DataLend: Global securities lending revenue up 2% YoY for Q1 2025
04 April 2025 Global
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Global securities finance revenue for lenders increased by 2 per cent year-on-year (YoY) for Q1 2025, generating US$2.29 billion, says DataLend.
Activity was supported by continued strength in APAC equities and steady demand for US Treasuries amid a backdrop of heightened market volatility and investor repositioning, according to the market data service of EquiLend.
Global broker-to-broker activity — where broker-dealers lend and borrow securities from each other — was up 6 per cent YoY for the first quarter, totalling an additional US$633 million in revenue.
Regionally, equity revenue fell by 13 per cent in North America and 3 per cent in EMEA, compared to the same period last year.
A decline in average fees was the primary driver across both regions, says DataLend, with a 19 per cent and 23 per cent dip, respectively, eliminating gains in average balances.
APAC equity revenue improved by 29 per cent YoY, as a 20 per cent rise in fees and a 9 per cent growth in balances resulted in US$569 million in revenue.
Japanese Bitcoin holding company Metaplanet was among the top 10 earners globally as prices in the asset fell from US$95,000 at the start of the year to US$85,000 at the end of March.
Global fixed income lending revenue rose 10 per cent YoY in the first quarter of 2025.
DataLend notes that the improvement was driven by an 11 per cent increase in government debt lending performance, with US Treasury lending revenue climbing 11 per cent on the back of larger balances.
Fees and utilisation remained relatively flat, adds the firm, as new supply in the marketplace was absorbed by borrowers.
In March 2025, the global securities finance industry generated US$854 million in revenue for lenders – down 3 per cent YoY.
The decline was primarily driven by lower fees for American, Swedish, and Swiss equities, offsetting a 6 per cent gain in corporate bond lending revenue, according to DataLend.
On the other hand, global broker-to-broker activity was up 3 per cent YoY for the month, totalling an additional US$234 million in revenue.
The top five earners in March were Endeavor Group Holdings Class A, Plug Power, Svenska Handelsbanken, iShares iBoxx High Yield Corporate Bond ETF, and Alibaba Health Information Tech.
The five securities in total generated US$44 million in revenue for lenders in the month.
Activity was supported by continued strength in APAC equities and steady demand for US Treasuries amid a backdrop of heightened market volatility and investor repositioning, according to the market data service of EquiLend.
Global broker-to-broker activity — where broker-dealers lend and borrow securities from each other — was up 6 per cent YoY for the first quarter, totalling an additional US$633 million in revenue.
Regionally, equity revenue fell by 13 per cent in North America and 3 per cent in EMEA, compared to the same period last year.
A decline in average fees was the primary driver across both regions, says DataLend, with a 19 per cent and 23 per cent dip, respectively, eliminating gains in average balances.
APAC equity revenue improved by 29 per cent YoY, as a 20 per cent rise in fees and a 9 per cent growth in balances resulted in US$569 million in revenue.
Japanese Bitcoin holding company Metaplanet was among the top 10 earners globally as prices in the asset fell from US$95,000 at the start of the year to US$85,000 at the end of March.
Global fixed income lending revenue rose 10 per cent YoY in the first quarter of 2025.
DataLend notes that the improvement was driven by an 11 per cent increase in government debt lending performance, with US Treasury lending revenue climbing 11 per cent on the back of larger balances.
Fees and utilisation remained relatively flat, adds the firm, as new supply in the marketplace was absorbed by borrowers.
In March 2025, the global securities finance industry generated US$854 million in revenue for lenders – down 3 per cent YoY.
The decline was primarily driven by lower fees for American, Swedish, and Swiss equities, offsetting a 6 per cent gain in corporate bond lending revenue, according to DataLend.
On the other hand, global broker-to-broker activity was up 3 per cent YoY for the month, totalling an additional US$234 million in revenue.
The top five earners in March were Endeavor Group Holdings Class A, Plug Power, Svenska Handelsbanken, iShares iBoxx High Yield Corporate Bond ETF, and Alibaba Health Information Tech.
The five securities in total generated US$44 million in revenue for lenders in the month.
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