Securities Lending

In a typical securities lending transaction, a client lends securities from its portfolio and receives either cash or non-cash collateral from the borrower. BMO, as securities lending agent, will reinvest cash collateral in securities that qualify as acceptable investments or accept non-cash collateral (when applicable), both in accordance with the client’s investment guidelines.

The client maintains all economic benefits of ownership while the securities are on loan. Loans are subject to termination at the option of the lending client or the borrower.

Experience matters

With an average of more than 20 years of experience, our team understands the market and what it takes to meet the unique needs of our clients.

Flexibility in customization

We provide our clients with the flexibility, customization, risk management and counter-party indemnification backed by the strength of BMO Financial Group to create a program designed to meet each client’s objectives.

Risk management

Securities lending programs are customized for each client to align with their specific risk tolerance and investment objectives.

Chris Kunkle
Managing Director, Securities Lending
John Weasler
Vice President, Securities Lending
Daniel Hoover
Director of Sales, Securities Lending
Mary Ann Goebel
Senior Manager of Operations, Securities Lending
L.J. Jhangiani
Director, Head of Securities Lending Trading

Behind the curtain: Securities lending in mutual funds

Many mutual funds provide investors the potential for added return by loaning the underlying stocks, bonds and other securities in the fund. The added revenue from these activities can make a difference in a fund’s return, but the concept of securities lending is often misunderstood. Chris Kunkle, Head of Securities Lending at BMO Global Asset Management, joins the podcast to explain securities lending, how it benefits investors and what advisors should know.

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BMO recognized by Euromoney's Global Investor / ISF Magazine

In the annual International Securities Finance Survey, BMO Global Asset Management ranked #1 in the Americas under Group 2 agent lenders as rated by the largest borrowers in the country. Globally, BMO ranked 5th overall.

For more information about the awards, click here.

The International Securities Finance survey 2019 monitors how the world’s top securities lenders and borrowers rate each other across different asset classes, regions and functions. The main body of the study covers equities lending and borrowing, breaking the constituent companies down into two groups, with G1 comprising the 15 largest players and G2 representing mid-tier financing firms.

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To learn more about BMO Global Asset Management’s securities lending services, contact Daniel R. Hoover: