Credit transfer and Second leg: Difference between pages

Revision as of 15:39, 25 June 2017

Repurchase agreements

A securities repurchase agreement ('repo') involves a pair of trades with the same counterparty in the same security.

The second trade reverses the initial sale and purchase, but at a later date and different price.

The second leg is the second trade in the repo.

It is also known as the closing, off, far, or reverse leg.

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-A payment order or possibly a sequence of payment orders made for the purpose of placing funds at the disposal of the beneficiary.
+''Repurchase agreements''
+A securities repurchase agreement ('repo') involves a pair of trades with the same counterparty in the same security.
+The second trade reverses the initial sale and purchase, but at a later date and different price.
+The second leg is the second trade in the repo.
+It is also known as the closing, off, far, or reverse leg.
-Both the payment instructions and the funds described therein move from the bank of the payor/originator to the bank of the beneficiary, possibly via several other banks as intermediaries and/or more than one credit transfer system.
 == See also ==
-* [[Bank transfer]]
+* [[Far leg]]
-* [[Debit transfer system]]
+* [[Opening leg]]
-* [[Giro]]
+* [[Repo rate]]
-* [[International payment instruction]]
+* [[Repurchase agreement]]
-* [[Paperless credit transfers]]
+[http://www.treasurers.org/repos  ACT briefing note: Practical steps to investing in Repos ]