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American Bankers Association CTFA Exam - Topic 3 Question 103 Discussion

When securities repurchased under repos commonly have a principal amount that differs from principal amount of the security originally sold under the agreement, is known as:
B) Breakage
A) Splintering act
C) Rollover
D) None of the above

American Bankers Association CTFA Exam - Topic 3 Question 103 Discussion

Actual exam question for American Bankers Association's CTFA exam
Question #: 103
Topic #: 3
[All CTFA Questions]

When securities repurchased under repos commonly have a principal amount that differs from principal amount of the security originally sold under the agreement, is known as:

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Suggested Answer: B

by Altha at May 04, 2026, 11:40 PM

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Latanya
2 days ago
But what if it's D) None of the above?
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Alishia
7 days ago
Yeah, it fits the definition well.
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Billy
12 days ago
I feel like C) Rollover is the best choice.
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Huey
17 days ago
B) Breakage seems plausible too.
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Latanya
23 days ago
I agree, but what about A) Splintering act?
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Alishia
28 days ago
I think it's C) Rollover. Sounds right.
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Michel
1 month ago
I feel confident about B) Breakage. It’s a known concept.
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Kimbery
1 month ago
I don’t like any of the options. None of the above might be right.
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Jacinta
1 month ago
I’m with Kyoko. Rollover is a common term in finance.
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Alaine
2 months ago
I’m not sure, but I feel like A) Splintering act could fit.
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Selma
2 months ago
I disagree, I lean towards B) Breakage. It makes more sense.
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Kyoko
2 months ago
I think it's C) Rollover. Seems logical.
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Lewis
2 months ago
Splintering act? Never heard of that one!
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Tammara
2 months ago
Definitely Breakage! Learned that the hard way.
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Elmira
2 months ago
Wait, is Breakage really the right term? Sounds off.
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Selma
3 months ago
I thought it was Rollover, but I guess not.
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Glendora
3 months ago
It's called Breakage, option B!
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Francesco
3 months ago
I’m leaning towards "none of the above," but I really need to double-check my notes on repos to be certain.
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Jacquelyne
5 months ago
This question seems familiar; I think we covered something about "rollover" in class, but I’m not confident it fits this scenario.
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Nan
5 months ago
I remember studying repos, and I feel like "breakage" was mentioned in a similar context, but I can't recall the exact definition.
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Jaime
5 months ago
I think this might be related to how repos can have different terms, but I’m not entirely sure which term applies here.
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