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IRR
IRR or Irr may refer to: Finance * Implied repo rate, in the futures market * Internal rate of return, a profitability metric * Iranian rial, currency of Iran by ISO 4217 code * Interest rate risk, financial risk from fluctuating interest rates Organisations * Incident Response Regiment (Australia), an emergency response agency * Institute of Race Relations, a policy institute * Institute for Religious Research, an apologetics organization * Iraqi Republic Railways, a transportation operator *South African Institute of Race Relations, a think tank Science and technology * Image rejection ratio, a radio metric * Interrupt Request Register, a register used for managing interrupts in programmable interrupt controllers * Internet Routing Registry, a network routing database * Irregular galaxy, a galaxy that does not have a distinct regular shape Other * Incidence rate ratio, a statistic derived from a Poisson regression model * Individual Ready Reserve, a personnel status of the ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Implied Repo Rate
Implied repo rate (IRR) is the rate of return of borrowing money to buy an asset in the spot market and delivering it in the futures market where the notional is used to repay the loan. Simplified closed form IRR = \left( \frac \text \text -1 \right)\left( \frac \text \text \right) where dayBase is 365 or 360 Usage Determine the cheapest to deliver asset To determine the cheapest bond in a basket of deliverable bonds against a futures contract, implied repo rate is computed for each bond; the bond with the highest repo rate is the cheapest. It is the cheapest because it has the lowest initial value to yield a higher return provided it is delivered with the stated futures price. The net basis between a futures price and its underlying bonds may provide an indication of which bond is the cheapest. However, since the method, unlike the IRR method, neglects the actual running cost of bonds, it is less accurate as a measure for CTD ranking. See also *Official bank rate *Repo ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |