A recent IT announcement hit on something we’ve been thinking about for a while now: the possibility that five years from now, there will be no such thing as securities loans, repo or Total Return Swaps for financing. Instead, there will just be one product that satisfies the economic function of providing access to cash or securities for a multitude of purposes. Presumably this product will offer the lowest charge to bank balance sheets as credit intermediaries.
This content requires a Finadium subscription. Articles with an unlocked symbol can be accessed with free registration. Log in or create a free account by signing up here..