Published on 8/14/2023 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $533,000 9% callable contingent income barrier notes tied to indexes
Chicago, Aug. 14 – HSBC USA Inc. priced $533,000 of callable contingent income barrier notes due July 31, 2025 linked to the least performing of the S&P 500 index, Russell 2000 index and Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.
Investors will receive a quarterly coupon of 9% if all three indexes close above their 70% coupon trigger levels on the related observation date.
The securities may be called at par starting on Jan. 31, 2024 and on any subsequent quarterly observation date.
The payout at maturity will be par if the worst performing index ends at or above its 70% barrier value. Otherwise, investors will lose 1% for every 1% that the worst performing index declines.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Callable contingent income barrier notes
|
| Underlying indexes: | S&P 500 index, Russell 2000 index and Euro Stoxx 50 index
|
| Amount: | $533,000
|
| Maturity: | July 31, 2025
|
| Coupon: | 9% annual rate, payable quarterly if all three indexes close above coupon barrier levels on related observation date
|
| Price: | Par
|
| Payout at maturity: | If worst performing index finishes at or above the barrier level par; 1% loss for every 1% that worst performing index declines if it ends below barrier value
|
| Call: | At par starting on Jan. 31, 2024 and on any subsequent quarterly observation date at issuer’s option
|
| Initial levels: | 4,346.15 for Stoxx, 1,980.355 for Russell, 4,566.75 for S&P
|
| Coupon barriers: | 3,042.305 for Stoxx, 1,386.2485 for Russell, 3,196.725 for S&P, 70% of initial levels
|
| Barrier levels: | 3,042.305 for Stoxx, 1,386.2485 for Russell, 3,196.725 for S&P, 70% of initial levels
|
| Pricing date: | July 26
|
| Settlement date: | July 31
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 1.75%
|
| Cusip: | 40447AFP4
|
|
|
© 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.
