Agency transaction
(Last updated: )
An “Agency Transaction” is one in which a third party is given authority (whether express or implied) to enter into a transaction under the Global Master Repurchase Agreement on behalf of a “Principal”. The most typical practical example of an “Agency Transaction” arises where an investment manager enters into a GMRA and Repurchase Transactions on behalf of the funds which it manages.
The parties can indicate in Annex 1, Paragraph 1(c) of the 2011 GMRA whether they wish to enter into Agency Transactions. If so, the Agency Annex of the GMRA should apply.
Contact Us