Published on 2/6/2024 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $4.09 million contingent income callable securities on three indexes
New York, Feb. 6 – HSBC USA Inc. priced $4.09 million of contingent income callable securities due Jan. 29, 2026 linked to the Russell 2000 index, the S&P 500 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
Investors will receive a coupon of 9.4%, paid quarterly, if each underlying index closes at or above its 70% downside threshold on the related quarterly observation date.
The securities may be called at par on any quarterly call determination date.
If the worst performing index finishes at or above its 70% downside threshold, the payout at maturity will be par plus the contingent coupon.
Otherwise, investors will lose 1% for every 1% that the worst performing index declines from initial level.
HSBC Securities is the agent. Morgan Stanley Wealth Management will act as placement agent.
Issuer: | HSBC USA Inc.
|
Issue: | Contingent income callable securities
|
Underlying indexes: | Russell 2000 index, S&P 500 index and Euro Stoxx 50 index
|
Amount: | $4,087,000
|
Maturity: | Jan. 29, 2026
|
Coupon: | 9.4%, paid quarterly, if each underlying index closes at or above its 70% downside threshold on the related quarterly observation date
|
Price: | Par
|
Payout at maturity: | If worst performing index finishes at or above its downside threshold level, par; otherwise, 1% loss for every 1% that worst performing index declines from initial level
|
Call option: | At par on any quarterly call determination date
|
Initial levels: | 4,564.11 for Euro Stoxx 50, 1,961.865 for Russell 2000, 4,868.55 for S&P 500
|
Downside thresholds: | 3,194.877 for Euro Stoxx 50, 1,373.3055 for Russell 2000, 3,407.985 for S&P 500, 70% of initial levels
|
Pricing date: | Jan. 24
|
Settlement date: | Jan. 29
|
Agent: | HSBC Securities
|
Distributor: | Morgan Stanley Wealth Management
|
Fees: | 1.9286%
|
Cusip: | 40447AXC3
|
|
|
© 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.