Global securities lending revenue up 15% YoY for May, reports DataLend
02 June 2023 US
Image: Oleksii/stock.adobe.com
The global securities finance industry delivered US$1.06 billion in lending revenue in May 2023, a 15 per cent YoY increase on May 2022, according to data from DataLend.
Month-on-month, this represents a small rise on the US$1.05 billion in revenue generated for lenders during April 2023.
Global broker-to-broker transactions, where broker-dealers lend and borrow from each other, contributed a further US$225 million in revenue during May, a five per cent YoY increase from May 2022.
The rise in lender-to-broker revenue during 2021 was powered by a rise in borrowing fees, which rose 19 per cent YoY across all asset classes globally, says DataLend, the market data arm of securities finance trading, data and post-trade specialist EquiLend.
Month-on-month, borrower fees remained broadly unchanged from April 2023.
The top five revenue-generating securities for April 2022 were AMC Entertainment Holding (AMC), Lucid Group (LCID), AXA SA (CS FP), Fisker Inc (FSR) and BNP Paribas (BNP FP).
Lending revenue generated by the leading earner, AMC, was down 53 per cent month-on-month to US$124 million for the month of May.
Corporate and government debt continued to generate strong lender revenue, recording YoY revenue growth of 61 per cent for corporate bonds and 16 per cent for government bonds.
Month-on-month, this represents a small rise on the US$1.05 billion in revenue generated for lenders during April 2023.
Global broker-to-broker transactions, where broker-dealers lend and borrow from each other, contributed a further US$225 million in revenue during May, a five per cent YoY increase from May 2022.
The rise in lender-to-broker revenue during 2021 was powered by a rise in borrowing fees, which rose 19 per cent YoY across all asset classes globally, says DataLend, the market data arm of securities finance trading, data and post-trade specialist EquiLend.
Month-on-month, borrower fees remained broadly unchanged from April 2023.
The top five revenue-generating securities for April 2022 were AMC Entertainment Holding (AMC), Lucid Group (LCID), AXA SA (CS FP), Fisker Inc (FSR) and BNP Paribas (BNP FP).
Lending revenue generated by the leading earner, AMC, was down 53 per cent month-on-month to US$124 million for the month of May.
Corporate and government debt continued to generate strong lender revenue, recording YoY revenue growth of 61 per cent for corporate bonds and 16 per cent for government bonds.
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