DataLend: October 2024 Securities Lending Revenue Up 9% YoY to $818 Million
NEW YORK (November 5, 2024)—The global securities finance industry generated $818 million in revenue for lenders in October 2024, according to DataLend, the market data service of fintech Equilend. The figure represents a 9% increase from the $751 million generated in October 2023.
Global broker-to-broker activity, where broker-dealers lend and borrow securities from each other, totaled an additional $202 million in revenue in October, down 7% year-over-year.
Equity revenue increased globally by a margin of 3% due to a 6% increase in global balances relative to 2023. Despite a lack of deal names or standout “Specials,” revenue in the U.S. rose 7%, with the healthcare and industrial sectors being the biggest contributors. Equity revenue in EMEA ticked up by 2% as a 13% increase in balances offset a 9% decline in fees year-over-year. In Asia-Pacific, equity revenue was roughly flat.
As the market has adjusted for the introduction of the rate-cutting cycle in the U.S., government debt was the standout asset class in October. Global revenue generated by government bonds increased 39% year-over-year largely due to a 22% increase in balances. With the U.S. presidential election looming, lending revenue for U.S.-issued sovereign debt was up a massive 59% as both fees and balances climbed relative to 2023.
Corporate debt lending saw moderate annual gains, with revenue increasing 2% globally. Fees for corporate bonds fell 20% year-over-year, but revenue increased due to a 24% jump in balances.
The top five earning securities in October were the United States Treasury bond 4.125% 15/08/44 (US912810UD80), Tempus AI Inc. (TEM US), Cassava Sciences Inc. (SAVA US), iShares iBoxx $ Inv Grade Corporate Bond ETF (LQD US) and Spirit Airlines Inc. (SAVE US). The five securities in total generated $54 million in revenue for the month.
Bloomberg Terminal users can subscribe to Equilend’s exclusive Orbisa securities lending data by entering terminal shortcut APPS ORBISA
About DataLend
DataLend, the market data service within Equilend’s Data & Analytics Solutions group, tracks daily market movements across more than 200,000 securities, covering $35 trillion in lendable assets and $2.6 trillion in on-loan assets for the securities finance market. www.datalend.com
About Equilend
Equilend is a global financial technology firm offering Trading, Post-Trade, Data & Analytics, RegTech and Platform Solutions for the securities finance industry. Equilend has offices in North America, EMEA and Asia-Pacific and is regulated in jurisdictions around the globe. The company is Great Place to Work Certified™ in the U.S., UK, Ireland and India and has been honored as European and Americas Data Provider of the Year and Regulatory Solution of the Year in the Securities Finance Times Industry Excellence Awards 2024. www.equilend.com
Christopher Gohlke
Director
Marketing & Communications, Equilend
+1 (332) 228-1317
christopher.gohlke@equilend.com
