I don't know what you mean by asymmetry, you will get a yield that is approximately the same as you would get buying on the secondary market at the same time. Of course, those long term rates may change between now and the auction.We didn't understand each other. After all, there is no price for these bonds as of today. I don't see that price, as I understand it will be set in the form of an auction, but there is no way, at least I don't see how, to set an auction price limit or a YTM limit. You can only place a Market Order meaning yes I will buy, but I do not know at what YTM. Buying a cat in a bag. What if there is some asymmetry in the market and a very low YTM comes out?You can go to "trade" and "bonds" and there's a link for "treasury auctions" below the rate table.Could someone give simple instructions on how to participate in a 30year bond auction at Schwab using the auction example:
Auction Date May 09, 2024
Original Issue Date May 15, 2024
You will get the price/yield that is set at auction. Unless you have something like $10 million to invest, you can only place a non-competitive bid and you get whatever results from the auction.
You can wait until the morning of the auction to submit the order, then there would little time for any change to yields. Alternatively you can buy on the secondary market at a known price/yield.
Statistics: Posted by jeffyscott — Tue May 07, 2024 8:59 am — Replies 4399 — Views 504040