Repo Agreement
/ˈriːpoʊ əˌɡriːmənt/
Definitions
- (n.) A financial contract where one party sells securities to another with an agreement to repurchase them later at a specified price and date.
The repo agreement ensured liquidity by allowing the bank to obtain short-term funding.
Forms
- repo agreement
- repo agreements
Related terms
See also
Commentary
The term is frequently used in financial and banking law to describe short-term secured lending mechanisms involving securities as collateral.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.