Mastering Repo Markets: A Step-by-Step Guide to the Products, Applications and Risks
The complete, practical primer on repos for every financial professional.Classic repos, buy/sell-back repos, securities lending, and more.Repo users, applications, and key market developments.Repo markets in the U.S., France, UK, Germany, Belgium, Spain, Italy, and Japan.Domestic and international repo markets have grown dramatically over the past few years, for several reasons: a greater need to take and hedge short positions in the capital and derivative markets; growing concern over counterparty credit risk; and the favorable capital adequacy treatment given to repos. Most important, the markets are increasingly aware of the flexibility repos provide, and the wide range of applications where they can be of benefit.Mastering Repo Marketsis the practical, up-to-date, complete guide to repos: the instruments, applications, and risk management techniques every practitioner must understand in order to succeed.Fully international and interactive, the book addresses market conditions, product characteristics, pricing and valuation calculations, trading strategies, risk management, and more. It contains worked examples and exercises throughout, real-world practice drills, and more. For every financial professional, newcomers and seasoned professionals alike.