By Jennifer Chiou
New York, Nov. 14 - HSBC USA Inc. priced $2.47 million of 0% twin participation notes due May 9, 2013 linked to the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
A trigger event occurs if the index closes below 70% of the initial level during the life of the notes.
If a trigger event has not occurred and the final index level is greater than the initial level, the payout at maturity will be par plus the index gain, subject to a maximum return of 25.41%.
If a trigger event has not occurred but the final level is less than or equal to the initial level, the payout at maturity will be par plus the absolute value of the index return with a potential return of up to 30%.
If a trigger event has occurred, investors will receive par plus the lesser of the index return and the cap.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Twin participation notes
|
| Underlying index: | S&P 500
|
| Amount: | $2.47 million
|
| Maturity: | May 9, 2013
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | Par plus index gain, subject to a maximum return of 25.41%, if a trigger event has not occurred and the final index level is greater than the initial level; par plus the absolute value of the index return, with a potential return of up to 30%, if a trigger event has not occurred but the final level is less than or equal to the initial level; par plus the lesser of the index return and the cap if a trigger event has occurred
|
| Initial level: | 1,229.10
|
| Trigger level: | 860.37, 70% of initial level
|
| Pricing date: | Nov. 9
|
| Settlement date: | Nov. 15
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 1.5%
|
| Cusip: | 4042K1RD7
|
© 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.
