Securities Financing
Refreshed July 2024 | CPD time: 1 Hour
Securities financing is the practice of firms or investors using the lending of securities, such as shares or bonds, as a vehicle for accessing capital or earning income. This module examines stock borrowing and lending, the activity and life of a loan, the restrictions on borrowing and lending, legal ownership aspects, repurchase agreements, risk mitigation, prime brokerage, and market sentiment and perception.
1. Introduction and Background
2. Key Participants and Benefits
3. Activity During the Life of a Loan
4. Restrictions on Borrowing and Lending
5. Repurchase Agreements
6. Risk Mitigation and Prime Brokerage
7. Market Sentiment and the Securities Lending Committee
Module Test