Public Offer for Bonds

[metamofia89]

Hi guys, I’m quite confused how the bidding/auction system works for bonds.

I’ve read an article by DollarAndSense regarding application through ESA. There is a section called Fixed Price of $1. So if I want to purchase $5000 worth of bond, I will enter 5000 units.

But then I read an overview article by ST regarding the Temasek Bond (Oct 2018) and they quoted things like opening, closing price and average price of “102 cents at a dollar”. What does the term in quotes actually mean? Definition wise, it’s $1.02 of per unit of bond price ah. But then the whole Fixed Price from ESA confusing me.

How does the public offering for bonds actually work and how can we purchase it (process wise) subject to allocation?

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[bright_84]

ESA is like IPO. They tell you they're selling their bond at a dollar a bond. Tell me how many you want.

Your temasek example are market quotations of prices, no different than shares, happens after the allocation via ipo is done.. Bonds are traded after all.