New Issue: HSBC sells $1.71 million buffered return enhanced notes on tech fund

By Taylor Fox

New York, Feb. 17 – HSBC USA Inc. priced $1.71 million of 0% buffered return enhanced notes due July 29, 2022 linked to the Technology Select Sector SPDR fund, according to a 424B2 filing with the Securities and Exchange Commission.

If the ETF return is positive, the payout at maturity will be par plus two times the gain, capped at par plus 14.7%.

If the ETF declines by up to 10%, the payout will be par. Otherwise, investors will lose 1.1111% for each 1% index decline beyond 10%.

JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC are the placement agents.

Issuer:	HSBC USA Inc.
Issue:	Buffered return enhanced notes
Underlying ETF:	Technology Select Sector SPDR fund
Amount:	$1,707,000
Maturity:	July 29, 2022
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus two times any ETF gain, capped at par plus 14.7%; par if the ETF declines by up to 10%; 1.1111% loss for each 1% index decline beyond 10%
Initial value:	$134.03
Buffer level:	90% of initial level
Pricing date:	Jan. 26
Settlement date:	Jan. 29
Agents:	JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC
Fees:	1.25%
Cusip:	40438CQ53

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