New Issue: HSBC prices $2 million 3% digital buffered notes linked to three indexes

By Angela McDaniels

Tacoma, Wash., April 29 – HSBC USA Inc. priced $2 million of 3% digital buffered notes due May 4, 2020 linked to an equally weighted basket consisting of the S&P MidCap 400 index, the Russell 2000 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.

Interest is payable annually.

If the basket return is greater than or equal to 12%, the payout at maturity will be par plus 25%.

If the basket return is less than 12% but greater than or equal to negative 15%, the payout will be par.

If the basket return is less than negative 15%, investors will lose 1.1765% for every 1% that the basket declines beyond 15%.

HSBC Securities (USA) Inc. is the underwriter

Issuer:	HSBC USA Inc.
Issue:	Digital buffered notes with fixed annual coupons
Underlying indexes:	S&P MidCap 400, Russell 2000 and Euro Stoxx 50, equally weighted
Amount:	$2 million
Maturity:	May 4, 2020
Coupon:	3%, payable annually
Price:	Par
Payout at maturity:	If basket return is greater than or equal to 12%, par plus 25%; if basket return is less than 12% but greater than or equal to negative 15%, par; if basket return is less than negative 15%, 1.1765% loss for every 1% that basket declines beyond 15%
Initial level:	1,488.33 for S&P MidCap 400, 1,154.149 for Russell 2000 and 3,130.43 for Euro Stoxx 50
Pricing date:	April 27
Settlement date:	May 2
Underwriter:	HSBC Securities (USA) Inc.
Fees:	None
Cusip:	40433UBX3

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