Lending of shares by long term holders, such as institutions, when shares are in short supply. Often an investment house will not actually take delivery of the stock but will use it as an underlying instrument in a derivatives strategy.
Borrowing securities to deliver when a dealer or investor has sold 'short'. The lender receives payment until the dealer 'covers' its short by purchasing the security and delivering it to the lender. Also, the activity of arranging such loans between third parties.
A process by which stock is released to a third party for a fixed or an open period, in return for collateral and a fee for doing so. Normally a short-term transaction.
A loan of a security from a legal holder to a borrower. The borrower uses the stock as their own, but remains liable to the loaner for all benefits the stock may produce such as dividends, etc. Stock lending began as a way to cover short sales, but has evolved by being incorporated into many hedge fund trading strategies.
An agreement to ‘lend' securities. Title of ownership is transferred to the counterparty and the borrower of the stock pays a fee to the lender. Voting rights transfer to the borrower but any income is usually repaid to the lender.