Maturity by Maturity Bidding - MBM

AAA

DEFINITION of 'Maturity by Maturity Bidding - MBM'

A bond auction that allows bidders (who are underwriters) to submit bids for selected maturities in its issue, rather than requiring buyers to bid for the entire issue on an all-or-none (AON) basis.

INVESTOPEDIA EXPLAINS 'Maturity by Maturity Bidding - MBM'

This gives smaller underwriting firms more flexibility, allowing them to bid for part of the issue.

RELATED TERMS
  1. All Or None - AON

    A condition used on a buy or sell order to instruct the broker ...
  2. Venture Capital

    Money provided by investors to startup firms and small businesses ...
  3. Maturity Date

    The date on which the principal amount of a note, draft, acceptance ...
  4. Bond

    A debt investment in which an investor loans money to an entity ...
  5. Underwriting

    1. The process by which investment bankers raise investment capital ...
Related Articles
  1. Brokerage Functions: Underwriting And ...
    Brokers

    Brokerage Functions: Underwriting And ...

  2. Corporate Bonds: An Introduction To ...
    Bonds & Fixed Income

    Corporate Bonds: An Introduction To ...

  3. Advanced Bond Concepts
    Bonds & Fixed Income

    Advanced Bond Concepts

  4. Bond Basics Tutorial
    Retirement

    Bond Basics Tutorial

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center