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repurchase agreement
noun
- a contract between a dealer, as a bank, and an investor, whereby the investor purchases securities with the promise that they will be bought back by the dealer on a designated date, for which the investor receives a fixed return.
- a contract between a buyer and a seller whereby the seller agrees to repurchase the item sold after a specified length of time or amount of use. : RP
repurchase agreement
noun
- an agreement in which a security or asset is sold and later repurchased at an agreed price to raise ready money Sometimes shortened torepo
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Word History and Origins
Origin of repurchase agreement1
First recorded in 1920–25
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