July 2, 2024
DataLend: Securities Lending Revenue Down 16% Year-Over-Year to $2.53 Billion in Q2 2024
The global securities finance industry generated $2.53 billion in revenue for lenders in the second quarter of 2024, according to DataLend, the market data service of fintech Equilend.
Global revenue declines year-over-year due to lagging equities performance in the U.S. and EMEA
July 2, 2024
NEW YORK (July 2, 2024)—The global securities finance industry generated $2.53 billion in revenue for lenders in the second quarter of 2024, according to DataLend, the market data service of fintech Equilend. The figure represents a 16% decrease from the $3.00 billion generated in Q2 2023.
Global broker-to-broker activity, where broker-dealers lend and borrow securities from each other, generated an additional $696 million in revenue during Q2, a 9% decrease year-over-year.
Regionally, equity revenue fell 33% in EMEA and 19% in North America compared to the same period last year. A 22% decline in fees in North America and a 23% dip in EMEA accounted for the majority of the decreased revenue. Equity revenue in APAC increased 8% thanks to a 13% increase in fees.
Global fixed income performance declined by 11% in Q2 year-over-year. While revenue from government securities was roughly flat, corporate debt revenue fell by 32%, a regression of a trend which saw corporate bonds running hot through much of 2022 and 2023.
In June 2024, the global securities finance industry generated $790 million in revenue for lenders. The figure represents a 11% decrease year-over-year from the $888 million generated in June 2023. Broker-to-broker activity totaled an additional $207 million in revenue in June, also an 11% decrease year-over-year.
The top five earners in June 2024 were Lucid Group (LCID US), Trump Media & Technology Group (DJT US), Canopy Growth Corporation NPV (CGC US & WEED CN), Beyond Meat Inc. (BYND US) and ImmunityBio Inc. (IBRX US). In total, the group generated $56 million in revenue in the month.
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Equilend Data & Analytics
Equilend Data & Analytics tracks real-time securities finance market movements across more than 210,000 securities, covering $40 trillion in lendable assets and $2.7 trillion in on-loan assets.
