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Data Methodologies

This ISLA Securities Lending Market Report has been By adopting this approach, we have been able
compiled using a range of data contributors together to develop and publish the ISLA Global Securities
with specific information provided directly by our Lending Aggregate. This aggregate, that will be used
members through surveys and questionnaires. to develop consistent trend indicators over time, has
been compiled by combining information from each
We would like at this point to thank all of the various of the commercial data providers. The aggregate was
contributors for their efforts in assisting ISLA in the compiled to provide the most representative global
production of this report. estimation of the size and scope of the securities
lending markets. In compiling the aggregate, we took
Loan information that includes details of securities the largest securities lending on-loan balance pro-
on-loan across different asset and client types has vided by the three commercial data providers as a
been provided by three institutions that provide com- starting point for the calculation. This global on-loan
mercial data and benchmarking services for the secu- balance was then adjusted to reflect incremental
rities financing industry. DataLend, IHS Markit and FIS data from the other commercial data providers where
Global all collect data from industry participants on a their reported on-loan balances across different asset
high frequency basis and provide a range of securities classes or regions created a more representative over-
lending benchmarking analytics that allow firms and all global number.
their clients to better understand and assess the rel-
ative performance of any given lending programme. All regional and geographic analysis reflects the loca-
tion of the issuer of the securities (as opposed to the
Whilst each of these data providers covers broadly location of the lender or borrower) as this is the basis
the same market we have chosen to use data from on which the providers collect and analyse their data.
each to reflect the fact that each has a slightly dif-
ferent business model and client mix and therefore Data from the principal tri-party service providers
provide different perspectives across certain asset active in Europe today is also incorporated within the
classes or regions. report as part of our analysis of collateral.

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