By Wendy Van Sickle
Columbus, Ohio, Feb. 21 – HSBC USA Inc. priced $10 million trigger autocallable contingent yield notes due Feb. 14, 2028 linked to the Russell 2000 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annual rate of 6.85% if the index closes at or above its coupon barrier, 70% of its initial level, on the observation date for that quarter.
The notes will be called at par plus the coupon if the index closes at or above its initial level on any quarterly observation date after one year.
The payout at maturity will be par plus the contingent coupon unless the index finishes below the 70% downside threshold, in which case investors will lose 1% for each 1% decline.
UBS Financial Services Inc. and HSBC Securities (USA) Inc. are the agents.
Issuer: | HSBC USA Inc.
|
Issue: | Trigger autocallable contingent yield notes
|
Underlying index: | Euro Stoxx 50
|
Amount: | $10 million
|
Maturity: | Feb. 14, 2028
|
Coupon: | 6.85%, payable quarterly if index closes at or above coupon barrier on observation date
|
Price: | Par of $10
|
Call: | At par plus contingent coupon if index closes at or above initial level on any quarterly observation date after one year
|
Payout at maturity: | Par plus any coupon unless index closes below downside threshold level, in which case will lose 1% for each 1% decline of index from initial level
|
Initial level: | 3,426.80
|
Coupon barrier: | 2,398.76, 70% of initial level
|
Thresholds: | 2,398.76, 70% of initial level
|
Pricing date: | Feb. 16
|
Settlement date: | Feb. 22
|
Agents: | UBS Financial Services Inc. and HSBC Securities (USA) Inc.
|
Fees: | 1.25%
|
Cusip: | 40435M805
|
|
© 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.