Royal Bank of Canada filed a free writing prospectus on November 2, 2026, disclosing terms for Fixed Coupon Barrier Notes linked to the Class A common stock of Robinhood Markets, Inc., with a maturity date of November 19, 2027.

Key Highlights

  • Issuer: Royal Bank of Canada ("RBC"), under Registration Statement No. 333-275898, CUSIP 78018DPZ4.
  • Fixed Coupon: At least $10.833 per $1,000 principal amount per month, corresponding to at least 1.0833% per month or at least 13.00% per annum, to be determined on the Trade Date of November 16, 2026.
  • Barrier Value: Set at 50% of the Initial Underlier Value, which is the closing value of Robinhood Markets Class A common stock on the Trade Date.
  • Principal Risk: If the Final Underlier Value is less than the Barrier Value, investors lose 1% of principal for each 1% the Final Underlier Value is below the Initial Underlier Value.
  • Initial Estimated Value: Expected to be between $921.10 and $971.10 per $1,000 principal amount, less than the public offering price.
  • Key Dates: Trade Date November 16, 2026; Issue Date November 19, 2026; Valuation Date November 16, 2027; Maturity Date November 19, 2027.

Royal Bank of Canada's Barrier Note Structure Linked to Robinhood Stock

According to the filing, Royal Bank of Canada is offering Fixed Coupon Barrier Notes linked to the Class A common stock of Robinhood Markets, Inc. (Bloomberg symbol "HOOD UW"). The notes carry a fixed monthly coupon of at least $10.833 per $1,000 principal amount, representing a rate of at least 13.00% per annum, with the exact rate to be set on the Trade Date of November 16, 2026. Coupon payments are scheduled monthly throughout the term of the notes.

The filing discloses that principal repayment at maturity is contingent on the performance of the underlier. If the Final Underlier Value on the Valuation Date of November 16, 2027 is greater than or equal to the Barrier Value (50% of the Initial Underlier Value), investors receive their $1,000 principal plus the final fixed coupon. If the Final Underlier Value falls below that Barrier Value, the filing states investors will receive a reduced amount calculated as $1,000 plus ($1,000 multiplied by the Underlier Return), and "will lose a substantial portion or all of your principal amount at maturity."

The filing notes that the initial estimated value of the notes is expected to be between $921.10 and $971.10 per $1,000 principal amount as of the Trade Date, which is less than the public offering price. The filing also lists numerous risk considerations, including credit risk tied to Royal Bank of Canada, potential lack of an active secondary market, uncertainty around U.S. federal income tax treatment, and possible conflicts of interest arising from the roles of RBC and RBCCM as calculation agent.

What Was Disclosed

Royal Bank of Canada filed a free writing prospectus disclosing the preliminary terms of Fixed Coupon Barrier Notes linked to Robinhood Markets Class A common stock, including coupon rates, barrier mechanics, estimated value range, key dates, and associated risk considerations.