Securities lending is one of the trading strategies that has been around for centuries and is one of the oldest forms of investing. Despite its long history, many investors do not understand what securities lending is or the benefits it can provide.
This article will discuss the basics of securities lending and how it can benefit traders. We will also look at some of the top reasons to consider securities lending as part of your investment strategy.
What is securities lending, and why is it beneficial to investors?
Securities lending is loaning out securities, typically stocks or bonds, in return for a fee. The lender takes possession of the securities as collateral for the loan. Securities lending is usually done … Read the rest