Published on 7/22/2023 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $602,000 17% autocallable contingent income notes on stocks
Chicago, July 24 – HSBC USA Inc. priced $602,000 of autocallable contingent income barrier notes due July 21, 2026 linked to the least performing of the common stocks of Advanced Micro Devices, Inc., Intel Corp. and Verizon Communications Inc., according to a 424B2 filing with the Securities and Exchange Commission.
Investors will receive a coupon of 17%, paid monthly, if each underlying stock closes at or above its 60% barrier level on the related monthly observation date.
The securities will be called automatically starting on Oct. 18 at par if the level of the worst performing stock is greater than or equal to 90% of its initial level and on any subsequent monthly observation date.
The payout at maturity will be par if the worst performing stock ends at or above its 60% barrier value. Otherwise, investors will lose 1% for every 1% that the worst performing stock declines, payable in shares.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes
|
| Underlying stocks: | Advanced Micro Devices, Inc., Intel Corp. and Verizon Communications Inc.
|
| Amount: | $602,000
|
| Maturity: | July 21, 2026
|
| Coupon: | 17% annual rate, paid monthly, if each underlying stock closes at or above its 60% barrier level on the related monthly observation date
|
| Price: | Par
|
| Payout at maturity: | If worst performing stock finishes at or above the barrier level par; 1% loss for every 1% that worst performing stock declines if it ends below barrier value
|
| Call: | Automatically starting on Oct. 18 at par if the level of the worst performing stock is greater than or equal to 90% of its initial level and on any subsequent monthly observation date
|
| Initial levels: | $117.93 for AMD, $34.50 for Intel, $32.27 for Verizon
|
| Coupon barriers: | $70.758 for AMD, $20.70 for Intel, $19.362 for Verizon, 60% of initial levels
|
| Barrier levels: | $70.758 for AMD, $20.70 for Intel, $19.362 for Verizon, 60% of initial levels
|
| Pricing date: | July 18
|
| Settlement date: | July 21
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 3.5%
|
| Cusip: | 40428HXK3
|
|
|
© 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.
