>> In the history of post-Securities Act American stock lending, I don't think this has once happened for a public stock. Not sure about that, but we were abou

>> In the history of post-Securities Act American stock lending, I don't think this has once happened for a public stock. Not sure about that, but we were about a day away from that happening in 2008. AIG lent out high-grade bonds and invested the proceeds into illiquid higher-yield mortgage backed securities: https://insight.kellogg.northwestern.edu/article/what-went-wrong-at-aig https://insight.kellogg.northwestern.edu/article/what-went-w... AIG's near collapse was partly due to CDS and party due to sec lending.