By concentrating on the largest,
most liquid segment of the universe, the portfolio has an inherent bias towards holding those coins the market believes have the highest probability of success.
Not exact matches
TLT is the
most popular and
liquid option in the
segment.
They note, for example, that the size of large trades of US investment grade corporate bonds (so - called «block trades») has continuously declined in recent years.6 Furthermore, in
most corporate bond markets, trading appears to be highly concentrated in just a few
liquid issues, and concentration appears to be increasing in some market
segments.
Still, it's among the cheapest and
most liquid options available, making it a solid choice for exposure to the
segment.
XLK is among the cheapest and largest funds in its
segment and by far the
most liquid — active traders need look no further.
The distressed
segment of the junk bond market has the
most concentrated trading activity indicating that the majority of bonds in that
segment are significantly less
liquid.