New Issue: HSBC sells $1 million digital barrier securities tied to S&P, Russell

By Sarah Lizee

Olympia, Wash., April 24 – HSBC USA Inc. priced $1 million of 0% digital barrier securities due April 25, 2022 linked to the lesser performing of the S&P 500 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

If the lesser performing index finishes at or above its 70% of its initial level, the payout at maturity will be par plus the digital upside return of 16%.

If the lesser performing index falls by more than 30% but not by more than 40%, the payout will be par.

Otherwise, investors will be fully exposed to the decline of the lesser performing index from its initial level.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Digital barrier securities
Underlying indexes:	S&P 500, Russell 2000
Amount:	$1 million
Maturity:	April 25, 2022
Coupon:	0%
Price:	Par
Payout at maturity:	If the lesser performing index finishes at or above its 70% of its initial level, par plus 16%; if the lesser performing index falls by more than 30% but not by more than 40%, par; otherwise, full exposure to the decline of the lesser performing index from its initial level
Initial levels:	2,907.97 for S&P, 1,560.045 for Russell
Pricing date:	April 22
Settlement date:	April 25
Agent:	HSBC Securities (USA) Inc.
Fees:	2%
Cusip:	40435ULX0

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