Agency securities


Also found in: Dictionary, Thesaurus, Wikipedia.
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 Company amortizes and accretes premiums and discounts associated with purchases of agency securities into interest income over the estimated life of such securities based on actual and projected CPRs using the effective yield method.
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 will lead the agency securities lending trading operations in Asia from the new base, and will report to John Schreyer, Deutsche Bank's head of agency securities lending trading EMEA and Asia.
This acquisition adds one of the largest third-party agency securities lending providers to our custody platform in Global Transaction Banking," said Harrold.
Mrugank Paranjape, Asia Head of Direct Securities Services, Deutsche Bank, commented, "Deutsche Bank is dedicated to meeting the needs of our clients in Asia, and the establishment of an Agency Securities Lending unit in Hong Kong demonstrates our commitment to the business.
Along with the Maturity Extension Program, the Fed switched from reinvesting the principal payments from agency securities into agency MBS instead of long-term Treasury securities.
government agency securities, money market obligations (including commercial paper, bankers acceptances, repurchase agreements, reverse repurchase agreements, time deposits, and money market funds), asset backed securities, mortgage securities, and commingled investment funds.
The Dresdner agency securities lending business will be integrated into Deutsche Bank's trust and securities services business in global transaction banking as part of its local custody franchise and will be overseen by Roger Harrold, global head of domestic custody services.
government agency securities, 19% money market funds, 16% LAIF, 4% commercial paper and 2% certificates of deposit.
Dresdner Bank's Agency Securities Lending business is one of the world's largest non-custodial securities lending managers, which operates from offices in London, New York and Frankfurt.
Erich Pohl, co-head of Capital Markets and head of Short-Term Products/Treasury at DrKW, added: "This award is a true milestone for our Agency Securities Lending business and exemplifies the value-added products DrKW offers globally.

Full browser ?