New Issue: HSBC sells $3 million barrier uncapped market participation notes on funds, indexes

By William Gullotti

Buffalo, N.Y., June 2 – HSBC USA Inc. priced $3 million of 0% barrier uncapped market participation securities due May 12, 2026 tied to the least performing of the S&P 500 index, the Russell 2000 index, the iShares MSCI EAFE ETF and the iShares MSCI Emerging Markets ETF, according to a 424B2 filing with the Securities and Exchange Commission.

If the return of each asset is positive, the payout at maturity will be par plus 2.9 times the return of the least-performing asset.

Investors will receive par if any asset falls by up to 30%.

Otherwise, investors will be fully exposed to the least-performing asset’s decline from its initial level.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Barrier uncapped market participation securities
Underlying assets:	S&P 500 index, Russell 2000 index, iShares MSCI EAFE ETF, iShares Emerging Markets ETF
Amount:	$3,000,000
Maturity:	May 12, 2026
Coupon:	0%
Price:	Par
Payout at maturity:	If each asset finishes above its initial level, par plus 2.9 times the increase of least-performing asset; par if any asset falls by up to 30%; otherwise, full exposure to least-performing asset’s decline
Initial levels:	4,232.60 for S&P, 2,271.629 for Russell, $80.41 for EAFE ETF, $54.69 for EM ETF
Barrier levels:	70% of initial levels
Pricing date:	May 7
Settlement date:	May 12
Agent:	HSBC Securities (USA) Inc.
Fees:	None
Cusip:	40438C6Q9

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