Published on 2/24/2022 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $2.82 million autocallable barrier notes with step-up premium on EM, Russell
By William Gullotti
Buffalo, N.Y., Feb. 24 – HSBC USA Inc. priced $2.82 million of 0% autocallable barrier notes with step-up premium due April 28, 2025 linked to the lesser performing of the Russell 2000 index and the iShares MSCI Emerging Markets ETF, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be called at par plus a call premium if each asset closes at or above its initial level on any annual observation date. The premium is 11.3% per year.
If the notes are not called, the payout will be par unless any asset has finished below its 70% barrier level, in which case investors will lose 1% for each 1% decline of the least-performing asset from its initial level.
HSBC Securities (USA) Inc. is the agent.
Issuer: | HSBC USA Inc.
|
Issue: | Autocallable barrier notes with step-up premium
|
Underlying assets: | Russell 2000 index and iShares MSCI Emerging Markets ETF
|
Amount: | $2,824,000
|
Maturity: | April 28, 2025
|
Coupon: | 0%
|
Price: | Par
|
Payout at maturity: | Par unless either asset has finished below barrier level, in which case investors will lose 1% for each 1% decline of least-performing asset from its initial level
|
Call: | At par plus a call premium if each asset closes at or above its initial level on any annual observation date; premium is 11.3% per year
|
Initial asset levels: | 2,271.856 for Russell, $54.63 for iShares
|
Barrier levels: | 1,590.2992 for Russell, $38.241 for iShares; 70% of initial levels
|
Pricing date: | April 23, 2021
|
Settlement date: | April 28, 2021
|
Agent: | HSBC Securities (USA) Inc.
|
Fees: | 2%
|
Cusip: | 40438C5Q0
|
© 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.