Published on 4/4/2016 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $1.42 million leveraged buffered notes on low volatility ETF
By Marisa Wong
Morgantown, W.Va., April 4 – HSBC USA Inc. priced $1.42 million of 0% leveraged buffered uncapped market participation securities due March 31, 2021 tied to the Powershares S&P 500 Low Volatility Portfolio exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.
If the fund return is positive, the payout at maturity will be par plus 120% of the fund return. Investors will receive par if the fund falls by up to 20% and lose 1% for every 1% decline beyond 20%.
HSBC Securities (USA) Inc. is the underwriter.
Issuer: | HSBC USA Inc.
|
Issue: | Leveraged buffered uncapped market participation securities
|
Underlying ETF: | Powershares S&P 500 Low Volatility Portfolio ETF
|
Amount: | $1,418,000
|
Maturity: | March 31, 2021
|
Coupon: | 0%
|
Price: | Par
|
Payout at maturity: | If fund return is positive, par plus 1.2 times fund gain; par if fund falls by up to 20%; 1% loss for every 1% decline beyond 20%
|
Initial price: | $39.85
|
Pricing date: | March 28
|
Settlement date: | March 31
|
Underwriters: | HSBC Securities (USA) Inc.
|
Fees: | 3.75%
|
Cusip: | 40433UJE7
|
|
© 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.