New Issue: HSBC prices $1.52 million buffered uncapped notes on low-volatility ETF

By Marisa Wong

Madison, Wis., Feb. 24 – HSBC USA Inc. priced $1.52 million of 0% buffered uncapped market participation securities due Feb. 26, 2018 linked to the PowerShares S&P 500 Low Volatility Portfolio 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 plus the ETF return. Investors will receive par if the ETF falls by 11% or less and will lose 1% for every 1% that the ETF declines beyond 11%.

HSBC Securities (USA) Inc. is the underwriter.

Issuer:	HSBC USA Inc.
Issue:	Buffered uncapped market participation securities
Underlying ETF:	PowerShares S&P 500 Low Volatility Portfolio ETF
Amount:	$1,515,000
Maturity:	Feb. 26, 2018
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus any ETF gain; par if ETF falls by up to 11%; 1% loss for every 1% that ETF declines beyond 11%
Initial share price:	$38.30
Pricing date:	Feb. 20
Settlement date:	Feb. 25
Underwriter:	HSBC Securities (USA) Inc.
Fees:	None
Cusip:	40433BZL5

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