See we are back in the trenches again.
The proposed OTC for bonds to work alongside the NSE is a nonsense. Especially at a time when the trend is to move away from trading public financial instruments in the bar. If JSE with more sophisticated financial infrastructure has realised the inherent corruptness of an OTC, why would we be wanting to go there?
My view is that even shares should all be traded in a transparent market i.e. its very easy to create a market for the likes of Transcentury, Telkom et al with lower requirements...

@wa-ithaka

You are missing the point (not the first time)... the MAJOR reason the banks want an OTC is coz of the outrageous fees charged by brokers, NSE & CMA...

A pity stock investors dont boycott the bastards for their horrendous charges!

kizee. I don't know how much cma wants to charge the banks for the license, do tell me...so who would comprise the membership of the otc? And do free market principals really apply to banks, particularly when they're backed by a central bank...if we had free banking principles wouldn't banks take on the liquidity risk in the HRT mart and not borrow from CBK overnight windows...

Okay I'm not a bond trader so I may confuse some issues but don't you think short selling will lead to abuse, cos they're no profit caps on bond prices (like in equities)...could they manipulate prices all in the name of making a market? What did you mean, by bond guys adding value?

@vvs. so what I'm understanding is that brokers/nse/cma are milking too much from banks...it sounds like they've been making billions...if the commissions structure is the issue why not just amend them. Who are the beneficiaries of the primary bond market? Now banks want control of the secondary market as well.

@wa - huh?

Try clicking on the here bit of the post.
If charges are the issue, why not deal with that?