New Issue: HSBC prices $1 million contingent income buffered notes linked to Russell

By Wendy Van Sickle

Columbus, Ohio, March 7 – HSBC USA Inc. priced $1 million of contingent income buffered notes due Sept. 2, 2024 linked to the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

Each quarter, the notes will pay a contingent coupon at an annual rate of 5.85% if the index closes at or above the coupon trigger, 75% of the initial level, on the determination date for that quarter.

If the index return is greater than or equal to negative 25%, the payout at maturity will be par. Otherwise, investors will lose 1% for every 1% that the index declines beyond 25%.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Contingent income buffered notes
Underlying index:	Russell 2000
Amount:	$1 million
Maturity:	Sept 2, 2024
Coupon:	5.85%, payable quarterly if index closes at or above coupon trigger on determination date for that quarter
Price:	Par
Payout at maturity:	If index return is greater than or equal to negative 25%, par; otherwise, 1% loss for every 1% that index declines beyond 25%
Initial index level:	1,407.970
Coupon trigger:	1,055.9775, 75% of initial index level
Pricing date:	Feb. 27
Settlement date:	March 2
Underwriters:	HSBC Securities (USA) Inc.
Fees:	3.7%
Cusip:	40433UT30

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