Published on 11/26/2007 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $300,000 10% reverse convertibles linked to SPDRs ETF
By Susanna Moon
Chicago, Nov. 26 - HSBC USA Inc. priced $300,000 of 10% reverse convertible notes due May 28, 2008 linked to the Standard & Poor's Depositary Receipts exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be payable monthly.
At maturity, investors will receive par unless the stock falls below the barrier price - 80% of the initial share price - during the life of the notes and finishes below the initial share price, in which case the payout will be a number of SPDR ETF shares equal to $1,000 divided by the initial share price.
HSBC Securities (USA) Inc. is the agent.
Issuer: | HSBC USA Inc.
|
Issue: | Reverse convertible notes
|
Underlying stock: | Standard & Poor's Depositary Receipts exchange-traded fund (Symbol: SPY)
|
Amount: | $300,000
|
Maturity: | May 21, 2008
|
Coupon: | 10%, payable monthly
|
Price: | Par
|
Payout at maturity: | Par in cash unless the stock falls below $113.528 during the life of the notes and finishes below its initial price, in which case 7.0467 SPDR shares
|
Initial share price: | $141.91
|
Barrier price: | $113.528, or 80%
|
Pricing date: | Nov. 21
|
Settlement date: | Nov. 27
|
Agent: | HSBC Securities (USA) Inc.
|
Fees: | 1.5%
|
© 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.