Off leg and Opportunity risk: Difference between pages

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''Repurchase agreements''
The risk of suffering an opportunity loss.


A securities repurchase agreement ('repo') involves a pair of trades with the same counterparty in the same security.
Sometimes known as 'regret risk'.
 
The second trade reverses the initial sale and purchase, but at a later date and different price.
 
 
The off leg is the second trade in the repo.
 
It is also known as the closing, far, second, or reverse leg.




== See also ==
== See also ==
* [[Far leg]]
* [[Analysis paralysis]]
* [[Opening leg]]
* [[Operational risk]]
* [[Repo rate]]
* [[Opportunity loss]]
* [[Repurchase agreement]]
* [[Regret risk]]
 


[http://www.treasurers.org/repos  ACT briefing note: Practical steps to investing in Repos ]
[[Category:Financial_risk_management]]

Latest revision as of 08:08, 18 September 2022

The risk of suffering an opportunity loss.

Sometimes known as 'regret risk'.


See also