Agency securities

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Related to Agency securities: Corporate bonds, Federal agency securities

Agency securities

Securities issued by federally related institutions and U.S. government-sponsored entities. Such agencies were created to reduce borrowing costs for certain sectors of the economy, such as agriculture.

Agency Securities

1. Debt instruments issued by government sponsored entities, especially mortgage-backed securities from Ginnie Mae, Fannie Mae, and Freddie Mac, and the Federal Home Loan Banks. Because each of those organizations is sponsored by the U.S. government, agency securities are implicitly guaranteed, and, in the case of Ginnie Mae, are backed by the full faith and credit of the United States. As such, agency securities have historically had high credit ratings, though they were criticized for an alleged role in the 2007-08 credit crunch.

2. An alternative term for government sponsored entities.
References in periodicals archive ?
The chart below shows the Federal Reserve's holdings of agency securities along with the agency securities used as collateral in tri-party repos.
Greg Chamberlain, a 20-year securities lending industry veteran who recently moved to Deutsche Bank from Barclays Capital, will head the company's agency securities trading business in Asia.
This acquisition adds one of the largest third-party agency securities lending providers to our custody platform in Global Transaction Banking," said Harrold.
Transactions for immediate delivery of mortgage-backed agency securities include purchases and sales for which delivery is scheduled in thirty business days or less.
DE) has said that Andrew Pettit has joined Agency Securities Lending (ASL) in the Americas.
To prevent this contractionary action, the FOMC decided in August 2010 to reinvest the principal payments from the agency securities into long-term Treasury securities.
In addition, precisely the better capitalized banks in recent years have been acquiring the bulk of liquid Treasury and agency securities.
DE) is planning to open an agency securities lending desk in Hong Kong by the end of June.
Germany-based Deutsche Bank AG (NYSE: DB) has announced that it is to acquire Dresdner Bank's Global Agency Securities Lending business from Commerzbank AG (CBK.

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