Published on 3/6/2021 in the Prospect News Structured Products Daily.
New Issue: HSBC sells $1.14 million autocallable contingent income barrier notes on three stocks
Chicago, March 8 – HSBC USA Inc. priced $1.14 million of autocallable contingent income barrier notes due Jan. 29, 2024 linked to the least performing of the common stocks of Zoom Video Communications Inc., Morgan Stanley and Amazon.com, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annualized rate of 18.82% if each stock closes at or above the coupon trigger level, 65% of its initial level, on the observation date for that period.
The notes will be called at par plus the coupon if each stock closes at or above 85% of its initial level on any quarterly call observation date.
If the notes are not called and each stock finishes at or above its 65% barrier, the payout at maturity will be par plus any final coupon. Otherwise, investors will lose 1% for each 1% decline of the least-performing stock from its initial level.
HSBC Securities (USA) Inc. is the agent.
| Issuer: | HSBC USA Inc.
|
| Issue: | Autocallable contingent income barrier notes
|
| Underlying stocks: | Zoom Video Communications Inc., Morgan Stanley and Amazon.com, Inc.
|
| Amount: | $1,143,000
|
| Maturity: | Jan. 29, 2024
|
| Coupon: | 18.82% per year, payable quarterly if each stock closes at or above coupon trigger level on observation date for that period
|
| Price: | Par
|
| Payout at maturity: | If each stock finishes at or above barrier, par plus any final coupon; otherwise, 1% loss for each 1% decline of the least-performing stock from initial level
|
| Call: | At par plus coupon if each stock closes at or above 85% of its initial level on any quarterly call observation date
|
| Initial levels: | $383.40 for Zoom, $74.13 for Morgan Stanley, $3,292.23 for Amazon
|
| Call levels: | 85% of initial levels
|
| Coupon trigger levels: | $249.21 for Zoom, $48.1845 for Morgan Stanley, $2,139.9495 for Amazon; 65% of initial levels
|
| Barrier levels: | $249.21 for Zoom, $48.1845 for Morgan Stanley, $2,139.9495 for Amazon; 65% of initial levels
|
| Pricing date: | Jan. 22
|
| Settlement date: | Jan. 27
|
| Agent: | HSBC Securities (USA) Inc.
|
| Fees: | 4%
|
| Cusip: | 40438CS69
|
© 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.
