This blog post also appears on TabbFORUM. Facebook’s problems on its first day of trading had many brokers concerned about their ability to borrow shares on Wednesday to settle short sales. Therefore, on Tuesday, as some institutional investors received shares early in the allocation process, brokers borrowed 26 million Facebook shares at a costly 40% [...]
Showing all posts by Andrew Shinn
THE LATEST IN SECURITIES LENDING: JULY 13, 2011
Short interest in the U.S. has been making a comeback over the past few months and securities lending activity has been doing the same. U.S. equity securities lending volume rose from $350 billion in April to $400 billion as of July 11, 2011. Average borrowing cost for U.S. equities has also increased, from 50 basis [...]
THE LATEST IN SECURITIES LENDING: JUNE 1, 2011
Author: Andrew Shinn, director of research, Astec Analytics, SunGard It’s been an interesting and exciting few weeks in the securities lending market. Here are some of the top stories. LinkedIn IPO Securities lending was in the news with LinkedIn (LNKD) as short sellers couldn’t wait to short the stock. LinkedIn’s share price doubled on its first [...]
