Published on 7/6/2020 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $7.86 million step-down trigger autocallable notes on S&P, Russell
By Sarah Lizee
Olympia, Wash., July 6 – HSBC USA Inc. priced $7.86 million of step-down trigger autocallable notes due June 30, 2025 linked to the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
After one year, the notes will be automatically called at par of $10 plus 9.05% per year if each asset closes at or above its initial level on any quarterly observation date, except the final one when the call threshold will be the 70% downside threshold level.
If the notes are not subject to an automatic call, that means the final level of at least one asset will be less than its downside threshold, 70% of its initial level, and investors will be exposed to the decline of the lesser-performing asset from its initial level.
UBS Financial Services Inc. and HSBC Securities (USA) Inc. are the agents.
Issuer: | HSBC USA Inc.
|
Issue: | Step-down trigger autocallable notes
|
Underlying indexes: | S&P 500 index and Russell 2000 index
|
Amount: | $7,855,090
|
Maturity: | June 30, 2025
|
Coupon: | 0%
|
Price: | Par of $10
|
Call: | After one year at par plus 9.05% per year if each asset closes at or above its initial level on any quarterly observation date except the final one, when the call level will be the downside threshold
|
Payout at maturity: | Full exposure to decline of lesser-performing asset from initial level
|
Initial levels: | 3,009.05 for S&P, 1,378.780 for Russell
|
Downside thresholds: | 2,106.34 for S&P, 965.146 for Russell, 70% of initial levels
|
Pricing date: | June 26
|
Settlement date: | June 30
|
Agents: | UBS Financial Services Inc. and HSBC Securities (USA) Inc.
|
Fees: | 2.5%
|
Cusip: | 40438J528
|
|
© 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.