Insights

Centrally cleared repo market brief

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Through innovative and flexible cash investment and financing solutions, we provide both our custody and third-party clients access to the Fixed Income Clearing Corporation (FICC) sponsored repo platform.

Given the interconnectivity between repo markets, monetary policy and macroeconomic trends, we want to help you stay up to date on what’s happening in the market with a specific focus on the rapidly growing sponsored segment. With views on recent market trends and what to expect in the future, our quarterly briefs give you the insight you need to unlock the benefits of centrally cleared repo.

May 2025

Highlights from this quarter

  • Significant cash (money market fund) inflows continued as the Fed’s transition to easing has unfolded more slowly than originally expected.
  • FICC Sponsored activity continued to rise, particularly in the Cash Investor space – although volatility was slightly softer than Q4 and growth rates have slowed.
  • Inflation concerns and hawkish sentiment dominated the quarter until late March, when aggressive trade policy pronounced recessionary fears.
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