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Bond Market Briefs

  Financial Education for Bond Traders  

Market Briefs:

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ETFs

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Bonds


 
 
Benchmark Interest Rates Corporate Bonds +3 Years Corporate Bonds - 3 Years Moody's Ratings Overview
 
 

 


 

Benchmark Interest Rates


 

Benchmark Interest Rates

As of Thurs, 13 Aug 2015 03:56 PM EDT. Data available real-time to PT clients in Trader Workstation.

 

View:

  • Benchmark Interest Rates 

  • (O/N) Overnight Benchmark Rates

  • Implied 3-Month Future (%)

  • 10-Year Government Bond Future (%)

  • Percentage Rates

  • Change in Rates

 

Bond Education

 
 

 

 

Investment Grade +3 Years

Non-Investment Grade +3 Years

 

As of Thur, 13 Aug 2015 03:56 PM EDT. Tables updated throughout the day. Data available real-time to PT clients in Trader Workstation.

 

Bond Education

 

 


 

Corporate Bonds  - 3 Years


 

Investment Grade -3 Years

Non-Investment Grade -3 Years

As of Thur, 13 Aug 2015 03:56 PM EDT.  Tables updated throughout the day. Data available real-time to PT clients in Trader Workstation.

 
Bond Education

 


 

 

 

Moody's Ratings Overview

 

Moody's Investor Service rates the long-term debt of many companies and assigns its bonds a rating, adopting a two-tier structure to discern between two types of ratings. The system creates a watershed for investors wanting to distinguish between Investment Grade and Non-Investment Grade corporate bonds. Some investors will only invest in a specific quality of bonds that are awarded a sufficiently high rating by one of the several bond rating agencies.  Other agencies include Standard & Poors and Fitch & Co.

Investment Grade is the highest rating for corporate bonds and in the opinion of the rating agency, bonds carrying such a rating, are less likely to default on their principal and coupon repayments than companies whose bonds are rated Non-Investment Grade. Typically, Investment Grade rated corporate bonds carry lower yields than Non-Investment Grade bonds. The cost of raising capital is, therefore, higher to companies with weaker ratings and reflects the associated risks of investments.

The current Moody's rating scale ranks corporate bonds under the categories of either Investment Grade or Non-Investment Grade:

  • Investment Grade corporate bonds from the highest ratings to the lowest in the following order: Aaa, Aa1, Aa2, Aa3, A1, A2, A3, Baa1, Baa2, Baa3.
  • Non-Investment Grade corporate bonds are rated from the highest ratings to the lowest in the following order: Ba1, Ba2, Ba3, B1, B2, B3, Caa1, Caa2, Caa3, Ca and C.

A reading of WR defines a rating that has been withdrawn by Moody's indicating that it is not currently rated by the agency.

  

Please Note:

The material presented in this commentary is provided for informational purposes only and is based upon information that is considered to be reliable. However, neither Place Trade Financial, Inc. nor its affiliates warrant its completeness, accuracy or adequacy and it should not be relied upon as such. Neither PT nor its affiliates are responsible for any errors or omissions or for results obtained from the use of this information. Past performance is not necessarily indicative of future results.

This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instruments. Securities or other financial instruments mentioned in this material are not suitable for all investors. Any opinions expressed herein are given in good faith, are subject to change without notice, and are only correct as of the stated date of their issue. The information contained herein does not constitute advice on the tax consequences of making any particular investment decision. This material does not take into account your particular investment objectives, financial situations or needs and is not intended as a recommendation to you of any particular securities, financial instruments or strategies. Before investing, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.

*Market Brief information and statistics are provided courtesy of (IB) our clearing firm.


Bond Education 

 


 

 

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Learn more about Bonds below and on our Bond Trading web page via this link.

 

Place Trader University

Bond Trading

What is a bond? A bond is a debt investment in which an investor loans money to an entity, either a government or corporation, which borrows the funds for a defined period of time at a fixed interest rate. Bonds are often referred to as fixed-income securities.

 

Important Terms to Understand Before Trading Bonds 

 

 

Bond Resources

 

 

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