New Issue: HSBC prices $10 million autocallable return notes linked to index, stocks

By Sarah Lizee

Olympia, Wash., Jan. 15 – HSBC USA Inc. priced $10 million of 0% autocallable return notes due Jan. 16, 2025 linked to the S&P 500 index and the common stocks of AbbVie Inc. and Target Corp., according to a 424B2 filing with the Securities and Exchange Commission.

The notes will be automatically called at par plus a call premium of 14.2% a year if each asset closes at or above its initial level on any annual call date.

If the notes are not called, the payout at maturity will be par plus 71% unless any asset finishes below the trigger level, 50% of the initial level, in which case investors will lose 1% for every 1% that the least performing asset declines from its initial level.

HSBC Securities (USA) Inc. is the underwriter with JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC as placement agents.

Issuer:	HSBC USA Inc.
Issue:	Autocallable return notes
Underlying assets:	S&P 500 index, AbbVie Inc. and Target Corp.
Amount:	$10 million
Maturity:	Jan. 16, 2025
Coupon:	0%
Price:	Par
Payout at maturity:	Par plus 71% unless any asset finishes below trigger level, in which case 1% loss for every 1% that the least performing asset declines from initial level
Call:	Automatically at par plus call premium of 14.2% a year if each asset closes at or above initial level on any annual call date
Initial index level:	3,288.13
Trigger level:	1,644.065, 50% of initial level
Pricing date:	Jan. 14
Settlement date:	Jan. 17
Underwriter:	HSBC Securities (USA) Inc.
Agents:	JPMorgan Chase Bank, NA and J.P. Morgan Securities LLC
Fees:	1%
Cusip:	40435U3A0

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