Investment Banks Buy Stake in e-Bond Firm

May 4, 2001 ( - Investment banks Credit Suisse First Boston, Lehman Brothers and UBS Warburg have bought equity stakes in the electronic bond trading firm BondBook LLC.

The banks, which also own stakes in BondBook’s major competitor Market Axess, will join current equity holders:

  • Merrill Lynch & Co. 
  • Goldman Sachs Group
  • Citigroup’s Salomon Smith Barney unit
  • Morgan Stanley, and Deutsche Bank AG

The system is an exchange-like auction in which investors can trade directly with each other without dealer intermediaries. It was initially set up for BondBook’s equity partners and members of its advisory council, but other firms are now using the system as well.

Never miss a story — sign up for PLANSPONSOR newsletters to keep up on the latest retirement plan benefits news.