By Kiku Steinfeld
Chicago, Oct. 13 – HSBC USA Inc. priced $178,000 of autocallable contingent income barrier notes due Aug. 2, 2023 linked to the performance of Devon Energy Corp., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annualized rate of 18.1% if the stock closes at or above the coupon trigger level, 60% of the initial share price, on the relevant observation date.
The notes will be called at par plus the contingent coupon if the stock closes at or above its initial share price on any monthly observation date after three months.
The payout at maturity will be par unless the stock finishes below its 60% barrier price, in which case investors will be fully exposed to the decline in the stock from its initial level.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes
|
| Underlying stock: | Devon Energy Corp.
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| Amount: | $178,000
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| Maturity: | Aug. 2, 2023
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| Coupon: | 18.1%, payable monthly if the stock closes at or above coupon trigger level on the relevant observation date
|
| Price: | Par
|
| Payout at maturity: | Par unless stock closes below barrier price; in which case full exposure to losses
|
| Call: | At par plus coupon if the stock closes at or above initial price on any monthly observation date after three months
|
| Initial price: | $51.55
|
| Coupon barrier price: | $30.93; 60% of initial price
|
| Final barrier price: | $30.93; 60% of initial price
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| Pricing date: | Jan. 28, 2022
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| Settlement date: | Feb. 2, 2022
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| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 0.375%
|
| Cusip: | 40439JYA7
|
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