Hi
What is Rate,Reverse Repo Rate,Bank Rate. How do u
determine the Price Brand of an IPO How do u fix the Base
Price of the IPO.
Answers were Sorted based on User's Feedback
Answer / a mukherjee
Repo means Repurchase Agreement.It is same as bank rate but
it comes with a repurchase agreement. Suppose ,RBI wants to
decrease the liquidity in the economy (recent condition as
on 21st march 2010)it will increase the rate.
when RBI is performing the repo it will sell the securities
to the commercial banks with an agreement that it will
purchase in the agreed date .In this same transaction the
commercial bank is performing reverse repo..
| Is This Answer Correct ? | 3 Yes | 1 No |
Answer / b chaitanya
Rate means it is a percentage of the repo rate.
Reserve repo rate means to increasing the liqidity
Bank liqidity rate
IPO means innetial public offer.
Fixing the base price depending up on the required capital
and reserve capital.
| Is This Answer Correct ? | 0 Yes | 7 No |
Answer / santosh ratha
rate mean repo rate.repo rate is the rate which injects
liquidiy in to the economy while reverse repo is the rate
which absorb liquidity from the system.e.g.,through treasure
bill.bank rate is the rate at which central bank gives loan
to commercial bank.
| Is This Answer Correct ? | 0 Yes | 12 No |
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