E-mail us: service@prospectnews.com Or call: 212 374 2800
Bank Loans - CLOs - Convertibles - Distressed Debt - Emerging Markets
Green Finance - High Yield - Investment Grade - Liability Management
Preferreds - Private Placements - Structured Products
 
Published on 4/3/2024 in the Prospect News Structured Products Daily.

New Issue: HSBC prices $448,000 autocallable contingent income barrier notes linked to indexes

By Angela McDaniels

Tacoma, Wash., April 3 – HSBC USA Inc. priced $448,000 of autocallable contingent income barrier notes due Oct. 7, 2024 linked to the Nasdaq-100 index and the Russell 2000 index, according to a 424B2 filing with the Securities and Exchange Commission.

Each month, the notes will pay a contingent coupon at the rate of 9.2% per year if each index closes at or above its coupon barrier level, 70% of its initial level, on observation date for that month.

Beginning Jan. 3, 2024, the notes will be called automatically at par if each index closes at or above its initial level on any monthly observation date.

The payout at maturity will be par unless the least performing index finishes below its barrier level, 70% of its initial level, in which case investors will be exposed to the decline of the least performing index.

HSBC Securities (USA) Inc. is the agent.

Issuer:HSBC USA Inc.
Issue:Autocallable contingent income barrier notes with memory coupon
Underlying indexes:Nasdaq-100 index and Russell 2000 index
Amount:$448,000
Maturity:Oct. 7, 2024
Coupon:9.2% per year, payable monthly if each index closes at or above coupon barrier level on observation date for that month
Price:Par
Payout at maturity:Par unless least performing index finishes below barrier level, in which case exposure to decline of least performing index
Call:Beginning Jan. 3, 2024, automatically at par if each index closes at or above initial level on any monthly observation date
Initial levels:15,179.21 for Nasdaq and 1,888.734 for Russell
Coupon trigger levels:10,625.447 for Nasdaq and 1,322.1138 for Russell, or 70% of initial levels
Barrier levels:10,625.447 for Nasdaq and 1,322.1138 for Russell, or 70% of initial levels
Pricing date:June 30, 2023
Settlement date:July 6, 2023
Agent:HSBC Securities (USA) Inc.
Fees:0.5%
Cusip:40447ACG7

© 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.