Securities lending & Borrowing Scheme

The Securities Lending and Borrowing (SLB) segment in India offers a structured platform for lending and borrowing securities.

Key Features of SLB are as under:

• Screen-based order matching platforms with price-time priority.
• Clearing Corporations (NCL and ICCL) act as counterparties, ensuring settlement guarantee.
• Eligible Participants in SLB segment are Trading/Clearing Members, Banks and Custodians.
• Early Recall and Repay Facilities are available.
• Lenders retain ownership rights and benefits of corporate actions.
• FPIs can borrow equity shares for short sale delivery.
• Naked short selling is not permitted. The investors are required to mandatorily honour their obligations of delivering the securities at the time of settlement.