WORKABLE INDICATION

A nominal quote in the municipal bond market at which price a dealer is willing to either buy or sell a particular issue. This differs from a firm quote as revisions to the offer are allowed within a specified time period, usually one hour. Municipal bond dealers can also give out 'firm-with-recall' quotes that can be good for roughly the next hour, and then recalled.

Municipal bonds are usually traded within a secondary or interdealer market and are purchased by banks, bond funds, insurance companies, other institutional investors, individual investors and small businesses.