DataLend: Securities Lending Revenue Up 9% YoY to $923 Million in May 2022

NEW YORK (JUNE 2, 2022)—The global securities finance industry generated $923 million in revenue for lenders in May 2022, according to DataLend, the market data service of fintech EquiLend. The figure represents a 9% increase year over year from the $845 million generated in May 2021.

Global broker-to-broker activity, where broker-dealers lend and borrow securities from each other, totaled an additional $243 million in revenue in May, a 6% decrease from 2021.

According to DataLend, the increase in lender-to-broker revenue over 2021 was driven primarily by EMEA equities, where on-loan values increased by 13% and average fees increased by 7%, resulting in a 28% increase in revenue generated.

In the APAC region, equities saw a slight increase in revenue of 3%. The Americas was the only region that saw a decrease, with revenue dropping by 3% year over year.

Fixed income markets experienced mixed results, with lending revenue from corporate debt up 85% due to a 67% increase in average fees over 2021. Government debt lending revenue observed a slight decrease of 1% due to a 9% decrease in on-loan value.

Compared to April 2022, the $923 million in revenue generated for lenders represents an 11% increase from the $828 million generated for lenders last month.

The top five earners in May 2022 were AXA SA (CS FP), Lucid Group (LCID), Mercedes-Benz Group AG (DAI GR), BNP Paribas (BNP FP) and Sanofi (SAN FP). The five securities in total generated over $68 million in revenue in the month.