Repurchase is a transaction in which one party takes a certain amount of bonds as collateral, integrates funds and promises to repurchase mortgage bonds in the future.

Behavior. Repurchase is a kind of capital regulation behavior of the People's Bank of China, and the central bank mortgages its securities to transactions.

Business, so as to enter the capital and promise to repurchase and pay certain interest after maturity, which is the central bank to withdraw funds and lock in capital.

A market operation method of gold.

02 reverse repurchase

Reverse repurchase means that financial investors hand over funds to financial financiers and collect securities as collateral to recover funds in the future.

Interest, and clear the securities mortgage transactions. Among them, the purchase behavior is that the central bank puts liquidity into the market.

For; Selling operation is the behavior of the central bank to recover liquidity from the market. Reverse repurchase is obtained by borrowing funds.

Securities pledge, contrary to the central bank's repurchase.

The content of this article comes from: The New Encyclopedia of Financial Law (Fifth Edition) edited by China Law Publishing House.