(1) Inter-bank bond market: The inter-bank bond market is the largest over-the-counter bond market and the main body of China bond market, with commercial banks and other financial institutions as its main participants. The market belongs to the block trading market and adopts the mode of bilateral transaction settlement. The main trading varieties are government bonds, policy financial bonds, central bank bills, short-term financing bonds, corporate bonds and other bonds. Generally speaking, there are four main trading forms in the inter-bank bond market, including spot bond trading, repurchase trading, bond forward trading and bond lending trading. Among them, the connotation of bond forward trading is similar to that of futures. It is an innovative interest rate derivative transaction that both parties agree to buy and sell the underlying bonds at the agreed price and quantity on a certain date in the future, in order to make up for the inability of banks, insurance and other institutions to participate in the treasury bond futures market. Bond repurchase transactions and spot bond transactions adopt the mode that one party gives money and the other party gives bonds; Bond lending transaction is a kind of transaction mode of "exchanging bonds for bonds".
(2) Commercial bank bond counter market: The commercial bank bond counter market is an extension of the inter-bank bond market and belongs to the retail market. Participants include individuals and corporate investors, and the market is small.
(3) Exchange bond market: Exchange bond market is an important part of China's bond market. Participants in this market are all kinds of social investors except banks. They can open accounts on exchanges (Shanghai Stock Exchange and Shenzhen Stock Exchange), and the stock of bonds in the exchange market is relatively small. The market belongs to the retail market of centralized matchmaking transactions, and the net settlement is implemented. The types of bonds traded usually include government bonds, corporate bonds, corporate bonds and convertible bonds.
Legal basis:
People's Republic of China (PRC) Securities Law
Article 1 This Law is formulated in order to regulate the issuance and trading of securities, protect the legitimate rights and interests of investors, safeguard social and economic order and public interests, and promote the development of the socialist market economy.
Article 2 This Law shall apply to the issuance and trading of stocks, corporate bonds, depositary receipts and other securities legally recognized by the State Council within the territory of People's Republic of China (PRC). Matters not covered by this Law shall be governed by the Company Law of People's Republic of China (PRC) and other laws and administrative regulations. This Law shall apply to the listing and trading of government bonds and securities investment fund shares; Where other laws and administrative regulations provide otherwise, such provisions shall prevail. Measures for the administration of issuance and trading of asset-backed securities and asset management products shall be formulated by the State Council in accordance with the principles of this Law. Securities issuance and trading activities inside and outside People's Republic of China (PRC), which disturb the market order in People's Republic of China (PRC) and damage the legitimate rights and interests of domestic investors, shall be handled in accordance with the relevant provisions of this Law, and legal responsibilities shall be investigated.
Article 3 The issuance and trading of securities must follow the principles of openness, fairness and impartiality.
Article 4 The parties involved in securities issuance and trading activities have equal legal status and should follow the principles of voluntariness, compensation, honesty and credibility.
Article 5 The issuance and trading of securities must abide by laws and administrative regulations. Fraud, insider trading and manipulation of the securities market are prohibited.