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Securities Lending Program with CDP

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Old 13-02-2018, 09:19 PM   #1
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Securities Lending Program with CDP

I've read some old threads in HWZ, but just want to ask some questions:

1) What are the risks associated with participating in the securities lending program with CDP?

2) Has anyone here who had succeeded in lending? How long did it take for your shares to be loan out?
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Old 13-02-2018, 11:31 PM   #2
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I participated for more than a year but never had anything loan out.
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Old 14-02-2018, 06:10 AM   #3
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I participated for more than a year but never had anything loan out.
That kind of sucks. What shares did you put out to loan?
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Old 14-02-2018, 07:53 AM   #4
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Same never loaned out also. Iirc must be 40000 shares or more, or have a certain value before it gets loaned out
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Old 14-02-2018, 08:06 AM   #5
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Same never loaned out also. Iirc must be 40000 shares or more, or have a certain value before it gets loaned out
Minimum 50000 shares or 50k in value.
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Old 14-02-2018, 08:11 AM   #6
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That kind of sucks. What shares did you put out to loan?
Placed an instruction to let all eligible equities (more than 50000 in units or 50000 in value) to participate. In my case, around 7 to 8 counters (banks and Reits) met the criteria. I did ask the same questions in earlier threads but I recall got zero responses.
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Old 14-02-2018, 08:19 AM   #7
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Placed an instruction to let all eligible equities (more than 50000 in units or 50000 in value) to participate. In my case, around 7 to 8 counters (banks and Reits) met the criteria. I did ask the same questions in earlier threads but I recall got zero responses.
Was wondering as well.

Maybe the demand to borrow equities is very low. Interest rates charged to borrow is 6%.
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Old 15-02-2018, 07:07 AM   #8
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Was wondering as well.

Maybe the demand to borrow equities is very low. Interest rates charged to borrow is 6%.
It's actually not about interest rate I think. I short very often and borrow from brokerage firms/banks instead of CDP.

If you take a look, for common counters like STI constituents and reits, there are so many shares available out there for lending. Chances will be higher if you lend out the not-so-commonly-trade counters I guess.
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