The Fed’s Improved Bond-Buying Program Explained

As part of the Fed’s SMCCF, it will not only buy bond funds, but also individual corporate bonds, the total size of all bond-buying programs is $750 billion, roughly 4% of U.S. GDP. Clearly with this buying volume / size markets impact could be significant,  use Overbond’s COBI analytics to understand the impact on bond…

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Major Stock Markets Fall Again as Bonds Take the Spotlight

With central banks doing what they can to stoke greater economic activity, interest rates look poised to stay low for the foreseeable future. Even with 10-year Treasury yields below 0.75% and 30-year yields just above 1.5%, rates can conceivably fall even further. With yield compression squeezing relative value hunters, deep learning analytical tools have never…

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The market crash has investors rethinking their bond ETFs

The hit on fixed-income ETFs in March was a wake-up call to many investors. What was viewed as a safe-haven asset wasn’t as safe as originally thought. Liquidity issues stretched the discrepancy between their NAVs and their intrinsic value. Use Overbond’s liquidity-adjusted pricing to screen for the best performing bond ETFs. Source: The Globe and…

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Can AI solve for bond market illiquidity?

Historically a fractured market for data dissemination, OTC bond market participants have been yearning for a consolidation, similar to that of the public equities markets. With the emergence of machine-learning technology, the hopes of a fully transparent market are now on the horizon. Overbond can solve this problem for clients through its unique data aggregation…

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The Trouble With Indexing High-Yield Bonds

To address the liquidity challenges of the IG bond ETF market, some active managers have focused on creating baskets of the most liquid part of the market. Use Overbond to classify bonds into liquidity buckets for more effective rebalancing and tracking. Track historic liquidity scoring to ensure constituents in your basket remain stable over the…

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Bond markets ‘severely impaired’ amid coronavirus crisis

The coronavirus crisis caused market volatility and dislocation in the EUR IG bond market that surpassed those seen in 2007 and 2008, with “some market participants report[ing] that the market had become dysfunctional.” Overbond’s deep liquidity score uncovers dealable ISINs from issuers with the highest liquidity profile by incorporating settlement-layer data. This adds the dimension…

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