MSE News: Ed Miliband attacks high pension charges

Paul_Herring

gadgetmind wrote: »

dunstonh wrote:

stock lending fees

This one puzzles me as most funds do lend securities but they do it to generate additional income.

Doesn't the act of lending stocks out generate fees of some kind? (As opposed to the income generated from lending such stock, to which you allude.)

Or, given the quality of the article, they could be stock borrowing fees - i.e. the funds are the ones doing the shorting (though unlikely, not beyond the bounds of probability.)

jamesd

The stock lending activity may be outsourced to a service provider who charges a fee. If not that then there will be associated legal and transaction costs to move the shares around.