Bond Investors Guaranty and J.J. Kenny Trading Inc. Tuesday announced a municipal bond trading program for the secondary market.

Bond Investors Guaranty, a municipal bond insurer, said the program would enable bond traders to buy their insurance through J.J. Kenny, a large municipal bond broker.This represented a tremendous potential for us, said Robert A. Meyer, president of the two-year-old Bond Investors. The secondary market is a very large market and also a very fertile market for bond insurers.

The companies said the program would save time for bond traders.

J. Kevin Kenny, president and chief executive at New York-based J.J. Kenny, said with the help of the firm's database, traders will be able to know if Bond Investors will insure the bonds.

The secondary bond insurance program should add value to the bonds being traded while maintaining the traditional anonymity that is critical to our clients, Mr. Kenny said.

Mr. Meyer said that even though new bond issues were down by a third last year, the amount of bonds being insured continues to grow from 21 percent in 1987 to 29 percent in the first quarter of 1988.

This is indicative of the demand, Mr. Meyer said.

The program will benefit the municipal bond market, resulting in improved liquidity and a constant supply of insured paper in the market, Mr. Meyer said.

By acting as an endorsement, the insurance should raise the value of bonds, he added. The message is that this issuer is a solid issuer.

New York-based Bond Investors is a wholly owned subsidiary of Bond Investors Group Inc., which is owned by American International Group Inc., Bankers Trust New York Corp., Government Employees Insurance Co., Salomon Inc. and Xerox Credit Corp.