By Kiku Steinfeld
Chicago, May 18 – HSBC USA Inc. priced $700,000 of autocallable contingent income barrier notes due Jan. 20, 2026 linked to the stock performance of Amazon.com, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annualized rate of 12.25% if the stock closes at or above the coupon trigger level, 60% of the initial share price, on the relevant observation date.
The notes will be called at par plus the contingent coupon if the stock closes at or above the initial share price on any quarterly observation date after one year.
The payout at maturity will be par plus the final coupon unless the stock finishes below its 60% barrier price, in which case investors will be fully exposed to the stock’s decline from the initial share price.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes
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| Underlying stock: | Amazon.com, Inc.
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| Amount: | $700,000
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| Maturity: | Jan. 20, 2026
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| Coupon: | 12.25%, payable quarterly if the stock closes at or above coupon trigger level on the relevant observation date
|
| Price: | Par
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| Payout at maturity: | Par plus final coupon unless stock finishes below barrier price, in which case full exposure to the decline from initial price
|
| Call: | At par plus coupon if the stock closes at or above initial price on any quarterly observation date after one year
|
| Initial price: | $98.12
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| Coupon trigger/barrier price: | $58.872; 60% of initial price
|
| Pricing date: | Jan. 13, 2023
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| Settlement date: | Jan. 19, 2023
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| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 2.85%
|
| Cusip: | 40441XC57
|
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