DEFINITION of 'Inactive Bond Crowd'

A group of exchange members who buys and sells bonds, that are infrequently traded. Limit orders placed by the inactive bond crowd, may take a longer period of time to fill, due to the absence of frequent trading.


The opposite of inactive bond crowd is the active bond crowd.

BREAKING DOWN 'Inactive Bond Crowd'

Before electronic trading, orders placed by those in the inactive bond crowd were stored in cabinets off to the side of the general trading floor. This gave rise to the nickname "cabinet crowd."

RELATED TERMS
  1. Cabinet Crowd

    Members of the NYSE who typically trade in inactive bonds. The ...
  2. Bond Crowd

    A slang term used to describe members of the stock exchange that ...
  3. Active Bond

    A bond or other fixed-income security that is frequently traded ...
  4. Cabinet Security

    A security that is listed under a major financial exchange, such ...
  5. Automated Bond System - ABS

    The electronic system on the NYSE that records bids and offers ...
  6. Active Bond Crowd

    The name given to members of the NYSE and their specific bond ...
Related Articles
  1. Trading

    How The Power Of The Masses Drives The Market

    Market psychology is an undeniably powerful force. Find out what you can do about it.
  2. Investing

    Corporate Bond Basics: Learn to Invest

    Understand the basics of corporate bonds to increase your chances of positive returns.
  3. Investing

    The Basics Of Bonds

    Bonds play an important part in your portfolio as you age; learning about them makes good financial sense.
  4. Investing

    When To Follow The Crowd And When To Lose It

    Our profits ultimately depend on the misfortune of other market players.
  5. Investing

    How To Choose The Right Bond For You

    Bond investing is a stable and low-risk way to diversify a portfolio. However, knowing which types of bonds are right for you is not always easy.
  6. Investing

    5 Fixed Income Plays After the Fed Rate Increase

    Learn about various ways that you can adjust a fixed income investment portfolio to mitigate the potential negative effect of rising interest rates.
  7. Investing

    Bond ETFs: A Viable Alternative

    Discover the advantages of a security that tracks bond index funds, but trades like a stock.
  8. Investing

    The 4 Biggest Bond Myths

    Bonds can be a great addition to a portfolio but be aware of these four myths.
  9. Investing

    Top 6 Uses For Bonds

    We break down the stodgy stereotype to see what these investments can do for you.
  10. Investing

    U.S. Corporate Bonds: The Last Safe Place to Make Money

    There aren't many other sources right now for relatively safe, steady income.
RELATED FAQS
  1. What determines the price of a bond in the open market?

    Learn more about some of the factors that influence the valuation of bonds on the open market, and why bond prices and yields ... Read Answer >>
  2. Do budget deficits "crowd out" the market?

    Find out how governments can crowd out private investment and other borrowers in the market for loanable funds whenever they ... Read Answer >>
  3. Do long-term bonds have a greater interest rate risk than short-term bonds?

    The answer to this question lies in the fixed income nature of bonds and debentures, often referred to together simply as ... Read Answer >>
  4. What causes a bond's price to rise?

    Learn about factors that influence the price of a bond, such as interest rate changes, credit rating, yield and overall market ... Read Answer >>
  5. How does crowding out affect supply and demand in the private-sector?

    Understand how crowding out affects supply and demand in the private sector. Learn why government borrowing can be a negative. Read Answer >>
Hot Definitions
  1. Graduate Management Admission Test - GMAT

    A standardized test intended to measure a test taker's aptitude in mathematics and the English language. The GMAT is most ...
  2. Magna Cum Laude

    An academic level of distinction used by educational institutions to signify an academic degree which was received "with ...
  3. Cover Letter

    A written document submitted with a job application explaining the applicant's credentials and interest in the open position. ...
  4. 403(b) Plan

    A retirement plan for certain employees of public schools, tax-exempt organizations and certain ministers. Generally, retirement ...
  5. Master Of Business Administration - MBA

    A graduate degree achieved at a university or college that provides theoretical and practical training to help graduates ...
  6. Liquidity Event

    An event that allows initial investors in a company to cash out some or all of their ownership shares and is considered an ...
Trading Center