New Issue: HSBC sells $722,000 dual directional barrier notes on S&P 500, Russell 2000

By Wendy Van Sickle

Columbus, Ohio, Nov. 8 – HSBC USA Inc. priced $722,000 of 0% dual directional barrier notes due Nov. 3, 2022 linked to the lesser performing of the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

If each index finishes at or above its initial level, the payout at maturity will be par plus 1.3 times the lesser-performing index’s return. If the index falls by up to 20%, the payout will be par plus the absolute value of the return. Otherwise, investors will lose 1% for every 1% that the final level of the lesser-performing index is less than its initial level.

HSBC Securities (USA) Inc. is the underwriter.

Issuer:	HSBC USA Inc.
Issue:	Dual directional barrier notes
Underlying indexes:	S&P 500 and Russell 2000
Amount:	$722,000
Maturity:	Nov. 3, 2022
Coupon:	0%
Price:	Par
Payout at maturity:	If each index finishes at or above barrier level, par plus 1.3 times lesser-performing index’s return; par plus absolute value of lesser-performing index return if it falls by up to 20%; otherwise, 1% loss for every 1% that final level of lesser-performing index is less than initial level
Initial index levels:	2,575.26 for S&P, 1,502.773 for Russell
Barrier levels:	2,060.208 for S&P and 1,202.2184 for Russell, 80% of initial levels
Pricing date:	Oct. 31
Settlement date:	Nov. 3
Agent:	HSBC Securities (USA) Inc.
Fees:	0.25%
Cusip:	40435FHW0

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