Document background
A Share Loan Agreement is essential in Singapore's financial markets for facilitating securities lending transactions. This document is typically used when institutional investors or shareholders wish to temporarily transfer shares to borrowers for various purposes, including short selling, settlement coverage, or market-making activities. The agreement must comply with Singapore's Securities and Futures Act and MAS regulations, making it particularly important to include proper risk management provisions, collateral requirements, and clear mechanisms for transfer and return of securities. The document reflects Singapore's sophisticated financial infrastructure and regulatory environment, incorporating necessary safeguards for both lenders and borrowers.
