RT Journal Article
SR Electronic
T1 Scope and Dynamics of the Securities Lending Industry
JF The Journal of Portfolio Management
FD Institutional Investor Journals
SP 61
OP 75
DO 10.3905/jpm.2002.319864
VO 29
IS 1
A1 Don R Rich
A1 Jason A. Moore
YR 2002
UL https://pm-research.com/content/29/1/61.abstract
AB Prime brokers understand the importance of the securities lending industry in providing liquidity to markets, but most other participants view it simply as a source of incremental income for long-term investors. In fact, securities lending is a fundamental component of the short-selling market, and the income from lending is not trivial. This description of the very important securities lending industry provides the first in-depth exploration of the behavior of daily lending transactions in 24 countries for a two-year period in 2000–2002. The analysis includes cash and non-cash loans of equity securities and non-equity securities, such as corporate debt, government/sovereign debt, and agency debt.