Trading & Market Structure

Securities Lending

Definition

What is Securities Lending?

The temporary transfer of securities to a borrower in exchange for collateral and a fee.

Example in practice

A fund lends shares to a short seller and earns lending income.

Keep learning

The highest price a buyer is currently willing to pay for a security.

The lowest price a seller is currently willing to accept for a security.

The difference between the best available buying and selling prices.

An instruction to buy or sell immediately at the best available prices.

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