New Issue: HSBC sells $909,000 callable yield notes on S&P, Russell, Nasdaq

By Kiku Steinfeld

Chicago, Jan. 10 – HSBC USA Inc. priced $909,000 of callable yield notes due April 29, 2024 linked to the least performing of the Russell 2000 index, the Nasdaq-100 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes will pay a 12.6% coupon monthly.

The notes will be callable at par on any quarterly observation date starting after six months.

The payout at maturity will be par unless any index finishes below its initial level and has ever closed below its 70% threshold level, in which case investors will be fully exposed to the losses of the worst performing index.

HSBC Securities (USA) Inc. is the agent.

Issuer:	HSBC USA Inc.
Issue:	Callable yield notes
Underlying indexes:	Russell 2000 index, S&P 500 index, Nasdaq-100 index
Amount:	$909,000
Maturity:	April 29, 2024
Coupon:	12.6% annual rate, payable monthly
Price:	Par
Payout at maturity:	Par unless any index finishes below its initial level and has ever closed below its 70% threshold level, in which case, 1% loss for each 1% decline of worst performing index
Call option:	At par on any quarterly observation date after six months
Initial levels:	13,000.77 for Nasdaq, 1,791.506 for Russell, 4,133.52 for S&P
Downside thresholds:	9,100.539 for Nasdaq, 1,254.0542 for Russell, 2,893.464 for S&P, 70% of initial levels
Pricing date:	April 21, 2023
Settlement date:	April 28, 2023
Selling agent:	HSBC Securities (USA) Inc.
Fees:	0.1%
Cusip:	40441X5T3

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