repo

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Related to repos: repo rate

Repo

An agreement in which one party sells a security to another party and agrees to repurchase it on a specified date for a specified price. See: Repurchase agreement.

Repo

A practice in which a bank or other financial institution buys securities with the proviso that the seller must repurchase the same securities for an agreed-upon price on a certain day. Investors and financial institutions do this in order to raise short-term capital. A repo is also called a repurchase agreement or an overnight repo.

repo

repo

Slang for repossess.

References in periodicals archive ?
Finally, the BSP chief pointed out that the Money Market Association of the Philippines-a private organization of bank treasurers and traders-volunteered to take the lead in developing the local repo market.
said earlier that they will launch the repo facility which will increase bank reserves - on November 27.
A repo agreement typically involves the transfer of securities in exchange for cash.
Section 4 provides the results of the empirical model for overnight repo rate.
John Edwards, Managing Director of BrokerTec Europe, said: Following the Bank of Englands working group on a Sterling Risk-Free Reference Rate in the fixed income markets, customers are increasingly looking for an effective measure of the cost of funding in the Sterling repo markets.
When repos are used for funding, which is the more usual case, industry practice is for the value of collateral to exceed the amount of cash.
Total collateral value in the tri-party repo market rose steeply after 2011, peaked toward the end of 2012, and then fell steeply.
Reverse repos on a specific bond allow traders to take a 'short' position in that bond.
MF Global, the global financial firm that filed for bankruptcy in October, is just the most recent noteworthy example of how repo lending can go wrong.
The infrastructure that made tri-party repos attractive to investors seems to have made it less convenient for them to adjust collateral haircuts on a per-transaction basis.
To obtain the leverage impact desired, Lehman had to account for these repos as Repo 105 transactions and use the borrowed funds to pay off another liability.
The dealer repos out the specific collateral (borrows p at rate R) and simultaneously reverses in general collateral of the same value (lends p at rate r).