Shorter still at it, page-43

It is a long time since I looked at lending shares out but essentially anyone that owns shares can lend them to an institution.

So for example if you have shares in TLS or OSH you can lend them to Macquarie for instance and they pay you a fixed fee per quarter. They will be the beneficial owner of the shares and are entitled to dividends and other entitlements for the period of ownership.

Depending upon the share volatility the return can be about 5-6% per quarter.  If you are  long term holder and just need income then it is a good income strategy. Typically they take a minimum parcel of 1000 shares and they have to issue a prospectus that can be found on the ASX website. All the terms and conditions are in this document.


There is a bit more here