NSD conducts first federal Treasury repo auction with floating rate
20 April 2018 Moscow
Image: Shutterstock
Russia’s Federal Treasury successfully conducted its first repo auction with a floating rate via National Settlement Depository’s (NSDs) collateral management system on 12 April.
The amount of concluded transactions reached RUB 60.7 billion ($98.8 billion).
Federal Treasury repos with a floating rate is a new product in NSD’s collateral management system product range.
The floating rate product will enable long-term repos to be performed at favourable market terms where interest rates are declining.
Transactions are performed using the basic floating interest rate to place funds and the interest rate spread.
The Federal Treasury plans to conduct regular auctions with the floating rate alongside repo auctions with the fixed rate.
The amount of concluded transactions reached RUB 60.7 billion ($98.8 billion).
Federal Treasury repos with a floating rate is a new product in NSD’s collateral management system product range.
The floating rate product will enable long-term repos to be performed at favourable market terms where interest rates are declining.
Transactions are performed using the basic floating interest rate to place funds and the interest rate spread.
The Federal Treasury plans to conduct regular auctions with the floating rate alongside repo auctions with the fixed rate.
NO FEE, NO RISK
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to Securities Finance Times
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to Securities Finance Times
