Stock Lending – Earn additional income from your portfolio

Activate stock lending and sit back while you watch your returns grow. It’s a flexible and simple way to earn more from your stocks and ETFs

Earn additional income

Opting in to the stock lending service will allow Saxo to borrow the stocks & ETFs in your portfolio and you will earn income from this loan.

Continue receiving dividends & distributions

Even when your stocks & ETFs are lent out you will continue receiving any dividends and distributions and will retain all economic benefit over your holdings.

Retain full control of your portfolio

You retain full control of your stock & ETF portfolio, you can sell your holdings at any point and we will automatically manage the process for you.

Tooltip   The actual lending of stocks/ETFs depends on market demand. No lending or revenues are guaranteed by activating the service.

How much can you earn?

Stock lending can provide you with passive income throughout the loan period. The interest rate you receive will depend on which stocks are lent out and can change over time.

Stocks that are in high demand and are hard to borrow in the marketplace will naturally receive a higher fee when they are lent out.

Here, you can see examples of the interest rates our clients have been earning when lending out top in-demand stocks.

Top in-demand stocksStock Lending Interest rate
united-states   Beyond Meat Inc.12.68%
Switzerland   Amundi Global Agg SRI UCITS DR EUR H ETF4.25%
Netherlands   Avantium20.18%
Netherlands   FastNed13.17%
German   Biocartis Group NV11.90%

The listed returns are annualised rates paid to clients during the month of October 2024. The rates can not be used as a reliable indicator for future returns.

What is Stock Lending?

Stock Lending is a service through which you make your stocks and ETFs available for lending to other market participants. Sometimes, the market is hungry for certain stocks and if you own these, you can earn extra revenue by lending them out. The best part: you can continue to view any stocks and ETFs which you have lent out in your portfolio, you’ll receive payments equivalent to applicable dividends, and you can sell these stocks and ETFs whenever you like.

How does it work?

Let’s say you own shares in Polestar Automotive Holding UK PLC (PSNY) – and that stock is currently in high demand, whereby market participants are paying interest 4.6% per year to borrow such shares.* If you’ve activated your account for Stock Lending, we can arrange to loan your shares out to these interested market participants, and then you can earn extra revenue of 4.6% per year on this loan.

Any extra revenue generated from Stock Lending is deposited into your account at the end of each month, all visible on the Stock Lending dashboard in the platform. From the dashboard, you can see the stocks currently on loan, interest rate received, lending history and etc. 

Although no lending or revenues are guaranteed by activating the service (since the actual lending of shares depends on market demand), we take care of the lending process for you, making it a true win-win.

*All securities and figures mentioned are hypothetical illustrations only.

More about Stock Lending

There are several reasons third parties may borrow stocks. For instance, they may want to hedge their existing positions, to short markets in which they don't own any shares, or to borrow assets to meet a demanding delivery deadline.
No, you can’t choose to only make certain stocks/ETFs available for lending. When you activate Stock Lending, all eligible stocks/ETFs in your account become available for lending.
Yes, you receive payments equivalent to applicable dividends or distribution on stocks while they are lent out. You should consult a tax advisor regarding any potential tax implications of such payments.
Yes. For any stocks that Saxo lends out for you, Saxo will provide you with collateral in accordance with the applicable regulations.

For example, Saxo will provide you with collateral worth at least 100% of the market value of the loaned stocks (which are marked to market every business day). Such collateral is segregated from Saxo’s own money/assets and is therefore excluded from the money and assets of Saxo available to Saxo’s creditors (in the unlikely event of Saxo’s insolvency).
While your stocks are lent out, you do not retain rights to vote or attend shareholders meetings (as applicable).

You can choose to activate Stock Lending when you sign up for an account with Saxo. If you are already a client, you can activate or deactivate Stock Lending in your Portfolio overview.

For more information, please refer to the Stock Lending Terms or visit our support centre.

220,000+

Daily trades

1,200,000+

Clients

115+ bn

USD client assets

15+ bn

USD daily trade volume

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