Resumen de Statement of the financial economists roundtable, April 2015: : The structure of trading in bond markets
Larry Harris, Albert S. Kyle, Erik R. Sirri
Bonds worldwide still trade in largely opaque dealer markets in which public investors generally cannot easily trade with one another. As a result, transaction costs can be substantially higher for bonds than for equities. The creation of an automated order display facility that would permit public investors and dealers to post limit orders to buy and sell bonds would substantially improve bond market liquidity, provided that dealers were required to protect these displayed orders. Dealers would remain important in the bond markets because for many bonds, public investors are rarely on both sides of the market at the same time.
