Are client assets subject to lending, rehypothecation or re-use?
Answered for 3 of 6 firms. Client agreement clause on stock lending or re-use
Within all Accounts (other than the PMS SIPP) you remain the beneficial owner of the investments (and cash) and agree you will not try to sell, mortgage, use as security for a loan or otherwise deal in or part with beneficial ownership of the investments and cash held in the Account, other than where you give, and we accept, instructions in accordance with these Terms.
The client agreement states that within all Accounts other than the PMS SIPP, the client remains the beneficial owner of investments and cash and agrees not to sell, mortgage, use as security for a loan or otherwise deal in or part with beneficial ownership of those assets, other than under agreed instructions.
Binding document · Hargreaves Lansdown Asset Management Limited · Check the source
Investments will not be lent to a third party and we will not borrow money against your investments.
The agreement states that investments will not be lent to a third party and the firm will not borrow money against the client's investments.
Binding document · Hargreaves Lansdown Asset Management Limited · Check the source
MONZO BANK LIMITED
VerifiedNeither we nor our Investment Services Partner will lend your investments to anyone else or use them to raise finance.
The client agreement states that neither Monzo nor its Investment Services Partner will lend the customer's investments to anyone else or use them to raise finance.
Binding document · Monzo Bank Limited · Check the source
TRADING 212 UK LIMITED
VerifiedA third party holding your Investments may have a security interest, lien or right of set-off over your Investments which are not settled as per Clause 8.
The client agreement states that a third party holding investments may have a security interest, lien or right of set-off over unsettled investments.
Binding document · Trading 212 UK Limited · Check the source
While your shares are lent, you will no longer have legal ownership of them until they are redelivered. Therefore, you will no longer be able to exercise some of the attached shareholder rights, including any voting rights, on the lent shares.
The client agreement states that while shares are lent, the client no longer has legal ownership of them until they are redelivered, and loses certain shareholder rights including voting rights on the lent shares.
Binding document · Trading 212 UK Limited · Check the source
We offer a Share Lending Programme, where you allow us to borrow shares that you hold in your Invest Account in accordance with the terms of this Clause 26 and in compliance with the FCA Rules.
The client agreement states that Trading 212 offers a Share Lending Programme where clients allow the firm to borrow shares held in their Invest Account.
Binding document · Trading 212 UK Limited · Check the source
Share Lending means the process whereby those holding shares lend them to other parties and maintain a right to reacquire the shares, as described in Clause 26.
The agreement describes Share Lending as a process whereby those holding shares lend them to other parties, indicating client assets may be subject to lending.
Binding document · Trading 212 UK Limited · Check the source
FREETRADE LIMITED
Not foundNo qualifying source was located within the evidence window. This records what we could not confirm, and carries no inference about the firm.
STARLING BANK LIMITED
Does not applyThe FCA Register records ten regulated activity permissions for this firm, none of which is safeguarding and administration of assets. The firm holds no client securities, so the question of whether they are lent, rehypothecated or re-used cannot arise
WISE PAYMENTS LIMITED
Does not applyThe FCA Register records this firm's permissions as payment services and electronic money issuance only, with no permission for safeguarding and administration of assets. The firm holds no client securities, so the question of whether they are lent, rehypothecated or re-used cannot arise
Every firm here was asked the same question against the same published standard, and every answer quotes the passage it came from. Where the answers differ, the difference is in the firms’ own documents, not in how we read them.
Darker text marks stronger evidence. A statutory register prints at full strength; a firm’s own marketing prints lighter. The methodology sets out the weightings.