Published on 4/17/2024 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $1.3 million 11.9% contingent income barrier autocalls with memory on Adobe, Humana
New York, April 17 – HSBC USA Inc. priced $1.3 million of autocallable contingent income barrier notes with memory coupon due April 12, 2027 linked to the common stocks of Adobe Systems Inc. and Humana Inc., according to a 424B2 filing with the Securities and Exchange Commission.
Investors will receive a coupon of 11.9%, paid monthly, if each underlying stock closes at or above its 60% barrier level on the related monthly observation date, plus any previously unpaid coupons.
The payout at maturity will be par if the worst performing stock ends at or above its 60% barrier value. Otherwise investors will lose 1% for every 1% that the worst performing stock declines.
The securities will be called automatically starting on April 9, 2025 at par if the level of the worst performing stock is greater than or equal to 90% of its initial level and on any subsequent monthly observation date.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes with memory coupon
|
| Underlying stocks: | Adobe Systems Inc. and Humana Inc.
|
| Amount: | $1.3 million
|
| Maturity: | April 12, 2027
|
| Coupon: | 11.9%, paid monthly, if each underlying stock closes at or above its 60% barrier level on the related monthly observation date, plus any previously unpaid coupons
|
| Price: | Par
|
| Payout at maturity: | If worst performing stock finishes at or above the barrier level par; 1% loss for every 1% that worst performing stock declines if it ends below barrier value
|
| Call: | Automatically starting on April 9, 2025 at par if the level of the worst performing stock is greater than or equal to 90% of its initial level and on any subsequent monthly observation date
|
| Initial levels: | $492.55 for Adobe Systems, $319.62 for Humana
|
| Coupon barriers: | $295.53 for Adobe Systems, $191.772 for Humana, 60% of initial levels
|
| Barrier levels: | $295.53 for Adobe Systems, $191.772 for Humana, 60% of initial levels
|
| Pricing date: | April 9
|
| Settlement date: | April 12
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 2.75%
|
| Cusip: | 40447AY73
|
|
|
|
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
