A changed reference framework
ESMA states that new bond transparency rules applied from March 2, 2026. Its final quarterly liquidity assessment under the preceding framework was published on October 31, 2025. An older list therefore should not be presented as a current measure of how easily every bond can be traded.
Source: ESMA bond liquidity and completeness indicators.
Regulatory classification is not a dealing quote
A transparency classification and the price available to a particular investor answer different questions. The former concerns a reporting framework. The latter depends on the security, transaction size, timing and counterparties willing to deal.
A recent transaction may be informative without being repeatable at the same price. A small trade can occur on terms that are unavailable for a much larger order. Conversely, an infrequently traded bond may still attract a competitive quote when a buyer and seller meet.
Read the timestamp before the yield
Our practical emphasis is to examine the observation behind a displayed number. Identify whether it is a completed trade, an indicative valuation or a firm quote. Then check its timestamp and whether accrued interest is included.
Comparisons should use consistent price conventions. Otherwise a difference caused by interest treatment or stale data can look like an investment opportunity.
For portfolio valuation, keep a record of the method and its limitations. More published data can improve visibility, but it does not guarantee immediate execution or eliminate the need to understand the spread between buying and selling prices.
Photo: Historical photograph of the La Défense business district in Paris. Credit: Steven Lek via Wikimedia Commons. Licensed under CC BY SA 4.0. Displayed with a responsive crop. The photograph illustrates the location or subject and does not depict the reported transaction.
