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What is the "Net Yield Basis" on fixed income securities?
What is the "Net Yield Basis" on fixed income securities?
Updated over 3 months ago

Net Yield Basis refers to a pricing method where Firstrade acts as the principal in the bond transaction. In this scenario, the bonds are subject to a markup (if you are buying) or a markdown (if you are selling). These are included in the total purchase or sale price.

The specific amount of the markup or markdown is not separately itemized during the trade but can be seen in the order confirmation after the trade has settled.

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