Combine chicken (which has been finely chopped), Neufchatel, onion, sherry, mayonnaise, lemon juice, hot sauce, and nutmeg in container of electric blender; process until smooth.
Transfer mixture to a 2 cup mold coated with cooking spray (Pam).
Cover, and chill overnight. Unmold onto a serving plate.
Sprinkle with paprika. Garnish with parsley sprigs, if desired. Serve with Melba toast rounds or unsalted crackers. Yield: 1 3/4 cups (28 calories per Tablespoon.) PER SERVING (1 T): 28 calories, 2.8 g fat, .3 g carbohydrates, 0 g fiber, 10 g cholesterol, 30 mg sodium, 27 mg potassium.