Tri-Party Repo Infrastructure Reform
A stable and well-functioning tri-party repo market is critical to the health and stability of the U.S. financial markets and the U.S. economy for several reasons. The tri-party repo market

  • creates market liquidity and price transparency for U.S. government and corporate securities that foster stable financing costs for U.S. companies and the U.S. government,
  • is interconnected with other payment clearing and settlement services that are central to U.S. financial markets and are operated by the two tri-party agent banks, and
  • serves as a critical source of funding for systemically important broker-dealers that make markets in U.S. government and corporate obligations.
To strengthen the resiliency of the tri-party repo infrastructure in stressed market conditions, the Federal Reserve looks to market participants to reduce reliance on intraday credit, make risk management practices more robust to a broad range of events, and take steps to reduce the risk that a dealer's default could prompt destabilizing fire sales of its collateral by its lenders.
Statistical Data
June tri-party repo  
June FICC GCF repo 
Daily average collateral value and margin trends in the tri-party repo market 
Explanatory notes
All historical data »
News and Announcements
Speeches
Liberty Street Economics Blog
The Tri-Party Repo Market Like You Have Never Seen It Before
October 19, 2015

Financial Innovation: Evolution of the Tri-Party Repo Arrangement
May 13, 2015

Financial Innovation: The Origins of the Tri-Party Repo Market
May 11, 2015

Don't Be Late! The Importance of Timely Settlement of Tri-Party Repo Contracts
October 20, 2014

What’s Your WAM? Taking Stock of Dealers’ Funding Durability
June 9, 2014

Mapping and Sizing the U.S. Repo Market
June 25, 2012

Stabilizing the Tri-Party Repo Market by Eliminating the "Unwind"
June 20, 2011

Remaining Risks in the Tri-Party Repo Market
November 7, 2011
Related New York Fed Content
Related External Content
Contacts
Key Events
2014
May: Bank of New York Mellon implements technology changes that further reduce the extension of intraday credit to dealers to facilitate tri-party repo settlement. Bank of New York Mellon and J.P. Morgan Chase have now reduced the extension of intraday credit to dealers to less than 10% of the entire tri-party repo book.
March: J.P. Morgan Chase meets the intraday risk reduction goal for all non-GCF tri-party repo transactions and transitions clients to capped committed credit.
2013
November: Bank of New York Mellon stops providing intraday credit to facilitate the settlement of non-maturing trades and rolled trades (those renewed with same counterparty and collateral).
June: J.P. Morgan Chase stops providing intraday credit to facilitate the settlement of rolled trades (those renewed with same counterparty, collateral, and value).
February: Bank of New York Mellon stops providing intraday credit to facilitate the settlement of repos backed by non-government securities.
2012
November: J.P. Morgan Chase introduces collateral optimization functionality that allows it to stop providing intraday credit to manage the settlement of non-maturing trades.
2011
October: J.P. Morgan Chase and Bank of New York Mellon implement the three-way trade matching process recommended by the industry Task Force.
August: J.P. Morgan Chase and Bank of New York Mellon implement the industry Task Force’s recommendation to move the start of tri-party repo settlement from 8:30 am to 3:30 pm.
June: J.P. Morgan Chase and Bank of New York Mellon implement the industry Task Force’s recommendation to establish automated collateral substitution capability.
2010
2009
September: The Tri-Party Repo Infrastructure Reform Task Force is established with industry membership.
2007-2008
Weaknesses in the tri-party repo market surfaced during the financial crisis.