The Secondary Bond Market is a market where bonds that have not yet reached their maturity date are traded and exchanged among investors. In this market, companies act as intermediaries in the buying and selling of these secondary bonds.
The key features of the Secondary Bond Market are as follows:
- It provides opportunities for investment at any time and increases the liquidity of investment portfolios.
- It offers a variety of bond options and various credit ratings for investors to choose from.
- There are no trading fees involved in buying and selling bonds.
- Investors can offer their held bonds for sale without any limitations on the investment size.
- Buying and selling can be conducted on a daily basis.
- Investors can set the price at which they want to buy or sell bonds and determine the settlement date.