on the Notes
-100.00%
$0.00
-100.00%
-50.00%
$5.00
-50.00%
-20.00%
$8.00
-20.00%
-10.00%
$9.00
-10.00%
-6.00%
$9.40
-6.00%
-3.00%
$9.70
-3.00%
0.00%
$10.00
0.00%
2.00%
$10.60
6.00%
4.34%
$11.30(1)
13.00%
5.00%
$11.30
13.00%
10.00%
$11.30
13.00%
20.00%
$11.30
13.00%
30.00%
$11.30
13.00%
40.00%
$11.30
13.00%
50.00%
$11.30
13.00%
60.00%
$11.30
13.00%
(1) The Redemption Amount per unit cannot exceed the hypothetical Capped Value.
|
|
|
Issuer
|
BofA Finance LLC (“BofA Finance”)
|
|
|
Guarantor
|
Bank of America Corporation (“BAC”)
|
|
|
Principal Amount
|
$10.00 per unit
|
|
|
Term
|
Approximately 14 months
|
|
|
Market Measure
|
IShares U.S. Aerospace & Defense ETF (Bloomberg symbol: "ITA")
|
|
|
Payout Profile at Maturity
|
●
3-to-1 upside exposure to increases in the Market Measure, subject to the Capped Value
●
1-to-1 downside exposure to decreases in the Market Measure, with 100% of your principal at risk
|
|
|
Capped Value
|
[$11.10 to $11.50] per unit, a [11.00% to 15.00%] return over the principal amount, to be determined on the pricing date.
|
|
|
Interest Payments
|
None
|
|
|
Preliminary Offering Documents
|
https://www.sec.gov/Archives/edgar/data/70858/000191870425010368/bofa-34249_424b2.htm
|
|
|
Exchange Listing
|
No
|
|
|
You should read the relevant Preliminary Offering Documents before you invest. Click on the Preliminary Offering Documents hyperlink above or call your Financial Advisor for a hard copy.
Risk Factors
Please see the Preliminary Offering Documents for a description of certain risks related to this investment, including, but not limited to, the following:
●
Depending on the performance of the Market Measure as measured shortly before the maturity date, your investment may result in a loss; there is no guaranteed return of principal.
●
Payments on the notes are subject to the credit risk of BofA Finance and the credit risk of BAC, and actual or perceived changes in the creditworthiness of BofA Finance or BAC are expected to affect the value of the notes. If BofA Finance and BAC become insolvent or are unable to pay their respective obligations, you may lose your entire investment.
●
Your investment return is limited to the return represented by the Capped Value and may be less than a comparable investment directly in the Market Measure or the stocks held by the Market Measure.
●
The initial estimated value of the notes on the pricing date will be less than their public offering price.
●
If you attempt to sell the notes prior to maturity, their market value may be lower than both the public offering price and the initial estimated value of the notes on the pricing date.
●
You will have no rights of a holder of the Market Measure or the securities held by the Market Measure, and you will not be entitled to receive securities or dividends or other distributions by the issuers of those securities.
●
There are liquidity and management risks associated with the Market Measure.
●
All of the securities held by the Market Measure are concentrated in one sector.
●
The performance of the Market Measure may not correlate with the performance of its underlying index as well as the net asset value per share of the Market Measure, especially during periods of market volatility.
●
The sponsor of the Dow Jones U.S. Select Aerospace & Defense Index, which is the underlying index of the Market Measure, may adjust the Underlying Index in a way that affects its level, and has no obligation to consider your interests.
●
Adverse conditions in the aerospace and defense sector may reduce your return on the notes.
Final terms will be set on the pricing date within the given range for the specified Market-Linked Investment. Please see the Preliminary Offering Documents for complete product disclosure, including related risks and tax disclosure.
|
||
Source:
FAQ
What is the upside participation rate on RBC鈥檚 424B2 Market Linked Securities?
How does the 10% buffer work for RY鈥檚 auto-callable notes?
When can the Royal Bank of Canada notes be automatically called?
What is the minimum call premium investors will receive if the notes are called?
Why is the initial estimated value less than the $1,000 offering price?
Are these Market Linked Securities listed on a stock exchange?
