Black out logo in the Repurchase Agreement

Aug 6th, 2022
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Structural difference in remedies in the event of default (the GMRA structures the remedies based on close-out and set-off rights by the buyers and sellers of securities; the MRA relies on termination and liquidation or replacement of securities and deemed liquidation or replacement).
GMRA is the acronym for the Global Master Repurchase Agreement. It is a model legal agreement designed for parties transacting repos and is published by the International Capital Market Association (ICMA), which is the body representing the cross-border bond and repo markets in Europe.
Risks of Repo The borrower also faces some risk: if the security value rises above the agreed-upon terms, the creditor may not return the security.
The ISDA is broader in scope, dealing with a variety of derivatives and is geared towards managing the complex risks associated with these instruments. In contrast, the GMRA is specific to repo transactions, emphasising the security and liquidity aspects of short-term financing through the transfer of securities.
The Global Master Securities Lending Agreement (GMSLA) is the most commonly used contract in the international securities lending market. It provides a standard agreement to replace the range of agreements used in the market, with many provisions shared with the Global Master Repurchase Agreement (GMRA).
The latest version of the MRA was published in 1996 by SIFMA, then known as the Bond Market Association (BMA), and can be found on the SIFMA websiteOpens in a new window. Note that the Global Master Repurchase Agreement (GMRA), also published by SIFMA, is used for non-US repo transactions.

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