Muni index performance has generally been good this year.
I believe we can expect continued good performance but with the following two caveats: (1) political risk in the form of potential changes to, or elimination of, the tax-exempt nature of municipal interest, and (2) credit deterioration resulting from weak underlying economics. Either could have an adverse impact on the market.
Barclays Municipal Bond
Barclays Municipal High Yield Bond
Barclays Municipal High Yield Long Bond
Barclays Municipal High Yield Tobacco Bond
5 Yr (2017)
10 Yr (2022)
15 Yr (2027)
20 Yr (2032)
25 Yr (2037)
30 Yr (2042)
*The Barclays Municipal Bond Index is considered representative of the broad market for investment grade, tax-exempt bonds with a maturity of at least one year. The Barclays Municipal High Yield Bond Index is considered representative of the broad market for below investment grade, tax-exempt bonds with a maturity of at least one year. The Barclays Municipal High Yield Long Bond Index and Barclays Municipal High Yield Tobacco Bond Index are a sub-set of this broader index. **MMD provides a broad range of benchmark data and technical/fundamental analysis to the municipal market. Their analytical services offer a unique perspective on the municipal bond market, highlighting key areas of value and opportunity.
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