This copy is for your personal, non-commercial use only. To order presentation-ready copies for distribution to your colleagues, clients or customers, click the "Reprints" link at the top of any article.
Lifting the Veil From the Bond Market
Systems promoted by regulators to improve transparency—such as soon-to-be-implemented FINRA announcements of corporate debt pricing—also wipe out traders' profits.
This thing called transparency is spreading in the corporate-bond market, and it’s hurting traders’ bottom lines.
Credit traders are increasingly being forced to publish the prices at which they bought and sold securities. They’re reaping smaller profits as a result, so it’s no wonder they’re negative on new proposals requiring them to report details on an even broader swath of debt trades.
Copyright 2016 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.