Published on 11/4/2020 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $524,000 dual directional barrier notes tied to S&P, Nasdaq, Dow
By Wendy Van Sickle
Columbus, Ohio, Nov. 4 – HSBC USA Inc. priced $524,000 of 0% dual directional barrier securities due Oct. 30, 2025 linked to the least performing of the Dow Jones industrial average, the Nasdaq-100 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
If the final level of each index is greater than its initial level, the payout at maturity will be par plus 1.09 times the least-performing index’s return.
If the final level of either index is less than or equal to its initial level but neither underlying finishes below its trigger value, 70% of its initial level, the payout will be par plus the absolute value of the least-performing underlying’s return.
If either index finishes below its trigger value, investors will lose 1% for every 1% that the least-performing index declines from its initial level.
HSBC Securities (USA) Inc. is the underwriter.
| Issuer: | HSBC USA Inc.
|
| Issue: | Dual directional barrier securities
|
| Underlying indexes: | Dow Jones industrial average, S&P 500 index and Nasdaq-100 index
|
| Amount: | $524,000
|
| Maturity: | Oct. 30, 2025
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If each index finishes at or above initial level, par plus 1.09 times the least-performing index’s return; if least-performing index falls by up to 20%, par plus absolute value of its return; otherwise, 1% loss for every 1% that least-performing index’s final level is less than initial level
|
| Initial levels: | 27,463.19 for Dow, 3,390.68 for S&P and 11,598.95 for Nasdaq-100
|
| Trigger levels: | 70% of initial levels
|
| Pricing date: | Oct. 27
|
| Settlement date: | Oct. 30
|
| Underwriter: | HSBC Securities (USA) Inc.
|
| Fees: | 3.625%
|
| Cusip: | 40438CYC9
|
|
|
© 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.
