By William Gullotti
Buffalo, N.Y., July 7 – HSBC USA Inc. priced $2.4 million of 0% barrier participation notes with call feature due May 24, 2024 linked to the least performing of the stocks of Morgan Stanley, Micron Technology, Inc. and Exxon Mobil Corp., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be called at par plus 72% if each stock closes at or 110% of its initial price on May 25, 2022.
If the notes are not called and each stock finishes at or above its initial level, the payout at maturity will be par plus double the return of the least performing stock.
If any stock falls but each stock finishes at or above its 60% barrier level, the payout will be par.
Otherwise, investors will be fully exposed to the decline of the least performing stock, payable in shares of that stock with fractional shares paid in cash.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Barrier participation notes with call feature
|
| Underlying assets: | Morgan Stanley, Micron Technology, Inc., Exxon Mobil Corp.
|
| Amount: | $2,401,000
|
| Maturity: | May 24, 2024
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | Par plus double return of least performing stock if each stock finishes at or above its initial level; par if least performer falls by up to barrier level; otherwise, full exposure to decline of least performer, payable in shares of that stock with fractional shares paid in cash
|
| Call: | Automatically at par plus 72% if each stock closes at or above 110% of its initial price on May 25, 2022
|
| Initial levels: | $86.05 for Morgan Stanley, $79.93 for Micron, $58.98 for Exxon Mobil
|
| Barrier levels: | 60% of initial levels
|
| Pricing date: | May 24
|
| Settlement date: | May 27
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 0.25%
|
| Cusip: | 40428HQJ4
|
|
|
© 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.
