“Executives from two of the biggest names in corporate-bond trading said concern about liquidity is overdone.”
“Dennis Kelleher, president of Better Markets, which advocates for more stringent financial regulation, challenged some oft-cited statistics in the debate, including the decrease in dealer inventories. The drop in inventories of corporate bonds is small and is made to look bigger by large declines in the holdings of mortgage securities, he said in the panel discussion.
‘There never was a golden age of liquidity when you all get to trade at the price and the size and the time you’d like,’ Kelleher said.”
Read the full Bloomberg article by Michael J Moore & Alex Harris here.