Published on 8/12/2021 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $1.5 million callable contingent income barrier notes on Nasdaq, Stoxx Banks
By William Gullotti
Buffalo, N.Y., Aug. 12 – HSBC USA Inc. priced $1.5 million of callable contingent income barrier notes due June 22, 2026 linked to the least performing of the Nasdaq-100 index and the Euro Stoxx Banks index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 8.55% if each index closes at or above its trigger level, 70% of its initial level, on the observation date for that period.
The notes will be callable at par on any semiannual call observation date after six months.
The payout at maturity will be par plus the final coupon unless any index finishes below its 70% barrier level, in which case investors will be fully exposed to the decline of the lowest performing index from its initial level.
HSBC Securities (USA) Inc. is the agent.
Issuer: | HSBC USA Inc.
|
Issue: | Callable contingent income barrier notes
|
Underlying indexes: | Nasdaq-100 index, Euro Stoxx Banks index
|
Amount: | $1,500,000
|
Maturity: | June 22, 2026
|
Coupon: | 8.55%, payable quarterly if each index closes at or above trigger level on determination date for that period
|
Price: | Par
|
Payout at maturity: | If each index finishes at or above barrier level, par; otherwise, exposure to decline of worst-performing index
|
Call option: | At par on any semiannual call observation date after six months
|
Initial level: | 13,983.01 for Nasdaq, 97.18 for Stoxx Banks
|
Trigger/barrier levels: | 9,788.107 for Nasdaq, 68.026 for Stoxx Banks; 70% of initial levels
|
Pricing date: | June 16
|
Settlement date: | June 18
|
Agent: | HSBC Securities (USA) Inc.
|
Fees: | 3.25%
|
Cusip: | 40439JDK8
|
|
|
© 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.