By Susanna Moon
Chicago, June 22 - HSBC USA Inc. priced $2.43 million of 0% capped knock-out buffer notes due July 9, 2013 linked to Apple Inc. shares, according to a 424B2 filing with the Securities and Exchange Commission.
A knock-out event occurs if Apple stock finishes below the 80% trigger level.
If the shares finish at or above the knock-out level, the payout at maturity will be par plus the greater of any gain, up to a maximum return of 25%, and the contingent minimum return of 10%.
Otherwise, the payout at maturity will be par plus the return, with full exposure to losses.
HSBC Securities (USA) Inc. is the underwriter, and J.P. Morgan Securities LLC and JPMorgan Chase Bank, NA are the agents.
| Issuer: | HSBC USA Inc.
|
| Issue: | Capped knock-out buffer notes
|
| Underlying stock: | Apple Inc. (Nasdaq: AAPL)
|
| Amount: | $2,425,000
|
| Maturity: | July 9, 2013
|
| Coupon: | 0%
|
| Price: | Par
|
| Payout at maturity: | If stock finishes at or above knock-out level, par plus any gain, floor of 10% and capped at 25%; otherwise, full exposure to losses
|
| Initial price: | $585.75
|
| Knock-out buffer: 20% of initial level
|
| Pricing date: | June 20
|
| Settlement date: | June 25
|
| Underwriter: | HSBC Securities (USA) Inc., with J.P. Morgan Securities LLC and JPMorgan Chase Bank, NA as agents
|
| Fees: | 1%
|
| Cusip: | 4042K1U35
|
© 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.
