New Issue: HSBC sells $105,000 autocallable barrier notes with step-up premium on indexes

By Sarah Lizee

Olympia, Wash., June 23 – HSBC USA Inc. priced $105,000 of 0% autocallable barrier notes with step-up premium due June 20, 2022 linked to the lesser performing of the Dow Jones industrial average, the S&P 500 index and the Nasdaq-100 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be called at par plus a call premium if each index closes at or above its initial level on the any semiannual observation date. The premium is 13.5% per year.

The payout will be par unless any index has finished below its 70% barrier level, in which case investors will lose 1% for each 1% decline of the least-performing index from its initial level.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Autocallable barrier notes with step-up premium
Underlying indexes:	Dow Jones industrial average, S&P 500 index and Nasdaq-100 index
Amount:	$105,000
Maturity:	June 20, 2022
Coupon:	0%
Price:	Par
Payout at maturity:	Par unless either index has finished below barrier level, in which case investors will lose 1% for each 1% decline of least-performing index from its initial level
Call:	At par plus a call premium if each index closes at or above its initial level on any semiannual observation date; premium is 13.5% per year
Initial index levels:	26,289.98 for Dow, 3,124.74 for S&P and 9,949.366 for Nasdaq
Barrier levels:	70% of initial levels
Pricing date:	June 16
Settlement date:	June 19
Agent:	HSBC Securities (USA) Inc.
Fees:	0.5%
Cusip:	40438CKE0

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