By Wendy Van Sickle
Columbus, Ohio, March 29 – HSBC USA Inc. priced $6.24 million of trigger autocallable contingent yield notes due March 26, 2026 linked to the S&P 500 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 9.8% if the index closes at or above its coupon barrier, 70% of its initial level, on the relevant observation date.
The notes will be called at par of $10 plus the contingent coupon if the index closes at or above its initial level on any quarterly observation date after six months.
The payout at maturity will be par plus the final coupon if the index finishes at or above the 70% downside threshold level.
Otherwise, investors will lose 1% for every 1% of index decline from its initial level.
UBS Financial Services Inc. and HSBC Securities (USA) Inc. are the agents.
Issuer: | HSBC USA Inc.
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Issue: | Trigger autocallable contingent yield notes
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Underlying index: | S&P 500 index
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Amount: | $6,240,600
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Maturity: | March 26, 2026
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Coupon: | 9.8% annual rate, payable quarterly if the index closes at or above coupon barrier on quarterly observation date
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Price: | Par of $10
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Payout at maturity: | Par plus final coupon if the index finishes at or above downside threshold; otherwise, 1% loss for each 1% decline from initial level
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Call: | At par plus coupon if the index closes at or above initial level on any quarterly observation date after six months
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Initial index level: | 3,936.97
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Coupon barrier level: | 2,755.88; 70% of initial level
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Downside threshold: | 2,755.88; 70% of initial level
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Pricing date: | March 22
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Settlement date: | March 27
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Agents: | UBS Financial Services Inc. and HSBC Securities (USA) Inc.
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Fees: | 0%
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Cusip: | 40443B304
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