Published on 8/26/2019 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $1.36 million contingent income barrier autocalls on S&P, Russell
By Wendy Van Sickle
Columbus, Ohio, Aug. 26 – HSBC USA Inc. priced $1.36 million of autocallable contingent income barrier notes due Aug. 22, 2023 linked to the least performing of the S&P 500 index and 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 5.25% if each index closes at or above its coupon barrier, 60% of its initial level, on the observation date for that quarter.
The notes will be called at par plus the contingent coupon if each index closes at or above its initial level on any coupon observation date after one year.
The payout at maturity will be par plus the final coupon unless either index closes below the trigger, 60% of the initial level, in which case investors will be fully exposed to the losses of the worse-performing index.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes
|
| Underlying indexes: | S&P 500 index and Russell 2000 index
|
| Amount: | $1.36 million
|
| Maturity: | Aug. 22, 2023
|
| Coupon: | 5.25% per year, payable quarterly if each index closes at or above coupon barrier on determination date for that quarter
|
| Price: | Par
|
| Payout at maturity: | If each index finishes at or above trigger level, par; otherwise, exposure to decline of worse-performing index
|
| Call: | At par plus coupon if each index closes at or above initial level on any quarterly call observation date after one year
|
| Initial levels: | 2,923.65 for S&P, 1,508.85 for Russell
|
| Coupon barriers: | 1,754.19 for S&P, 905.31 for Russell; 60% of initial levels
|
| Trigger levels: | 1,754.19 for S&P, 905.31 for Russell; 60% of initial levels
|
| Pricing date: | Aug. 19
|
| Settlement date: | Aug. 22
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 0%
|
| Cusip: | 40435UVP6
|
|
|
© 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.
