Published on 4/5/2024 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $9 million 10.6% contingent income callable securities on indexes
New York, April 5 – HSBC USA Inc. priced $9 million of contingent income callable securities due Jan. 2, 2026 linked to the Russell 2000 index, Euro Stoxx 50 index and S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
Investors will receive a coupon of 10.6%, paid quarterly, if each underlying index closes at or above its 65% downside threshold on the related quarterly observation date.
The securities may be called at par on any quarterly call determination date.
If the worst performing index gains or ends above its 65% downside threshold the payout at maturity will be par plus the contingent coupon. Investors will lose 1% for every 1% that the worst performing index declines if it finishes below its downside threshold level.
HSBC Securities is the agent. Morgan Stanley Wealth Management will act as placement agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Contingent income callable securities
|
| Underlying indexes: | Russell 2000 index, Euro Stoxx 50 index and S&P 500 index
|
| Amount: | $9 million
|
| Maturity: | Jan. 2, 2026
|
| Coupon: | 10.6%, paid quarterly, if each underlying index closes at or above its 65% downside threshold on the related quarterly observation date
|
| Price: | Par
|
| Payout at maturity: | If worst performing index finishes at or above its downside threshold level, par; 1% loss for every 1% that worst performing index declines if it finishes below its downside threshold level
|
| Call: | At par on any quarterly call determination date
|
| Initial levels: | 5,083.42 for Euro Stoxx 50, 2,124.547 for Russell 2000, 5,254.35 for S&P 500
|
| Downside thresholds: | 3,304.223 for Euro Stoxx 50, 1,380.95555 for Russell 2000, 3,415.3275 for S&P 500, 65% of initial level
|
| Pricing date: | March 28
|
| Settlement date: | April 4
|
| Agent: | HSBC Securities
|
| Distributor: | Morgan Stanley Wealth Management
|
| Fees: | 0%
|
| Cusip: | 40447AW75
|
|
|
|
|
© 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.
