By Susanna Moon
Chicago, May 4 – HSBC USA Inc. priced $506,000 of autocallable contingent income barrier notes due April 30, 2021 linked to the least performing of the common stocks of AbbVie Inc., Boeing Co. and JPMorgan Chase & Co., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent monthly coupon at an annualized rate of 10% if each stock closes at or above the 50% coupon barrier on the observation date for that month.
The notes will be called at par if each stock closes at or above its initial level on any of the first 11 determination dates.
The payout at maturity will be par unless any underlying stock finishes below its 50% trigger level, in which case investors will be fully exposed to any losses of the worst performing stock.
HSBC Securities (USA) Inc. is the underwriter.
| Issuer: | HSBC USA Inc.
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| Issue: | Autocallable contingent income barrier notes
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| Underlying stock: | AbbVie Inc. (Symbol: ABBV), Boeing Co. (Symbol: BA) and JPMorgan Chase & Co.. (Symbol: JPM)
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| Amount: | $506,000
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| Maturity: | April 30, 2021
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| Coupon: | 10%, payable monthly if each stock closes at or above 50% coupon barrier on observation date for that month
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| Price: | Par
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| Payout at maturity: | Par unless any stock finishes below 50% trigger, in which case 1% loss per 1% decline of worst performing stock
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| Call: | At par if each stock closes at or above initial level on any of the first 11 determination dates
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| Initial level: | $91.87 for AbbVie, $342.86 for Boeing and $109.99 for JPMorgan
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| Trigger levels: | $45.935 for AbbVie, $171.43 for Boeing and $54.995 for JPMorgan, 50% of initial levels
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| Pricing date: | April 25
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| Settlement date: | April 30
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| Agent: | HSBC Securities (USA) Inc.
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| Fees: | 3.35%
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| Cusip: | 40435FYL5
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