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Here's the comment from the FAQs. I think the people who do a lot of corporates buying have several brokers and pick and choose depending on what is available and the costs on a specific occasion. I'm content with Vanguard's selection, and like the fact that I could get new issues for no commission, if they ever have anything with a yield I consider competitive with CDs. My preference is for someone with straight forward commissions, who doesn't play the mark-ups with lower commissions. But occasional buyers don't need to be as picky. I don't go for the lowest stock commissions, either, because I don't buy and sell very often.

Where Do I Buy Corporate Bonds?

• Corporate bonds can be bought via bond desks or on-line through brokerages, typically for a slightly higher commission than for Treasuries, although there are now many discount brokerages that offer the same rate on all or most bonds.
--- Vanguard's commission on corporate bonds is $25 plus $2 per $1000 bond.

• Bonds are not sold through big, central, markets, like stocks, so you need to rely on the inventory available at your broker.
---Some people who would never use a full-service broker for stocks prefer one for bonds, because of larger inventories.
---Others use multiple brokerage accounts, in order to have a larger combined inventory and to choose whoever has the best deal for the same bond.

• Beware of mark-up costs (the difference between the price listed for a bond and what you actually pay for it), which vary considerably between brokerages and might more than make up for differences between commissions.

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