Auctions: Navigation & Layout

Uploaded by ZionsDirectTV on 03.03.2012

>>[Male Voice] In this tutorial, we will cover the basic layout of the auction
and how to navigate through it’s various stages.
After logging in, you will be presented with a list of all the securities
that are up for bid.
Securities are arranged according to how much time is left in an auction,
with the one nearest its closing time at the top.
The issuer, security type, term, and current market-clearing price are
noted in each column.
Each category can easily be filtered by selecting its heading.
For now we will stay with the 'View All' option.
Opening the Enpirik Continental FDIC-Insured CD shows: 10 available units
at $1000 each, the term of the CD is 3 months, and the current market-clearing
yield is 2.44%. Further information is easily accessed by clicking
“View Offering Documents."
This area contains valuable in-depth information of the CD’s description,
its trade history, and an extensive step-by-step description of the entire auction
system, which would be very beneficial to read.
In preparing to enter a bid, you must first confirm your agreement with the following
Always keep in mind the auction end. For this auction, you have until 12PM on the 16th
of November.
Say you want 5 units- $5000 worth. The current market-clearing yield is 0.789%,
so place a bid slightly lower in yield of, say, 0.788%. The "Calculate/Refresh" button
will give you the equivalent price value. Click “Submit”.
Now take a moment and check all the numbers. This is your last chance to change the numbers
or cancel the bid entirely.
If everything looks correct, select the confirm checkbox. Then “Confirm”.
Results? You are “In the Money,” meaning currently you are winning the bid. However,
check back frequently before the closing time if
you want to see if you have been outbid. Or check your email for an Outbid notice. If
or when you are outbid, simply enter another bid.
Okay, the auction has ended. And not only have you won the bid, but you have set the
final market-clearing yield and price. All 10 units that were available have been filled
with the best bids. Those who bid at or below the
final market-clearing yield, or above the final market-clearing price) have won
the units that were open for bid.
To understand how this important process works, click on the tutorial “How Bid Winners are
Thanks for viewing our tutorial “Auction: Layout & Navigation."