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PSA/ISMA Global Master Repurchase Agreement (GMRA) is the market-standard document used for trading repo in instruments other than U.S. Treasuries in the international repurchase (repo) agreement markets. The Bond Market Association (formerly Public Securities Association) and the International Securities Market Association jointly developed this standard documentation.
The master agreement sets out the relationships between parties and general positions applicable to all repos in terms of definition, delivery and payment obligations of the parties, margin mechanics, rights of substitution, treatment of income on securities involved, notice provisions etc. The agreement also seeks to specify clearly the events of default and the consequential rights and obligation of the counterparties. To bring the SGS market in line with international standards, MAS encourages the adoption of the widely used PSA/ISMA Master Repurchase Agreement by market players here. MAS has already adopted this agreement in relation to repo trades with MAS counterparties.
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