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Trading at NYSE/NYSE Bonds

NYSE Bonds


Market Highlights

  • Firm Orders
  • Price/Time Allocation Model
  • Locked In Trades
  • No Execution Fees
  • Rebates for Liquidity Providers

The NYSE Bond marketplace provides opportunities for both liquidity takers and liquidity providers to interact in a fair, open environment. There are no subject orders — all orders are firm. All trades are locked in and uploaded to DTCC with the appropriate accrued interest adjustments made for clearing and settlement.



The NYSE Bonds orders are matched on a strict price/time priority basis. Undisplayed reserve interest will always yield to displayed orders at a particular price. All orders will only be matched with orders resident in the order book. Bonds will trade in decimal increments to 2 decimal places (e.g. 101.32).


Trading Hours

  • Early Trading 4:00 a.m. ET — 8:00 a.m. ET
  • Core Trading 8:00 a.m. ET — 5:00 p.m. ET
  • Late Trading 5:00 p.m. ET — 8:00 p.m. ET
Bond Auctions

The NYSE conducts two daily bond auctions – an Opening Bond Auction at 4:00 a.m. ET and a Core Bond Auction at 8:00 a.m. ET. Orders not executed in either auction become eligible for continuous trading immediately after the auction.

Holidays

Order Types

  • Limit: an order to buy or sell a stated amount of bonds at or above a specified price
  • Reserve: a limit order with a portion of the size displayed, with a reserve portion of the size (the reserve size) that is not displayed
  • Good Til Cancelled: a limit order to buy or sell at a specified price that remains active (during core trading hours) from one day to the next until the order is either executed or cancelled

Bond orders that trade on the NYSE are represented by a nine-character CUSIP.



An order to buy $25,000 face value of bonds issued by IBM with a coupon rate of 6.50% maturing on January 15,  2028, would appear in the NYSE system as:

  • Buy 25 459200AS0 @ 101.67
    • Quantity: 25 represents the number of bonds traded with a face amount of $1000
    • Price :  expressed as “Percent of Par Value” (over 100 is at a premium, under 100 is at a discount to the face value)
    • CUSIP: 3704A0KC5 is the NYSE symbol for this specific bond issued by IBM.

Trading Fees

Execution Fee per bond for orders that take liquidity from the NYSE BondBook:

Executions of one to ten (10) bonds$0.00 per bond
Executions of eleven (11) to twenty-five (25) bonds$0.00 per bond
Executions of twenty-six (26) bonds and above$0.00 per bond
Bond Liquidity Provider rebate$0.05 per bond
Bond Liquidity Provider rebates are subject to a $50.00 maximum fee per execution.

Membership

To trade on the NYSE Bonds platform, your firm must have membership to NYSE and complete the NYSE Bonds Membership Application.

For questions regarding the application, please contact Client Relationship Services.


Connectivity

NYSE Bonds offers a range of connectivity options to access our market.

Connect Directly Through the FIX Gateway
Connect with Bloomberg

As a Bloomberg Trade Order Management System (TOMS) customer, a preferred strategic partnership with NYSE Bonds will give you an additional avenue of liquidity—at no added cost. For more information, please visit the Bloomberg TOMS page.


Clearing

NYSE Bonds leverages an all-electronic trading platform to provide efficient and transparent trades.

Post Trade Processing
Once a trade has been executed, trade details are transmitted to the National Securities Clearing Corporation (NSCC®) for clearance and settlement via the Regional Interface Organization (RIO). All DTCC/NSCC RIO eligible bond trades executed on the NYSE Bonds platform will be submitted to NSCC® without an omnibus account as "locked-in transactions" meaning that the bond platform has matched the details of the trades from buyer and seller.

Clearance and Settlement Notices

  • Give-ups will not be available
  • All trades will be reported to NSCC® with the accrued interest included in the price
  • If the bond is CNS eligible, all trade settlement will follow the regular way, two-day settlement timetable
  • The buyer and seller will be responsible for certain bonds that trade ex-clearing and clearing submission
  • DTCC supports NYSE RIO for all participants that trade bonds on NYSE. To receive the NYSE RIO, please contact your Depository Trust and Clearing Corp. (DTCC) representative.

All DTCC / NSCC RIO eligible bond trades executed on the NYSE platform will match the trade details of both buyer and seller by submitting them to NSCC® as locked-in transactions without an omnibus account.

NYSE Bonds Ex-Clearing Securities
NYSE Bonds Participant Clearing Numbers

If you have trade breaks or have clearing questions on the new bond platform, please contact us between 8:00 a.m. and 6:00 p.m. ET.