SECURITIES LENDING & REPO MARKETS

A CACEIS PRODUCT DEVELOPMENT PUBLICATION - OCTOBER 2010

3.5 Risk versus return..................................................................................................................................... 55 3.5.1 Risk management considerations......................................................................................... 55 3.5.2 Securities lending returns mechanisms............................................................................. 57 3.5.3 New model of returns towards intrinsic value................................................................. 57

CONCLUSION........................................................................................................................................................ 59

BIBLIOGRAPHY................................................................................................................................................................ 60

GLOSSARY............................................................................................................................................................. 61

APPENDIX – GMSLA AND GMRA STANDARD AGREEMENTS.................................................... 71

page 6 | Securities Lending & Repo markets