From mid-October, beneficial owner lenders such as pension funds and UCITS will be able to clear securities financing transactions in U.S. equities without posting margin or contributing to a default fund.
Cboe Clear Europe will expand its securities financing transactions (SFT) clearing service to include U.S. equities from mid-October, as part of its strategy to bring global securities lending into central clearing.
The service will initially support the clearing of SFTs for U.S. equities in the Russell 3000 Index and the top 500 U.S.-listed ETFs. Coverage will broaden over time to Cboe’s full U.S. equities trading universe of around 12,000 symbols.
Settlement of U.S. securities will take place via the Depository Trust Company (DTC), in line with U.S. local market practice, with BNY acting as settlement agent. As with the service’s existing coverage of eligible U.S. corporate bonds and U.S. Treasuries, clearing of SFTs involving U.S. equities will initially be available only to non-U.S. lenders and borrowers.
Launched in 2025 for loans of European equities and ETFs, the SFT service has brought central clearing to a market that has long operated bilaterally, and reached a record €14 billion in outstanding loan value in September 2026. Users include both UCITS and non-UCITS beneficial owners. The service’s most recent extension added fixed income instruments, including European and U.S. government and corporate bonds.
Vikesh Patel, global head of clearing and president of Cboe Clear Europe, said the strong adoption reflected the industry’s growing recognition of the benefits of central clearing and of Cboe’s model.
“As we continue to broaden its coverage across asset classes and jurisdictions, we’re helping participants optimise their securities financing activities globally, while contributing to the long-term growth, resilience and efficiency of the securities finance ecosystem,” he said.