New Issue: HSBC prices $500,000 market plus notes linked to Russell, S&P 500

By Sarah Lizee

Olympia, Wash., April 5 – HSBC USA Inc. priced $500,000 of 0% market plus notes due April 4, 2024 linked to the Russell 2000 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

A knock-out event will occur if the final level of either index is less than its initial index level by more than 50%.

If a knock-out event has not occurred, the payout at maturity will be par plus the greater of zero and 140.5% of the return of the lesser performing index. If a knock-out event has occurred, investors will lose 1% for every 1% that the lesser performing index’s level is less than its initial index level.

HSBC Securities (USA) Inc., JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC are the agents.

Issuer:	HSBC USA Inc.
Issue:	Market plus notes
Underlying indexes:	S&P 500, Russell 2000
Amount:	$500,000
Maturity:	April 4, 2024
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus greater of 140.5% of lesser performing index return and zero unless either index falls by more than 50%, in which case exposure to lesser performing index’s decline from initial level
Initial levels:	2,873.40 for S&P, 1,560.910 for Russell
Final level:	Average of each index’s closing levels on five trading days ending April 1, 2024
Pricing date:	April 3
Settlement date:	April 8
Agents:	HSBC Securities (USA) Inc., JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC
Fees:	3%
Cusip:	40435ULM4

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