The Irish Government bond market is primarily based on a Primary Dealer system which was introduced at the end of 1995. Primary dealers are required to quote bid and offer prices for designated Irish benchmark bonds on one of the electronic trading platforms recognised by the NTMA. Trading can also be conducted on an OTC basis particularly in the non-benchmark bonds. Primary dealers report trades in Irish Government bonds to the ISE on a daily basis and this information is then published by the ISE. Most trading is undertaken for the institutional and professional market.
There are a number of Primary Dealers who are authorised by the National Treasury Management Agency (“NTMA") and are members of the Irish Stock Exchange. While primary dealers account for most of the turnover in Irish Government bonds there are a number of other member firms who are also authorised by the ISE to deal in Government bonds.The NTMA monitors trading in Irish Government bonds on a real time basis and ensures primary dealers comply with their obligations. For further details about the NTMA and its operations please click here - www.ntma.ie. Trades dealt in Irish Government bonds have a standard settlement of T+3. Irish Government Bonds are cleared and settled by Euroclear Bank.
Chapter 6of the Rulebook relates to Irish Government Bonds, other details are also outlined in the Market Parameters.