T&T Securities and Exchange Commission
The first question you may be asking yourself is, âWhat is repo or a repurchase agreement? It sounds similar to taking out hire purchase.â Actually, they are quite dissimilar in nature. Repurchase agreements are referred to as repos or buy/sell backs. In such agreements, according to the International Capital Markets Association, one party (âthe sellerâ) sells an asset (usually fixed-income securities, which are investments which pay investors fixed interest or dividend payments until its maturity date when the invested amount is repaid to the investor) to another party (âthe buyerâ) at one price.