Archive · 26 Oct 2025
Experts Call for Transparency to Boost Securities Lending and Borrowing
Imagine you own some stocks and want to lend them out for a fee.
That's what SLB is.
Right now, not many people do this because it's a bit complicated.
Experts say it needs to be easier to understand how much money brokers make and the rules for borrowing stocks.
This would encourage more people to participate, like big investors and even regular people.
More transparency about costs and simplified rules would make it easier to borrow and lend stocks, leading to a healthier stock market where people can make money in different ways.
Experts say transparency in profit/loss metrics and lower margin costs are needed for SLB growth.
Currently, most short selling happens through stock futures due to higher liquidity.
Regulations regarding collateral and long-term holding of borrowed securities are unclear.
Retail participation in SLB is low due to a lack of platform access and profit/loss data.
The SLB framework, introduced in 2007, was last updated in 2012.
- Who
- Industry experts, NSE, SEBI officials
- What
- Discussion on boosting the Securities Lending and Borrowing (SLB) segment through transparency and simplified regulations.
- When
- Early-stage discussions are underway at a regulatory level.
- Where
- India
- Why
- To increase participation, improve market structure, and empower investors.
- SLB Trades (Past Month)
- 71,959
- Traded Quantity (Past Month)
- 114.9 million
- SLB Framework Introduction
- 2007
- SLB Framework Update
- 2012