By Susanna Moon
Chicago, July 30 - HSBC USA Inc. priced $774,280 of 0% autocallable optimization securities with contingent protection due Jan. 29, 2010 linked to the Market Vectors Agribusiness exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be automatically called if the shares close at or above its initial level on any quarterly observation date. The redemption amount will be par of $10 plus an annualized return of 20%.
If the notes are not called, the payout at maturity will be par unless the shares close below the trigger level - 70% of the initial level - during the life of the notes and finishes below the initial level, in which case investors will receive par minus the fund decline.
UBS Financial Services Inc. and HSBC USA Inc. will be the underwriters.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable notes
|
| Underlying ETF: | Market Vectors Agribusiness
|
| Amount: | $774,280
|
| Maturity: | Jan. 29, 2010
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If the final price is less than barrier price, a number of shares equal to par minus decline; otherwise, par
|
| Call: | Automatically if shares close at or above its initial price on an auto redemption date, at par plus annualized return of 20% to redemption date
|
| Initial price: | $55.00
|
| Barrier price: | $38.50, or 70% of initial price
|
| Pricing date: | July 28
|
| Settlement date: | July 31
|
| Agent: | UBS Financial Services Inc.; HSBC 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.
