DataLend: 20% Year-Over-Year Increase in Securities Lending Revenue in April 2021
May 3, 2021
The global securities finance industry generated $690 million in revenue for lenders in April 2021, according to DataLend, the market data division of fintech EquiLend.
The figure represents a 9% increase from the $632 million generated for lenders in March 2021 and a 20% increase year over year from the $574 million generated in April 2020.
Global broker-to-broker activity, where broker-dealers lend and borrow securities from each other, totaled an additional $198 million in revenue in April, a 9% increase from 2020.
According to DataLend, European equity revenue was suppressed in 2020 following the short-selling bans in the region. As a result, European equity revenue was up 23% year over year. In April 2021, global equities saw an increase of $85 million in revenue generated, or 19% year over year.
In the fixed income market, global revenue generated from government debt increased 25, while corporate debt increased 28% over 2020.
The top five earners in April 2021 were Blink Charging (BLNK), Volvo AB Class B (VOLVB SS), Social Cap Hedosophia Holdings (IPOE), Futu Holdings (FUTU) and iShares iBoxx $ High Yield Corporate Bond ETF (HYG). The five securities in total generated over $38 million in revenue in the month.
DataLend is the securities finance market data division of EquiLend. DataLend tracks daily market movements and provides analytics across more than 58,000 unique securities in the $2.8 trillion securities finance market. www.datalend.com
EquiLend is a global financial technology firm offering trading, post-trade, market data, regulatory and clearing services for the securities lending, collateral and swaps industries. www.equilend.com