A Market Hiding in Plain Sight The modern municipal prepay bond originated from laws passed in Louisiana during the 1980s.i What began as a specialized financing method for public utilities has evolved into a substantial component of the tax-exempt market. 1994 was a key turning point. In December, the City of Clarksville’s Natural Gas Acquisition […]
jbalnaves
Municipal credit in 2026 is shaping up less like a single narrative and more like a series of stress tests for infrastructure, policy, and budgetary resilience. In our 2026 Municipal Credit Sector Outlook, we focus on a simple question: not whether disruption will occur, but which sectors and related issuers are built to absorb it. […]
jbalnaves
AMPWP’s pre-election view is unchanged following Zohran Mamdani’s November 4th victory. Headline proposals captured attention, but wholesale policy shifts are unlikely without Albany’s support. On their own, these proposals do not imply a material risk of downgrade. Our base case assigns greater weight to federal–state–city dynamics. The most significant credit variable is the potential pressure […]
jbalnaves
At first glance, California’s credit profile seems solid. The state has a multi-billion-dollar reserve cushion, steady revenue collections, and what I view currently as a balanced spending approach. For many investors, these headline figures provide reassurance, signaling a favorable investment opportunity in California municipal bonds. But in our line of work, feeling secure can be […]
jbalnaves
In a move with sweeping fiscal and political implications, the current administration is reportedly targeting the tax-exempt status of municipal bonds, which have long been a cornerstone of public finance in the United States. The target is subtle but seismic. As Washington hunts for revenue in a high-deficit, post-pandemic economy, tax-exempt municipal bonds—long considered sacrosanct—are […]
jbalnaves
In the world of municipal finance, fear sells. Bold headlines and dire predictions can move markets, often faster than facts. The latest panic button? A New York Post article warning that New York City is teetering on the edge of a 1970s-style financial collapse, conjuring memories of near-default and fiscal ruin. But history rarely repeats […]
jbalnaves
