Published on 7/1/2021 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $649,000 autocallable barrier notes with step-up premium on indexes
By Wendy Van Sickle
Columbus, Ohio, July 1 – HSBC USA Inc. priced $649,000 of 0% autocallable barrier notes with step-up premium due July 30, 2026 linked to the lesser performing of the S&P 500 index, the Russell 2000 index and the Nasdaq-100 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be called at par plus a call premium if each index closes at or above its initial level on any annual observation date. The premium is 6.35% per year.
If the notes are not called, meaning all indexes have finished below their initial levels, the payout will be par unless any index has finished below its 70% barrier level, in which case investors will lose 1% for each 1% decline of the least-performing index from its initial level.
HSBC Securities (USA) Inc. is the agent.
Issuer: | HSBC USA Inc.
|
Issue: | Autocallable barrier notes with step-up premium
|
Underlying indexes: | S&P 500 index, Russell 2000 index and Nasdaq-100 index
|
Amount: | $649,000
|
Maturity: | July 30, 2026
|
Coupon: | 0%
|
Price: | Par
|
Payout at maturity: | Par unless any index has finished below barrier level, in which case investors will lose 1% for each 1% decline of least-performing index from its initial level
|
Call: | At par plus a call premium if each index closes at or above its initial level on any annual observation date; premium is 6.35% per year
|
Initial index levels: | 14,345.18 for Nasdaq, 2,334.396 for Russell, 4,280.7 for S&P
|
Barrier levels: | 10,041.626 for Nasdaq, 1,634.0772 for Russell, 2,996.49 for S&P; 70% of initial levels
|
Pricing date: | June 25
|
Settlement date: | June 30
|
Agent: | HSBC Securities (USA) Inc.
|
Fees: | 3.75%
|
Cusip: | 40439JCE3
|
|
© 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.