Derivatives

Best-of-Two-Asset Option

December 3, 2021
Finance

Tom/Next-Indexed Repo

December 3, 2021

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A type of floating rate repo (variable rate repo) in which the spot/next (S/N) index is used rather than the usual overnight index (OI). The spot/next rate is typically set starting two days forward (in other words, it starts a day after the spot date). The contract is rolled out one further day and the corresponding rate is the spot/next repo.

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