Hazeltree Launches Monthly Shortside Crowdedness Report of Top Shorted Securities Globally
Sourced with data from Hazeltree’s community of approximately 700 asset manager funds, the monthly snapshot will examine trends in shorting activity across the Americas, EMEA, and APAC
New York, London and Hong Kong, May 18, 2023 – Hazeltree, a leader in active treasury and intelligent operations technology for the alternative asset industry, today published its inaugural Shortside Crowdedness Report. The report is a monthly listing of the top 10 shorted securities in the Americas, EMEA and APAC regions in the large-, mid-, and small-cap exchanges.
The data contained in the report comes from Hazeltree’s proprietary securities finance platform data, which tracks approximately 12,000 global equities across the Americas, EMEA, and APAC. The data is aggregated and anonymized from the contributing Hazeltree community, including approximately 700 asset manager funds.
The report tracks shorting activity in three different metrics:
- Hazeltree Crowdedness Score: This score represents the highest percentage of funds in Hazeltree’s community that are shorting a particular security in a pre-defined category. The securities are graded on a scale of 1-99, with 99 representing the security that the highest percentage of funds are shorting.
- Institutional Supply Utilization: This figure represents the percentage of institutional investors in the market that are lending out a security. The institutional supply utilization rate is an indicator of how “hot” a security is in terms of the supply-demand dynamic.
- Hazeltree Community Borrow Fee: This figure is the average weighted fee for what members of the Hazeltree community are paying to borrow a security. The fee is represented as the annualized cost above the price of the security.
Highlights from the April 2023 report include:
- For the large-cap top 10 securities, Coinbase saw the highest institutional supply utilization rate, and in turn the highest fees to borrow for the month compared to the rest of this group.
- The mid-cap section shows a 99 crowdedness score for Norwegian Cruise Lines and Affirm Holdings with the highest Community Borrow Fee at .55%.
- The two most crowded securities in the small-cap category were First Republic Bank, which was seized by regulators on May 1, and Fisker Inc.
- Eurofins Scientific SE had the highest institutional supply utilization of 36% in the large cap group. However, borrowing fees remained in line with the rest of the securities in this group.
- The most crowded mid-cap securities saw just one security, Avanza Bank Holdings AB, with an institutional supply utilization over 50%.
- Among the most crowded small-cap securities, Samhallsbyggnadsbolaget stood out with a crowdedness score of 92, an institutional supply utilization of nearly 96% and a borrowing fee of just over 11%.
- In APAC, the most crowded large cap security was SoftBank Group Corp.
- Among the most crowded mid-cap securities, Wynn Macau Ltd and Flight Centre Travel Group Ltd had borrow fees that were more than double the mode of the group (.40%), at .80% and .85%, respectively.
- Sosei Group Corp led the small-cap category in both crowdedness score and institutional supply utilization at 99 and 41.27% respectively.
To view Hazeltree’s April Shortside Crowdedness Report, click here.
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Hazeltree is a leader in active treasury and intelligent operations technology. Purpose-built for the alternative asset management ecosystem, Hazeltree’s modular platform aggregates internal and external data, providing a comprehensive view of operations and counterparty relationships while proactively highlighting opportunities to extract more value from every transaction. Hazeltree is headquartered in New York with offices in London and Hong Kong.