Examples of Net Exposure in a sentence
Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default.
There will be a Maximum Net Exposure: 1.5X and a Maximum Gross Exposure: 3X.
If the Repo Counterparty has a Net Exposure, the Issuer will be required to transfer Eligible Securities to the Repo Counterparty as margin such that the Net Exposure is reduced to zero.
E is less than zero (a negative number), the Repo Counterparty has a Transaction Exposure equal to the lower of (A) the absolute value of E and (B) the value of the Purchased Securities.If the Issuer has a Net Exposure as at the date of the weekly determination, the Repo Counterparty will be required to transfer additional Eligible Securities to the Issuer as margin such that the Net Exposure is reduced to zero.
Maximum Net Exposure: 1.5X Maximum Gross Exposure: 3XL1 Capital is permitted to borrow on behalf of the Fund.