repurchase agreement

(redirected from Repos and Reverses)
Also found in: Financial.
Related to Repos and Reverses: Overnight repo, Term repo, Repo transaction, Repo agreement

repurchase agreement

n.
A contract giving the seller of an asset the right or obligation to buy back the asset at a specified price on a given date.

repurchase agreement

n
(Banking & Finance) an agreement in which a security or asset is sold and later repurchased at an agreed price to raise ready money. Sometimes shortened to: repo

repur′chase agree`ment


n.
a deal to purchase securities between an investor and a bank, stipulating that the investor will sell back the bonds on a specified date, keeping the interest.
[1920–25]
References in periodicals archive ?
The discussion begins with a description of repos and reverses, the difference between on-the-run and older securities, and the ways dealers use repos to finance and hedge.
The next section describes what repos and reverses are, describes the difference between on-the-run and older securities, and discusses the ways dealers use repos to finance and hedge.