Well I've discovered a couple of things. Fido is cheaper as has been pointed out. Thanks Audrey for the link. I had set up a guest account there years ago and it still works. The cheaper Fido price is much more magnified at the short end where coupon rates are generally low. For example the Microsoft issue mentioned above is at ask of 98.750 at Fido and Ask 99.750 at ML, Because the coupon is minimal the math works out to a significant difference in Yield of roughly 1%. But when I compare an issue that is maturing on 10/15/27 - GE 4% coupon. The ask at ML is 98.27 and at Fido it is 97.284 for a Yield of 4.229 at ML and 4.361 at Fido. Still a difference but not nearly as significant. Both bonds have an approximate 1000 point difference in ask price, but the low coupon magnifies the difference in Yield. Conclusion - in a low coupon environment, the ML bonds are a hosing, or as Brewer indicates - a cornhole (looked it up
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I own a lot of bonds in our IRA's. I've set up a bond ladder to mirror our RMD's which started last year. I don't think I've bought any short term bonds. I'm always working out at the longer end of the ladder and we hold, where the difference between Fido and ML is much less and of course we hold to maturity. I'll have to determine whether it is worth it to us to change everything over from BOA/ML to Fido.