Structure of the Work

Following the definition of terms in chapter one, a presentation of the reasons that necessitated the emergence of this new market segment will be provided. Notably, the internationalization of the securities business and the significantly expanded derivatives trading are to be mentioned as key enablers. Subsequently, the economic applications will be discussed from the perspective of both the lender and the borrower. For the lender, utilizing securities lending, while adhering to the necessary due diligence, represents a largely risk-free opportunity to enhance portfolio returns. In most cases, the borrower will sell the received securities, whether to fulfill obligations to counterparties or for other reasons. Chapter four will examine the model structure of securities lending from a legal standpoint. The design of contractual relationships will be addressed there.