New Issue: HSBC prices $438,000 7.05% callable contingent income barrier notes on S&P, Dow

By Kiku Steinfeld

Chicago, July 12 – HSBC USA Inc. priced $438,000 of callable contingent income barrier notes due Feb. 17, 2026 linked to the S&P 500 index and Dow Jones industrial average, according to a 424B2 filing with the Securities and Exchange Commission.

Investors will receive a quarterly contingent coupon of 7.05% per year if each index closes at or above its 70% barrier level on the related observation date.

The payout at maturity will be par if the least performing index ends at or above its 70% barrier value. Otherwise investors will lose 1% for every 1% that the least performing index declines.

The securities will be called starting on Feb. 20, 2024 at par on any quarterly observation date.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Callable contingent income barrier notes
Underlying indexes:	S&P 500 index and Dow Jones industrial average
Amount:	$438,000
Maturity:	Feb. 17, 2026
Coupon:	7.05% per year, paid quarterly if each index closes at or above its 70% barrier level on the related observation date
Price:	Par
Payout at maturity:	If least performing index finishes at or above the barrier level par; 1% loss for every 1% that least performing index declines if it ends below barrier value
Call option:	Starting on Feb. 20, 2024 at par on any quarterly observation date
Initial levels:	4,090.46 for S&P, 33,869.27 for Dow
Barrier levels:	2,863.322 for S&P, 23,708.489 for Dow; 70% of initial levels
Pricing date:	Feb. 10
Settlement date:	Feb. 15
Agent:	HSBC Securities (USA) Inc.
Fees:	2.5%
Cusip:	40441XL57

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