Published on 3/10/2022 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $14.1 million trigger autocallable contingent yield notes on Nasdaq, S&P
By Wendy Van Sickle
Columbus, Ohio, March 10 – HSBC USA Inc. priced $14.1 million of trigger autocallable contingent yield notes due March 7, 2025 linked to the Nasdaq-100 index and the S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
Interest will be payable quarterly at an annual rate of 8.21% if both indexes close at or above the 70% coupon barrier on the related observation date.
The notes will be called at par of $10 plus a coupon if each index closes at or above its initial level on any quarterly observation date.
The payout at maturity will be par plus a final coupon unless any index finishes below the downside threshold level, 70% of its initial level, in which case investors will lose 1% for every 1% loss of the worst performer from its initial level.
UBS Financial Services Inc. and HSBC Securities (USA) Inc. are the agents.
| Issuer: | HSBC USA Inc.
|
| Issue: | Trigger autocallable contingent yield notes
|
| Underlying indexes: | S&P 500 index, Nasdaq-100 index
|
| Amount: | $14,096,500
|
| Maturity: | March 7, 2025
|
| Coupon: | 8.21% annualized, payable quarterly if indexes close at or above coupon barrier on observation date
|
| Price: | Par of $10
|
| Payout at maturity: | Par plus a final coupon unless any index finishes below downside threshold, in which case 1% loss for each 1% decline of worst performer from initial level
|
| Call: | At par plus a coupon if each index closes at or above initial levels on any quarterly observation date after six months
|
| Initial index levels: | 13,837.83 for Nasdaq, 4,328.87 for S&P
|
| Coupon barriers: | 9,686.48 for Nasdaq, 3,030.21 for S&P; 70% of initial levels
|
| Downside thresholds: | 9,686.48 for Nasdaq, 3,030.21 for S&P; 70% of initial levels
|
| Pricing date: | March 4
|
| Settlement date: | March 9
|
| Agents: | UBS Financial Services Inc. and HSBC Securities (USA) Inc.
|
| Fees: | 2%
|
| Cusip: | 40439N775
|
|
|
|
|
© 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.
