Published on 10/9/2019 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $15,000 contingent income barrier autocalls on Nasdaq, Russell
By Sarah Lizee
Olympia, Wash., Oct. 9 – HSBC USA Inc. priced $15,000 of autocallable contingent income barrier notes due Nov. 3, 2020 linked to the least performing of the Nasdaq-100 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission
Each month, the notes will pay a contingent coupon at an annual rate of 8.7% if each index closes at or above its coupon barrier, 80% of its initial level, on the observation date for that month.
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 six months.
The payout at maturity will be par plus the final coupon unless either index closes below the trigger, 80% 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: | Nasdaq-100 index and Russell 2000 index
|
| Amount: | $15,000
|
| Maturity: | Nov. 3, 2020
|
| Coupon: | 8.7% per year, payable monthly if each index closes at or above coupon barrier on determination date for that month
|
| 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 six months
|
| Initial levels: | 1,523.373 for Russell and 7,749.449 for Nasdaq
|
| Coupon barriers: | 1,218.6984 for Russell and 6,199.5592 for Nasdaq; 80% of initial levels
|
| Trigger levels: | 1,218.6984 for Russell and 6,199.5592 for Nasdaq; 80% of initial levels
|
| Pricing date: | Sept. 30
|
| Settlement date: | Oct. 3
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | None
|
| Cusip: | 40435UXR0
|
© 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.
