repo desk
(FINANCE) department of a securities firm that specializes in repurchase agreements. A repurchase agreement is a type of short-term loan in which a borrower sells a security (like a share of stock) and agrees to buy the same security back in a few days.
From the point of view of the counterparty buying/re-selling the stock, this deal is known as a reverse-repo. Reverse-repos are useful to brokerages because they allow the brokerage to short the stock.
From the point of view of the counterparty buying/re-selling the stock, this deal is known as a reverse-repo. Reverse-repos are useful to brokerages because they allow the brokerage to short the stock.
