Published on 6/25/2014 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $10.26 million Accelerated Return Notes linked to three insurance stocks
By Jennifer Chiou
New York, June 25 – HSBC USA Inc. priced $10,261,500 of 0% Accelerated Return Notes due June 24, 2016 linked to a basket of three insurance sector stocks, according to a 424B2 filing with the Securities and Exchange Commission.
The equally weighted basket includes Hartford Financial Services Group, MetLife, Inc. and Prudential Financial Inc.
The payout at maturity will be par of $10 plus triple any gain in the basket, subject to a maximum return of 34.2%. Investors will be fully exposed to any decline in the basket.
BofA Merrill Lynch is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Accelerated Return Notes
|
| Underlying stocks: | Hartford Financial Services Group (Symbol: HIG), MetLife, Inc. (Symbol: MET) and Prudential Financial Inc. (Symbol: PRU), equally weighted
|
| Amount: | $10,261,500
|
| Maturity: | June 24, 2016
|
| Coupon: | 0%
|
| Price: | Par of $10
|
| Payout at maturity: | If basket return is positive, par plus 300% of basket return, subject to maximum return of 34.2%; 1% loss for every 1% that basket declines
|
| Initial share prices: | $36.04 for Hartford, $56.55 for MetLife and $90.52 for Prudential
|
| Pricing date: | June 23
|
| Settlement date: | June 30
|
| Underwriter: | BofA Merrill Lynch
|
| Fees: | 2%
|
| Cusip: | 40434C394
|
© 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.
