Macquarie Stock Lending is a simple way to earn additional income from your share portfolio. It allows you to temporarily transfer your shares to Macquarie while retaining the key benefits of share ownership.
You'll receive additional income (currently 0.20% p.a. of the market value of any securities transferred to Macquarie) from Macquarie, and you'll still receive dividends and franking credits on the securities.
| Minimum stock portfolio | $50,000 |
| Securities | Generally ASX Top 50 Companies (excluding Macquarie Group Limited (MQG) shares, those held at the Australian Clearing House to secure Covered Call option positions and on WRAP/Master Trust platforms)* |
| Eligible products | Available to existing clients who have a Macquarie Margin Loan or a Macquarie Geared Equities Investment plus (GEI plus) |
| Maximum stock lending term | 364 days |
| Stock lending income payable to the investor | 0.20% p.a.** |
You'll receive additional income (currently 0.20% p.a. of the market value of any securities transferred to Macquarie) from Macquarie. This may enhance the return on your portfolio while it is being used as security for your Macquarie Margin Loan or Macquarie GEI plus.
You can continue to trade your shares and will receive all entitlements to future growth in their value, dividend income and franking credits. Should you want your shares back, Macquarie will return them to you within 3 business days.
Macquarie Stock Lending may suit sophisticated investors who hold more than $500,000 of securities on capital account and are seeking additional income.
It may also suit investors who have a long-term investment horizon and are looking to diversify their source of income, without compromising any potential capital growth.
Macquarie Stock Lending won't suit you if you're a frequent trader who needs regular access to your portfolio.
To learn exactly how Macquarie Stock Lending works, including the tax implications, please talk to your financial adviser or:
We recommend you obtain professional financial, legal and taxation advice before making any investment decision.
* MBL shares do not constitute eligible securities since the Bank is precluded from borrowing its own stock under the Corporations Act.
** The rate of income is calculated and accrued daily and paid quarterly. The rate of income may vary from time to time. This rate of income is paid while stock is on loan.
The Macquarie Margin Loan and Macquarie Stock Lending are offered by Macquarie Bank Limited ABN 46 008 583 542, AFSL No. 237502 ("Macquarie"). Full terms and conditions are set out in the relevant loan contracts. Fees, charges and government taxes are payable.