Published on 4/5/2024 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $1.96 million contingent income barrier autocalls on three tech stocks
New York, April 5 – HSBC USA Inc. priced $1.96 million of autocallable contingent income barrier notes due March 29, 2027 linked to the stock performance of Apple Inc., Alphabet Inc. and Microsoft Corp., according to a 424B2 filing with the Securities and Exchange Commission.
Investors will receive a coupon of 13.05%, paid monthly, if each underlying stock closes at or above its 70% barrier level on the related monthly observation date.
The securities will be called automatically at par if the closing level of the worst performing stock is greater than or equal to its initial level on any monthly observation date starting on Sept. 25, 2024.
The payout at maturity will be par if the worst performing stock ends at or above its 70% barrier value. Otherwise, investors will lose 1% for every 1% that the worst performing stock declines.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes
|
| Underlying stocks: | Apple Inc., Alphabet Inc. and Microsoft Corp.
|
| Amount: | $1.96 million
|
| Maturity: | March 29, 2027
|
| Coupon: | 13.05%, paid monthly, if each underlying stock closes at or above its 70% 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; otherwise, 1% loss for every 1% that worst performing stock declines from initial level
|
| Call: | Automatically at par if the closing level of the worst performing stock is greater than or equal to its initial level on any monthly observation date starting on Sept. 25, 2024
|
| Initial levels: | $170.85 for Apple, $151.15 for Alphabet, $422.86 for Microsoft
|
| Coupon barriers: | $119.595 for Apple, $105.805 for Alphabet, $296.002 for Microsoft, 70% of initial levels
|
| Barrier levels: | $119.595 for Apple, $105.805 for Alphabet, $296.002 for Microsoft, 70% of initial levels
|
| Pricing date: | March 25
|
| Settlement date: | March 28
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 2.75%
|
| Cusip: | 40447AN26
|
|
|
© 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.
