New Issue: HSBC sells $3.88 million 27.85% autocallable yield notes tied to Tesla, AMD

By William Gullotti

Buffalo, N.Y., Jan. 6 – HSBC USA Inc. priced $3.88 million of 27.85% autocallable yield notes due May 31, 2022 linked to the stock performance of Tesla, Inc. and Advanced Micro Devices, Inc., according to a 424B2 filing with the Securities and Exchange Commission.

Interest is payable monthly.

The notes will be called at par if each stock closes at or above its initial level on any monthly call date after three months.

The payout at maturity will be par unless any stock finishes below its 75% trigger price, in which case investors will receive a number of shares of the worst performing stock equal to the principal divided by the initial share price or, at the issuer’s option, the cash equivalent.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Autocallable yield notes
Underlying stocks:	Tesla, Inc., Advanced Micro Devices, Inc.
Amount:	$3,884,000
Maturity:	May 31, 2022
Coupon:	27.85%, payable monthly
Price:	Par of $2000
Payout at maturity:	Par unless any stock finishes below its 75% trigger price, in which case a number of shares of the worst performing stock equal to the principal divided by the initial share price or the cash equivalent
Call:	Automatically at par if stocks close at or above their initial levels on any monthly call date after three months
Initial share prices:	$157.80 for AMD, $1,116.00 for Tesla
Trigger prices:	$118.35 for AMD, $837.00 for Tesla; 75% of initial levels
Pricing date:	Nov. 24
Settlement date:	Dec. 2
Agent:	HSBC Securities (USA) Inc.
Fees:	2.5%
Cusip:	40428HRJ3

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