Trading and investing platform eToro has rolled out its
stock lending programme in the UK, allowing eligible users to earn passive
income by lending out fully paid stocks. The programme follows earlier rollouts
in Europe and the UAE and forms part of eToro’s plan to expand stock lending
access to retail investors globally.
The initiative, announced in April, expands
eToro’s partnership with BNY, which acts as custodian and clearing
provider, while stock lending platform EquiLend identifies borrowers and
facilitates the lending process.
UK Retail Investors Gain Stock Lending
eToro said it is bringing a practice long dominated by large
financial institutions to UK retail investors. “Launching stock lending in the
UK is a key step in our mission to make passive income opportunities available
to every investor,” said Yossi Brandes, VP Execution Services at eToro.
The programme also expands eToro’s clearing and custody
relationship with BNY, which provides the infrastructure for its fully funded
stock and ETF offering across 19 global exchanges.
Victor O’Laughlen, Executive
Platform Owner – Global Clearing at BNY, said the collaboration combines the
capabilities of eToro and EquiLend with BNY’s clearing services to “equip
retail investors with an institutional-grade solution to support their
investing journey.”
BNY, Canada Bank Launch EquiLend Platform
BNY and the National Bank of Canada have gone live with
EquiLend’s 1Source platform, a blockchain-based system that reduces
manual reconciliation in securities lending by maintaining synchronized
transaction records and automating lifecycle events such as recalls and
rate adjustments.
The platform currently covers North American equities, with
plans to expand to corporate bonds and European markets. eToro has used
EquiLend for six months to support its UK and European stock lending programme.
The system could save the industry hundreds of millions annually through
improved efficiency and fewer settlement failures.
This article was written by Tareq Sikder at www.financemagnates.com.
Source link
