Securities Lending
Advance rates have always been presented as a technical parameter in stock loan agreements. A number on a term sheet. A function of volatility, liquidity and concentration. Something that could be compared across lenders. In 2026, advance rates are still quoted. But they are no longer static. What is happening
Securities Lending
Pledged shares have long existed in public markets, yet the governance conversation around them is intensifying. Institutional investors and proxy advisors are paying closer attention to how much executive equity is encumbered and under what terms. This scrutiny influences not only perception but also structure. Pledged Shares As A Governance
Securities Lending
Settlement reform rarely makes headlines outside of infrastructure circles, yet its impact on securities based lending is increasingly direct. As global markets compress settlement cycles and modernize post trade processes, the time between decision and finality continues to shrink. This acceleration changes how risk propagates through equity collateral markets. In
Securities Lending
At first glance, 2026 does not look like an environment that should support expanding leverage. Interest rates remain structurally higher than the ultra-loose period that followed the pandemic. Regulatory scrutiny is more intense. Credit committees across institutions are more disciplined than they were in earlier cycles. And yet, equity backed
Securities Lending
A recent development in corporate financing may have indirect implications for stock loan dynamics. Essential Properties Realty Trust announced a planned forward sale of 9.5 million common shares to underwriters including major global banks, with an additional option tied to that offering. These forward share agreements often lead to
Securities Lending
In the broader credit market, analysts at UBS have revised their forecast for U.S. technology investment grade bond issuance upward significantly for 2026, now expecting around $360 billion in sales. This upgrade reflects stronger capital expenditures by major technology firms and a rebound in demand for investment grade debt.
Securities Lending
As we move deeper into 2026, structural data on securities finance activity points to an ongoing role for stock lending in underpinning global market liquidity. According to industry forecasts, securities lending balances have grown meaningfully over recent years and now form a critical part of broader market liquidity alongside repo
Securities Lending
A significant development in Indian capital markets is unfolding as brokers’ associations have formally asked regulators to postpone new bank lending rules. The Association of NSE Members of India has requested that SEBI urge the Reserve Bank of India to delay the implementation of tighter bank lending norms by six
Securities Lending
Market participants frequently refer to free float as a proxy for liquidity. If a company has a large free float and trades actively, the assumption is that it can absorb meaningful transaction size without disorderly price impact. In today’s markets, that assumption deserves closer scrutiny. Free float measures shares
Securities Lending
Non recourse stock loans are often marketed as clean and predictable structures. Borrowers appreciate them because downside exposure is defined in advance. Lenders price the optionality and build buffers accordingly. On the surface, everyone understands the rules before entering the agreement. What is less discussed is how widespread use of
Securities Lending
Liquidity risk in stock loan markets is often misunderstood. Most securities based lending discussions focus on price volatility, advance rates and loan to value ratios. Those variables are measurable and familiar. Liquidity, however, is usually treated as a constant. It is not constant. In 2026, liquidity risk has become one
Securities Lending
There was a time when the primary differentiator in stock loan markets was pricing. Advance rate. Spread. Speed of execution. Those variables still matter. But collateral quality is quietly becoming the more important competitive edge. Not All Blue Chips Are Equal Market capitalization alone does not guarantee resilient collateral. Some