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Username: Maria

Rating:
Guru Stars

Asked to: Heng Kim

Date Created: 08 Jul 2015
Category 40
Tag Forex
Question What is the cabinet crowd?
Advice from Guru
Hello Maria,

Members of the NYSE who typically trade in inactive bonds. The cabinet crowd is made up of a relatively small group of traders and investors who deal in inactive fixed-income securities. These bonds are inactive due to the fact that they are not actively traded and, thus, are deemed more illiquid, causing bid-ask spreads to be much wider than active or more liquid bonds.

Also known as the "inactive bond crowd" or "book crowd."

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