Reference Bills® Securities Auction
Reference Bills® securities are sold weekly through an auction process. Bids are submitted via the Internet from a group of participating dealers.
Overview
| Auction Dates | Mondays.(1) |
|---|---|
| Auction Time | Auction Closes at 9:45 a.m. ET.(2) |
| Bid Types Accepted | Competitive (dealers and investors). Non-competitive (investor orders only). |
| Minimum Bid Size | $1 million (competitive) $1,000 (non-competitive) |
| Minimum Bid Increment | $1 million (competitive) $1,000 (non-competitive) |
| Non-Competitive Pool | 20% of auction size. |
| Maximum Bid Size | Competitive Investor: Not to exceed 100% of auction, in the aggregate across all bids submitted through one or more dealers. Competitive Dealer: Not to exceed 50% of the auction. Non-Competitive: 20% of auction size. |
| Maximum Award | Competitive Investor: Not to exceed 100% of auction. Competitive Dealer: Not to exceed 50% of the auction size less non-comp bid awards (excludes investor orders). Non-Competitive: 20% of auction size. |
| Maturities | One year or less. |
| Settlement System | Fedwire. |
| Day Count Convention | Actual/360. |
| Concession Fees | One basis point (bp) concession fee payable to dealers by Freddie Mac for successful customer bids. |
| Reopenings | Reference Bills securities are re-opened when the remaining maturities of outstanding issues coincide with regular auctions of new, shorter maturity issues. |
| Dealer Group | Freddie Mac accepts orders through its participating dealer group. |
| Discount Notes Program | Freddie Mac continues to post Discount Notes offerings daily. Reverse inquiry through our discount note business, a highly popular aspect of Freddie Mac’s traditional discount note program, is encouraged. However, new discount notes are issued with target maturities that are not in conflict with the maturity dates of our Reference Bills securities program. |
(1) Optional and Subject to holidays.
(2) Subject to change.