New Issue: HSBC prices $5.31 million allocation securities linked to basket of three ETFs

By Wendy Van Sickle

Columbus, Ohio, Sept. 29 – HSBC USA Inc. priced $5.31 million of 0% allocation securities due Sept. 30, 2021 linked to a basket of the SPDR S&P 500 exchange-traded fund, the iShares MSCI EAFE exchange-traded fund and the iShares MSCI Emerging Markets exchange-traded fund, according to an FWP filing with the Securities and Exchange Commission.

The best performing of the ETFs will be given a 70% weight, the second performing ETF will be weighted at 30%, and the lowest-performing ETF will not count toward the basket performance.

The payout at maturity will be par plus the basket return, which could be positive or negative.

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

Issuer:	HSBC USA Inc.
Issue:	Allocation securities
Basket components:	SPDR S&P 500 ETF, iShares MSCI EAFE ETF and iShares MSCI Emerging Markets ETF
Weighting:	Best performing ETF, 70%; second best performing, 30%; worst performing, 0%
Amount:	$5,305,680
Maturity:	Sept. 30, 2021
Coupon:	0%
Price:	Par of $10
Payout at maturity:	Par of $10 plus basket return, either positive or negative
Initial share prices:	$215.57 for SPDR trust, $58.99 for iShares MSCI EAFE and $37.61 for iShares MSCI Emerging Markets
Pricing date:	Sept. 27
Settlement date:	Sept. 30
Underwriters:	UBS Financial Services Inc. and HSBC Securities (USA) Inc.
Fees:	1%
Cusip:	40435B767

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