Chicago, April 16 – HSBC USA Inc. priced $5.15 million of 0% autocallable barrier notes with step-up premium due March 18, 2024 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be called at par plus a call premium if the index closes at or above its initial level on any annual call date. The call premium is 8.55% per year.
At maturity, if the index finishes above its initial level the payout will be par plus the final call premium of 25.65%.
Investors will receive par if the return of the index declines but finishes above 80% of its initial level.
Otherwise, investors will be fully exposed to any losses of the index.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable barrier notes with step-up premium
|
| Underlying index: | S&P 500 index
|
| Amount: | $5,150,000
|
| Maturity: | March 18, 2024
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | Par plus final call premium of 25.65% if index finishes above initial level; par if index declines but not more than 20%; otherwise, 1% loss for each 1% decline of the index
|
| Call: | At par plus 8.55% per year if the index closes at or above its initial level on any annual call date
|
| Initial index level: | 3,943.34
|
| Barrier level: | 3,154.672, 80% of initial level
|
| Pricing date: | March 12
|
| Settlement date: | March 17
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 2.25%
|
| Cusip: | 40438C3Q2
|
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