Royal Bank of Canada filed a free writing prospectus on November 3, 2026, disclosing terms for Capped Enhanced Return Buffer Notes linked to the Nasdaq-100 Index due December 5, 2028, with a CUSIP of 78018DQN0.

Key Highlights

  • Issuer: Royal Bank of Canada ("RBC"), filing under Registration Statement No. 333-275898 pursuant to Rule 433.
  • Participation Rate: 150% of the Underlier Return on the upside, subject to a Maximum Return of at least 28%, to be determined on the Trade Date.
  • Buffer Percentage: 10%, with the Buffer Value set at 90% of the Initial Underlier Value; investors receive principal back if the Final Underlier Value stays at or above the Buffer Value.
  • Principal Risk: If the Final Underlier Value falls below the Buffer Value, investors lose 1% of principal for each 1% decline beyond the 10% buffer.
  • Initial Estimated Value: Expected to be between $918.60 and $968.60 per $1,000 principal amount, less than the public offering price.
  • Key Dates: Trade Date November 30, 2026; Issue Date December 3, 2026; Valuation Date November 30, 2028; Maturity Date December 5, 2028.
  • No Interest: The Notes do not pay interest.

Terms and Structure of Royal Bank of Canada's Nasdaq-100 Buffer Notes

According to the filing, Royal Bank of Canada is offering Capped Enhanced Return Buffer Notes linked to the Nasdaq-100 Index (Bloomberg symbol "NDX"). The notes carry a principal amount of $1,000 per note and mature on December 5, 2028. At maturity, the payment to investors depends on the closing value of the Nasdaq-100 Index on the Valuation Date of November 30, 2028, compared with its closing value on the Trade Date of November 30, 2026.

The filing discloses that if the Final Underlier Value exceeds the Initial Underlier Value, investors receive $1,000 plus $1,000 multiplied by the lesser of the Underlier Return times the 150% Participation Rate or the Maximum Return, which is at least 28% and will be set on the Trade Date. If the Final Underlier Value is at or below the Initial Underlier Value but at or above 90% of it, investors receive their $1,000 principal back. If the Final Underlier Value falls below the Buffer Value of 90%, the filing states investors "will lose 1% of the principal amount of their Notes for each 1% that the Final Underlier Value is less than the Initial Underlier Value in excess of the Buffer Percentage," and could "lose some or a substantial portion" of their principal.

The filing notes that the initial estimated value of the Notes is expected to be between $918.60 and $968.60 per $1,000 principal amount and "will be less than the public offering price." The filing identifies multiple risk factors, including that payments are subject to RBC's credit risk, there may not be an active secondary trading market, and the U.S. federal income tax consequences are uncertain. The filing also discloses that RBC Capital Markets, LLC ("RBCCM") serves as calculation agent, which the filing identifies as a potential conflict of interest.

What Was Disclosed

Royal Bank of Canada filed a free writing prospectus disclosing the terms, payment structure, estimated value range, key dates, and risk considerations for structured notes linked to the Nasdaq-100 Index, due December 5, 2028, with CUSIP 78018DQN0.