Repurchase Agreement

Repurchase Agreement
Formal understanding between seller and buyer that seller will at a given future date buy back the security sold by him. The price of future buy back is also determined when repurchase agreement is drawn up. Represents short term lending with collateral such as treasury bond or other safe instruments. Called reverse repo from buyer perspective.

Random Finance Terms for the Letter S

  • Reproducible Assets
  • Reproduction Costs
  • Repurchase Agreement
  • Repurchase of Stock
  • Required Reserves
  • Required Return
  • Required Yield
  • Reserve
  • Reserve Currency
  • Reserve Ratios