Korean repo volumes surge in 2021 20 January 2022Korea Reporter: Carmella Haswell
Image: zhenliu/stock.adobe.com
The Korean Securities Depository (KSD), a triparty repo agent, has announced a dramatic surge in repo trading volumes in 2021.
Volumes increased by 5.3 per cent YoY to US$19.6 trillion in 2021, according to KSD鈥檚 data on opening settlement.
The new record high represents a 75 per cent increase from US$11.2 trillion in 2017.
The daily average trading volume has risen by 18.8 per cent YoY to US$106.0 billion in 2021, which is a 107 per cent increase on US$51.1 billion daily ATV in 2017.
By the end of 2021, the repos traded among institutions in Korea were 12-fold larger than call loans.
Overnight repos make up the largest share at 68.2 per cent, USD 72.5 billion of the entire trading volume, while the rest is composed of longer-term transactions.
The growth was largely driven by the excess liquidity during the COVID-19 pandemic and the sizable purchase and sale of government securities under open market operations.
NO FEE, NO RISK 100% ON RETURNSIf you invest in only one securities finance news source this
year, make sure it is your free subscription to Securities 麻豆影视传媒 Times
Image: zhenliu/stock.adobe.com 