| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers H > Headlines for Hang Seng index > News item |
HSBC plans 0.5%-1% Far East opportunity CDs linked to four indexes
By Angela McDaniels
Tacoma, Wash., Jan. 5 - HSBC Bank USA, NA plans to price 0.5% to 1% Far East opportunity certificates of deposit due Jan. 25, 2018 linked to a basket of indexes, according to a term sheet.
The basket includes equal weights of the Hang Seng index, the MSCI Taiwan index, the MSCI Singapore Free index and the Kospi 200 index.
Interest will be payable annually, and the exact coupon will be set at pricing.
The payout at maturity will be par plus the basket return, subject to a floor of par, plus the last coupon.
The final level of each index used to determine the basket return will be the average of its closing levels on Jan. 21, April 21, July 21 and Oct. 21 of each year during the life of the CDs.
The CDs will be putable on Jan. 31, 2012, Jan. 31, 2013, Jan. 31, 2014, Jan. 30, 2015, Jan. 29, 2016 and Jan. 31, 2017. The redemption amount will be the then-current market value of the CDs minus an early redemption charge of 3.5% in year one, 2.5% in year two, 1.5% in year three and 0.5% in year four. There is no charge after year four.
The CDs (Cusip: 40431GKV0) will price Jan. 20 and settle Jan. 26.
HSBC Securities (USA) Inc. is the agent.
© 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.