HSBC to issue autocallable barrier notes with step-up premium on index, ETF

By Emma Trincal

New York, Dec. 23 – HSBC USA Inc. plans to issue 0% autocallable barrier notes with step-up premium due Dec. 23, 2024 linked to the lesser performing of the S&P 500 index and the VanEck Vectors Gold Miners ETF, according to an FWP filing with the Securities and Exchange Commission.

The notes will be called at par plus an at least 15.3% annualized call premium if each underlying asset closes at or above its initial level on any semiannual observation date.

If the notes are not called, the payout will be par unless any underlying asset has finished below its 70% barrier level, in which case investors will lose 1% for each 1% decline of the least-performing underlying asset from its initial level.

HSBC Securities (USA) Inc. is the agent.

The notes were expected to price on Dec. 17 and settle on Dec. 22.

The Cusip number is 40439JUJ2.

The fee is 0.5%.

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