Curious if anyone on the forum has any experience with securities lending. Fidelity has an interesting program if you have 250k with them. https://fidelityinstitutional.fidelity.com/app/literature/view?itemCode=948750&renditionType=pdf. Seems like a good idea if you're comfortable with their counter-party risk management strategy.
I understand this may be a little exotic for most. But your index funds do it to keep expense ratios down.
One thing I don't know is how much you can expect to get paid to lend out boring index funds. You can get way more if your portfolio is filled with risky stocks with high short interests, but what is borrowing the total market worth to a short seller?
I understand this may be a little exotic for most. But your index funds do it to keep expense ratios down.
One thing I don't know is how much you can expect to get paid to lend out boring index funds. You can get way more if your portfolio is filled with risky stocks with high short interests, but what is borrowing the total market worth to a short seller?
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