The Repo-Reverse Repo market is one of the leading organized repo markets of the world. With the inception of the operations of the market, a low-risk and low-cost environment has been established for repo transactions.

Securities which are held as collateral in sufficient amounts at the starting value date of the transaction are kept in custody in the name of the party executing the reverse repo until the ending value date of the transaction. A daily re-appraisal is conducted on such securities according to the conditions of the market and if any depreciation is determined, additional collateral is sought. Settlement transactions on the ending value date are realized automatically.

All the above mentioned services are provided by ISE, and such securities are kept in custody by ISE Settlement and Custody Bank Inc.