Securities Lending and Borrowing services

02.03.2022

To ensure that trades settle when expected, clients can call on automated securities lending. This reduces the cost of failures, makes positions easier to predict and helps clients manage cash requirements with more certainty.

In addition to its automated services, Clearstream provides an actively-managed lending service that uses its market knowledge to increase trading opportunities for borrowers.

Lenders benefit from some of the best available returns, leaving the logistics to Clearstream, so clients are freed from the daily administration associated with loans.

Operational services include:

  • Loan setup
  • Checking the eligibility and sufficiency of collateral
  • Daily mark to market
  • Monitoring margin excesses and deficits
  • Monitoring and managing corporate actions
  • Collecting income.

These services bridge liquidity gaps, so preventing settlement failure while providing a flexible source of securities to maximise trading and regulatory strategies.

Clearstream’s international central securities depository (ICSD) in Luxembourg offers the following securities lending and borrowing services:

  • The Automated Securities Lending and Borrowing Service (ASL) enhances settlement efficiency through automated loans to prevent failures
  • ASLplus, a dynamic service that increases the lender’s portfolio yield, with Clearstream being the principal and single borrower, maximises the use of your assets.

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