New Issue: HSBC sells $407,000 barrier uncapped market participation notes on three SPDR funds

By William Gullotti

Buffalo, N.Y., July 7 – HSBC USA Inc. priced $407,000 of 0% barrier uncapped market participation securities due July 8, 2024 tied to the least performing of the Industrial Select Sector SPDR Fund, the Materials Select Sector SPDR Fund and the Financial Select Sector SPDR Fund, according to a 424B2 filing with the Securities and Exchange Commission.

If the return of each fund is positive, the payout at maturity will be par plus 1.6 times the return of the least-performing fund

Investors will receive par if any fund falls by up to 30%.

Otherwise, investors will be fully exposed to the least-performing fund’s decline from its initial level.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Barrier uncapped market participation securities
Underlying funds:	Industrial Select Sector SPDR Fund, Materials Select Sector SPDR Fund, Financial Select Sector SPDR Fund
Amount:	$407,000
Maturity:	July 8, 2024
Coupon:	0%
Price:	Par
Payout at maturity:	If each fund finishes above its initial level, par plus 1.6 times the increase of least-performing fund; par if any fund falls by up to 30%; otherwise, full exposure to least-performing fund’s decline
Initial levels:	$102.40 for Industrial, $82.31 for Materials, $36.69 for Financial
Barrier levels:	70% of initial levels
Pricing date:	June 30
Settlement date:	July 6
Agent:	HSBC Securities (USA) Inc.
Fees:	0.5%
Cusip:	40439JCK9

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