securities loan

securities loan definition - business

securities loan

  1. A loan made to an investor for the purpose of buying securities. The loan is secured by the securities.
  2. The lending of securities by one broker-dealer to another broker-dealer. Securities loans generally occur when broker-dealers need to borrow securities for delivery on customers' short sales.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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