ETF Stream: SSGA expands seclending rollout

State Street Global Advisors (SSGA) has expanded its securities lending program across 67 more ETFs as it looks to boost investor income. In a notice to shareholders, SSGA said two more of its ETF ranges would be enrolled in the program from 25 October.

The firm already had 22 ETFs enrolled in securities lending, taking the total number of ETFs eligible to participate in the practice to 89. An SSGA spokesperson was cited in ETF Stream saying: “SSGA believes that a well-managed securities lending program is a valuable portfolio management tool, which provides an additional source of income for fund shareholders.

“As market perceptions of securities lending programs and appropriate risk controls have evolved since the global financial crisis, SPDR believes that the vast majority of our clients are now comfortable with securities lending and would appreciate the additional revenues associated with a well-managed program.”

The asset management giant did not disclose how much of the ETF’s assets would be subject to securities lending or how much of the revenue would be received back into the ETFs.

The enrolled ETFs include 29 fixed income ETFs and 38 equity ETFs including the $3.9 billion SPDR S&P U.S. Dividend Aristocrats UCITS ETF (SPYD) and the $2.9 billion SPDR MSCI World UCITS ETF (SPPW). State Street’s Securities Finance Agency Lending will act as the lending agent for the programme.

Read the full article

Related Posts

Previous Post
Guaranteed Repo substantially mitigates the punitive RWA impact of the new Basel III Endgame rule on repo transactions
Next Post
Philippine bourse finalizes short selling guidelines

Fill out this field
Fill out this field
Please enter a valid email address.


Reset password

Create an account