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Bonds

Bonds are fixed income securities issued to lenders of long-term loans, with a maturity date. They provide returns in the form of fixed periodic payments.

Trading Transaction

Trading

Trading Transaction

Member Participants can carry out transaction through 3 types of functions, namely:

  1. Order Matching
    Order matching refers to the matching of identical trades placed by the buyer and seller into the pool that will automatically match the order in the pool according to the matching mechanism with a set of predefined matching principles. Once matched, an acknowledgement will automatically be sent to both parties.
    Types of Transaction
    1. Outright Buy and Sell (OBS)
    2. OBS trading is when a bond is bought or sold within standard terms and conditions stipulated in the normal bond trading environment
    3. When Issued (WI)
    4. WI trading commences on the tender announcement date of all bond instruments after stock creation, traded either on price or yield and trading continues until the tender results are announced to the market.
  2. Trade Negotiation
    It is a process whereby the trader advertises the quotes to selected participants. The respective parties may respond to the quotes advertised and negotiate electronically with the initiator to reach a favorable and agreeable price/volume.
    Types of Transaction
    1. Outright Buy and Sell
    2. When Issued
    3. Repo / Sell and Buy Back (SBBA)
  3. Trade Reporting
    A function to report any trade concluded between buyer and seller that has been trade outside the system. The system shall allow the parties involved in off market trades to report all transactions immediately regardless whether one or both of the parties to the transaction is a member participant, whether for own or clients’ account.