Securities Lending
Blue Owl Capital’s recent decision to sell assets and adjust redemption terms in one of its debt funds has rattled investors and triggered further share price declines for the firm and its peers, reinforcing concerns about stress in broader private lending markets. The firm’s plan to sell $1.
Securities Lending
EquiLend has introduced a new daily Predicted Short Interest metric that aims to give market participants a more real-time view of short exposure in equities. Traditional short interest figures are often lagged, reported bi-weekly and therefore less actionable. The new dataset, designed to estimate current short positions daily using advanced
Securities Lending
Stock loan markets in 2026 are no longer a niche corner of capital markets. Securities based lending has evolved into a structured, institutionalized segment of private credit that intersects directly with public equity liquidity, executive wealth management, governance disclosure and post trade infrastructure. What once looked like a relatively straightforward
Securities Lending
Hedging in stock loan markets is often misunderstood. Contrary to popular belief, lenders do not simply hold collateral and hope for the best. Many employ layered risk management strategies designed to absorb price moves and liquidity shocks. These strategies become especially important in concentrated equity exposure. Dynamic Hedging Versus Structural
Securities Lending
Sector crowding is one of the least discussed risks in stock loan markets. When many borrowers pledge shares in the same sector, liquidity assumptions that look reasonable in isolation can fail collectively. The failure is not theoretical. It is mechanical. Crowding Turns Independent Risk Into Correlated Risk A stock loan
Securities Lending
Non recourse stock loans are often described as borrower friendly products. That description is accurate, but incomplete. To understand how these structures function in modern stock loan markets, it is necessary to look beyond marketing language and examine the economic tradeoffs embedded in the contract. Non recourse does not eliminate
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.