New Issue: HSBC sells $555,000 autocallable barrier notes on two ETFs

By Wendy Van Sickle

Columbus Ohio, Nov. 12 – HSBC USA Inc. priced $555,000 of 0% autocallable barrier notes due May 7, 2020 linked to the SPDR S&P Oil & Gas Exploration & Production ETF and the Financial Select Sector SPDR fund, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be called at par plus a call premium of 20% a year if each underlying closes at or above its initial level on any monthly observation date after six months.

The payout at maturity will be par unless either underlying falls by more than 35%, in which case investors will be fully exposed to the decline of the worse performer.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Autocallable barrier notes
Underlying assets:	SPDR S&P Oil & Gas Exploration & Production ETF and Financial Select Sector SPDR fund
Amount:	$555,000
Maturity:	May 7, 2020
Coupon:	0%
Price:	Par
Payout at maturity:	Par unless either underlying falls by more than 35%, in which case investors will be fully exposed to the decline of the worst performer
Call:	Automatically at par plus a call premium of 20% a year if each underlying closes at or above its initial level on any monthly observation date after six months
Initial levels:	$36.18 for Oil & Gas, $26.38 for Financial
Coupon barriers/triggers:	$23.517 for Oil & Gas, $17.174 for Financial; 65% of initial levels
Pricing date:	Nov. 2
Settlement date:	Nov. 7
Underwriter:	HSBC Securities (USA) Inc.
Fees:	1%
Cusip:	40435UAD6

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.