Published on 6/19/2013 in the Prospect News Structured Products Daily.
New Issue: HSBC prices $7 million contingent income barrier notes tied to S&P 500
By Marisa Wong
Madison, Wis., June 19 - HSBC USA Inc. priced $7 million of contingent income barrier notes due June 20, 2028 linked to S&P 500 index, according to a 424B2 filing with the Securities and Exchange Commission.
The notes will pay a contingent quarterly coupon at an annualized rate of 8.02% if the index closes at or above the 75% coupon barrier level on the determination date for that quarter.
If the index finishes at or above the 50% barrier level, the payout at maturity will be par. Otherwise, investors will be fully exposed to any losses.
HSBC Securities (USA) Inc. is the agent.
Issuer: | HSBC USA Inc.
|
Issue: | Contingent income barrier notes
|
Underlying index: | S&P 500 index
|
Amount: | $7 million
|
Maturity: | June 20, 2028
|
Coupon: | 8.02%, payable quarterly if index closes at or above trigger level on determination date for that quarter
|
Price: | Par
|
Payout at maturity: | If index finishes at or above 50% barrier level, par; otherwise, full exposure to any losses
|
Initial level: | 1,639.04
|
Trigger level: | 1,229.28, 75% of initial level
|
Barrier level: | 50% of initial level
|
Pricing date: | June 17
|
Settlement date: | June 20
|
Agent: | HSBC Securities (USA) Inc.
|
Fees: | 3.25%
|
Cusip: | 40432XGY1
|
© 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.