Global securities lending revenues rise 20% YoY for H1 2023, says EquiLend’s Allen
27 July 2023 US
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Global securities lending revenues have increased 20 per cent year-over-year for H1 2023, generating US$5.76 billion in the lender-to-broker market, says Nancy Allen, head of data and analytics solutions at EquiLend.
Equities played a major role in the global increase in lending revenue, contributing US$4.42 billion in H1 2023 revenue, and representing an 18 per cent YoY rise, as highlighted in EquiLend’s half-year edition of The Purple.
Higher interest rates created a conducive environment for fixed income lending, EquiLend reports, which generated US$1.34 billion in revenue in the first half of 2023 with fees up by 32 per cent YoY.
“It was an eventful first half of the year marked by a regional banking crisis, a resurgence in meme stock activity and persistent interest rate hikes to battle global inflation,” says Allen.
Despite this, a positive performance for the industry was seen across the regions with securities lending revenue for the Americas up 27 per cent YoY for H1 2023 to US$3.39 billion.
EMEA recorded a 14 per cent YoY rise in securities lending revenues to US$1.33 billion over the same period, with Asia Pacific recording a 5 per cent YoY jump in revenues to US$1.02 billion.
Equities played a major role in the global increase in lending revenue, contributing US$4.42 billion in H1 2023 revenue, and representing an 18 per cent YoY rise, as highlighted in EquiLend’s half-year edition of The Purple.
Higher interest rates created a conducive environment for fixed income lending, EquiLend reports, which generated US$1.34 billion in revenue in the first half of 2023 with fees up by 32 per cent YoY.
“It was an eventful first half of the year marked by a regional banking crisis, a resurgence in meme stock activity and persistent interest rate hikes to battle global inflation,” says Allen.
Despite this, a positive performance for the industry was seen across the regions with securities lending revenue for the Americas up 27 per cent YoY for H1 2023 to US$3.39 billion.
EMEA recorded a 14 per cent YoY rise in securities lending revenues to US$1.33 billion over the same period, with Asia Pacific recording a 5 per cent YoY jump in revenues to US$1.02 billion.
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