New Issue: HSBC sells $1.2 million dual directional barrier notes on Stoxx, EAFE

By Sarah Lizee

Olympia, Wash., April 3 – HSBC USA Inc. priced $1.2 million of 0% dual directional barrier securities due April 8, 2024 linked to the Euro Stoxx 50 index and the MSCI EAFE index, according to a 424B2 filed with the Securities and Exchange Commission.

If each index finishes at or above its initial level, the payout at maturity will be par plus 2.5 times the return of the lesser performing index.

If either index falls but not below the 65% barrier level, the payout will be par plus the absolute return of the lesser performing index.

Otherwise, investors will lose 1% for each 1% decline of the worse performing index.

HSBC Securities (USA) Inc. is the underwriter.

Issuer:	HSBC USA Inc.
Issue:	Dual directional barrier securities
Underlying indexes:	Euro Stoxx 50 index and MSCI EAFE index
Amount:	$1.2 million
Maturity:	April 8, 2024
Coupon:	0%
Price:	Par
Payout at maturity:	If each index finishes at or above its initial level, par plus 2.5 times the return of the lesser performing index; if either index falls but not below the 65% barrier level, par plus the absolute return of the lesser performing index; otherwise, investors will lose 1% for each 1% decline of the worse performing index
Initial levels:	3,385.38 for Stoxx, 1,896.35 for EAFE
Barrier levels:	2,200.497 for Stoxx, 1,232.6275 for EAFE, 65% of initial levels
Pricing date:	April 1
Settlement date:	April 8
Agent:	HSBC Securities (USA) Inc.
Fees:	3%
Cusip:	40435ULK8

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