Security Lending Agreement Template for Belgium

This document is a comprehensive Securities Lending Agreement governed by Belgian law, incorporating both domestic Belgian regulations and relevant EU directives. It establishes the legal framework for securities lending transactions, detailing the terms and conditions under which one party (the lender) temporarily transfers securities to another party (the borrower) in exchange for collateral. The agreement addresses crucial aspects including collateral management, corporate actions, rights and obligations of parties, default scenarios, and regulatory compliance requirements specific to the Belgian jurisdiction, while ensuring alignment with EU financial regulations such as SFTR and MiFID II.

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Get template free
Upload to review

Your data doesn't train Genie's AI

You keep IP ownership of your docs

4.6 / 5
4.6 / 5
4.8 / 5

What is a Security Lending Agreement?

The Security Lending Agreement serves as the primary contractual framework for securities lending transactions in Belgium, enabling financial institutions to temporarily transfer securities while maintaining economic benefits of ownership. This document is essential when parties wish to engage in securities lending activities under Belgian jurisdiction, whether for covering short positions, generating additional revenue, or supporting market-making activities. The agreement incorporates requirements from the Belgian Financial Collateral Law, EU regulations such as SFTR and MiFID II, and addresses crucial aspects including collateral arrangements, corporate actions, and default scenarios. It's particularly important for financial institutions operating in Belgium and must comply with both domestic and EU regulatory requirements, including specific provisions for financial collateral arrangements under Belgian law.

What sections should be included in a Security Lending Agreement?

1. Parties: Identification of the lender and borrower, including their legal status and registered addresses

2. Background: Context of the agreement and general purpose of the securities lending arrangement

3. Definitions and Interpretation: Comprehensive definitions of terms used throughout the agreement and rules of interpretation

4. Loans of Securities: Core provisions governing the lending and borrowing of securities, including initiation process and confirmation requirements

5. Transfer of Securities and Collateral: Procedures and requirements for transferring securities and collateral, including timing and delivery methods

6. Collateral Requirements: Specifications for acceptable collateral, margin requirements, and collateral maintenance

7. Income and Corporate Actions: Treatment of dividends, interest, rights issues and other corporate actions affecting loaned securities

8. Fees and Charges: Lending fees, rebate rates, and other charges applicable to the securities lending transactions

9. Tax Provisions: Treatment of taxes, including withholding tax obligations and tax-related indemnities

10. Representations and Warranties: Standard and specific representations and warranties made by each party

11. Events of Default: Definition of events of default and their consequences

12. Close-out and Set-off: Procedures for terminating transactions and calculating settlement amounts following an event of default

13. Notices: Requirements for giving notices under the agreement

14. Governing Law and Jurisdiction: Specification of Belgian law as governing law and jurisdiction for disputes

What sections are optional to include in a Security Lending Agreement?

1. Agency Provisions: Required when either party acts as agent for underlying principals

2. Custody Arrangements: Required when involving third-party custodians for holding securities or collateral

3. Electronic Trading Platform: Required when transactions will be executed through specific trading platforms

4. Market Disruption: Optional provisions dealing with market disruption events

5. Central Counterparty Provisions: Required when transactions will be cleared through a CCP

6. Special Custody Requirements: Required for specific types of securities subject to special custody rules

7. Additional Tax Provisions: Required for cross-border transactions or specific tax scenarios

8. Force Majeure: Optional provisions dealing with extraordinary events beyond parties' control

What schedules should be included in a Security Lending Agreement?

1. Schedule A - Eligible Securities: List of types of securities that may be borrowed/lent under the agreement

2. Schedule B - Eligible Collateral: Detailed specifications of acceptable forms of collateral

3. Schedule C - Fee Schedule: Detailed breakdown of fees, charges, and calculation methodologies

4. Schedule D - Operating Procedures: Detailed operational procedures for loan initiation, maintenance, and termination

5. Schedule E - Forms of Notices: Standard forms for various notices required under the agreement

6. Schedule F - Margin Percentages: Specification of margin requirements for different types of securities and collateral

7. Appendix 1 - Contact Details: Contact information for authorized representatives of each party

8. Appendix 2 - Tax Documentation: Required tax forms and documentation

9. Appendix 3 - Settlement Instructions: Standard settlement instructions for securities and collateral transfers

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Belgium

Publisher

Genie AI

Document Type

Security Agreement

Cost

Free to use

Find the exact document you need

Intercreditor Agreement (Real Estate)

Belgian law intercreditor agreement establishing creditor priorities and rights in real estate financing, compliant with Belgian property and security regulations.

Download

Cyber Security Agreement

A Belgian law-governed agreement establishing cybersecurity services, obligations, and compliance requirements between parties, incorporating local and EU regulatory requirements.

Download

Factoring And Security Agreement

A Belgian law-governed agreement combining receivables financing with security arrangements, enabling businesses to obtain immediate financing against their accounts receivable while providing asset security.

Download

Data Security Agreement

A Belgian law-governed agreement establishing data security requirements and obligations between parties, ensuring compliance with Belgian and EU data protection regulations.

Download

Information Security Agreement

A Belgian law-governed agreement establishing information security requirements and data protection obligations between parties, ensuring compliance with Belgian and EU regulations.

Download

Reinsurance Security Agreement

A Belgian law-governed agreement establishing security arrangements between reinsurer and cedent for collateralizing reinsurance obligations.

Download

Title Transfer Collateral Agreement

A Belgian law-governed agreement enabling the transfer of ownership of financial collateral between parties, regulated under the Belgian Financial Collateral Law.

Download

Third Party Pledge Agreement

A Belgian law-governed security agreement where a third party provides collateral to secure another party's obligations, subject to Belgian pledge regulations and registration requirements.

Download

Receivables Pledge Agreement

A Belgian law security document creating a pledge over receivables, requiring National Pledge Register registration and compliance with the Belgian Pledge Act.

Download

Stock Lending Agreement

Belgian law-governed agreement for securities lending transactions, compliant with local and EU regulations.

Download

Collateral Access Agreement

Belgian law-governed agreement establishing terms for accessing and managing collateral assets in financial arrangements, incorporating Belgian financial collateral legislation requirements.

Download

Third Party Security Agreement

A Belgian law-governed agreement where a third party provides security for another party's obligations to a creditor, complying with Belgian security and financial regulations.

Download

Pledge And Security Agreement

A Belgian law-governed agreement establishing security interests over assets as collateral for secured obligations, compliant with the Belgian Pledge Act.

Download

Agreement For Security Deposit

A Belgian law-compliant agreement governing the terms, handling, and return of a tenant's security deposit through a mandatory blocked bank account system.

Download

Security Transfer Agreement

Belgian law-governed agreement facilitating the transfer of securities between parties, compliant with Belgian Financial Collateral Law and EU regulations.

Download

Master Repurchase Agreement

Belgian law-governed Master Repurchase Agreement establishing framework for securities repurchase transactions, compliant with EU and Belgian regulations.

Download

Cross Collateral Agreement

A Belgian law-governed agreement establishing cross-collateralization arrangements where multiple assets secure various obligations, structured in compliance with Belgian security and financial laws.

Download

Asset Pledge Agreement

A Belgian law security document creating a pledge over specified assets, compliant with the Belgian Pledge Act and National Pledge Register requirements.

Download

Pledge Of Shares Agreement

Belgian law-governed agreement establishing a security interest over company shares, detailing pledge terms, rights, and enforcement mechanisms.

Download

Overnight Reverse Repurchase Agreement

Belgian law-governed agreement for overnight secured lending through securities purchase and repurchase, incorporating local and EU regulatory requirements.

Download

Collateral Pledge Agreement

A Belgian law security document creating a pledge over movable assets, structured under the Belgian Pledge Act and related legislation.

Download

Security Trust Agreement

A Belgian law-governed agreement establishing a security trust arrangement where a trustee manages security interests on behalf of beneficiaries.

Download

Contract Of Sale Of Shares

A Belgian law-governed agreement documenting the sale and purchase of shares in a company, including all essential terms and conditions of the transfer.

Download

Negative Pledge Agreement

A Belgian law-governed agreement that restricts a borrower from creating security interests over its assets in favor of other creditors.

Download

Security Lending Agreement

A Belgian law-governed agreement establishing terms for securities lending transactions between financial institutions, incorporating both Belgian and EU regulatory requirements.

Download

Cash Collateral Agreement

Belgian law-governed agreement establishing terms for cash collateral arrangements, compliant with Belgian Financial Collateral Law and EU regulations.

Download

Deposit Control Agreement

A Belgian law agreement establishing control over deposit accounts between an account holder, secured party, and deposit bank, enabling perfection of security interests under Belgian financial collateral laws.

Download

Convertible Bond Agreement

A Belgian law agreement documenting terms of convertible bonds, combining debt financing with the right to convert into company shares under specified conditions.

Download

Holding Deposit Contract

A Belgian law agreement securing a property transaction through a holding deposit, establishing terms for deposit management and transaction completion.

Download

General Security Agreement

A Belgian law-governed agreement establishing security interests over assets as collateral for obligations or debts, complying with Belgian security and financial regulations.

Download

Collateral Contract

Belgian law-governed agreement establishing security interests over assets to secure specified obligations, compliant with Belgian financial collateral legislation.

Download
See more related templates

Genie’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; Genie’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

We are ISO27001 certified, so your data is secure

Organizational security:

You retain IP ownership of your documents and their information

You have full control over your data and who gets to see it

2 Docs LeftAccess Now