I have been pondering if Municipal GO Bonds are liquid and why is the buying and selling process so different from other securities, such as ETFs and Stocks.
Let me explain: I have been trying to buy a few Muni's on Fidelity and while several of the available bonds have an "Ask" and a Minimum listed, hardly any had any "Bids". Moreover, the couple that had Bids listed next to them had significant spread and when I put a bid that was HIGHER than that was listed, my orders fell through. That means the seller was unwilling to budge and could be sitting on the Munis for a long time. Hence my question about the liquidity of these securities? Or are there better trading platforms where Muni's are traded more "efficiently" than Fidelity Brokerage?
Anyone have any light to shed how easy it'll be to get a good price on both buy-side as well as sell-side if I got into these? Appreciate any advice.
I know all about tax benefits, TEY, YTW, Coupons, Call Options, AMT benefits etc etc and have decided I do need to buy Muni's so that's not the issue.
Thanks