Securities Lending

Earn extra income from the securities you already own

Securities lending mobile interface
Securities lending overview

What is Securities Lending?

This service provides you with an additional way to generate revenue from your existing portfolio. Through it, Swissquote lends your securities to reputable third‑party institutions, who pay a fee during the lending period.

How much can you earn?

Securities lending is demand‑driven: the chances to match with borrowers and potential earnings vary greatly depending on the borrower and the market demand for any given security.

The net return rate for loaned securities can be up to 2% yearly with monthly pay‑outs. For some securities the return can even exceed 5%.

How to get started?

eTrading securities lending interface
1

Go to the Securities Lending section of your Swissquote app web platform

2

Follow the instructions to sign the contract electronically or manually.

3

The service will be activated for your account within a few business days

How does it work?

Toggle Securities Lending on or off at your discretion. When enabled, Swissquote oversees transactions on your behalf, ensuring institutions provide a collateral worth at least 105% of the borrowed assets’ value, safeguarding your interests. Enjoy your earnings deposited directly into your account, with clear documentation in your monthly statements.

Infographic to illustrate securities lending procedures

We are committed to protecting your assets

At Swissquote we understand the importance of protecting the assets you have worked hard to build and grow. It is critical, and you can trust Swissquote's top priority is safeguarding your assets.

The borrowers Swissquote has selected to work with are all systemic tier 1 banks (often considered "too big to fail"). Before we lend any holdings, we ensure we have obtained your prior and explicit consent. We would then require collateral of at least 105% of the lent assets' value to be deposited with our collateral agent by the borrowing banks. These assets are held in a segregated account with The Bank of New York Mellon (rated as Aa1 by Moody and AA+ by Fitch both deemed high grade).

The collateral is marked‑to‑market daily. This means that, in the unlikely event that a borrower defaults or declares bankruptcy, your assets will be protected by the collateral placed by the borrower at The Bank of New York Mellon (these collateral are assets held independently from Swissquote and the borrower).

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Be aware of the risk

Trading foreign exchange, spot precious metals and any other product on the Forex platform involves significant risk of loss and may not be suitable for all investors. Prior to opening an account with Swissquote, consider your level of experience, investment objectives, assets, income and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not speculate, invest or hedge with capital you cannot afford to lose, that is borrowed or urgently needed or necessary for personal or family subsistence. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts. The content of this website represents advertising material and has not been submitted to nor approved by any supervisory authority.