Home > Term: dollar roll
dollar roll
Relatively common transaction in the US mortgage-backed securities market that is similar to a reverse repo transaction. A client sells a security for normal settlement (2-3 days) and agrees to repurchase similar securities for future settlement (typically one month). It is basically a financing of securities for the repurchaser.
- Part of Speech: noun
- Industry/Domain: Banking
- Category: Investment banking
- Company: UBS
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Creator
- Stefan K
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