SOURCE: Zions Direct

Zions Direct

September 07, 2011 08:30 ET

Zions Direct Announces Corporate Bond Auction Results

Auctions of Corporate Bonds for Week Ending September 2, 2011

SALT LAKE CITY, UT--(Marketwire - Sep 7, 2011) - Zions Direct (, the online broker-dealer that allows its customers to purchase corporate bonds in its daily web-based auctions, announces their weekly auction results. In auctions closed from August 29, 2011 to September 2, 2011, investors purchasing corporate bonds in the auctions received average taxable yields 0.43 percentage points, or 43 basis points, higher than comparable bonds reported in FINRA's Trade Reporting and Compliance Engine (TRACE).

Zions Direct, in conjunction with BondDesk Group LLC, regularly publishes a Market Snapshot for investors to help understand the current bond market, summarizing current weighted-average yields of investment-grade municipal and corporate bonds. Findings are compared against similar securities auctioned at Zions Direct Auctions ( Since February 2007, Zions Direct has auctioned over 850 million dollars in more than 3,000 fixed-income auctions.

Corporate Bonds' Average Yields Trade Data (source: FINRA's TRACE)

2011 - 2012 2012 2013 2014 2016 2018 2021
Rating < 9mo 1 yr 2 yr 3 yr 5 yr 7 yr 10 yr
AAA 0.00% 0.27% 0.48% 0.67% 1.59% 2.83% 2.70%
AA 0.23% 0.70% 1.06% 1.98% 2.74% 3.86% 4.15%
A 0.84% 1.50% 1.48% 2.41% 3.22% 4.08% 4.32%
BBB 1.05% 1.64% 1.94% 2.46% 3.44% 4.31% 4.58%

Corporate Bond Auction Comparison Data (auction data from

Issuer Term Rating Auction Yield TRACE Difference
Avg Yield (basis points)
HSBC Finance Corp 2 Month A 1.27% 0.84% 43
Shell Intl Finance 1 Month AA 0.79% 0.23% 56
Credit Suisse USA Inc 5 Month AA 1.05% 0.23% 82
Dow Chemical Co 1 Year BBB 1.62% 1.64% -02
JP Morgan Chase & Co. 5 Month A 1.25% 0.84% 41
Berkshire Hathaway 9 Month AA 1.17% 0.23% 94
Wachovia Corp (Wells Fargo) 2 Month A 1.00% 0.84% 16
Verizon New York Inc 7 Month A 1.45% 0.84% 61
Dominion Resources Inc 10 Month BBB 1.50% 1.64% -14
General Electric Capital Corp 3 Month AA 1.05% 0.23% 82
Walt Disney Company 6 Month A 0.97% 0.84% 13
JP Morgan Chase (FDIC Ins) 10 Month AA 0.85% 0.70% 15
Citigroup Inc., (FDIC Ins) 3 Month AA 1.08% 0.23% 85
Target Corp 6 Month A 1.20% 0.84% 36
John Deere Capital (FDIC Ins) 10 Month AA 1.00% 0.70% 30
Average Difference 43

For more information on Zions Direct and the BondDesk Market Snapshot go to Zions Direct ( to sign up to receive the free weekly newsletter or visit Think Zions Direct ( to view a Market Snapshot archive.


About Zions Direct

Zions Direct is a broker-dealer that specializes in offering securities for self-directed and fixed income-focused investors. Zions Direct allows retail investors to buy FDIC-insured certificates of deposit and corporate and municipal bonds through its web-based Bond Store ( and auction platforms. In addition, clients can invest in stocks, mutual funds, and exchange-traded funds online or through a Zions Direct financial representative.

About BondDesk Group LLC

BondDesk Group LLC is a financial technology firm, providing enterprise-wide fixed income solutions to many of the top broker-dealers in North America. The BondDesk Alternative Trading System (ATS), run by BondDesk Trading LLC, connects broker-dealers through a centralized marketplace by offering a diverse pool of liquidity for odd-lot fixed income securities in multiple asset classes. The BondDesk ATS executes over 20,000 transactions per day by providing 2,000 broker-dealers access to 35,000 live and executable offerings from over 100 premier fixed income dealers. In addition, BondDesk Group is a leading provider of innovative fixed income wealth management solutions, advisor workstations and fixed income analytical tools and applications.

Market Snapshot Information Disclaimer

TRACE bond trade data displayed as weighted average yield. Corporate bond information from FINRA's Trade Reporting and Compliance Engine (TRACE) as of September 2, 2011. The Trade Data was developed by BondDesk Group based on trade reporting information from TRACE, and excludes transactions in callable and floating-rate coupon bonds. Auction information from as of September 2, 2011. The aggregate rating for each bond is based on average ratings from Moody's and S&P (when available).

Although information in this Market Snapshot is believed to be reliable, Zions Direct and BondDesk make no express or implied warranties of any kind regarding this information, including as to its accuracy or completeness. Auction data excludes bonds in undersubscribed auctions.

Terms are defined as follows: < 9 months = anything up to .75 years to maturity; 1 year = anything greater than 0.75 years up to 1.5 years to maturity; 2 years = anything greater than 1.5 years up to 2.5 years to maturity; 3 years = anything greater than 2.5 years up to 4 years to maturity; 5 years = anything greater than 4 years up to 6 years to maturity; 7 years = anything greater than 6 years up to 8.5 years to maturity; 10 years = anything greater than 8.5 years up to 11.5 years to maturity.

Investment products and services offered through Zions Direct, member of FINRA/SIPC, a non-bank subsidiary of Zions Bank are NOT insured by the FDIC or any federal or state governmental agency, are NOT deposits or other obligations of, or guaranteed by, Zions Bancorporation or its affiliates, and MAY be subject to investment risks, including the possible loss of principal value or amount invested.

Contact Information

  • Contact:

    Russell Fisher
    Zions Direct.
    (801) 844-7826

    Kristin Brown
    Racepoint Group
    Email Contact
    (202) 912-4906