Rehypothecation

Home / Glossary / Rehypothecation

Rehypothecation

What is Rehypothecation

Rehypothecation is a technique in which banks and brokers use assets that their clients have placed as security for their own uses. Clients who consent to the rehypothecation of their collateral may receive compensation in the form of a fee refund or a reduction in the cost of borrowing.

My Newsletter

Sign Up For Updates & Newsletters

Email: