The Municipal Securities Rulemaking Board has issued a technical notice reminding dealers of the different types of yields they must disclose on trade confirmations for Build America Bonds with structures designed to attract investors in corporate securities.

The guidance on the MSRB's Rule G-15 on customer confirmations comes as many BABs include certain redemption provisions that are common in the corporate market, such as mandatory pro rata sinking funds, in which investors are required to tender an equal percentage of their bond holdings when the issuer calls for sinking fund retirement of the bonds.

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