内容提要：
This paper examines the equity loan supply for short-selling. Using detailed stock lending data, we show that active equity funds, on average, are informed stock lenders. The stocks they lend outperform those that they do not. The stocks they recall and sell perform worse in the future than those that remain on loan. These funds avoid lending stocks when lending fees are extremely high and seem to use the shorting market’s signals to form stock-selling decisions. Our findings help explain why institutional investors lend stocks. They also highlight a new source of short-sale constraints arising from the informed loan supply.