By Wendy Van Sickle
Columbus, Ohio, March 6 – HSBC USA Inc. priced $1.12 million of 5% autocallable yield notes due Aug. 28, 2018 linked to the SPDR S&P 500 ETF trust and the iShares Russell 2000 exchange-traded fund, according to a 414B2 filing with the Securities and Exchange Commission.
Interest is payable monthly.
After six months, the notes will be called quarterly at par plus the coupon if each ETF closes above its initial level on the observation date for that period.
If the notes are not called, the payout at maturity will be par plus unless either ETF finishes below its initial level and either closes below its 70% trigger level any day during the life of the notes, in which case investors will receive a number of shares of the lesser performing index equal to the principal amount divided by the initial price of the shares.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable yield notes
|
| Underlying ETFs: SPDR S&P 500 ETF trust and iShares Russell
|
| Amount: | $1,123,000
|
| Maturity: | Aug. 28, 2018
|
| Coupon: | 5%, payable monthly
|
| Price: | Par
|
| Call: | After six months, quarterly at par plus coupon if each ETF closes above initial level on a quarterly observation date
|
| Payout at maturity: | Par plus coupon unless either ETF finishes below its initial level and either closes below 70% trigger level any day during life of notes, in which case a number of shares of lesser performing index equal to principal amount divided by initial price of the shares
|
| Initial levels: | $236.44 for S&P ETF, $138.75 for Russell ETF
|
| Trigger levels: | $165.508 for S&P ETF, $97.125 for Russell ETF, 70% of initial levels
|
| Pricing date: | Feb. 23
|
| Settlement date: | Feb. 28
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 1.5%
|
| Cusip: | 40435C211
|
|
|
© 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.
