Automated Securities Lending (ASL)
ASL lies at the heart of Clearstream’s settlement engine and acts as lender of last resort, preventing failures and enhancing settlement efficiency through automated loans. This service, is highly integrated into the settlement process, financing trades for borrowers to either deliver to the domestic markets, over the bridge or to other Clearstream internal counterparties.
With just one contract, borrowers gain access to a large pool of undisclosed lenders. The ASL guarantee reduces counterparty risk for lenders. Lenders can advise Clearstream of the positions available for lending via the lender download facility. This is of particular use to lenders with mixed assets. Lenders benefit from waived custody fees on lent positions.
In addition to fully automated services, Clearstream also provides case-by-case securities lending and borrowing. Clients enjoy complete control as they lend and borrow in accordance with their own risk profile and other strategies.