Stripping STRIPs Trading Activity
In March 2020, the Financial Industry Regulatory Authority (FINRA) began reporting aggregate trading volume for securities issued by the U.S. Treasury Department. The public data do not, however, include information about the trading activity of Separate Trading of Registered Interest and Principal of Securities (STRIPS). STRIPS are created from existing Treasury securities and offer risk […]
FINRA began reporting aggregate trading volume for STRIPS in March 2020, but did not include data on STRIPS trading activity. STRIPS are zero-coupon securities created from Treasury securities, offering risk management benefits and yield curve insights. As of June 2025, $560 billion in U.S. Treasury securities were held in stripped form, comprising 2.5 percent of marketable notes, bonds, and TIPS.
Most stripped securities are long maturity bonds, with 98.1 percent of Treasury securities held in stripped form being bonds. STRIPS yield an average daily trading volume of $5.6 billion during the period from July 2024 to June 2025, with principal STRIPS constituting 68 percent of the total.
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