Repurchase Agreement And Securities Lending



-October 4, 2021-

Repurchase Agreement And Securities Lending

Mike Burroughs

The future of the repo space may include continuous rules to limit the actions of these transactors, or even involve a transfer to a central clearing house system. However, for the time being, retirement operations remain an important means of facilitating short-term borrowing. Repo transactions are generally considered to be credit risk instruments. The biggest risk in a repo is that the seller may not maintain his end of contract by not buying back the securities he sold on the due date. In such situations, the buyer of the security right may then liquidate the security in an attempt to recover the money originally paid. This increases the money supply at the disposal of the general economy....


SHARE THE ARTICLE
click below to share with friends and social networks
Facebook Twitter Tumblr Stumbleupon Reddit Email







DISCUSS THE ARTICLE
Leave a comment and participate in the discussion.
Social links powered by Ecreative Internet Marketing