Securities Lending in the German Market

Securities lending in the German market has been developing slowly due to various market and regulatory constraints. Significant market changes in 1990 and 1991 have altered the securities lending landscape in Germany, making it an acceptable transaction form as in more progressive markets. In this chapter, the authors trace the development of securities lending in Germany prior to the ‘breakthrough’ years, analyse the current situation and discuss the adjustments necessary to make securities lending a fully developed financial vehicle in the German market in the future.