Method and apparatus for conducting loan repurchase transactions

Abstract

Systems, methods, apparatus, computer program code and means for conducting repurchase transactions include identifying at least a first bank loan held by a first party. The at least first bank loan is transferred to a second party in exchange for a first sum, and the parties agree, at substantially the same time as the parties agree to the transfer, that the first party repurchases the first bank loan at a later date for a second sum. In some embodiments, reverse repurchases may also be performed.

1 - 15 . (canceled) 
     
     
         16 . A transaction method, comprising:
 entering into a plurality of reverse bank loan repurchase agreements to build an inventory of available bank loans;   lending, for a term, at least one of said available bank loans to a short seller in exchange for collateral and a fee;   receiving, prior to expiration of said term, a return of said at least one of said available bank loans; and   returning said collateral to said short seller upon said return.   
     
     
         17 . (canceled) 
     
     
         18 . A transaction apparatus, comprising:
 a processor; and   a memory in communication with said processor and storing instructions for operating said processor to
 receive information identifying a first bank loan having a desired risk profile; 
 generate an agreement causing said first bank loan to be borrowed from a lender for a period in exchange for collateral and a fee, said agreement further causing said first bank loan to be sold to a buyer for a payment amount. 
   
     
     
         19 - 23 . (canceled) 
     
     
         24 . The transaction method according to  claim 16 , wherein said bank loans having been made under one or more revolving lines of credit, said bank loans not being associated with securities or mortgages. 
     
     
         25 . The transaction method according to  claim 16 , further comprising setting a funds-exchange margin and a re-assessable loan-market value as terms for said inventory of available bank loans. 
     
     
         26 . The transaction method according to  claim 16 , further comprising identifying an equivalent substitute of said bank loan and receiving, prior to expiration of said term, a return of said at least one of said available bank loans or said equivalent substitute of said bank loan. 
     
     
         27 . The transaction apparatus according to  claim 18 , wherein said bank loan having been made under a revolving line of credit, said bank loan not being associated with a security or a mortgage. 
     
     
         28 . The transaction apparatus according to  claim 27 , further comprising setting a funds-exchange margin and a re-assessable loan-market value as terms for said first bank loan. 
     
     
         29 . The transaction apparatus according to  claim 28 , further comprising identifying an equivalent substitute of said bank loan and repurchasing said first bank loan or said equivalent of said first bank loan for a second payment amount prior to an expiration of said period. 
     
     
         30 . The transaction apparatus according to  claim 18 , wherein said first bank loan is a syndicated loan. 
     
     
         31 . The transaction apparatus according to  claim 18 , wherein said first bank loan has a coupon of greater than or equal to approximately Libor+1.00%. 
     
     
         32 . A processor implemented transaction method, comprising:
 entering, by a processor, into a plurality of reverse bank loan repurchase agreements to build an inventory of available bank loans, said bank loans having been made under one or more revolving lines of credit, said bank loans not being associated with securities or mortgages;   setting, by the processor, a funds-exchange margin and a re-assessable loan-market value as terms for said inventory of available bank loans;   facilitating lending by the processor, for a term, at least one of said available bank loans to a short seller in exchange for collateral and a fee;   identifying, by the processor, an equivalent substitute of said bank loan;   receiving, by the processor, prior to expiration of said term, a return of said at least one of said available bank loans or said equivalent substitute of said bank loan; and   returning, by the processor, said collateral to said short seller upon said return.