HSBC to settle autocallable barrier notes with step-up premium on Russell

By Emma Trincal

New York, Oct. 26 – HSBC USA Inc. will settle 0% autocallable barrier notes with step-up premium and digital upside return due Oct. 29, 2026 linked to the Russell 2000 index, according to an FWP filing with the Securities and Exchange Commission.

The notes will be called at par plus a 7.7% annual call premium if the index closes at or above its initial level on any annual call observation date.

If the notes are not called and the index return is greater than 25%, the payout at maturity will be par plus the index return. If the index return is greater than zero but less than or equal to 25%, the payout will be par plus a digital return of 25%. If the index return is less than or equal to zero but greater than or equal to negative-25%, the payout will be par. If the index return is less than negative-25%, investors will be fully exposed to the decline of the index.

HSBC Securities (USA) Inc. is the agent.

The notes were expected to price on Oct. 26 and to settle on Oct. 29.

The Cusip number is 40439JQF5.

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