U.S. asset management giant Fidelity Investments is opening its internal securities lending platform to third-party asset managers and financial institutions.
The Boston-based firm said Fidelity Agency Lending, which served as securities lending agent for its in-house mutual funds since 2019, would now be available to the wider industry.
The service has helped generate added returns for Fidelity’s own funds, the firm said.
“Current market dynamics are compelling institutions to take a more active role in their securities lending programs to find a competitive advantage,” said Justin Aldridge, head of Fidelity Agency Lending, in a release.
“We believe firms are looking for an agent lender with both new technology and the proven ability to serve large, complex institutions, and we’re excited to offer that to the marketplace.”