Meanings of lend securities in English

Mutual funds often lend securities to hedge funds to generate extra income, for example.

Custody banks keep records, track performance and lend securities to institutional investors including mutual funds, pension funds and hedge funds.

The International Securities Lending Association, a group including pension funds who lend securities to short sellers, warned it would push up costs for investors.

And under more new European rules, funds that lend securities or cash via repurchase agreements will have to report details of those trades from 2017.

Asset managers have also moved into "shadow-banking" or market financing activities like lending securities or offering loans to companies as traditional banks retreat.