Hidden market of share pledges for securities-backed lending

On days like these, investors seek liquidity from several sources just to keep going. One of many sources is share-backed loans.

In this scenario, an investor gets instant liquidity for taking care of immediate needs and other personal needs, all backed by his/her equity investment. Typically, a loan is offered by banks with a credit limit decided by the market value of shares.

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Note: The results are not exact but very close to the actual.