New Issue: HSBC prices $5.04 million trigger gears linked to iShares MSCI EM

By Sarah Lizee

Olympia, Wash., March 28 – HSBC USA Inc. priced $5.04 million of 0% trigger gears due March 28, 2024 linked to the iShares MSCI Emerging Markets exchange-traded fund, according to a 424B2 filing with the Securities and Exchange Commission.

If the ETF return is greater than zero, the payout at maturity will be par of $10 plus 1.2525 times the ETF return. Investors will receive par if the ETF declines by 35% or less and be fully exposed to the ETF’s decline from its initial share price if it declines by more than 35%.

UBS Financial Services Inc. and HSBC Securities (USA) Inc. are the agents.

Issuer:	HSBC USA Inc.
Issue:	Trigger gears
Underlying ETF:	iShares MSCI Emerging Markets ETF
Amount:	$5,037,900
Maturity:	March 28, 2024
Coupon:	0%
Price:	Par of $10
Payout at maturity:	If ETF return is greater than zero, par plus 1.2525 times ETF return; par if ETF return is less than or equal to zero and final share price is greater than or equal to downside threshold; full exposure to ETF’s decline from initial share price if ETF finishes below downside threshold
Initial share price:	$42.66
Downside threshold:	$27.73, 65% of initial share price
Pricing date:	March 26
Settlement date:	March 29
Agents:	UBS Financial Services Inc. and HSBC Securities (USA) Inc.
Fees:	3.5%
Cusip:	40436A156

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