HSBC to price three-year buffered market notes on index, ETF basket

By Wendy Van Sickle

Columbus, Ohio, March 11 – HSBC USA Inc. plans to price 0% buffered market participation securities due April 1, 2019 linked to a basket of two indexes and two exchange-traded, funds, according to an FWP filing with the Securities and Exchange Commission.

The basket components are the S&P 500 index with a 40% weight, the Russell 2000 index with a 20% weight, the iShares MSCI EAFE exchange-traded fund with a 30% weight and the iShares MSCI Emerging Markets exchange-traded fund with a 10% weight.

The payout at maturity will be par plus any basket gain.

Investors will receive par if the basket falls by up to a buffer of at least 13% and will lose 1% for every 1% decline beyond the buffer. The exact buffer will be set at pricing.

HSBC Securities (USA) Inc. is the agent.

The notes will price on March 24 and settle on March 30.

The Cusip number is 40433UJZ0.

© 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.