General Collateral
General collateral (GC) is repo against a basket of acceptable Treasuries (or other eligible bonds) rather than a specific CUSIP — the opposite of specials.
Definition
General Collateral refers to the opposite of specials. Keep that definition fixed when comparing series, managers, or regimes — renaming the same tape does not create a new signal.
Why it matters
It is a named object desks use to frame risk, positioning, or process. When the opposite of specials shifts, related hedges, limits, and narratives usually need an explicit update rather than a quiet assumption.
Case
Suppose a desk is positioned for the opposite of what general collateral is saying. If the opposite of specials moves against that book, the first question is not “is the story clever?” but whether size, hedges, and stop logic still match the observation.
How to read it
Keep the definition fixed, then challenge it with cross-checks before sizing. Prefer a short written null hypothesis for General Collateral: what would falsify the current reading in the next window?