Bloomberg Market Concepts. Complete “Getting Started”, “Terminal Basics”, and “Fixed Income” under core concepts. Students sign up on the Bloomberg terminal.
Create a hypothetical 6 bond portfolio using data from Bloomberg and write a paper providing information on the 6 bonds. Assume each bond purchase is for $1,000,000 face value. The student should have three corporate bonds and three municipal bonds. Each corporate bond issue must have a minimum of $50,000,000 outstanding, have a US domiciled issuer, and be in US dollar currency. Each municipal bond issue must have a minimum of $25,000,000 outstanding, and may be taxable, tax-free, or subject to AMT. Bonds can be fixed or floating but the better papers with have at least one floating rate corporate. My preference is: two fixed rate corporates and one floating rate corporate; and three fixed rate municipals, one a general obligation bond and two revenue bonds. If you can give me your view on bond, please add to the paper.
- Coupon, maturity, price, date of your observation.
- Light information on the issuer; just three sentences.
- Security or collateral if stated.
- Call dates, call prices, and any sinking fund provisions.
- YTC, YTM, YTW.
- Invoice price broken down by price plus accrued interest.
- Yield spread data including, Treasury Benchmark and spread, G-spread, I-spread, and OAS.
- Any other relevant facts.