Bond Buyers Push Wall Street to Modernize Underwriting Process
- Industry group wants to establish standards for primary market
- Request comes as banks to launch platform to digitize sales
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Some of the biggest money managers in investment-grade credit want to revamp the way new bonds are marketed, priced and distributed, pushing Wall Street and regulators to adopt fresh industry standards they say are long overdue.
The Credit Roundtable, an industry group which counts Vanguard Group Inc. and T. Rowe Price Group Inc. among its members, penned an open letter to various market participants Monday suggesting dozens of changes, from providing prospectuses immediately when deals are announced to disclosing final order books when they’re priced.