Passive Income Plan
Earn extra income from the securities you already own
We find reputable borrowers and deposit the revenue straight into your account monthly
You still receive substitute dividends. You can sell your securities anytime on the same original conditions
While your securities are on loan, we hold collateral equivalent to 105% of the value of your loaned securities as guarantee
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.
The Passive Income Plan 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%.
| Swissquote | Saxo | Interactive Brokers | |
|---|---|---|---|
| Who do we lend to? | Top tier financial institutions | Undisclosed | Undisclosed |
| What % collateral is provided? | 105% of share’s value | 102% of share’s value | 100% of share’s value |
| Is collateral managed separately by a tri-party agent? | ✓ | ✓ | ☓ |
| Ability to opt-out individual securities without moving to a segregated account? | ✓ | ☓ | ☓ |
| Which securities are eligible for lending? | Stocks, bonds and ETFs | Stocks and ETFs | Stocks and ETFs |
| No minimum funding requirement? | ✓ | ✓ | ☓ |
| Is revenue potential uncapped? | ✓ | ✓ | ✓ |
| Is it a Swiss licensed bank? | ✓ | ✓ | ☓ |
Based on publicly available data
Select 'Earn' > 'Passive Income Plan' in the left navigation bar.
Your Passive Income Plan will be activated immediately after accepting the agreement.
(Electronically or manually) to keep the service active beyond the 2-month trial period.
Performance and Opportunities
Access the latest quarterly results for the Passive Income Plan and discover how you can seize new growth opportunities with your assets.*
*The results presented do not guarantee future performance
Find out which stocks delivered the highest lending rates and how you can put your investments to work without changing your strategy.
Toggle the Passive Income Plan 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.
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).