New Issue: HSBC prices $691,000 contingent income barrier notes on Russell

By Wendy Van Sickle

Columbus, Ohio, June 27 – HSBC USA Inc. priced $691,000 of contingent income barrier notes due June 30, 2023 linked to the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a quarterly contingent coupon at an annual rate of 6% if the index closes at or above the 70% barrier level on the review date for that quarter.

The payout at maturity will be par unless the index finishes below the 70% barrier level, in which case investors will lose 1% for each 1% index decline.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Contingent income barrier notes
Underlying index:	Russell 2000
Amount:	$691,000
Maturity:	June 30, 2023
Coupon:	6% per year, payable each quarter that index closes at or above coupon barrier on review date for that quarter
Price:	Par
Payout at maturity:	Par unless index falls below barrier level, in which case full exposure to any losses
Initial level:	1,414.778
Coupon barrier:	990.3446, 70% of initial level
Barrier level:	990.3446, 70% of initial level
Pricing date:	June 23
Settlement date:	June 30
Agent:	HSBC Securities (USA) Inc.
Fees:	3.25%
Cusip:	40433U5V4

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