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Rehypothecation |
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Rehypothecation When a broker pledges hypothecated client owned securities in a margin account to secure a bank loan. Notes: This is also known as a margin loan. See also: Hypothecation, Pledged Asset Rehypothecation Pledging to banks by securities brokers of the amount in customers' margin account as collateral for broker loans, which are used to cover margin loans to customers for margin purchases and selling short. |
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