Impact of Liquidity on Bond Spreads
Premium
The various bonds trading in the market can have different liquidity. A highly liquid bond will trade very frequently, in large volumes, and will have a very low bid-ask spread. On the other hand a less liquid bond will trade less frequently and will have higher bid-ask spread.
Unlock Premium Content
Upgrade your account to access the full article, downloads, and exercises.
You'll get access to:
- Access complete tutorials and examples
- Download source code and resources
- Follow along with practical exercises
- Get in-depth explanations