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repusc
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There are 6 letters in REPUSC ( C3E1P3R1S1U1 )
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| Repusc might refer to |
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A repurchase agreement, also known as a repo, RP, or sale and repurchase agreement, is a transaction concluded on a deal date tD between two parties A and B:* (i) A will on the near date * * * * * t * * N * * * * * {\textstyle t_{N}} * sell a specified security S at an agreed price PN to B(ii) A will on the far date tF (after tN) re-purchase S from B at a price PF which is already pre-agreed on the deal date.If positive interest rates are assumed, the repurchase price PF can be expected to be greater than the original sale price PN. * The (time-adjusted) difference * * * * * * * * P * * F * * * − * * P * * N * * * * * P * * N * * * * * ∗ * * * 365 * * * t * * F * * * − * * t * * N * * * * * * * * {\textstyle {\frac {P_{F}-P_{N}}{P_{N}}}*{\frac {365}{t_{F}-t_{N}}}} * is called the repo rate, which is the annualized interest rate of the transaction. * * * * * * * * P * * F * * * − * * P * * N * * * * * P * * N * * * * * ∗ * * * * * t * * F * * * − * * t * * N * * * * 365 * * * * * {\textstyle {\frac {P_{F}-P_{N}}{P_{N}}}*{\frac {t_{F}-t_{N}}{365}}} * can be interpreted as the interest rate for the period between near date and far date. |