Published on 5/22/2019 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $609,000 contingent income barrier autocallables on three indexes
By Wendy Van Sickle
Columbus, Ohio, May 22 – HSBC USA Inc. priced $609,000 of autocallable contingent income barrier notes due May 21, 2024 linked to the least performing of the Russell 2000 index, Dow Jones industrial average and Nasdaq-100 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 5.15% 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 any index finishes below its 60% trigger level, in which case investors will be fully exposed to the decline of the lowest performing index.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes
|
| Underlying indexes: | Russell 2000 index, Dow Jones industrial average and Nasdaq-100 index
|
| Amount: | $609,000
|
| Maturity: | May 21, 2024
|
| Coupon: | 5.15%, 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 worst-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: | 1,557.239 for Russell, 25,862.68 for Dow, 7,580.142 for Nasdaq
|
| Coupon barriers: | 934.3434 for Russell, 15,517.608 for Dow and 4,548.0852 for Nasdaq; 60% of initial levels
|
| Trigger levels: | 934.3434 for Russell, 15,517.608 for Dow and 4,548.0852 for Nasdaq; 60% of initial levels
|
| Pricing date: | May 16
|
| Settlement date: | May 21
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 3.625%
|
| Cusip: | 40435UNQ3
|
|
|
|
|
© 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.
