By Wendy Van Sickle
Columbus, Ohio, April 4 – HSBC USA Inc. priced $5.1 million of 0% autocallable step-up barrier notes due March 29, 2028 linked to the S&P 500 index, according to a 424B2 with the Securities and Exchange Commission.
The notes will be called at par plus an annual call premium of 2% if the index closes at or above 80% of its initial level on any quarterly call date starting Sept. 24, 2025.
If the index finishes above the 80% call level but below the initial level, the payout at maturity will be par plus the 10% final call premium. If the final index level is above the initial level, the payout will be par plus the index gain.
If the index finishes below the initial level but not below the 70% barrier level, the payout will be par.
Otherwise, investors will lose 1% for every 1% that the index declines from its initial level.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
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| Issue: | Autocallable step-up barrier notes
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| Underlying index: | S&P 500
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| Amount: | $5,095,000
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| Maturity: | March 29, 2028
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| Coupon: | 0%
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| Price: | Par
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| Payout at maturity: | If the index finishes above initial level, par plus index gain; if index finishes below initial level but above 80% call level, par plus 10% final call premium; if the index finishes below call premium but above final barrier, par; full exposure to loss if index finishes below barrier
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| Call: | At par plus 2% per year if the index closes at or above 80% of its initial level on any quarterly call date starting Sept. 24, 2025
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| Initial level: | 3,970.99
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| Barrier level: | 2,779.693; 70% of initial level
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| Pricing date: | March 24
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| Settlement date: | March 29
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| Agent: | HSBC Securities (USA) Inc.
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| Fees: | 0%
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| Cusip: | 40441X2F6
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