JP Morgan taps Sharegain for digital securities lending solution
US banking giant JP Morgan has tapped fintech start-up Sharegain for its SLTech solution as the firm looks to enhance its securities agency lending offering.
Sharegain’s digital securities lending solution will bolster JP Morgan’s existing client offering for wealth managers and online broker participants across 30 markets.
The fintech’s end-to-end digital solution allows investors to generate revenue through loaning out their financial assets – including stocks, bonds and exchange traded funds (ETFs) – in return for a payment known as ‘lending revenue’.
JP Morgan’s global head of product management and agency securities finance division, Harpreet Bains, says the partnership will allow the firm to meet the “growing needs” of the aggregator segment, adding Sharegain’s tech “addresses the complexities requiring consideration when aggregators expand their offering to include securities lending”.
This segment is “increasingly searching for scalable solutions” that offer securities lending without the hassle of implanting “complex technology”, Bains adds.
Sharegain CEO and founder Boaz Yaari says the “strategic alliance” between JP Morgan and the B2B securities lending fintech will help drive inclusion in capital markets.