This post was originally published on The FinTech Times
To enable its users based in the UK and Europe to earn passive income by lending out their stocks, trading and investing platform eToro is working with BNY, the global investment management firm, to launch a new stock lending programme.
In addition to working with BNY, eToro will also be partnering with EquiLend, the stock lending platform, which will identify borrowers and facilitate the stock lending process. The feature will be rolled out gradually to members of the eToro Club, starting with Platinum, Platinum+ and Diamond Club members, followed at a later date by lower-tier Club members.
Eligible eToro users will be given the option to opt into the programme, at which point their entire portfolio of stock positions will be considered for lending. Once opted in, they will begin receiving monthly statements if their stock is successfully lent to keep track of the income they earned in the specific period.
“Stock lending has traditionally been the preserve of large financial institutions and it’s been much harder for retail investors to earn passive income in this way. Yet it is an important practice that helps to support liquidity in financial markets. Leveraging BNY’s Global Clearing services, we want to level the playing field
— Read the rest of this post, which was originally published on The FinTech Times.
