This regulation establishes strict information rules for counterparties in the area of reuse, which should not compromise the application of sectoral rules adapted to certain actors, structures and situations. Therefore, the reuse rules under this Regulation should apply, for example, to collective investment organizations and custodians or clients of investment firms only to the extent that the legal framework applicable to collective investment agencies or the guarantee of client assets that constitute a lex specialis and which prevail over the provisions of this Regulation does not provide for stricter rules on reuse. In particular, this regulation should agree without prejudice to any provision of EU law or national law that limits the possibility for counterparties to reuse financial instruments provided as collateral by counterparties or entities other than counterparties. The application of the reuse requirements should be deferred to six months after this Regulation comes into force to allow counterparties sufficient time to adjust their current warranty agreements, including captain`s agreements, and to ensure that the new safeguard agreements are in compliance with this regulation. Reverse repurchase agreements (RRPs) are the end of a pension purchase agreement. These financial instruments are also called secured loans, buy-back/sale loans and loans for sale/buyback. “buyback transaction,” a transaction governed by an agreement whereby a counterparty transfers securities, property or guaranteed rights related to the ownership of securities or goods, when that guarantee is issued by a recognized exchange holding rights to securities or commodities and the agreement does not allow a counterparty to simultaneously transfer or mortgage a security or several counterparties; subject to the obligation to repurchase them, or replacement securities or products of the same description at a price specified at a date specified or indicated by the assignor, since it is a pension contract for the counterparty that sells the securities or products and a reverse pension contract for the counterparty that buys them; RepoA rep az angol sale and repurchase agreement kifejezs ltalnosan elterjedt rvidtse, melyet magyarul visszavsrlsi megllapodsnak fordthatunk. The principal amount Currency Assets used as collateral and their nature, quality and value; The method of providing guarantees; Whether security is available for reuse; Where security is separate from other assets, whether or not they have been reused; any substitution of security; Pension rate, loan fees or margina lending rate; Each haircut The value date The due date The first appeal date and the market segment; A reverse pension contract, or “reverse pension,” is the purchase of securities with the agreement to sell them at a higher price at any given time. For the party that sells the guarantee (and agrees to buy it back in the future), it is a buy-back (RP) or repo contract; for the other end of the transaction (purchase of security and consent to the sale in the future), it is a reverse repurchase agreement (RRP) or Reverse Repo. An RRP differs from Buy/Sell Backs in a simple but clear way. Purchase/sale agreements document each transaction separately and provide a clear separation in each transaction.
In this way, each transaction can be legally isolated, without the other transaction being fully feasible. On the other hand, the RRPs have legally documented every step of the agreement under the same treaty and guarantee availability and right at every stage of the agreement. Finally, the warranty in an RRP, although the security is essentially acquired, usually never changes the physical location or actual property. If the seller is late to the buyer, the warranties must be physically transferred.