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Post by mozart522 on Nov 4, 2022 12:05:33 GMT
It seems they send you to an OTC shop. What is the process?
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Post by yogibearbull on Nov 5, 2022 12:13:26 GMT
Unclear what the issue is. Please explain the cryptic comment.
Brokers send orders to dealers and clearing firms. I see typical bid-ask for Treasuries to buy and sell in the secondary market at Vanguard brokerage (and at Fido and Schwab too).
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Post by mozart522 on Nov 5, 2022 17:38:04 GMT
Unclear what the issue is. Please explain the cryptic comment. Brokers send orders to dealers and clearing firms. I see typical bid-ask for Treasuries to buy and sell in the secondary market at Vanguard brokerage (and at Fido and Schwab too). Thanks. Wasn't trying to be crypic, just was confused by them saying "Vanguard Brokerage doesn't make a market in Treasury securities. If you wish to sell your Treasury securities prior to maturity, Vanguard Brokerage can provide access to a secondary over-the-counter market." Maybe it was the word, "can" instead of "will" that confused me. Just wanted to know the process. So I assume this is all done on or through the Vanguard site? |
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Post by yogibearbull on Nov 5, 2022 18:01:48 GMT
I think that this is fine.
Sometimes, I noticed that Fido or Schwab use their inventory to fill some orders. The trade confirmation would indicate this. Regulations are that such internal fills must be at prices better or below public quotes. It seems that Vanguard brokerage doesn't do this for Treasuries.
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Post by Chahta on Nov 6, 2022 14:43:46 GMT
Unclear what the issue is. Please explain the cryptic comment. Brokers send orders to dealers and clearing firms. I see typical bid-ask for Treasuries to buy and sell in the secondary market at Vanguard brokerage (and at Fido and Schwab too). Thanks. Wasn't trying to be crypic, just was confused by them saying "Vanguard Brokerage doesn't make a market in Treasury securities. If you wish to sell your Treasury securities prior to maturity, Vanguard Brokerage can provide access to a secondary over-the-counter market." Maybe it was the word, "can" instead of "will" that confused me. Just wanted to know the process. So I assume this is all done on or through the Vanguard site? I am at Schwab. I believe it is similar to Vanguard. To sell a treasury before maturity you submit what you want to sell and they give you a quote good for a period of time. Is that what Vanguard is saying? |
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Post by mozart522 on Nov 7, 2022 13:24:45 GMT
Thanks. Wasn't trying to be crypic, just was confused by them saying "Vanguard Brokerage doesn't make a market in Treasury securities. If you wish to sell your Treasury securities prior to maturity, Vanguard Brokerage can provide access to a secondary over-the-counter market." Maybe it was the word, "can" instead of "will" that confused me. Just wanted to know the process. So I assume this is all done on or through the Vanguard site? I am at Schwab. I believe it is similar to Vanguard. To sell a treasury before maturity you submit what you want to sell and they give you a quote good for a period of time. Is that what Vanguard is saying? That's the problem, Vanguard only says what I quoted, and calling them is a lot of time I'll never get back. I'm sure your explanation is correct. Thanks. I assume you would need to sell in lots of $1000? My thinking is if the 2-5 year gets to aout 5%, I'll buy a truckload and when rates come back down sell them for a gain. If rates don't come down just hold them. Safer than bond funds in my thinking. |
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Post by Chahta on Nov 7, 2022 13:31:13 GMT
mozart522, you are on the right track. 5% safe long-term could be good. Some "forecasters" are calling for 10 years without equity gains.
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