Securities lending enables clients to generate additional income by lending their securities. Below are the key features of our securities lending service:
- Income Generation: Through securities lending, clients earn additional income from fees paid by borrowers, who utilize the securities for purposes like short selling.
- Collateral and Security: We ensure all loans are fully collateralized to safeguard lenders' interests. Collateral typically exceeds the borrowed securities' value, serving as a safety net against borrower default.
- Automated Lending: Our service is often automated, allowing clients to participate without actively managing the lending process.
- Transparency and Reporting: Clients receive comprehensive reports detailing their securities lending activities, including information on lent securities, earnings, and held collateral. This transparency aids in efficiently monitoring and managing lending activities.
- Flexibility: Clients can lend a diverse range of securities, such as stocks, bonds, and other financial instruments.
- Risk Management: robust risk management strategies are employed to ensure the safety and security of the lending process, including constant monitoring of collateral and borrower creditworthiness.
Overall, the securities lending service is designed to help clients enhance the value of their investment portfolios by generating additional income through a secure and transparent lending process.
Gaining an Overview of Collateralized Securities
Access the Securities Lending module by selecting the menu (1), navigating to Trading (2), and then to Securities Lending (3).
Clicking on Securities Lending will open the module, providing aggregated data for your clients participating in securities lending.
The module presents the following information:
- Total units on loan: Displays the total count of units across your clients’ assets enabled for securities lending.
- Total value of loan: Represents the aggregate market value of the securities currently lent out in your default currency.
- Total number of clients: Indicates the number of clients utilizing securities lending.
- Total daily accrual: Shows the daily earned income from lending securities, representing clients’ accrued earnings.
Below this aggregated overview, each instrument is listed with details such as:
- Units on Loan
- Value on loan (specific to Singapore)
- Clients
- Collateral value
- % rate
- Daily accrual
Which instruments have my clients lend out
You can see which clients have lent out a specific instrument by clicking the total number in the Clients column (1).
The user will find a list of one or more clients with attributes like:
- Client ID
-
Client name
-
Owner ID
-
Daily accrual
Navigate to an individual client’s portfolio page by clicking on their Client ID (1).
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