By Wendy Van Sickle
Columbus, Ohio, April 3 – HSBC USA Inc. priced $37.12 million of 0% autocallable market-linked step-up notes due March 27, 2020 linked to the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will be called at par plus a call premium of 9.55% per year if the index closes at or above its initial level on any annual observation date.
If the index finishes above the step-up value – 130% of the initial level – the payout at maturity will be par of $10 plus the index gain.
If the index gains by up to the step-up level, the payout will be par plus the step-up payment of 30%.
If the index falls, investors will be exposed to the loss.
Investors will be exposed to any index decline beyond 15%.
BofA Merrill Lynch is the agent.
Issuer: | HSBC USA Inc.
|
Issue: | Autocallable market-linked step-up notes
|
Underlying index: | Russell 2000
|
Amount: | $37,119,640
|
Maturity: | March 27, 2020
|
Coupon: | 0%
|
Price: | Par of $10.00
|
Payout at maturity: | If the index finishes above the step-up value, par plus the index gain; if the index finishes at or below the step-up level but at or above the initial level, par plus 30%;exposure to loss
|
Call: | At par plus 9.55% per year if the index closes at or above its initial level on any annual observation date
|
Initial level: | 1,382.345
|
Step-up value: | 1,797.049, 130% of initial level
|
Pricing date: | March 30
|
Settlement date: | April 7
|
Underwriter: | BofA Merrill Lynch
|
Fees: | 2%
|
Cusip: | 40435H889
|
|
© 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.