What are the major bond players (like pension funds and money managers) and what indexes do they use?
The overall bond index is the Lehman Brothers Overall Bond Index, which is an index of the investment grade bonds in the U S. But there are many different indexes they might use depending on the type of bonds that they happen to be investing in. Some may invest only in long term U S treasury bonds for example. They would perhaps use the Lehman Brothers Long Term Treasury Bond Index. Perhaps they favor municipal bonds but most pension funds would not. Many muni mutual funds do however. They might use the Lehman Brothers Municipal Managed Money Index. Then there are the international bonds. One index they might use is the Lehman Brothers Global Treasury ex U S index. There are many more types of bonds but that should give you and idea. Makes one wonder what will happen to these indexes if Lehman goes under.
