Opt into the FPLP and we may lend out your fully paid positions or excess-margin securities to other broker-dealers so their customers can short the stock or satisfy other position requirements.
You’ll receive 50% of the income that we earn by lending out the shares, accrued daily and posted monthly to your account.
Visit the Client Center to enroll in the program.
Select the enrollment option when opening your account.
We may lend out eligible securities regardless of whether your equities account is cash or margin, generating easy, extra income for you.
You only need five years of trading experience OR a total net worth of at least $75,000 to be eligible to participate in the program.
Once you enroll in the program, the interest you earn is accrued daily in your account and posted in your monthly account statement.
You maintain complete control and have the ability to sell securities on loan at any time, or to just opt out of the program altogether.
There are no trading restrictions on securities that are lent out. You can sell or transfer your positions at any time, just as you would if they weren’t on loan. As required, shares will be recalled and deposited back into your account.
The Fully Paid Lending Program is available to all TradeStation clients who meet the following criteria:
Have questions about your eligibility? Contact Client Services at 800.822.0512 or 954.652.7900. Need to update your eligibility criteria? Complete and submit the Client Information Update form.
Shares lent out are not protected by SIPC.
There are potential tax consequences:
When securities are on loan you lose your ability to exercise voting rights.