RBC today issued the next series of RBC Principal Protected Commodity Booster Notes.

Offering 100% principal protection, the RBC Principal Protected Commodity Booster Notes, Series 3 give investors access to a basket of commodities that includes Brent crude oil, copper, nickel and zinc.

For any appreciation in the commodity basket above 0% and less than 50%, the notes will return 50% at maturity, the booster zone. For any appreciation greater than 50%, the investor will receive the full appreciation of the commodity basket at maturity. Should the change in the commodity basket be less than 0%, investors will receive their original principal amount at maturity.

In addition, there is the potential for an interim coupon payment of 20% on the note at year three. If, on the third annual anniversary date of the note, the commodity basket has a positive appreciation, the investor will receive a 20% coupon at year three. Whether the 20% interim coupon is paid at year three or not, the note remains in effect for the entire 5-year term and is eligible for the 50% booster payout at maturity.

The notes are issued in Canadian dollars and there is no direct foreign currency exposure.

The notes can be purchased through FundSERV (code RBC323) and are available to self-directed investors, as well as through investment advisors and financial planners up until July 20.

With a maturity date of July 25, 2012, these notes are 100% RRSP eligible.