Reverse repurchase agreement - Revision history

imported>Doug Williamson: Expand.

2016-10-31T13:30:09Z

Expand.

← Older revision		Revision as of 13:30, 31 October 2016
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	(Reverse repo).		(Reverse repo, or RRP).

	A form of secured investing/lending, seen from the perspective of the investor/lender, using an agreement to buy securities at the start of the contract, and to sell them back at a pre-agreed price at a fixed future date.		A form of secured investing/lending, seen from the perspective of the investor/lender, using an agreement to buy securities at the start of the contract, and to sell them back at a pre-agreed price at a fixed future date.

imported>Doug Williamson: Layout.

2016-10-31T13:20:59Z

Layout.

← Older revision		Revision as of 13:20, 31 October 2016
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	A form of secured investing/lending, seen from the perspective of the investor/lender, using an agreement to buy securities at the start of the contract, and to sell them back at a pre-agreed price at a fixed future date.		A form of secured investing/lending, seen from the perspective of the investor/lender, using an agreement to buy securities at the start of the contract, and to sell them back at a pre-agreed price at a fixed future date.


	The investor/lender invests cash at the start (in exchange for the transfer of pre-agreed securities).		The investor/lender invests cash at the start (in exchange for the transfer of pre-agreed securities).

	At maturity the investor/lender receives their cash back with interest and sells the securities back to the borrower.		At maturity the investor/lender receives their cash back with interest and sells the securities back to the borrower.


	A reverse repo is exactly the same transaction as a Repurchase agreement (repo) but from the perspective of the lender (rather than the perspective of the borrower).		A reverse repo is exactly the same transaction as a Repurchase agreement (repo) but from the perspective of the lender (rather than the perspective of the borrower).

imported>Doug Williamson: Added category

2016-05-18T09:54:48Z

Added category

← Older revision		Revision as of 09:54, 18 May 2016
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	* [[Repurchase agreement]]		* [[Repurchase agreement]]
	* [[Cash in the new post-crisis world]]		* [[Cash in the new post-crisis world]]

			[[Category:Liquidity_management]]

imported>Doug Williamson: Linked to The Treasurers Handbook - Cash in the new post-crisis world

2014-12-01T10:51:48Z

Linked to The Treasurers Handbook - Cash in the new post-crisis world

← Older revision		Revision as of 10:51, 1 December 2014
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	* [[Tri-party repurchase agreement]]		* [[Tri-party repurchase agreement]]
	* [[Repurchase agreement]]		* [[Repurchase agreement]]
			* [[Cash in the new post-crisis world]]

imported>Doug Williamson: Spacing 20/8/13

2013-08-20T14:20:06Z

Spacing 20/8/13

← Older revision		Revision as of 14:20, 20 August 2013
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	The investor/lender invests cash at the start (in exchange for the transfer of pre-agreed securities).		The investor/lender invests cash at the start (in exchange for the transfer of pre-agreed securities).

	At maturity the investor/lender receives their cash back with interest and sells the securities back to the borrower.		At maturity the investor/lender receives their cash back with interest and sells the securities back to the borrower.

	A reverse repo is exactly the same transaction as a Repurchase agreement (repo) but from the perspective of the lender (rather than the perspective of the borrower).		A reverse repo is exactly the same transaction as a Repurchase agreement (repo) but from the perspective of the lender (rather than the perspective of the borrower).

	It could logically have been called a “re-sale agreement”.		It could logically have been called a “re-sale agreement”.

imported>Doug Williamson: Amended wording as per Michelle 21/5/13

2013-05-26T09:51:21Z

Amended wording as per Michelle 21/5/13

← Older revision		Revision as of 09:51, 26 May 2013
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	(Reverse repo).		(Reverse repo).

	A form of secured lending - seen from the perspective of the lender - using an agreement to buy securities at the start of the contract, and to sell them back at a pre-agreed price at a fixed future date.		A form of secured investing/lending, seen from the perspective of the investor/lender, using an agreement to buy securities at the start of the contract, and to sell them back at a pre-agreed price at a fixed future date.

	The ~~borrower receives~~ cash at the start (in exchange for the transfer of the securities to the ~~lender)~~.		The investor/lender invests cash at the start (in exchange for the transfer of pre-agreed securities).
			At maturity the investor/lender receives their cash back with interest and sells the securities back to the borrower.

	~~The borrower repays their borrowing by giving~~ (~~more~~) ~~cash back to~~ the lender ~~at maturity, in exchange for receiving back~~ (~~repurchasing~~) ~~the same securities~~.		A reverse repo is exactly the same transaction as a Repurchase agreement (repo) but from the perspective of the lender (rather than the perspective of the borrower).
			It could logically have been called a “re-sale agreement”.

	~~A reverse repo is exactly the same transaction as a Repurchase agreement (repo).~~
	~~But the reverse repo is viewed from the perspective of the lender (rather than the perspective of the borrower).~~

	== See also ==		== See also ==
			* [[Bilateral repurchase agreement]]
			* [[Tri-party repurchase agreement]]
	* [[Repurchase agreement]]		* [[Repurchase agreement]]

imported>Doug Williamson: Amended term - 20/5/13

2013-05-20T09:03:23Z

Amended term - 20/5/13

← Older revision		Revision as of 09:03, 20 May 2013
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	(Reverse repo). A form of secured lending - seen from the perspective of the ~~borrower~~ - using an agreement to ~~sell~~ securities ~~now~~, and to ~~buy~~ them back at a pre-agreed price at a fixed future date.		(Reverse repo).

			A form of secured lending - seen from the perspective of the lender - using an agreement to buy securities at the start of the contract, and to sell them back at a pre-agreed price at a fixed future date.

			The borrower receives cash at the start (in exchange for the transfer of the securities to the lender).

	~~The borrower receives cash now (in exchange for the transfer of the securities to the lender).~~
	The borrower repays their borrowing by giving (more) cash back to the lender at maturity, in exchange for receiving back (repurchasing) the same securities.		The borrower repays their borrowing by giving (more) cash back to the lender at maturity, in exchange for receiving back (repurchasing) the same securities.

	A reverse repo is exactly the same transaction as a Repurchase agreement (repo).		A reverse repo is exactly the same transaction as a Repurchase agreement (repo).
	But the reverse repo is viewed from the perspective of the ~~borrower~~ (rather than the perspective of the ~~lender~~).		But the reverse repo is viewed from the perspective of the lender (rather than the perspective of the borrower).

	== See also ==		== See also ==
	* [[Repurchase agreement]]		* [[Repurchase agreement]]

imported>Administrator: CSV import

2012-10-23T14:20:34Z

CSV import

New page

(Reverse repo). A form of secured lending - seen from the perspective of the borrower - using an agreement to sell securities now, and to buy them back at a pre-agreed price at a fixed future date.

The borrower receives cash now (in exchange for the transfer of the securities to the lender).
The borrower repays their borrowing by giving (more) cash back to the lender at maturity, in exchange for receiving back (repurchasing) the same securities.

A reverse repo is exactly the same transaction as a Repurchase agreement (repo).
But the reverse repo is viewed from the perspective of the borrower (rather than the perspective of the lender).

== See also ==
* [[Repurchase agreement]]