Sentences with phrase «term munis»

Within the universe of short - term munis there are several categories of notes, including bond anticipation notes, tax anticipation notes, and revenue anticipation notes.

In the universe of longer - term munis there are tax - exempt commercial papers and variable - rate demand obligations, which allow state and municipal governments to fund their large, long - term projects at short - term rates.

Three additional types of long - term munis are swaps, municipal preferred stock, and floaters / inverse floaters, all of which enable issuers to borrow at long - term fixed rates, while providing investors with floating rate, short - term debt.

Or it can be structured where there is a pool of long - term munis pledged against a larger senior VRDO.

Now here is where the problems start... Current Troubles Up until now, finding AAA - rated long - term munis was easy, because so many munis were insured by AAA - rated monolines.

You are rarely going to get the chance to buy long - term munis at prices about equal to Treasuries.

They then chop up the bonds into short - term munis called tender option bonds (TOB) and sell those to other investors.

The Fed revealed last week that it expects to raise rates twice this year, possibly as soon as April, which makes short - term munis more attractive since they're less sensitive to rate adjustments than longer - term debt.

Short - term munis — such as the ones that mostly make up NEARX — are less sensitive to interest rate stimulation than longer - term instruments.

Check out the following ways short - term munis can make you scream «Oh yes!»

Bond prices fall when rates rise, but short - term munis are less sensitive to rate fluctuations than longer - term bonds.

Long - term muni yields are attractive relative to Treasuries before tax, and especially after tax.

Short - term muni bond investment strategies typically have the shortest duration targets and the lowest interest rate risk.

But market turmoil earlier in August reversed that trend, pushing long - term muni yields back up, especially in comparison to Treasury yields, he said.

The growing popularity of this strategy began to bring the yield on longer - term muni bonds down, flattening the muni yield curve, Citigroup's Friedlander explained.

That means there's lots of supply of longer - term muni bonds, so issuers have to offer higher yields to sell them.

He advised clients to buy longer - term muni bonds.

The Short - Term index can be a good proxy for a short - term muni strategy that does not mature like a ladder.

The acceleration of outflows from tax - exempt money funds hit short - term muni financing rates in recent months.

In today's tumultuous credit markets, intermediate - term muni bonds now yield around 3.7 %.

One might also consider SPDR Short Term Muni (SHM) and / or iShares Short Maturity Bond (NEAR).

Then you sell senior notes to some other investor with your long - term muni pledged as collateral.

Not exact matches

Fidelity's Julian Potenza seconded Darda's emphasis of muni bonds, saying «investors should consider keeping the portion of their fixed - income portfolio that is currently earmarked for liquidity relatively short, in terms of duration.»

I think the muni bonds are a good idea although I'm not real bullish on longer term CA munis (budget whoas will catch up).

Muni bonds could be a big loser in real terms down the road.

Fixed income fund sample includes the Morningstar historical categories: Corporate Bond, Inflation - Protected Bond, Intermediate Government, Intermediate - Term Bond, Muni California Intermediate, Muni National Intermediate, Muni National Short, Muni New York Intermediate, Muni Single State Short, Short Government, Short - Term Bond, Ultrashort Bond, and World Bond.

National muni bond categories are: B - MNST - Short - Term National Muni Bond: Invest in muni bonds with average maturity of less than three yemuni bond categories are: B - MNST - Short - Term National Muni Bond: Invest in muni bonds with average maturity of less than three yeMuni Bond: Invest in muni bonds with average maturity of less than three yemuni bonds with average maturity of less than three years.

B - MNIT - Intermediate - Term National Muni Bond: Invest in muni bonds with average maturity of three to 10 yeMuni Bond: Invest in muni bonds with average maturity of three to 10 yemuni bonds with average maturity of three to 10 years.

In the past 20 years, the stock market has undergone two massive declines, and in both cases, short - term, investment - grade munis — those carrying an A rating or higher — helped investors stanch the losses.

Despite the Fed's 25 basis point rate hike, intermediate term investment grade bonds (Corporates and Munis) still squeaked out positive returns in Q1.

I agree with your points against muni's and corporate bonds for ladders though — in terms of expense and risk, which is why I avoid them.

There are of course high yield muni funds, but they tend to be smaller in terms of AUM and have had some performance hiccups (Puerto Rico) which have curtailed investor inflows.

Meanwhile, muni fund inflows have been positive since October, according to Morningstar, with no signs of slowing in the near - term.

If it's a short term investment how can it be in tax - shelter accounts other than say an ibond or a muni bond fund?

I'm also a big fan of muni's, and expect we'll be parking the equity proceeds there while evaluating our longer term options.

Between star Paul Muni's Master Thespian bathetic mugging and the sub - «Shoeshine» mechanics of its storyline, this is a problem picture in all the least desirable senses of the term.

Take on more risk, say munis or longer - term junk bonds, and you may seem to do better until the chickens come home to roost (as happened to the banks in 2008.)

In this table you will find short term historical return data, including total YTD return and 1 - year returns on all Muni National Bond Funds.

Muni issuers want to lock in long term financing, but most investors want to invest shorter.

The bulk of our investment income came from 2 sources — a REIT (OHI) and our intermediate - term California muni fund (which, since I live in California, provides tax - free interest).

Rather than pursue cross-over corporates or high - yield or even long - term investment grade corporates, we have stayed near the middle of the curve with funds like: (1) SPDR Nuveen Muni (TFI), (2) Vanguard Total Bond (BND), (3) iShares 7 - 10 Year Treasury (IEF) and (4) iShares 3 - 7 Year Treasury (IEI).

Okay, it comes from one simple insight muni investors want low volatility, which means short duration bonds, while most municipalities want to lock in long term funding.

Muni - Bonds: In addition to VBIIX above, I've also directed some of my short term cash holdings into Vanguard's Intermediate - Term Tax - Exempt Fund (VMIterm cash holdings into Vanguard's Intermediate - Term Tax - Exempt Fund (VMITerm Tax - Exempt Fund (VMITX).

We have been long - term holders if iShares 7 - 10 Year Treasury (IEF), SPDR Muni Bond (TFI) as well as iShares S&P Preferred (PFF).

Municipal bond funds are entering 2014 following a long string of monthly cash outflows indicating that retail investors remain skeptical of the short term prospects of the muni market.

Unfortunately, articles pointing to the prevailing extremely high yields in the municipal market have been appearing since the beginning of October — and since then, prices of longer - term or lower - rated munis have continued to slide down a cliff.

If you evaluate municipal bonds by the traditional criterion, the yield ratio of municipal bonds to Treasuries of the same maturity, munis are incredibly cheap: All along the yield curve, munis yield, in absolute terms, anywhere between 150 % to even 300 % of Treasuries.

Also, single - state muni funds often own relatively long - term bonds, so they could get hit hard by rising interest rates.

My favorite tax free muni bond fund is Vanguard Intermediate Term Tax Exempt.

There are of course high yield muni funds, but they tend to be smaller in terms of AUM and have had some performance hiccups (Puerto Rico) which have curtailed investor inflows.