By Angela McDaniels
Tacoma, Wash., Dec. 20 - HSBC USA Inc. priced $18.74 million of yield optimization notes with contingent protection due June 22, 2011 linked to the common stock of Hartford Financial Services Group, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The six-month notes carry an annualized coupon of 10.75%. Interest is payable monthly.
The face amount of each note is $25.84, which is equal to the initial share price of Hartford stock.
The payout at maturity will be par unless the final price of Hartford stock is less than 80% of the initial share price, in which case investors will receive one Hartford share per note.
UBS Financial Services Inc. and HSBC Securities (USA) Inc. are the agents.
Issuer: | HSBC USA Inc.
|
Issue: | Yield optimization notes with contingent protection
|
Underlying stock: | Hartford Financial Services Group, Inc. (Symbol: HIG)
|
Amount: | $18,737,746.80
|
Maturity: | June 22, 2011
|
Coupon: | 10.75%, payable monthly
|
Price: | Par
|
Payout at maturity: | If final price of stock is less than trigger price, one Hartford share per note; otherwise, par
|
Initial share price: | $25.84
|
Trigger price: | $20.67, 80% of initial price
|
Pricing date: | Dec. 16
|
Settlement date: | Dec. 22
|
Agents: | UBS Financial Services Inc. and HSBC Securities (USA) Inc.
|
Fees: | 1%
|
Cusip: | 40432R328
|
© 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.